Loans and Allowance for Credit Losses

3 Months Ended

Mar. 31, 2025

NOTE 4 – Loans and Allowance for Credit Losses

The following table summarizes the composition of our loan portfolio. Total gross loans are recorded net of deferred loan fees and costs, which totaled $6.0 million as of March 31, 2025 and $6.2 million as of December 31, 2024.



	March 31, 2025						December 31, 2024
(dollars in thousands)Commercial [Member]	Amount			% of Total			Amount			% of Total
Commercial
Owner occupied REOwner occupied RE [Member]	$	673,865			18.3	%	$	651,597			17.9	%
Non-owner occupied RE		926,246			25.1	%		924,367			25.5	%
ConstructionConstruction [Member]		90,021			2.5	%		103,204			2.8	%
Business		561,337			15.2	%		556,117			15.3	%
Total commercial loansConsumer [Member]		2,251,469			61.1	%		2,235,285			61.5	%
Consumer
Real estateReal estate [Member]		1,147,357			31.2	%		1,128,629			31.1	%
Home equityHome equity [Member]		223,061			6.1	%		204,897			5.6	%
ConstructionNon-owner occupied RE [Member]		23,540			0.6	%		20,874			0.6	%
OtherOther [Member]		38,492			1.0	%		42,082			1.2	%
Total consumer loans		1,432,450			38.9	%		1,396,482			38.5	%
Total gross loans, net of deferred fees		3,683,919			100.0	%		3,631,767			100.0	%
Less—allowance for credit losses		(40,687	)					(39,914	)
Total loans, net	$	3,643,232					$	3,591,853

Maturities and Sensitivity of Loans to Changes in Interest Rates

The information in the following tables summarizes the loan maturity distribution by type and related interest rate characteristics based on the contractual maturities of individual loans, including loans which may be subject to renewal at their contractual maturity. Renewal of such loans is subject to review and credit approval, as well as modification of terms upon maturity. Actual repayments of loans may differ from the maturities reflected below, because borrowers have the right to prepay obligations with or without prepayment penalties.



	March 31, 2025
(dollars in thousands)	One year or less		After one but within five years		After five but within fifteen years		After fifteen years		Total
Commercial
Owner occupied RE	$	21,945		235,811		384,201		31,908		673,865
Non-owner occupied RE		107,677		601,166		199,078		18,325		926,246
Construction		21,274		61,081		7,666		-		90,021
Business		126,041		296,487		134,590		4,219		561,337
Total commercial loans		276,937		1,194,545		725,535		54,452		2,251,469
Consumer
Real estate		25,156		98,915		259,980		763,306		1,147,357
Home equity		3,473		40,131		174,895		4,562		223,061
Construction		10,313		2,172		8,782		2,273		23,540
Other		5,667		30,764		1,292		769		38,492
Total consumer loans		44,609		171,982		444,949		770,910		1,432,450
Total gross loans, net of deferred fees	$	321,546		1,366,527		1,170,484		825,362		3,683,919

					December 31, 2024
(dollars in thousands)	One year or less		After one but within five years		After five but within fifteen years		After fifteen years		Total
Commercial
Owner occupied RE	$	21,235		220,648		369,748		39,966		651,597
Non-owner occupied RE		129,269		547,864		227,987		19,247		924,367
Construction		6,479		77,636		19,089		-		103,204
Business		129,978		277,830		144,056		4,253		556,117
Total commercial loans		286,961		1,123,978		760,880		63,466		2,235,285
Consumer
Real estate		20,982		82,896		281,091		743,660		1,128,629
Home equity		3,454		36,722		160,380		4,341		204,897
Construction		5,849		2,133		10,427		2,465		20,874
Other		7,660		30,633		3,040		749		42,082
Total consumer loans		37,945		152,384		454,938		751,215		1,396,482
Total gross loans, net of deferred fees	$	324,906		1,276,362		1,215,818		814,681		3,631,767

The following table summarizes the loans due after one year by category.



	March 31, 2025			December 31, 2024
	Interest Rate			Interest Rate
(dollars in thousands)		Fixed	Floating or Adjustable		Fixed	Floating or Adjustable
Commercial
Owner occupied RE	$	612,057	39,863	$	599,179	31,183
Non-owner occupied RE		722,785	95,784		701,297	93,801
Construction		36,332	32,415		63,019	33,706
Business		282,403	152,893		281,316	144,823
Total commercial loans		1,653,577	320,955		1,644,811	303,513
Consumer
Real estate		1,122,201	-		1,107,647	-
Home equity		9,717	209,871		9,899	191,544
Construction		13,227	-		15,025	-
Other		7,136	25,689		8,038	26,384
Total consumer loans		1,152,281	235,560		1,140,609	217,928
Total gross loans, net of deferred fees	$	2,805,858	556,515	$	2,785,420	521,441

Credit Quality Indicators

The Company tracks credit quality based on its internal risk ratings. Upon origination, a loan is assigned an initial risk grade, which is generally based on several factors such as the borrower’s credit score, the loan-to-value ratio, the debt-to-income ratio, etc. After loans are initially graded, they are monitored regularly for credit quality based on many factors, such as payment history, the borrower’s financial status, and changes in collateral value. Loans can be downgraded or upgraded depending on management’s evaluation of these factors. Internal risk-grading policies are consistent throughout each loan type.

A description of the general characteristics of the risk grades is as follows:

Pass— A pass loan ranges from minimal to average credit risk; however, still has acceptable credit risk.

Watch—A watch loan exhibits above average credit risk due to minor weaknesses and warrants closer scrutiny by management.

Special mention—A special mention loan has potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or the institution’s credit position at some future date.

Substandard—A substandard loan is inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified must have a well-defined weakness, or weaknesses, which may jeopardize the liquidation of the debt. A substandard loan is characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected.

Doubtful—A doubtful loan has all of the weaknesses inherent in one classified as substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of the currently existing facts, conditions and values, highly questionable and improbable.

The following table presents loan balances classified by credit quality indicators by year of origination as of March 31, 2025.



	March 31, 2025
(dollars in thousands)	2025		2024		2023		2022		2021		Prior			Revolving		Revolving Converted to Term		Total
Commercial
Owner occupied RE
Pass	$	15,297		63,117		46,489		195,920		119,944		208,162			85		-		649,014
Watch		1,732		460		1,172		4,360		2,339		11,111			-		-		21,174
Special Mention		-		-		-		157		-		3,520			-		-		3,677
Total Owner occupied RE		17,029		63,577		47,661		200,437		122,283		222,793			85		-		673,865

Non-owner occupied RE
Pass		20,184		54,479		69,881		320,644		134,812		272,504			809		466		873,779
Watch		-		-		1,758		4,993		17,758		11,853			-		-		36,362
Special Mention		-		-		-		-		193		7,997			-		-		8,190
Substandard		-		-		-		965		-		6,950			-		-		7,915
Total Non-owner occupied RE		20,184		54,479		71,639		326,602		152,763		299,304			809		466		926,246

Construction
Pass		1,191		20,480		27,143		22,793		14,752		-			-		-		86,359
Watch		-		-		2,494		1,168		-		-			-		-		3,662
Total Construction		1,191		20,480		29,637		23,961		14,752		-			-		-		90,021

Business
Pass		40,505		51,181		39,641		114,887		33,672		62,251			193,743		-		535,880
Watch		365		837		125		3,913		2,393		6,188			6,164		246		20,231
Special Mention		-		658		-		794		-		711			105		-		2,268
Substandard		195		28		-		1,291		-		989			455		-		2,958
Total Business		41,065		52,704		39,766		120,885		36,065		70,139			200,467		246		561,337
Current period gross write-offs		-		-		-		-		-		(78	)		-		-		(78	)
Total Commercial loans		79,469		191,240		188,703		671,885		325,863		592,236			201,361		712		2,251,469

Consumer
Real estate
Pass		39,113		75,296		140,300		273,351		259,362		307,507			-		-		1,094,929
Watch		100		902		4,477		6,826		8,612		8,590			-		-		29,507
Special Mention		153		596		1,528		4,841		2,648		7,834			-		-		17,600
Substandard		-		426		436		1,340		739		2,380			-		-		5,321
Total Real estate		39,366		77,220		146,741		286,358		271,361		326,311			-		-		1,147,357

Home equity
Pass		-		-		-		-		-		-			206,653		-		206,653
Watch		-		-		-		-		-		-			9,081		-		9,081
Special Mention		-		-		-		-		-		-			6,188		-		6,188
Substandard		-		-		-		-		-		-			1,139		-		1,139
Total Home equity		-		-		-		-		-		-			223,061		-		223,061

Construction
Pass		2,658		10,142		1,833		8,907		-		-			-		-		23,540
Total Construction		2,658		10,142		1,833		8,907		-		-			-		-		23,540

Other
Pass		470		1,045		799		1,432		683		3,122			29,199		-		36,750
Watch		-		176		46		-		359		124			480		-		1,185
Special Mention		-		34		34		322		61		62			43		-		556
Substandard		-		-		-		-		-		-			1		-		1
Total Other		470		1,255		879		1,754		1,103		3,308			29,723		-		38,492
Total Consumer loans		42,494		88,617		149,453		297,019		272,464		329,619			252,784		-		1,432,450
Total loans	$	121,963		279,857		338,156		968,904		598,327		921,855			454,145		712		3,683,919
Total Current period gross write-offs		-		-		-		-		-		(78	)		-		-		(78	)

The following table presents loan balances classified by credit quality indicators by year of origination as of December 31, 2024.


																December 31, 2024
(dollars in thousands)	2024		2023		2022		2021			2020			Prior			Revolving			Revolving Converted to Term		Total
Commercial
Owner occupied RE
Pass	$	51,338		47,997		186,361		122,306			66,561			145,743			160			238		620,704
Watch		480		1,180		3,638		1,962			8,828			11,012			-			-		27,100
Special Mention		-		-		162		-			-			2,840			-			-		3,002
Substandard		-		-		-		-			-			791			-			-		791
Total Owner occupied RE		51,818		49,177		190,161		124,268			75,389			160,386			160			238		651,597

Non-owner occupied RE
Pass		50,685		70,517		321,726		145,658			95,994			183,723			360			220		868,883
Watch		-		954		6,081		10,238			4,705			8,435			-			-		30,413
Special Mention		-		-		-		7,579			-			8,882			-			-		16,461
Substandard		-		-		969		-			-			7,641			-			-		8,610
Total Non-owner occupied RE		50,685		71,471		328,776		163,475			100,699			208,681			360			220		924,367
Current period gross write-offs		-		-		-		-			-			(1,029	)		-			-		(1,029	)

Construction
Pass		24,076		26,501		34,067		15,000			-			-			-			-		99,644
Watch		-		2,420		1,140		-			-			-			-			-		3,560
Total Construction		24,076		28,921		35,207		15,000			-			-			-			-		103,204

Business
Pass		54,814		41,743		129,450		38,312			15,716			51,566			196,246			803		528,650
Watch		-		132		5,353		2,174			1,423			5,243			8,776			389		23,490
Special Mention		660		95		805		-			65			533			-			206		2,364
Substandard		28		-		-		-			385			630			570			-		1,613
Total Business		55,502		41,970		135,608		40,486			17,589			57,972			205,592			1,398		556,117
Current period gross write-offs		-		-		-		(143	)		(347	)		(18	)		(72	)		-		(580	)
Total Commercial loans		182,081		191,539		689,752		343,229			193,677			427,039			206,112			1,856		2,235,285

Consumer
Real estate
Pass		78,287		144,487		277,854		263,079			160,007			153,584			-			-		1,077,298
Watch		671		2,409		6,961		8,573			4,147			4,632			-			-		27,393
Special Mention		817		1,536		5,987		2,664			2,804			5,181			-			-		18,989
Substandard		212		508		967		746			821			1,695			-			-		4,949
Total Real estate		79,987		148,940		291,769		275,062			167,779			165,092			-			-		1,128,629

Home equity
Pass		-		-		-		-			-			-			188,451			-		188,451
Watch		-		-		-		-			-			-			9,114			-		9,114
Special Mention		-		-		-		-			-			-			6,173			-		6,173
Substandard		-		-		-		-			-			-			1,159			-		1,159
Total Home equity		-		-		-		-			-			-			204,897			-		204,897
Current period gross write-offs		-		-		-		-			-			-			(45	)		-		(45	)

Construction
Pass		7,700		3,636		9,222		316			-			-			-			-		20,874
Total Construction		7,700		3,636		9,222		316			-			-			-			-		20,874

Other
Pass		2,732		836		1,521		1,593			1,229			2,609			29,660			-		40,180
Watch		167		61		12		366			-			129			595			-		1,330
Special Mention		36		35		325		66			-			65			45			-		572
Total Other		2,935		932		1,858		2,025			1,229			2,803			30,300			-		42,082
Current period gross write-offs		-		-		-		-			-			(38	)		(42	)		-		(80	)
Total Consumer loans		90,622		153,508		302,849		277,403			169,008			167,895			235,197			-		1,396,482
Total loans	$	272,703		345,047		992,601		620,632			362,685			594,934			441,309			1,856		3,631,767
Total Current period gross write-offs		-		-		-		(143	)		(347	)		(1,085	)		(159	)		-		(1,734	)

The following tables present loan balances by age and payment status.


	March 31, 2025
(dollars in thousands)	Accruing 30- 59 days past due		Accruing 60-89 days past due		Accruing 90 days or more past due		Nonaccrual loans		Accruing current		Total
Commercial
Owner occupied RE	$	1,074		-		-		-		672,791		673,865
Non-owner occupied RE		1,766		-		-		6,950		917,530		926,246
Construction		-		-		-		-		90,021		90,021
Business		912		-		-		1,087		559,338		561,337
Consumer
Real estate		5,514		-		-		2,414		1,139,429		1,147,357
Home equity		747		-		-		310		222,004		223,061
Construction		-		-		-		-		23,540		23,540
Other		37		-		-		-		38,455		38,492
Total loans	$	10,050		-		-		10,761		3,663,108		3,683,919

		December 31, 2024
(dollars in thousands)		Accruing 30- 59 days past due		Accruing 60-89 days past due		Accruing 90 days or more past due		Nonaccrual loans		Accruing current		Total
Commercial
Owner occupied RE	$	292		-		-		-		651,305		651,597
Non-owner occupied RE		-		-		-		7,641		916,726		924,367
Construction		-		-		-		-		103,204		103,204
Business		1,319		-		-		1,016		553,782		556,117
Consumer
Real estate		3,839		938		-		1,908		1,121,944		1,128,629
Home equity		41		-		-		312		204,544		204,897
Construction		-		-		-		-		20,874		20,874
Other		-		-		-		-		42,082		42,082
Total loans	$	5,491		938		-		10,877		3,614,461		3,631,767

As of March 31, 2025 and December 31, 2024, accruing loans 30 days or more past due represented 0.27% and 0.18% of the Company’s total loan portfolio, respectively. Commercial loans 30 days or more past due were 0.10% and 0.05% of the Company’s total loan portfolio as of March 31, 2025 and December 31, 2024, respectively. Consumer loans 30 days or more past due were 0.17% and 0.13% of total loans as of March 31, 2025 and December 31, 2024, respectively.

The table below summarizes nonaccrual loans by major categories for the periods presented.


	March 31, 2025						December 31, 2024
	Nonaccrual		Nonaccrual				Nonaccrual		Nonaccrual
	loans		loans		Total		loans		loans		Total
	with no		with an		nonaccrual		with no		with an		nonaccrual
(dollars in thousands)	allowance		allowance		loans		allowance		allowance		loans
Commercial
Non-owner occupied RE	$	5,167		1,783		6,950	$	5,844		1,797		7,641
Business		-		1,087		1,087		-		1,016		1,016
Total commercial		5,167		2,870		8,037		5,844		2,813		8,657
Consumer
Real estate		1,670		744		2,414		1,526		382		1,908
Home equity		310		-		310		312		-		312
Total consumer		1,980		744		2,724		1,838		382		2,220
Total nonaccrual loans	$	7,147		3,614		10,761	$	7,682		3,195		10,877

The Company did not recognize interest income on nonaccrual loans for the three months ended March 31, 2025 and March 31, 2024. The accrued interest reversed during the three months ended March 31, 2025 and March 31,

2024 was not material. Foregone interest income on the nonaccrual loans for the three month period ended March 31, 2025 was $74,000. Foregone interest income on the nonaccrual loans for the three month period ended March 31, 2024 was not material.0

The table below summarizes information regarding nonperforming assets.

Schedule of nonperforming assets
(dollars in thousands)	March 31, 2025			December 31, 2024
Nonaccrual loans	$	10,761			10,877
Other real estate owned		275			-
Total nonperforming assets	$	11,036			10,877
Nonperforming assets as a percentage of:
Total assets		0.26	%		0.27	%
Gross loans		0.30	%		0.30	%
Total loans over 90 days past due	$	1,668			2,641
Loans over 90 days past due and still accruing		-			-

Modifications to Borrowers Experiencing Financial Difficulty

The allowance for credit losses incorporates an estimate of lifetime expected credit losses and is recorded on each asset upon origination or acquisition. The starting point for the estimate of the allowance for credit losses is historical loss information, which includes losses from modifications of receivables to borrowers experiencing financial difficulty. The Company uses a discounted cash flow model to determine the allowance for credit losses. An assessment of whether a borrower is experiencing financial difficulty is made on the date of a modification.

Because the effect of most modifications made to borrowers experiencing financial difficulty is already included in the allowance for credit losses due to the measurement methodologies used to estimate the allowance, a change to the allowance for credit losses is generally not recorded upon modification. Loan modifications to borrowers experiencing financial difficulty were not material for the three months ended March 31, 2025 and March 31, 2024.

Allowance for Credit Losses

The Company maintains an allowance for credit losses to provide for expected credit losses. Losses are charged against the allowance when management believes that the principal is uncollectable. Subsequent recoveries, if any, are credited to the allowance. Allocations of the allowance are made for specific loans and for pools of similar types of loans, although the entire allowance is available for any loan that, in management’s judgment, should be charged against the allowance. A provision for credit losses is taken based on management’s ongoing evaluation of the appropriate allowance balance.

A formal evaluation of the adequacy of the ACL is conducted quarterly. This assessment includes procedures to estimate the allowance and test the adequacy and appropriateness of the resulting balance. The level of the allowance is based upon management’s evaluation of historical default and loss experience, current and projected economic conditions, asset quality trends, known and inherent risks in the portfolio, adverse situations that may affect the borrowers’ ability to repay a loan, the estimated value of any underlying collateral, composition of the loan portfolio, industry and peer bank loan quality indications and other pertinent factors, including regulatory recommendations. Management believes the level of the ACL is adequate to absorb all expected future losses inherent in the loan portfolio at the balance sheet date. The allowance is increased through provision for credit losses and decreased by charge-offs, net of recoveries of amounts previously charged-off.

On January 1, 2025, the Company transitioned to the DCF modeling approach to estimate the ACL on loans as it allows for a better estimation of credit losses through customization among the various inputs by loan segmentation. The DCF methodology is applied on a segment-by-segment basis at the loan level with a one-year reasonable and supportable forecast period, followed by a one-year reversion to the long-term average. The Company considers economic forecasts of national gross domestic product (“GDP”) and unemployment rates as reported by Fannie Mae to inform the model for loss estimation. Historical loss rates used in the quantitative model were derived using both the Bank’s and peer bank data obtained from publicly-available sources (i.e., federal call reports) encompassing an economic cycle. The peer group utilized by the Bank is comprised of financial institutions of relatively similar size (i.e., $1 -

$15 billion of total assets) and in similar markets. In addition, the DCF methodology considers the weighted average life of the portfolio, impacting the reaction time and the exposure to potential loss based on changes in the interest rate environment. Management also considers qualitative adjustments when estimating loan losses to take into account the model’s quantitative limitations. Qualitative adjustments to quantitative loss factors, either negative or positive, may include changes in lending policies; international, national, regional, and local conditions; volume and terms of loans; experience and depth of management; volume and severity of past due loans; effects of changes in lending policy; concentrations of credit; and loan review results. The Company enhanced its qualitative factor framework to better address risks that are not reflected in the quantitative loss factors.

Prior to January 1, 2025, the Company used a lifetime probability of default and loss given default modeling approach to estimate the allowance for credit losses on loans. This method used historical correlations between default experience and the age of loans to forecast defaults and losses, assuming that a loan in a pool shares similar risk characteristics such as loan product type, risk rating and loan age, and demonstrates similar default characteristics as other loans in that pool, as the loan progresses through its lifecycle. The Company calculated lifetime probability of default and loss given default rates based on historical loss experience, which is used to calculate expected losses based on the pool’s loss rate and the age of loans in the pool. The Company used its own internal data to measure historical credit loss experience within the pools with similar risk characteristics over an economic cycle. The probability of default and loss given default method also includes assumptions of observed migration over the lifetime of the underlying loan data. Loans that do not share risk characteristics were evaluated for expected credit losses on an individual basis and excluded from the collective evaluation.

The following tables summarize the activity related to the allowance for credit losses for the three months ended March 31, 2025 and March 31, 2024 under the CECL methodology.

Schedule of activity related to the allowance for credit losses

										Three months ended March 31, 2025
	Commercial												Consumer
(dollars in thousands)	Owner occupied RE			Non- owner occupied RE			Construction			Business			Real Estate		Home Equity			Construction		Other		Total
Balance, beginning of period	$	5,482			10,219			940			7,745			12,359		2,655			115		399		39,914
Provision for credit losses for loans		(1,548	)		(2,886	)		(358	)		3,402			2,834		(1,110	)		372		44		750
Loan charge-offs		-			-			-			(78	)		-		-			-		-		(78	)
Loan recoveries		-			-			-			62			-		4			-		35		101
Net loan recoveries (charge-offs)		-			-			-			(16	)		-		4			-		35		23
Balance, end of period	$	3,934			7,333			582			11,131			15,193		1,549			487		478		40,687
Net recoveries to average loans (annualized)																							0.00	%
Allowance for credit losses to gross loans																							1.10	%
Allowance for credit losses to nonperforming loans																							378.09	%


	Three months ended March 31, 2024
	Commercial									Consumer
(dollars in thousands)	Owner occupied RE		Non- owner occupied RE		Construction		Business			Real Estate		Home Equity		Construction		Other			Total
Balance, beginning of period	$	6,118		11,167		1,594		7,385			10,647		2,600		677		494			40,682
Provision for credit losses for loans		-		-		-		-			-		-		-		-			-
Loan charge-offs		-		-		-		(346	)		-		-		-		(78	)		(424	)
Loan recoveries		-		-		-		15			-		119		-		49			183
Net loan recoveries (charge-offs)		-		-		-		(331	)		-		119		-		(29	)		(241	)
Balance, end of period	$	6,118		11,167		1,594		7,054			10,647		2,719		677		465			40,441
Net recoveries to average loans (annualized)																				0.03	%
Allowance for credit losses to gross loans																				1.11	%
Allowance for credit losses to nonperforming loans																				1,109.13	%

There was a provision for credit losses of $750,000 for the three months ended March 31, 2025. There was no provision for credit losses recorded during the first quarter of 2024.

Collateral dependent loans are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral and the borrower is experiencing financial difficulty. The Company reviews individually evaluated loans for designation as collateral dependent loans, as well as other loans that management of the Company designates as having higher risk. These loans do not share common risk characteristics and are not included within the collectively evaluated loans for determining the allowance for credit losses.

Under CECL, for collateral dependent loans, the Company has adopted the practical expedient to measure the allowance for credit losses based on the fair value of collateral. The allowance for credit losses is calculated on an individual loan basis based on the shortfall between the fair value of the loan’s collateral, which is adjusted for liquidation costs/discounts, and amortized cost. If the fair value of the collateral exceeds the amortized cost, no allowance is required.

The following tables present an analysis of collateral-dependent loans of the Company as of March 31, 2025 and December 31, 2024.



					March 31, 2025
	Real		Business
(dollars in thousands)	estate		assets		Other		Total
Commercial
Non-owner occupied RE	$	6,950		-		-		6,950
Business		545		542		-		1,087
Total commercial		7,495		542		-		8,037
Consumer
Real estate		2,414		-		-		2,414
Home equity		310		-		-		310
Total consumer		2,724		-		-		2,724
Total	$	10,219		542		-		10,761
						December 31, 2024
		Real		Business
(dollars in thousands)		estate		assets		Other		Total
Commercial
Non-owner occupied RE	$	7,641		-		-		7,641
Business		460		556		-		1,016
Total commercial		8,101		556		-		8,657
Consumer
Real estate		1,908		-		-		1,908
Home equity		312		-		-		312
Total consumer		2,220		-		-		2,220
Total	$	10,321		556		-		10,877

Allowance for Credit Losses - Unfunded Loan Commitments

The allowance for credit losses for unfunded loan commitments was $1.5 million at March 31, 2025 and December 31, 2024, and is separately classified on the balance sheet within other liabilities. The following table presents the balance and activity in the ACL for unfunded loan commitments for the three months ended March 31, 2025 and for the twelve months ended December 31, 2024.

Schedule of allowance for credit losses for unfunded loan commitments
	Three months ended			Twelve months ended
(dollars in thousands)	March 31, 2025			December 31, 2024
Balance, beginning of period	$	1,456			1,831
Provision for (reversal of) credit losses		-			(375	)
Balance, end of period	$	1,456			1,456
Unfunded Loan Commitments	$	716,114			719,084
Reserve for Unfunded Commitments to Unfunded Loan Commitments		0.20	%		0.20	%