v3.26.1
Loans and Allowance for Credit Losses
 12 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Loans and Allowance for Credit Losses

Note 3 - LOANS AND ALLOWANCE FOR Credit LOSSES

A summary of loans by major category as of March 31, 2026 and 2025 is as follows:

 

 

 

 

 

 

 

 

 

 

March 31, 2026

 

 

March 31, 2025

 

 

 

(Dollars in thousands)

 

Real Estate - Construction

 

$

28,633

 

 

$

15,069

 

Real Estate - Commercial

 

 

129,235

 

 

 

120,184

 

Real Estate - Residential

 

 

162,041

 

 

 

161,144

 

Commercial Non-Real Estate

 

 

48,378

 

 

 

32,007

 

Agriculture

 

 

54,655

 

 

 

42,835

 

Other Consumer

 

 

10,158

 

 

 

14,649

 

Land Development and SIDs

 

 

15,306

 

 

 

16,327

 

Total Loans

 

 

448,406

 

 

 

402,215

 

Allowance for credit losses

 

 

(5,809

)

 

 

(5,441

)

Net deferred origination costs & fees

 

 

(60

)

 

 

(18

)

Loans—net

 

$

442,537

 

 

$

396,756

 

 

Related Party Loans: In the normal course of business, loans are made to directors and officers of the Association. Loans to Association directors and key officers outstanding as of March 31, 2026 and March 31, 2025 were $1.7 million and $1.8 million, respectively. Additionally, the Association had loans totaling $861,000 and $940,000 as of March 31, 2026 and March 31, 2025, respectively, to related parties that were originated by the Association, sold to Federal Home Loan Mortgage Company and are serviced by the Association.

The following tables present the activity in the allowance for credit losses for the years ended March 31, 2026 and 2025:

 

 

 

Year Ended March 31, 2026

 

 

 

Beginning Allowance Balance

 

 

Provision for (Recovery of) Credit Losses

 

 

Loans Charged off

 

 

Recoveries

 

 

Ending Allowance Balance

 

 

 

(Dollars in thousands)

 

Real Estate - Construction

 

$

246

 

 

$

110

 

 

$

—

 

 

$

—

 

 

$

356

 

Real Estate - Commercial

 

 

1,572

 

 

 

215

 

 

 

—

 

 

 

—

 

 

 

1,787

 

Real Estate - Residential

 

 

1,926

 

 

 

(141

)

 

 

(1

)

 

 

—

 

 

 

1,784

 

Commercial Non-Real Estate

 

 

667

 

 

 

324

 

 

 

—

 

 

 

—

 

 

 

991

 

Agricultural

 

 

476

 

 

 

82

 

 

 

—

 

 

 

—

 

 

 

558

 

Other Consumer

 

 

262

 

 

 

(113

)

 

 

(17

)

 

 

3

 

 

 

135

 

Land Development and SIDs

 

 

292

 

 

 

(171

)

 

 

—

 

 

 

77

 

 

 

198

 

Total

 

$

5,441

 

 

$

306

 

 

$

(18

)

 

$

80

 

 

$

5,809

 

 

 

 

Year Ended March 31, 2025

 

 

 

Beginning

 

 

Provision for

 

 

 

 

 

 

 

 

Ending

 

 

 

Allowance

 

 

(Recovery of)

 

 

Loans

 

 

 

 

 

Allowance

 

 

 

Balance

 

 

Loan Losses

 

 

Charged off

 

 

Recoveries

 

 

Balance

 

 

 

(Dollars in thousands)

 

Real Estate - Construction

 

$

246

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

246

 

Real Estate - Commercial

 

 

2,245

 

 

 

(673

)

 

 

—

 

 

 

—

 

 

 

1,572

 

Real Estate - Residential

 

 

1,829

 

 

 

97

 

 

 

—

 

 

 

—

 

 

 

1,926

 

Commercial Non-Real Estate

 

 

759

 

 

 

(79

)

 

 

(13

)

 

 

—

 

 

 

667

 

Agricultural

 

 

228

 

 

 

248

 

 

 

—

 

 

 

—

 

 

 

476

 

Other Consumer

 

 

327

 

 

 

(64

)

 

 

(4

)

 

 

3

 

 

 

262

 

Land Development and SIDs

 

 

226

 

 

 

671

 

 

 

(605

)

 

 

—

 

 

 

292

 

Total

 

$

5,860

 

 

$

200

 

 

$

(622

)

 

$

3

 

 

$

5,441

 

 

The allowance for credit losses on loans excludes $215,000 of allowance for off-balance sheet credit exposures as of March 31, 2026 and 2025, which is recorded within other liabilities on the Consolidated Statements of Financial Condition. No provision for credit losses related to off-balance sheet credit exposures was recorded during the years ended March 31, 2026 and 2025.

 

Collateral dependent loans individually evaluated for purposes of the ACL by collateral type were as follows at March 31, 2026 and 2025:

 

 

 

Year Ended March 31, 2026

 

 

 

Real Estate

 

 

Other

 

 

ACL Allocation

 

 

 

(Dollars in thousands)

 

 

 

 

Portfolio Segment

 

 

 

 

 

 

 

 

 

Real Estate - Construction

 

$

—

 

 

$

—

 

 

$

—

 

Real Estate - Commercial

 

 

—

 

 

 

—

 

 

 

—

 

Real Estate - Residential

 

 

9

 

 

 

—

 

 

 

—

 

Commercial Non-Real Estate

 

 

—

 

 

 

—

 

 

 

—

 

Agricultural

 

 

1,632

 

 

 

—

 

 

 

—

 

Other Consumer

 

 

—

 

 

 

—

 

 

 

—

 

Land Development and SIDs

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

1,641

 

 

$

—

 

 

$

—

 

 

 

 

Year Ended March 31, 2025

 

 

 

Real Estate

 

 

Other

 

 

ACL Allocation

 

 

 

(Dollars in thousands)

 

 

 

 

Portfolio Segment

 

 

 

 

 

 

 

 

 

Real Estate - Construction

 

$

—

 

 

$

—

 

 

$

—

 

Real Estate - Commercial

 

 

359

 

 

 

—

 

 

 

—

 

Real Estate - Residential

 

 

150

 

 

 

—

 

 

 

68

 

Commercial Non-Real Estate

 

 

—

 

 

 

—

 

 

 

—

 

Agricultural

 

 

—

 

 

 

—

 

 

 

—

 

Other Consumer

 

 

—

 

 

 

13

 

 

 

9

 

Land Development and SIDs

 

 

807

 

 

 

—

 

 

 

39

 

Total

 

$

1,316

 

 

$

13

 

 

$

116

 

The increase in collateral dependent loans without an allowance for credit losses during the year ended March 31, 2026 was primarily attributable to the migration of two agricultural credits to nonaccrual status. Subsequent to year end, these loans were paid in full in May 2026.

Credit Risk—The Association monitors the credit risk within the loan portfolio by assessing the strength of the borrowers' repayment capacity and the probability of default. The Association first assesses the paying capacity of the borrower; then, it analyzes the sound worth of any pledged collateral or guarantees. In estimating the allowance for credit losses management also uses a quarterly Loan Concentration Report to monitor any concentrations that may develop in any specific category of the loan portfolio. It identifies four varying degrees of credit worthiness:

•
Pass Loans: Loans in the pass category are loans that do not raise Association concerns.
•
Special Mention Loans: Loans in this category may have a potential for weakness which, if not corrected, could weaken the asset and increase the risk in the future. By classifying a loan as Special Mention the Association can give the loan the attention needed to remedy any credit deficiencies or potential weaknesses.
•
Substandard Loans: Loans identified as Substandard are assets that are inadequately protected by the current net worth and paying capacity of the obligor or the collateral pledged, if any. Loans in this classification category must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Association will sustain some loss if the deficiencies are not corrected. If a loan is classified as Substandard, a determination based upon objective evidence must be made as to any specific or general valuation allowance within the guidelines of generally accepted accounting principles.
•
Doubtful Loans: Loans in this category have all the weaknesses inherent in Substandard loans with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. If a loan is classified as Doubtful, a determination based upon objective evidence must be made as to any specific or general valuation allowance within the guidelines of generally accepted accounting principles.

Based on the most recent analysis performed, the risk category of loans by class and year of origination is as follows:

 

 

 

Term Loans by Origination Year (Fiscal Year)

 

 

Revolving

 

 

 

 

 

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

 

Loans

 

 

Total

 

 

 

(Dollars in thousands)

 

At March 31, 2026

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real Estate - Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

$

13,177

 

 

$

11,698

 

 

$

2,242

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

1,516

 

 

$

28,633

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Real Estate - Construction

 

$

13,177

 

 

$

11,698

 

 

$

2,242

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

1,516

 

 

$

28,633

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Real Estate - Commercial

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

18,117

 

 

 

17,226

 

 

 

13,026

 

 

 

25,608

 

 

 

24,682

 

 

 

28,077

 

 

 

30

 

 

$

126,766

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

382

 

 

 

—

 

 

 

—

 

 

 

2,087

 

 

 

—

 

 

 

2,469

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Real Estate - Commercial

 

$

18,117

 

 

$

17,226

 

 

$

13,408

 

 

$

25,608

 

 

$

24,682

 

 

$

30,164

 

 

$

30

 

 

$

129,235

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Real Estate - Residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

22,592

 

 

 

15,237

 

 

 

12,185

 

 

 

19,644

 

 

 

42,437

 

 

 

39,282

 

 

 

10,297

 

 

$

161,674

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

 

 

 

75

 

 

 

19

 

 

 

273

 

 

 

—

 

 

 

367

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Real Estate - Residential

 

$

22,592

 

 

$

15,237

 

 

$

12,185

 

 

$

19,719

 

 

$

42,456

 

 

$

39,555

 

 

$

10,297

 

 

$

162,041

 

Current year-to-date gross write-offs

 

 

1

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1

 

Commercial - Non-Real Estate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

24,366

 

 

 

5,590

 

 

 

3,492

 

 

 

1,469

 

 

 

1,404

 

 

 

5,124

 

 

 

6,151

 

 

$

47,596

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

127

 

 

 

—

 

 

 

—

 

 

 

109

 

 

 

—

 

 

 

216

 

 

 

330

 

 

 

782

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Commercial - Non-Real Estate

 

$

24,493

 

 

$

5,590

 

 

$

3,492

 

 

$

1,578

 

 

$

1,404

 

 

$

5,340

 

 

$

6,481

 

 

$

48,378

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Agricultural

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

16,708

 

 

 

13,705

 

 

 

1,286

 

 

 

2,692

 

 

 

1,747

 

 

 

2,594

 

 

 

13,245

 

 

$

51,977

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

868

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,810

 

 

 

2,678

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total - Agricultural

 

$

17,576

 

 

$

13,705

 

 

$

1,286

 

 

$

2,692

 

 

$

1,747

 

 

$

2,594

 

 

$

15,055

 

 

$

54,655

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

1,826

 

 

 

1,416

 

 

 

3,188

 

 

 

3,031

 

 

 

109

 

 

 

478

 

 

 

—

 

 

$

10,048

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

14

 

 

 

43

 

 

 

42

 

 

 

7

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

110

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Other Consumer

 

$

1,840

 

 

$

1,459

 

 

$

3,230

 

 

$

3,038

 

 

$

113

 

 

$

478

 

 

$

—

 

 

$

10,158

 

Current year-to-date gross write-offs

 

 

17

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

17

 

Land Development and SIDs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

1,981

 

 

 

926

 

 

 

1,137

 

 

 

5,308

 

 

 

5,068

 

 

 

886

 

 

 

—

 

 

$

15,306

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Land Development and SIDs

 

$

1,981

 

 

$

926

 

 

$

1,137

 

 

$

5,308

 

 

$

5,068

 

 

$

886

 

 

$

—

 

 

$

15,306

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total loans

 

$

99,776

 

 

$

65,841

 

 

$

36,980

 

 

$

57,943

 

 

$

75,470

 

 

$

79,017

 

 

$

33,379

 

 

$

448,406

 

 

 

 

Term Loans by Origination Year (Fiscal Year)

 

 

Revolving

 

 

 

 

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Loans

 

 

Total

 

 

 

(Dollars in thousands)

 

At March 31, 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real Estate - Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

$

9,809

 

 

$

2,908

 

 

$

367

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

1,985

 

 

$

15,069

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Real Estate - Construction

 

$

9,809

 

 

$

2,908

 

 

$

367

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

1,985

 

 

$

15,069

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Real Estate - Commercial

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

17,451

 

 

 

14,153

 

 

 

26,916

 

 

 

25,840

 

 

 

3,089

 

 

 

30,409

 

 

 

140

 

 

$

117,998

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

391

 

 

 

—

 

 

 

—

 

 

 

306

 

 

 

1,489

 

 

 

—

 

 

 

2,186

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Real Estate - Commercial

 

$

17,451

 

 

$

14,544

 

 

$

26,916

 

 

$

25,840

 

 

$

3,395

 

 

$

31,898

 

 

$

140

 

 

$

120,184

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Real Estate - Residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

18,914

 

 

 

19,970

 

 

 

22,674

 

 

 

46,132

 

 

 

31,265

 

 

 

12,861

 

 

 

9,078

 

 

$

160,894

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

135

 

 

 

—

 

 

 

—

 

 

 

115

 

 

 

—

 

 

 

250

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Real Estate - Residential

 

$

18,914

 

 

$

19,970

 

 

$

22,809

 

 

$

46,132

 

 

$

31,265

 

 

$

12,976

 

 

$

9,078

 

 

$

161,144

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Commercial - Non-Real Estate

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

6,549

 

 

 

5,670

 

 

 

3,613

 

 

 

2,790

 

 

 

1,775

 

 

 

6,563

 

 

 

4,551

 

 

$

31,511

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

122

 

 

 

—

 

 

 

—

 

 

 

374

 

 

 

—

 

 

 

496

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Commercial - Non-Real Estate

 

$

6,549

 

 

$

5,670

 

 

$

3,735

 

 

$

2,790

 

 

$

1,775

 

 

$

6,937

 

 

$

4,551

 

 

$

32,007

 

Current year-to-date gross write-offs

 

 

13

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

13

 

Agricultural

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

16,635

 

 

 

1,763

 

 

 

2,927

 

 

 

2,069

 

 

 

857

 

 

 

2,635

 

 

 

15,078

 

 

$

41,964

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

405

 

 

 

—

 

 

 

165

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

301

 

 

 

871

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total - Agricultural

 

$

17,040

 

 

$

1,763

 

 

$

3,092

 

 

$

2,069

 

 

$

857

 

 

$

2,635

 

 

$

15,379

 

 

$

42,835

 

Current year-to-date gross write-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

2,779

 

 

 

5,021

 

 

 

5,252

 

 

 

359

 

 

 

224

 

 

 

996

 

 

 

—

 

 

$

14,631

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

5

 

 

 

8

 

 

 

—

 

 

 

13

 

Doubtful

 

 

5

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

5

 

Total Other Consumer

 

$

2,784

 

 

$

5,021

 

 

$

5,252

 

 

$

359

 

 

$

229

 

 

$

1,004

 

 

$

—

 

 

$

14,649

 

Current year-to-date gross write-offs

 

 

4

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4

 

Land Development and SIDs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

 

841

 

 

 

1,124

 

 

 

6,313

 

 

 

5,956

 

 

 

552

 

 

 

734

 

 

 

—

 

 

$

15,520

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

807

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

807

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total Land Development and SIDs

 

$

841

 

 

$

1,124

 

 

$

7,120

 

 

$

5,956

 

 

$

552

 

 

$

734

 

 

$

—

 

 

$

16,327

 

Current year-to-date gross write-offs

 

 

605

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

605

 

Total loans

 

$

73,388

 

 

$

51,000

 

 

$

69,291

 

 

$

83,146

 

 

$

38,073

 

 

$

56,184

 

 

$

31,133

 

 

$

402,215

 

 

Nonperforming and Past-Due Loans—All loans in the Association’s portfolio are considered past due if the required principal and interest payments have not been received as of the date such payments were due.

 

The following table presents certain information with respect to loans on nonaccrual status as of and for the years ended March 31, 2026 and 2025. As of April 1, 2024, the amortized cost basis of loans on nonaccrual status was $537,000.

 

 

 

Nonaccrual loans

 

 

Nonaccrual with no

 

 

Nonaccrual with

 

 

Interest Income

 

 

 

at March 31,

 

 

Allowance for Credit

 

 

Allowance for Credit

 

 

Recognized During

 

 

 

2026

 

 

Loss

 

 

Loss

 

 

the Period

 

March 31, 2026

 

 

 

Real Estate- Residential

 

$

9

 

 

$

9

 

 

$

—

 

 

$

1

 

Agricultural

 

 

1,632

 

 

 

1,632

 

 

 

—

 

 

 

—

 

Total

 

$

1,641

 

 

$

1,641

 

 

$

—

 

 

$

1

 

 

 

 

Nonaccrual loans

 

 

Nonaccrual with no

 

 

Nonaccrual with

 

 

Interest Income

 

 

 

at March 31,

 

 

Allowance for Credit

 

 

Allowance for Credit

 

 

Recognized During

 

 

 

2025

 

 

Loss

 

 

Loss

 

 

the Period

 

March 31, 2025

 

 

 

Real Estate - Commercial

 

$

359

 

 

$

359

 

 

$

—

 

 

$

29

 

Real Estate- Residential

 

 

150

 

 

 

81

 

 

 

69

 

 

 

10

 

Commercial Non-Real Estate

 

 

13

 

 

 

5

 

 

 

8

 

 

 

—

 

Other Consumer

 

 

807

 

 

 

768

 

 

 

39

 

 

 

27

 

Total

 

$

1,329

 

 

$

1,213

 

 

$

116

 

 

$

66

 

 

The following is an aging analysis of the contractually past due loans as of March 31, 2026 and 2025:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans Past

 

 

 

 

 

 

 

 

 

Greater than

 

 

 

 

 

 

 

 

 

 

 

Due 90 Days

 

 

 

30–59 Days

 

 

60–89 Days

 

 

89 Days

 

 

Total

 

 

 

 

 

 

 

 

or More Still

 

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Current

 

 

Total

 

 

Accruing

 

March 31, 2026

 

(Dollars in thousands)

 

Real Estate - Construction

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

28,633

 

 

$

28,633

 

 

$

—

 

Real Estate - Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

129,235

 

 

 

129,235

 

 

 

—

 

Real Estate - Residential

 

 

623

 

 

 

26

 

 

 

96

 

 

 

745

 

 

 

161,296

 

 

 

162,041

 

 

 

96

 

Commercial Non-Real Estate

 

 

235

 

 

 

—

 

 

 

—

 

 

 

235

 

 

 

48,143

 

 

 

48,378

 

 

 

—

 

Agricultural

 

 

1,356

 

 

 

—

 

 

 

—

 

 

 

1,356

 

 

 

53,299

 

 

 

54,655

 

 

 

—

 

Other Consumer

 

 

125

 

 

 

152

 

 

 

138

 

 

 

415

 

 

 

9,743

 

 

 

10,158

 

 

 

138

 

Land Development and SIDs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,306

 

 

 

15,306

 

 

 

—

 

Total

 

$

2,339

 

 

$

178

 

 

$

234

 

 

$

2,751

 

 

$

445,655

 

 

$

448,406

 

 

$

234

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans Past

 

 

 

 

 

 

 

 

 

Greater than

 

 

 

 

 

 

 

 

 

 

 

Due 90 Days

 

 

 

30–59 Days

 

 

60–89 Days

 

 

90 Days

 

 

Total

 

 

 

 

 

 

 

 

or More Still

 

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Current

 

 

Total

 

 

Accruing

 

March 31, 2025

 

(Dollars in thousands)

 

Real Estate - Construction

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

15,069

 

 

$

15,069

 

 

$

—

 

Real Estate - Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

120,184

 

 

 

120,184

 

 

 

—

 

Real Estate - Residential

 

 

486

 

 

 

—

 

 

 

87

 

 

 

573

 

 

 

160,571

 

 

 

161,144

 

 

 

3

 

Commercial Non-Real Estate

 

 

—

 

 

 

9

 

 

 

—

 

 

 

9

 

 

 

31,998

 

 

 

32,007

 

 

 

—

 

Agricultural

 

 

79

 

 

 

—

 

 

 

—

 

 

 

79

 

 

 

42,756

 

 

 

42,835

 

 

 

—

 

Other Consumer

 

 

112

 

 

 

345

 

 

 

112

 

 

 

569

 

 

 

14,080

 

 

 

14,649

 

 

 

99

 

Land Development and SIDs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

16,327

 

 

 

16,327

 

 

 

—

 

Total

 

$

677

 

 

$

354

 

 

$

199

 

 

$

1,230

 

 

$

400,985

 

 

$

402,215

 

 

$

102

 

 

The Association may modify loans to borrowers experiencing financial difficulty by providing modifications to repayment terms; more specifically, modifications to loan interest rates. Management performs an analysis at the time of loan modification. Any reserve required is recorded through a provision to the allowance for credit losses on loans. There were no modifications on loans to borrowers experiencing financial difficulty during the years ended March 31, 2026 and 2025.