Allowance for Loan Losses and Reserve for Unfunded Loan Commitments (Tables)

6 Months Ended

Jun. 30, 2022

Allowance for Loan Losses and Reserve for Unfunded Loan Commitments

Activity in the Allowance for Loan Losses by Portfolio Segment

The following tables detail the activity in the allowance for loan losses by portfolio segment for the three and six months ended June 30, 2022 and 2021:

	For the three months ended June 30, 2022
	SBA held
	for								Residential
(In thousands)	investment		Commercial		Residential		Consumer		construction		Total
Balance, beginning of period	$	941	$	14,705	$	4,284	$	642	$	1,596	$	22,168
Charge-offs		—		(501)		—		(40)		—		(541)
Recoveries		6		32		1		4		—		43
Net recoveries (charge-offs)		6		(469)		1		(36)		—		(498)
Provision for (credit to) loan losses charged to expense		(189)		672		501		197		7		1,188
Balance, end of period	$	758	$	14,908	$	4,786	$	803	$	1,603	$	22,858

	For the three months ended June 30, 2021
	SBA held
	for									Residential
(In thousands)	investment		Commercial		Residential		Consumer		construction		Total
Balance, beginning of period	$	1,654	$	14,727	$	5,009	$	549	$	1,026	$	22,965
Charge-offs		(164)		(20)		—		—		—		(184)
Recoveries		19		1		—		—		—		20
Net charge-offs		(145)		(19)		—		—		—		(164)
Provision for (credit to) loan losses charged to expense		177		303		(405)		52		(127)		—
Balance, end of period	$	1,686	$	15,011	$	4,604	$	601	$	899	$	22,801

	For the six months ended June 30, 2022
	SBA held
	for								Residential
(In thousands)	investment		Commercial		Residential		Consumer		construction		Total
Balance, beginning of period	$	1,074	$	15,053	$	4,114	$	671	$	1,390	$	22,302
Charge-offs		—		(501)		—		(46)		—		(547)
Recoveries		28		61		1		4		—		94
Net recoveries (charge-offs)		28		(440)		1		(42)		—		(453)
Provision for (credit to) loan losses charged to expense		(344)		295		671		174		213		1,009
Balance, end of period	$	758	$	14,908	$	4,786	$	803	$	1,603	$	22,858

	For the six months ended June 30, 2021
	SBA held
	for									Residential
(In thousands)	investment		Commercial		Residential		Consumer		construction		Total
Balance, beginning of period	$	1,301	$	14,992	$	5,318	$	681	$	813	$	23,105
Charge-offs		(446)		(393)		—		(1)		—		(840)
Recoveries		34		2		—		—		—		36
Net charge-offs		(412)		(391)		—		(1)		—		(804)
Provision for (credit to) loan losses charged to expense		797		410		(714)		(79)		86		500
Balance, end of period	$	1,686	$	15,011	$	4,604	$	601	$	899	$	22,801

Allowance for Credit Losses on Financing Receivables on Basis of Impairment Method

The following tables present loans and their related allowance for loan losses, by portfolio segment, as of June 30, 2022 and December 31, 2021:

	June 30, 2022
	SBA held
	for									Residential
(In thousands)	investment		Commercial		Residential		Consumer		construction		Total
Allowance for loan losses ending balance:
Individually evaluated for impairment	$	62	$	1,610	$	90	$	46	$	200	$	2,008
Collectively evaluated for impairment		696		13,298		4,696		757		1,403		20,850
Total	$	758	$	14,908	$	4,786	$	803	$	1,603	$	22,858
Loan ending balances:
Individually evaluated for impairment	$	604	$	4,022	$	2,668	$	417	$	2,691	$	10,402
Collectively evaluated for impairment		46,701		1,022,291		479,019		79,228		131,769		1,759,008
Total	$	47,305	$	1,026,313	$	481,687	$	79,645	$	134,460	$	1,769,410

	December 31, 2021
	SBA held
	for									Residential
(In thousands)	investment		Commercial		Residential		Consumer		construction		Total
Allowance for loan losses ending balance:
Individually evaluated for impairment	$	4	$	2,615	$	80	$	56	$	68	$	2,823
Collectively evaluated for impairment		1,070		12,438		4,034		615		1,322		19,479
Total	$	1,074	$	15,053	$	4,114	$	671	$	1,390	$	22,302
Loan ending balances:
Individually evaluated for impairment	$	510	$	4,220	$	3,262	$	637	$	3,122	$	11,751
Collectively evaluated for impairment		82,015		927,506		406,093		77,307		117,403		1,610,324
Total	$	82,525	$	931,726	$	409,355	$	77,944	$	120,525	$	1,622,075