v3.26.1
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Schedule of Fair Value of Financial Instruments, by Balance Sheet Grouping
The following table presents estimated fair values of the Company’s financial instruments as of June 30, 2026 and December 31, 2025, whether or not recognized or recorded in the Consolidated Statements of Financial Condition (dollars in thousands):
June 30, 2026December 31, 2025
LevelCarrying ValueEstimated Fair ValueCarrying ValueEstimated Fair Value
Assets:
Cash and cash equivalents1$435,452 $435,452 $422,640 $422,640 
Securities—available-for-sale21,985,530 1,985,530 1,985,990 1,985,990 
Securities—available-for-sale330,361 30,361 30,271 30,271 
Securities—held-to-maturity2924,293 783,000 955,459 808,965 
Securities—held-to-maturity35,016 4,987 5,737 5,703 
Loans held for sale227,160 27,203 42,902 43,062 
Loans receivable, net311,832,561 11,827,479 11,561,411 11,497,137 
Equity securities1678 678 406 406 
FHLB stock324,209 24,209 16,476 16,476 
Bank-owned life insurance1324,164 324,164 319,347 319,347 
Mortgage servicing rights311,316 37,538 11,498 34,862 
SBA servicing rights31,078 1,078 1,104 1,104 
Investments in limited partnerships316,105 16,105 15,566 15,566 
Derivatives:
Interest rate swaps
28,531 8,531 9,978 9,978 
Interest rate lock and forward sales commitments
2,3301 301 333 333 
Liabilities:
Demand, interest checking and money market accounts28,462,960 8,462,960 8,486,920 8,486,920 
Regular savings23,853,612 3,853,612 3,723,922 3,723,922 
Certificates of deposit21,473,021 1,466,034 1,532,304 1,527,803 
FHLB advances2320,000 320,000 150,000 150,000 
Other borrowings2114,497 114,497 107,715 107,715 
Junior subordinated debentures379,652 79,652 79,151 79,151 
Derivatives:
Interest rate swaps
219,007 19,007 19,207 19,207 
Interest rate lock and forward sales commitments
2,3180 180 151 151 
Risk participation agreement22 2 5 5 
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following tables present financial assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy of the fair value measurements for those assets and liabilities as of June 30, 2026 and December 31, 2025 (in thousands):
June 30, 2026
Level 1Level 2Level 3Total
Assets:
Securities—available-for-sale
U.S. Government and agency obligations$— $8,690 $— $8,690 
Municipal bonds— 155,267 — 155,267 
Corporate bonds— 100,867 30,361 131,228 
Mortgage-backed or related securities— 1,519,567 — 1,519,567 
Asset-backed securities— 201,139 — 201,139 
— 1,985,530 30,361 2,015,891 
Loans held for sale(1)
— 17,139 — 17,139 
Equity securities678 — — 678 
SBA servicing rights— — 1,078 1,078 
Investment in limited partnerships— — 14,625 14,625 
Derivatives
Interest rate swaps— 8,531 — 8,531 
Interest rate lock and forward sales commitments— — 301 301 
$678 $2,011,200 $46,365 $2,058,243 
Liabilities:
Junior subordinated debentures
$— $— $79,652 $79,652 
Derivatives
Interest rate swaps— 19,007 — 19,007 
Interest rate lock and forward sales commitments— 91 89 180 
Risk participation agreement— 2 — 2 
$— $19,100 $79,741 $98,841 
December 31, 2025
Level 1Level 2Level 3Total
Assets:
Securities—available-for-sale
U.S. Government and agency obligations$— $6,143 $— $6,143 
Municipal bonds— 143,457 — 143,457 
Corporate bonds— 87,518 30,271 117,789 
Mortgage-backed or related securities— 1,596,332 — 1,596,332 
Asset-backed securities— 152,540 — 152,540 
— 1,985,990 30,271 2,016,261 
Loans held for sale(1)
— 34,586 — 34,586 
Equity securities406 — — 406 
SBA servicing rights— — 1,104 1,104 
Investment in limited partnerships— — 14,545 14,545 
Derivatives
Interest rate swaps— 9,978 — 9,978 
Interest rate lock and forward sales commitments— — 333 333 
$406 $2,030,554 $46,253 $2,077,213 
Liabilities:
Junior subordinated debentures$— $— $79,151 $79,151 
Derivatives
Interest rate swaps— 19,207 — 19,207 
Interest rate lock and forward sales commitments— 83 68 151 
Risk participation agreement— 5 — 5 
$— $19,295 $79,219 $98,514 
Schedule of Valuation Technique, Unobservable Input, and Qualitative Information for Unobservable Inputs
The following table provides a description of the valuation techniques, unobservable inputs, and quantitative and qualitative information about the unobservable inputs used in the fair value measurements of the Company’s assets and liabilities classified as Level 3 and measured at fair value on a recurring and non-recurring basis at June 30, 2026 and December 31, 2025:
Weighted Average Rate or Range
Financial InstrumentsValuation TechniqueUnobservable InputsJune 30, 2026December 31, 2025
Corporate bonds (TPS)Discounted cash flowsDiscount rate7.00 %6.91 %
Junior subordinated debenturesDiscounted cash flowsDiscount rate7.00 %6.91 %
Loans individually evaluatedCollateral valuationsDiscount to appraised value
   8.75% to 10.00%
         0% to 8.75%
Interest rate lock commitmentsPricing modelPull-through rate89.06 %88.86 %
SBA servicing rightsDiscounted cash flowsConstant prepayment rate18.12 %18.14 %
Schedule of Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The following tables provide a reconciliation of the assets and liabilities measured for which fair value is measured using significant unobservable inputs (Level 3) on a recurring basis during the three and six months ended June 30, 2026 and 2025 (in thousands):
Three Months Ended June 30, 2026
Level 3 Fair Value Inputs
TPS SecuritiesBorrowings—Junior Subordinated DebenturesInterest Rate Lock and Forward Sales CommitmentsInvestments in Limited PartnershipsSBA Servicing Asset
Beginning balance$30,314 $79,472 $(55)$14,860 $1,091 
Net change recognized in earnings91 — 267 (325)(13)
Net change recognized in accumulated other comprehensive income (AOCI)(44)180 — — — 
Purchases, issuances and settlements— — — 90 — 
Ending balance at June 30, 2026$30,361 $79,652 $212 $14,625 $1,078 
Six Months Ended June 30, 2026
Level 3 Fair Value Inputs
TPS SecuritiesBorrowings—Junior Subordinated DebenturesInterest Rate Lock and Forward Sales CommitmentsInvestments in Limited PartnershipsSBA Servicing Asset
Beginning balance$30,271 $79,151 $265 $14,545 $1,104 
Net change recognized in earnings178 — (53)(209)(26)
Net change recognized in AOCI(88)501 — — — 
Purchases, issuances and settlements— — — 289 — 
Ending balance at June 30, 2026$30,361 $79,652 $212 $14,625 $1,078 
Three Months Ended June 30, 2025
Level 3 Fair Value Inputs
TPSBorrowings—Junior Subordinated DebenturesInterest Rate Lock and Forward Sales CommitmentsInvestments in Limited PartnershipsSBA Servicing Asset
Beginning balance$25,756 $67,711 $305 $15,025 $954 
Net change recognized in earnings79 — 186 92 84 
Net change recognized in AOCI2,109 5,655 — — — 
Purchases, issuances and settlements— — — 443 — 
Ending balance at June 30, 2025$27,944 $73,366 $491 $15,560 $1,038 
Six Months Ended June 30, 2025
Level 3 Fair Value Inputs
TPS SecuritiesBorrowings—Junior Subordinated DebenturesInterest Rate Lock and Forward Sales CommitmentsInvestments in Limited PartnershipsSBA Servicing Asset
Beginning balance$25,685 $67,477 $108 $13,955 $869 
Net change recognized in earnings153 — 383 372 169 
Net change recognized in AOCI2,106 5,889 — — — 
Purchases, issuances and settlements— — — 1,233 — 
Ending balance at June 30, 2025$27,944 $73,366 $491 $15,560 $1,038 
Schedule of Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
The following tables present financial assets and liabilities for which fair value is measured on a non-recurring basis and the level within the fair value hierarchy of the related fair value measurements for those assets as of June 30, 2026 and December 31, 2025 (in thousands):
June 30, 2026
Level 1Level 2Level 3Total
Loans individually evaluated$— $— $4,727 $4,727 
Real estate owned (REO)— — 5,720 5,720 
December 31, 2025
Level 1Level 2Level 3Total
Loans individually evaluated$— $— $5,607 $5,607 
REO— — 5,578 5,578 
Fair Value, Nonrecurring Fair Value Adjustments, Gains and Losses