v3.26.1
Securities (Tables)
 3 Months Ended
Mar. 31, 2026
Investments, Debt and Equity Securities [Abstract]  
Schedule of Available for Sale Securities

Securities available for sale at March 31, 2026 and December 31, 2025 consisted of the following:

 

 

 

March 31, 2026

 

(dollars in thousands)

 

Amortized cost

 

 

Gross unrealized gains

 

 

Gross unrealized losses

 

 

Fair value

 

 

 

 

 

Available for sale

 

 

 

 

 

 

 

 

 

 

 

 

Agencies

 

$

348

 

 

$

1

 

 

$

—

 

 

$

349

 

Corporate securities

 

 

1,483

 

 

 

—

 

 

 

118

 

 

 

1,365

 

Mortgage-backed securities

 

 

23,768

 

 

 

17

 

 

 

1,510

 

 

 

22,275

 

Treasuries

 

 

8,899

 

 

 

4

 

 

 

2

 

 

 

8,901

 

Total

 

$

34,498

 

 

$

22

 

 

$

1,630

 

 

$

32,890

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2025

 

(dollars in thousands)

 

Amortized cost

 

 

Gross unrealized gains

 

 

Gross unrealized losses

 

 

Fair value

 

 

 

 

Available for sale

 

 

 

 

 

 

 

 

 

 

 

 

Agencies

 

$

404

 

 

$

—

 

 

$

—

 

 

$

404

 

Corporate securities

 

 

1,482

 

 

 

—

 

 

 

121

 

 

 

1,361

 

Mortgage-backed securities

 

 

20,570

 

 

 

19

 

 

 

1,473

 

 

 

19,116

 

Treasuries

 

 

12,329

 

 

 

16

 

 

 

—

 

 

 

12,345

 

Total

 

$

34,785

 

 

$

35

 

 

$

1,594

 

 

$

33,226

 
Schedule of Securities Held to Maturity

Securities held to maturity at March 31, 2026 and December 31, 2025 consisted of the following:

 

 

 

March 31, 2026

 

 

 

 

 

Gross

 

 

Gross

 

 

 

 

 

Amortized

 

 

Unrecognized

 

 

Unrecognized

 

 

Fair

 

(dollars in thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

 

 

 

Held to maturity

 

 

 

 

 

 

 

 

 

 

 

 

Corporate securities(1)

 

$

3,199

 

 

$

—

 

 

$

203

 

 

$

2,996

 

Mortgage-backed securities

 

 

2,492

 

 

 

3

 

 

 

444

 

 

 

2,051

 

Total

 

$

5,691

 

 

$

3

 

 

$

647

 

 

$

5,047

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2025

 

 

 

 

 

Gross

 

 

Gross

 

 

 

 

 

Amortized

 

 

Unrecognized

 

 

Unrecognized

 

 

Fair

 

(dollars in thousands)

 

Cost

 

 

Gains

 

 

Losses

 

 

Value

 

 

 

 

Held to maturity

 

 

 

 

 

 

 

 

 

 

 

 

Corporate securities(1)

 

$

3,198

 

 

$

—

 

 

$

200

 

 

$

2,998

 

Mortgage-backed securities

 

 

2,538

 

 

 

4

 

 

 

438

 

 

 

2,104

 

Total

 

$

5,736

 

 

$

4

 

 

$

638

 

 

$

5,102

 

 

(1) Amount is net of CECL credit reserve of $1,000 at March 31, 2026 and $2,000 at December 31, 2025.
Schedule of Contractual Maturities Securities The amortized cost and fair value of securities as of March 31, 2026 and December 31, 2025, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because the securities may be called or prepaid with or without prepayment penalties.

 

 

 

March 31, 2026

 

 

 

Available for sale

 

 

Held to maturity

 

 

 

Amortized

 

 

Fair

 

 

Amortized

 

 

Fair

 

(dollars in thousands)

 

cost

 

 

value

 

 

cost

 

 

value

 

 

 

 

 

Maturing

 

 

 

 

 

 

 

 

 

 

 

 

Due under one year

 

$

22,541

 

 

$

22,524

 

 

$

3,335

 

 

$

3,133

 

Due after one year through five years

 

 

1,043

 

 

 

977

 

 

 

73

 

 

 

71

 

Due after five years through ten years

 

 

1,133

 

 

 

1,046

 

 

 

278

 

 

 

267

 

Due after ten years

 

 

9,781

 

 

 

8,343

 

 

 

2,005

 

 

 

1,576

 

Total

 

$

34,498

 

 

$

32,890

 

 

$

5,691

 

 

$

5,047

 
Schedule of Investment Securities with Unrealized Loss

Investment securities with unrealized losses for continuous periods of less than 12 months and 12 months or longer are as follows:

 

 

 

Less than 12 months

 

 

12 months or longer

 

 

Total

 

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

March 31, 2026

 

losses

 

 

value

 

 

losses

 

 

value

 

 

losses

 

 

value

 

(dollars in thousands)

 

 

 

Available for sale

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate securities

 

$

6

 

 

$

494

 

 

$

112

 

 

$

871

 

 

$

118

 

 

$

1,365

 

Mortgage-backed securities

 

 

10

 

 

 

4,486

 

 

 

1,500

 

 

 

13,330

 

 

 

1,510

 

 

 

17,816

 

Treasuries

 

 

2

 

 

 

3,931

 

 

 

—

 

 

 

—

 

 

 

2

 

 

 

3,931

 

Total

 

$

18

 

 

$

8,911

 

 

$

1,612

 

 

$

14,201

 

 

$

1,630

 

 

$

23,112

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Held to maturity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate securities (1)

 

$

—

 

 

$

—

 

 

$

203

 

 

$

2,996

 

 

 

203

 

 

 

2,996

 

Mortgage-backed securities

 

 

1

 

 

 

54

 

 

 

443

 

 

 

1,817

 

 

 

444

 

 

 

1,871

 

Total

 

$

1

 

 

$

54

 

 

$

646

 

 

$

4,813

 

 

$

647

 

 

$

4,867

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less than 12 months

 

 

12 months or longer

 

 

Total

 

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

 

Unrealized

 

 

Fair

 

December 31, 2025

 

losses

 

 

value

 

 

losses

 

 

value

 

 

losses

 

 

value

 

(dollars in thousands)

 

 

 

Available for sale

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Agency securities

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Corporate securities

 

 

11

 

 

 

489

 

 

 

110

 

 

 

872

 

 

 

121

 

 

 

1,361

 

Mortgage-backed securities

 

 

1

 

 

 

564

 

 

 

1,472

 

 

 

14,076

 

 

 

1,473

 

 

 

14,640

 

Total

 

$

12

 

 

$

1,053

 

 

$

1,582

 

 

$

14,948

 

 

$

1,594

 

 

$

16,001

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Held to maturity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate securities (1)

 

$

—

 

 

$

—

 

 

$

200

 

 

$

2,998

 

 

$

200

 

 

$

2,998

 

Mortgage-backed securities

 

 

—

 

 

 

1

 

 

 

438

 

 

 

1,895

 

 

 

438

 

 

 

1,896

 

Total

 

$

—

 

 

$

1

 

 

$

638

 

 

$

4,893

 

 

$

638

 

 

$

4,894

 

 

(1) Fair value amount is net of CECL credit reserve of $1,000 at March 31, 2026 and $2,000 at December 31, 2025.
Schedule of Credit Ratings of HTM Debt Securities

We monitor the credit quality of HTM debt securities through both internal analysis performed on a quarterly basis and credit ratings when available. The following table reflects the credit ratings for the HTM debt securities at March 31, 2026.

 

(dollars in thousands)

 

AAA

 

 

A-

 

 

BBB/BBB+

 

 

BBB-

 

 

Not Rated

 

 

Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate securities

 

$

—

 

 

$

500

 

 

$

1,249

 

 

$

700

 

 

$

750

 

 

$

3,199

 

Mortgage-backed securities

 

 

2,492

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,492

 

 

$

2,492

 

 

$

500

 

 

$

1,249

 

 

$

700

 

 

$

750

 

 

$

5,691

 

 

 

The following table provides a breakdown of our HTM debt securities by year of origination at March 31, 2026.

 

(dollars in thousands)

 

Total

 

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

Corporate securities

 

$

3,199

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

750

 

 

$

2,449

 

Mortgage-backed securities

 

 

2,492

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,779

 

 

 

713

 

 

$

5,691

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

2,529

 

 

$

3,162

 

 

 
Summary of Allowance for Credit Losses on HTM Debt Securities

The following table is a roll forward of our allowance for credit losses on HTM debt securities at March 31, 2026 and 2025.

 

(dollars in thousands)

 

Three Months Ended March 31, 2026

 

 

Three Months Ended March 31, 2025

 

Beginning balance

 

$

2

 

 

$

4

 

(Recovery) for credit losses

 

 

(1

)

 

 

(1

)

Ending Balance

 

$

1

 

 

$

3