BORROWED FUNDS

12 Months Ended

Dec. 31, 2020

BORROWED FUNDS

BORROWED FUNDS

NOTE H - BORROWED FUNDS

At December 31, 2020 and 2019, borrowed funds consisted of the following:

($ in thousands)	2020		2019
Fed Funds Purchased	$	—	$	2,715
FHLB advances		110,000		206,250
First Horizon Bank		4,647		5,354
	$	114,647	$	214,319

Each advance from the FHLB is payable at its maturity date, with a prepayment penalty for fixed rate advances.  The advances will mature in March 2021. Interest is payable monthly at rates ranging from 0.72% to 0.77%. Advances due to the FHLB are collateralized by a blanket lien on first mortgage loans in the amount of the outstanding borrowings, FHLB capital stock, and amounts on deposit with the FHLB.  Advances due to the FHLB are collateralized by $3.120 billion in loans. Based on this collateral and holdings of FHLB stock, the Company is eligible to borrow up to a total of $1.421 billion at December 31, 2020.

As part of the FFB acquisition, the Company assumed two borrowings in the amount of $3.5 million and $2.0 million with First Horizon Bank.  Principal and interest is payable quarterly at rates ranging from 3.80% - 4.10%.

Future annual principal repayment requirements on the borrowings at December 31, 2020, were as follows ($ in thousands):

Year	Amount
2021	$	110,735
2022		765
2023		795
2024		826
2025		859
Thereafter		667
	$	114,647