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FB Financial (FBK)

Cover

CoverJun. 07, 2021
Cover [Abstract]
Document Type8-K
Document Period End DateJun. 7,
2021
Entity Registrant NameFB FINANCIAL CORPORATION
Entity Incorporation, State or Country CodeTN
Entity File Number001-37875
Entity Tax Identification Number62-1216058
Entity Address, Address Line One211 Commerce Street
Entity Address, Address Line TwoSuite 300
Entity Address, City or TownNashville
Entity Address, State or ProvinceTN
Entity Address, Postal Zip Code37201
City Area Code615
Local Phone Number564-1212
Written Communicationsfalse
Soliciting Materialfalse
Pre-commencement Tender Offerfalse
Pre-commencement Issuer Tender Offerfalse
Title of 12(b) SecurityCommon Stock, $1.00 par value
Trading SymbolFBK
Security Exchange NameNYSE
Entity Emerging Growth Companytrue
Entity Ex Transition Periodtrue
Amendment Flagfalse
Document Fiscal Year Focus2020
Document Fiscal Period FocusFY
Entity Central Index Key0001649749

Consolidated balance sheets

Consolidated balance sheets - USD ($) $ in ThousandsDec. 31, 2020Dec. 31, 2019
ASSETS
Cash and due from banks $ 110,991 $ 48,806
Federal funds sold121,153 131,119
Interest-bearing deposits in financial institutions1,085,754 52,756
Cash and cash equivalents1,317,898 232,681
Investments:
Available-for-sale debt securities, at fair value1,172,400 688,381
Equity securities, at fair value4,591 3,295
Federal Home Loan Bank stock, at cost31,232 15,976
Loans held for sale, at fair value899,173 262,518
Loans7,082,959 4,409,642
Less: allowance for credit losses170,389 31,139
Net loans6,912,570 4,378,503
Premises and equipment, net145,115 90,131
Other real estate owned, net12,111 18,939
Operating lease right-of-use assets49,537 32,539
Interest receivable43,603 17,083
Mortgage servicing rights, at fair value79,997 75,521
Goodwill242,561 169,051
Core deposit and other intangibles, net22,426 17,589
Other assets274,116 122,714
Total assets11,207,330 6,124,921
Deposits
Noninterest-bearing2,274,103 1,208,175
Interest-bearing checking2,491,765 1,014,875
Money market and savings3,254,915 1,520,035
Customer time deposits1,375,695 1,171,502
Brokered and internet time deposits61,559 20,351
Total deposits9,458,037 4,934,938
Borrowings238,324 304,675
Operating lease liabilities55,187 35,525
Accrued expenses and other liabilities164,400 87,454
Total liabilities9,915,948 5,362,592
Commitments and contingencies (Note 17)
SHAREHOLDERS' EQUITY
Common stock, $1 par value per share; 75,000,000 shares authorized; 47,220,743 and 31,034,315 shares issued and outstanding at December 31, 2020 and December 31, 2019, respectively47,222 31,034
Additional paid-in capital898,847 425,633
Retained earnings317,625 293,524
Accumulated other comprehensive income, net27,595 12,138
Total FB Financial Corporation shareholders' equity1,291,289 762,329
Noncontrolling interest93 0
Total equity1,291,382 762,329
Total liabilities and shareholders' equity $ 11,207,330 $ 6,124,921

Consolidated balance sheets (Pa

Consolidated balance sheets (Parenthetical) - $ / sharesDec. 31, 2020Dec. 31, 2019
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share) $ 1 $ 1
Common stock, shares authorized (in shares)75,000,000 75,000,000
Common stock, shares issued (in shares)47,220,743 31,034,315
Common stock, shares outstanding (in shares)47,220,743 31,034,315

Consolidated statements of inco

Consolidated statements of income - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Interest income:
Interest and fees on loans $ 294,596 $ 260,458 $ 221,001
Interest on securities
Taxable10,267 13,223 12,397
Tax-exempt7,076 4,805 4,047
Other2,705 4,051 2,126
Total interest income314,644 282,537 239,571
Interest expense:
Deposits42,859 51,568 29,536
Borrowings6,127 4,933 5,967
Total interest expense48,986 56,501 35,503
Net interest income265,658 226,036 204,068
Provision for credit losses94,606 7,053 5,398
Provision for credit losses on unfunded commitments13,361 0 0
Net interest income after provisions for credit losses157,691 218,983 198,670
Noninterest income:
Gain (loss) from securities, net1,631 57 (116)
(Loss) gain on sales or write-downs of other real estate owned(1,491)545 (99)
(Loss) gain from other assets(90)(104)328
Other income15,322 7,099 6,172
Total noninterest income301,855 135,397 130,642
Noninterest expenses:
Salaries, commissions and employee benefits233,768 152,084 136,892
Occupancy and equipment expense18,979 15,641 13,976
Legal and professional fees7,654 7,486 7,903
Data processing11,390 10,589 9,100
Merger costs34,879
Amortization of core deposit and other intangibles5,323 4,339 3,185
Advertising10,062 9,138 13,139
Other expense55,030 40,179 37,669
Total noninterest expense377,085 244,841 223,458
Income before income taxes82,461 109,539 105,854
Income tax expense18,832 25,725 25,618
Net income applicable to FB Financial Corporation and noncontrolling interest63,629 83,814 80,236
Net income applicable to noncontrolling interest8 0 0
Net income applicable to FB Financial Corporation $ 63,621 $ 83,814 $ 80,236
Earnings per common share
Basic (in dollars per share) $ 1.69 $ 2.70 $ 2.60
Diluted (in dollars per share) $ 1.67 $ 2.65 $ 2.55
Mortgage banking income
Noninterest income:
Mortgage banking income, service charges on deposit accounts, ATM and interchange fees, investment services and trust income $ 255,328 $ 100,916 $ 100,661
Service charges on deposit accounts
Noninterest income:
Mortgage banking income, service charges on deposit accounts, ATM and interchange fees, investment services and trust income9,160 9,479 8,502
ATM and interchange fees
Noninterest income:
Mortgage banking income, service charges on deposit accounts, ATM and interchange fees, investment services and trust income14,915 12,161 10,013
Investment services and trust income
Noninterest income:
Mortgage banking income, service charges on deposit accounts, ATM and interchange fees, investment services and trust income $ 7,080 $ 5,244 $ 5,181

Consolidated statements of comp

Consolidated statements of comprehensive income - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Statement of Comprehensive Income [Abstract]
Net income $ 63,629 $ 83,814 $ 80,236
Other comprehensive income (loss), net of tax:
Net change in unrealized gain (loss) in available-for-sale securities, net of taxes of $5,781, $6,227, and $(2,025)18,430 17,693 (5,439)
Reclassification adjustment for (gain) loss on sale of securities included in net income, net of taxes of $(348), $24, and $9(987)67 44
Net change in unrealized (loss) gain in hedging activities, net of taxes of $(363), $(322), and $366(1,031)(914)1,039
Reclassification adjustment for gain on hedging activities, net of taxes of $(337), $(170), and $(45)(955)(481)(128)
Total other comprehensive income (loss), net of tax15,457 16,365 (4,484)
Comprehensive income79,086 100,179 75,752
Comprehensive income applicable to noncontrolling interests8 0 0
Comprehensive income applicable to FB Financial Corporation $ 79,078 $ 100,179 $ 75,752

Consolidated statements of co_2

Consolidated statements of comprehensive income (Parenthetical) - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Statement of Comprehensive Income [Abstract]
Net change in unrealized gain (loss) in available for sale securities, tax $ 5,781 $ 6,227 $ (2,025)
Reclassification adjustment for gain on sale of securities included in net income, tax(348)24 9
Other comprehensive income (loss), cash flow hedge, gain (loss), before reclassification, tax(363)(322)366
Reclassification adjustment for gain on hedging activities, tax $ (337) $ (170) $ (45)

Consolidated statements of chan

Consolidated statements of changes in shareholders' equity - USD ($) $ in ThousandsTotalFNB Financial Corp.Franklin Financial Network, Inc.Cumulative effect of change in accounting principleAdjusted balanceCommon stockCommon stockFNB Financial Corp.Common stockFranklin Financial Network, Inc.Common stockAdjusted balanceAdditional paid-in capitalAdditional paid-in capitalFNB Financial Corp.Additional paid-in capitalFranklin Financial Network, Inc.Additional paid-in capitalAdjusted balanceRetained earningsRetained earningsCumulative effect of change in accounting principleRetained earningsAdjusted balanceAccumulated other comprehensive income, netAccumulated other comprehensive income, netCumulative effect of change in accounting principleAccumulated other comprehensive income, netAdjusted balanceTotal common shareholders' equityTotal common shareholders' equityFNB Financial Corp.Total common shareholders' equityFranklin Financial Network, Inc.Total common shareholders' equityCumulative effect of change in accounting principleTotal common shareholders' equityAdjusted balanceNoncontrolling interestsNoncontrolling interestsFranklin Financial Network, Inc.Noncontrolling interestsAdjusted balance
Beginning balance at Dec. 31, 2017 $ 0 $ 596,729 $ 30,536 $ 418,596 $ (109) $ 147,449 $ 109 $ 148 $ 596,729 $ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income $ 80,236 $ 80,236 $ 80,236
Other comprehensive income, net of taxes(4,484) $ (4,484)(4,484)
Stock based compensation expense7,207 $ 17 $ 7,190 7,207
Restricted stock units vested and distributed, net of shares withheld(2,664)143 (2,807)(2,664)
Shares issued under employee stock purchase program1,196 29 1,167 1,196
Dividends declared(6,363)(6,363)(6,363)
Ending balance at Dec. 31, 2018671,857 (1,309)670,548 30,725 30,725 424,146 424,146 221,213 $ (1,309)219,904 (4,227)(4,227)671,857 $ (1,309)670,548 $ 0 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income83,814 83,814 83,814
Other comprehensive income, net of taxes16,365 16,365 16,365
Stock based compensation expense7,089 12 7,077 7,089
Restricted stock units vested and distributed, net of shares withheld(6,097)274 (6,371)(6,097)
Shares issued under employee stock purchase program804 23 781 804
Dividends declared(10,194)(10,194)(10,194)
Ending balance at Dec. 31, 2019762,329 $ (25,018) $ 737,311 31,034 $ 31,034 425,633 $ 425,633 293,524 $ 268,506 12,138 $ 12,138 762,329 $ (25,018) $ 737,311 0 $ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income63,629 63,621 63,621 8
Other comprehensive income, net of taxes15,457 15,457 15,457
Common stock issued in connection with acquisitions, net of registration costs $ 34,847 $ 444,966 $ 955 $ 15,058 $ 33,892 $ 429,815 $ 34,847 $ 444,873 $ 93
Stock based compensation expense10,214 22 10,192 10,214
Restricted stock units vested and distributed, net of shares withheld(1,510)123 (1,633)(1,510)
Shares issued under employee stock purchase program978 30 948 978
Dividends declared(14,502)(14,502)(14,502)
Noncontrolling interest distribution(8)(8)
Ending balance at Dec. 31, 2020 $ 1,291,382 $ 47,222 $ 898,847 $ 317,625 $ 27,595 $ 1,291,289 $ 93

Consolidated statements of ch_2

Consolidated statements of changes in shareholders' equity (Parenthetical) - $ / shares12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Statement of Stockholders' Equity [Abstract]
Cash dividends declared (USD per share) $ 0.36 $ 0.32 $ 0.20

Consolidated statements of cash

Consolidated statements of cash flows - USD ($)12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Cash flows from operating activities:
Net income $ 63,629,000 $ 83,814,000 $ 80,236,000
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization of fixed assets7,009,000 5,176,000 4,334,000
Amortization of core deposit and other intangibles5,323,000 4,339,000 3,185,000
Capitalization of mortgage servicing rights(47,025,000)(42,151,000)(54,913,000)
Net change in fair value of mortgage servicing rights47,660,000 26,299,000 2,763,000
Stock-based compensation expense10,214,000 7,089,000 7,207,000
Provision for credit losses94,606,000 7,053,000 5,398,000
Provision for credit losses on unfunded commitments13,361,000 0 0
Provision for mortgage loan repurchases2,607,000 362,000 174,000
Accretion of yield on purchased loans(3,788,000)(8,556,000)(7,608,000)
Accretion of discounts and amortization of premiums on securities, net7,382,000 3,026,000 2,768,000
Gain from securities, net(1,631,000)(57,000)116,000
Originations of loans held for sale(6,650,258,000)(4,540,652,000)(5,958,066,000)
Repurchases of loans held for sale0 (9,919,000)(12,232,000)
Proceeds from sale of loans held for sale6,487,809,000 4,662,728,000 6,260,532,000
Gain on sale and change in fair value of loans held for sale(270,802,000)(100,228,000)(88,743,000)
Net loss (gain) or write-downs of other real estate owned1,491,000 (545,000)99,000
Loss (gain) on other assets90,000 104,000 (328,000)
Relief of goodwill0 100,000 0
Provision for deferred income taxes(25,530,000)(1,916,000)6,359,000
Changes in:
Other assets and interest receivable(74,628,000)(45,180,000)(22,966,000)
Accrued expenses and other liabilities63,194,000 13,019,000 (16,107,000)
Net cash (used in) provided by operating activities(269,287,000)63,905,000 212,208,000
Activity in available-for-sale securities:
Sales146,494,000 24,498,000 2,742,000
Maturities, prepayments and calls220,549,000 113,018,000 73,066,000
Purchases(424,971,000)(151,425,000)(203,844,000)
Net change in loans118,414,000 (364,975,000)(491,774,000)
Purchases of FHLB stock(515,000)(2,544,000)(2,020,000)
Proceeds from sale of mortgage servicing rights0 29,160,000 39,428,000
Purchases of premises and equipment(5,934,000)(6,812,000)(10,144,000)
Proceeds from the sale of premises and equipment0 1,275,000 357,000
Proceeds from the sale of other real estate owned6,937,000 3,860,000 4,819,000
Proceeds from the sale of other assets0 0 869,000
Net cash received in business combinations (See Note 2)248,447,000 171,032,000 0
Net cash provided by (used in) investing activities309,421,000 (182,913,000)(586,501,000)
Cash flows from financing activities:
Net increase in demand deposits1,519,868,000 249,348,000 75,906,000
Net decrease in time deposits(328,035,000)(75,004,000)431,416,000
Net increase (decrease) in securities sold under agreements to repurchase5,262,000 (908,000)788,000
Payments on FHLB advances(250,000,000)0 (120,607,000)
Proceeds from FHLB advances0 68,235,000 0
Issuance of subordinated debt, net of issuance costs98,228,000 0 0
Amortization of subordinated debt issuance costs(436,000)0 0
Proceeds from other borrowings15,000,000 0 0
Share based compensation withholding payments(1,510,000)(6,097,000)(2,664,000)
Net proceeds from sale of common stock under employee stock purchase program978,000 804,000 1,196,000
Dividends paid(14,264,000)(10,045,000)(6,137,000)
Noncontrolling interest distribution(8,000)0 0
Net cash provided by financing activities1,045,083,000 226,333,000 379,898,000
Net change in cash and cash equivalents1,085,217,000 107,325,000 5,605,000
Cash and cash equivalents at beginning of the period232,681,000 125,356,000 119,751,000
Cash and cash equivalents at end of the period1,317,898,000 232,681,000 125,356,000
Supplemental cash flow information:
Interest paid48,679,000 55,051,000 31,992,000
Taxes paid20,419,000 25,920,000 24,387,000
Supplemental noncash disclosures:
Transfers from loans to other real estate owned2,746,000 5,487,000 2,138,000
Transfers (to) from premises and equipment to other real estate owned(841,000)4,290,000 0
Loans provided for sales of other real estate owned305,000 166,000 1,019,000
Transfers from loans to loans held for sale11,483,000 7,891,000 11,888,000
Transfers from loans held for sale to loans55,766,000 12,259,000 14,732,000
Stock consideration paid in business combination480,867,000 0 0
Trade date payable - securities0 0 2,120,000
Dividends declared not paid on restricted stock units238,000 149,000 226,000
Decrease to retained earnings for adoption of new accounting standards25,018,000 1,309,000 109,000
Right-of-use assets obtained in exchange for operating lease liabilities $ 2,393,000 $ 37,916,000 $ 0

Basis of presentation

Basis of presentation12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]
Basis of presentationBasis of presentation: (A) Organization and Company overview: FB Financial Corporation (the “Company”) is a financial holding company headquartered in Nashville, Tennessee. The consolidated financial statements include the Company and its wholly-owned subsidiaries, FirstBank (the "Bank") and FirstBank Risk Management, Inc. The Bank operates through 81 full-service branches throughout Tennessee, southern Kentucky, north Alabama, and north Georgia, and a national online mortgage business with office locations across the Southeast, which primarily originates mortgage loans to be sold in the secondary market. On August 15, 2020, the Company completed its previously announced acquisition of Franklin Financial Network, Inc. ("Franklin"). The transaction added a new subsidiary to the Company, FirstBank Risk Management ("FBRM") (formerly known as Franklin Synergy Risk Management), which provides risk management services to the Company in the form of enhanced insurance coverages. It also added a new subsidiary to the Bank, FirstBank Investments of Tennessee, Inc. ("FBIT"), which provides investment services to the Bank. FBIT has a wholly owned subsidiary, FirstBank Investments of Nevada, Inc. ("FBIN") to provide investment services to FBIT. FBIN has a controlling interest in a subsidiary, FirstBank Preferred Capital, Inc. ("FBPC"), which serves as a real estate investment trust ("REIT"), to allow the Bank to sell real estate loans to the REIT to obtain a tax benefit. Refer to Note 2, "Mergers and acquisitions" for additional information on this acquisition. The Bank is subject to competition from other financial services companies and financial institutions. The Company and the Bank are also subject to the regulations of certain federal and state agencies and undergo periodic examinations by those regulatory authorities. See "Supervision and regulation" in part 1, item 1, for more details regarding regulatory oversight. The Company continues to qualify as an emerging growth company as defined by the "Jumpstart Our Business Startups Act" ("JOBS Act"). During 2020, the COVID-19 health pandemic created a crisis resulting in volatility in financial markets, sudden, unprecedented job losses, and disruption in consumer and commercial behavior, resulting in governments in the United States and globally to intervene with varying levels of direct monetary support and fiscal stimulus packages. All industries, municipalities and consumers have been impacted by the health crisis to some degree, including the markets that we serve. In attempts to “flatten the curve”, businesses not deemed essential were closed or constrained to capacity limitations, individuals were asked to restrict their movements, observe social distancing and shelter in place. These actions resulted in rapid decreases in commercial and consumer activity, temporary closures of many businesses, leading to a loss of revenues and a rapid increase in unemployment, widening of credit spreads, dislocation of bond markets, disruption of global supply chains and changes in consumer spending behavior. As certain restrictions began lifting and more businesses were allowed to open their doors in late 2020, we began to experience a slow improvement in commerce through much of the Company's footprint. Despite the pickup in economic activity late in the year, there is uncertainty regarding the long term effects on the global economy which could have an adverse impact on the Company. (B) Basis of presentation: The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America and general banking industry. In preparing the financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and the reported results of operations for the year then ended. Actual results could differ significantly from those estimates. It is possible that the Company's estimate of the allowance for credit losses and determination of impairment of goodwill could change as a result of the continued impact of the COVID-19 pandemic on the economy. The resulting change in these estimates could be material to the Company's financial statements. The consolidated financial statements include the accounts of the Company, the Bank, and its’ wholly-owned subsidiaries, FirstBank Insurance, Inc., Investors Title Company, in addition to the newly acquired subsidiaries mentioned above. All significant intercompany accounts and transactions have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to the current period presentation without any impact on the reported amounts of net income or shareholders’ equity. Certain accounting policies identified below were modified during the year ended December 31, 2020. Please refer to the Company's audited financial statements on Form 10-K filed on March 13, 2020 for accounting policies in place as of December 31, 2019. (C) Cash flows: For purposes of reporting consolidated cash flows, cash and cash equivalents include cash on hand, amounts due from banks, federal funds sold and interest earning deposits in other financial institutions with maturities of less than 90 days at the date of purchase. These amounts are reported in the consolidated balance sheets caption “Cash and cash equivalents.” Net cash flows are reported for loans held for investment, deposits and short-term borrowings. (D) Cash and cash equivalents: The Company considers all highly liquid unrestricted investments with a maturity of three months or less when purchased to be cash equivalents. (E) Investment securities: Debt securities are classified as held to maturity and carried at amortized cost, excluding accrued interest, when management has the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Available-for-sale debt securities are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of applicable taxes. Beginning January 1, 2020, unrealized losses resulting from credit losses for available-for-sale debt securities are recognized in earnings as a provision for credit losses. Unrealized losses that do not result from credit losses are excluded from earnings and reported as accumulated other comprehensive income, net of applicable taxes, which is included in equity. Accrued interest receivable is separated from other components of amortized cost and presented separately on the consolidated balance sheets. Equity securities with readily determinable market values are carried at fair value on the balance sheet with any periodic changes in value made through adjustments to the statement of income. Equity securities without readily determinable market values are carried at cost less impairment and included in other assets on the consolidated balance sheets. Interest income includes the amortization and accretion of purchase premium and discount. Premiums and discounts on securities are amortized on the level-yield method anticipating prepayments based upon the prior three month average monthly prepayments when available. Gains and losses on sales are recorded on the trade date and determined using the specific identification method. The Company evaluates available-for-sale securities for expected credit losses at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. For securities in an unrealized loss position, consideration is given to the extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. In analyzing an issuer’s financial condition, the Company considers whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. When credit losses are expected to occur, the amount of the expected credit loss recognized in earnings depends on the Company's intention to sell the security or if it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis. If the Company intends to sell the security or it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis, the expected credit loss recognized in earnings is equal to the entire difference between its amortized cost basis and its fair value at the date it was determined to be impaired due to credit losses or other factors. The previous amortized cost basis less the impairment recognized in earnings becomes the new amortized cost basis of the investment. However, if the Company does not intend to sell the security and it is not more likely than not to be required to sell the security before recovery of its amortized cost basis, the difference between the amortized cost and the fair value is separated into the amount representing the credit loss and the amount related to all other factors. If the Company determines a decline in fair value below the amortized cost basis of an available-for-sale investment security has resulted from credit related factors, beginning January 1, 2020 with the adoption of CECL, the Company records a credit loss through an allowance for credit losses. The allowance for credit losses is limited by the amount that the fair value is less than amortized cost. The amount of the allowance for credit losses is determined based on the present value of cash flows expected to be collected and is recognized as a charge to earnings. The amount of the impairment related to other, non-credit related, factors is recognized in other comprehensive income, net of applicable taxes. The Company did not record any provision for credit losses for its available-for-sale debt securities during the year ended December 31, 2020, as the majority of the investment portfolio is government guaranteed and declines in fair value below amortized cost were determined to be non-credit related. (F) Federal Home Loan Bank (FHLB) stock: The Bank accounts for its investments in FHLB stock in accordance with FASB ASC Topic 942-325 "Financial Services-Depository and Lending-Investments-Other." FHLB stock are equity securities that do not have a readily determinable fair value because its ownership is restricted and lacks a market. FHLB stock is carried at cost and evaluated for impairment. (G) Loans held for sale: Loans originated and intended for sale in the secondary market, primarily mortgage loans, are carried at fair value as permitted under the guidance in ASC 825, “Financial Instruments” (“ASC 825”). Net gains (losses) of $24,233, $(2,861), and $(4,539) resulting from fair value changes of these mortgage loans were recorded in income during the years ended December 31, 2020, 2019 and 2018, respectively. The amount does not reflect changes in fair values of related derivative instruments used to hedge exposure to market-related risks associated with these mortgage loans. The change in fair value of both mortgage loans held for sale and the related derivative instruments are recorded in “Mortgage banking income” in the Consolidated Statements of Income. Gains and losses are recognized in Mortgage banking income on the consolidated statements of income at the time the loan is closed. Pass through origination costs and related loan fees are also included in “Mortgage banking income”. Periodically, the Bank will transfer mortgage loans originated for sale in the secondary markets into the loan portfolio based on current market conditions, the overall secondary marketability of the loan and the status of the loan. During the years ended December 31, 2020, 2019, and 2018, the Bank transferred $55,766, $12,259, and $14,732, respectively, of residential mortgage loans into its loans held for investment portfolio. The loans are transferred into the portfolio at fair value at the date of transfer. Additionally, occasionally the Bank will transfer loans from the held for investment portfolio into loans held for sale. At the time of the transfer, loans are marked to fair value through the allowance for credit losses and reclassified to loans held for sale. During the year ended December 31, 2020, the Company transferred $2,116 from the portfolio to loans held for sale. During the year ended December 31, 2018, the Company transferred $11,888 from the portfolio to loans held for sale,resulting in an adjustment to the allowance for loan losses of $349. Government National Mortgage Association (GNMA) optional repurchase programs allow financial institutions to buy back individual delinquent mortgage loans that meet certain criteria from the securitized loan pool for which the institution provides servicing and was the original transferor. At the servicer’s option and without GNMA’s prior authorization, the servicer may repurchase such a delinquent loan for an amount equal to 100 percent of the remaining principal balance of the loan. Under FASB ASC Topic 860, “Transfers and Servicing,” this buy-back option is considered a conditional option until the delinquency criteria are met, at which time the option becomes unconditional. When the Company is deemed to have regained effective control over these loans under the unconditional buy-back option, the loans can no longer be reported as sold and must be brought back onto the balance sheet, regardless of whether the Company intends to exercise the buy-back option if the buyback option provides the transferor a more-than-trivial benefit. When this criteria is met and these are repurchased, after a period of borrower performance, the loans are transferred to loans held for sale at fair value and are able to be repooled into new Ginnie Mae guaranteed securities. During the years ended December 31, 2020 and 2019, the Company transferred $9,367 and $7,891, respectively, of these repurchased loans from loans held for investment to loans held for sale. There was no such activity during the year ended December 21, 2018. As of December 31, 2020, and 2019, there were $151,184 and $51,705, respectively, of delinquent GNMA loans that had previously been sold which the Company had the option to repurchase; however, the Company determined there not to be a "more-than-trivial benefit" based on an analysis of interest rates and assessment of potential reputational risk associated with these loans. As such, the Company did not record these loans on the balance sheets. During the year ended December 31, 2020 , the Company acquired a portfolio of commercial loans, including shared national credits and institutional healthcare loans, as part of the Franklin transaction that the Company has elected to account for as held for sale. Changes in fair value from the acquisition date fair value are included in 'other noninterest income' on the consolidated statement of income. (H) Loans (excluding purchased credit deteriorated loans): Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are stated at the principal amount outstanding less any purchase accounting discount net of any accretion recognized to date. Interest on loans is recognized as income by using the simple interest method on daily balances of the principal amount outstanding plus any accretion of purchase accounting discounts. Loans on which the accrual of interest has been discontinued are designated as nonaccrual loans. Accrual of interest is discontinued on loans past due 90 days or more unless the credit is well secured and in the process of collection. Also, a loan may be placed on nonaccrual status prior to becoming past due 90 days if management believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that collection of principal or interest is doubtful. The decision to place a loan on nonaccrual status prior to becoming past due 90 days is based on an evaluation of the borrower’s financial condition, collateral liquidation value, economic and business conditions and other factors that affect the borrower’s ability to pay. When a loan is placed on nonaccrual status, the accrued but unpaid interest is charged against current period operations. Thereafter, interest on nonaccrual loans is recognized only as received if future collection of principal is probable. If the collectability of outstanding principal is doubtful, interest received is applied as a reduction of principal. A loan may be restored to accrual status when principal and interest are no longer past due or it otherwise becomes both well secured and collectability is reasonably assured. The Company continues to monitor the level of accrued interest receivable, however an allowance for credit losses was not required as of December 31, 2020. (I) Allowance for credit losses: The allowance for credit losses represents the portion of the loan's amortized cost basis that the Company does not expect to collect due to credit losses over the loan's life, considering past events, current conditions, and reasonable and supportable forecasts of future economic conditions considering macroeconomic forecasts. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance for credit losses is based on the loan's amortized cost basis, excluding accrued interest receivable, as the Company promptly charges off uncollectible accrued interest receivable. Management’s determination of the appropriateness of the allowance is based on periodic evaluation of the loan portfolio, lending-related commitments and other relevant factors, including macroeconomic forecasts and historical loss rates. In future quarters, the Company may update information and forecasts that may cause significant changes in the estimate in those future quarters. As of January 1, 2020, the Company’s policy for the allowance for credit losses changed with the adoption of CECL. As permitted, the new guidance was implemented using a modified retrospective approach with the impact of the initial adoption being recorded through retained earnings at January 1, 2020, with no restatement of prior periods. Prior to adopting CECL, the Company calculated the allowance using an incurred loss approach. Beginning January 1, 2020, the Company calculates the allowance using a lifetime expected credit loss approach as described in the previous paragraph. See Note 5, "Loans and allowance for credit losses" for additional details related to the Company's specific calculation methodology. The allowance for credit losses is the Company’s best estimate. Actual losses may differ from the December 31, 2020 allowance for credit loss as the CECL estimate is sensitive to economic forecasts and management judgment. The following portfolio segments have been identified: Commercial and industrial loans. The Company provides a mix of variable and fixed rate commercial and industrial loans. Commercial and industrial loans are typically made to small- and medium-sized manufacturing, wholesale, retail and service businesses for working capital and operating needs and business expansions, including the purchase of capital equipment and loans made to farmers relating to their operations. This category also includes loans secured by manufactured housing receivables. Commercial and industrial loans generally include lines of credit and loans with maturities of five years or less. The loans are generally made with operating cash flows as the primary source of repayment, but may also include collateralization by inventory, accounts receivable, equipment and/or personal guarantees. The ability of the borrower to collect accounts receivable, and to turn inventory into sales are risk factors in the repayment of the loan. Construction loans. Construction loans include commercial construction, land acquisition and land development loans and single-family interim construction loans to small- and medium-sized businesses and individuals. These loans are generally secured by the land or the real property being built and are made based on our assessment of the value of the property on an as-completed basis. We expect to continue to make construction loans at a similar pace so long as demand continues and the market for and values of such properties remain stable or continue to improve in our markets. These loans can carry risk of repayment when projects incur cost overruns, have an increase in the price of building materials, encounter zoning and environmental issues, or encounter other factors that may affect the completion of a project on time and on budget. Additionally, repayment risk may be negatively impacted when the market experiences a deterioration in the value of real estate. Residential real estate 1-4 family mortgage loans . The Company’s residential real estate 1-4 family mortgage loans are primarily made with respect to and secured by single family homes, which are both owner-occupied and investor owned and include manufactured homes with real estate. The Company intends to continue to make residential 1-4 family housing loans at a similar pace, so long as housing values in our markets do not deteriorate from current prevailing levels and we are able to make such loans consistent with our current credit and underwriting standards. First lien residential 1-4 family mortgages may be affected by unemployment or underemployment and deteriorating market values of real estate. Residential line of credit loans. The Company’s residential line of credit loans are primarily revolving, open-end lines of credit secured by 1-4 residential properties. The Company intends to continue to make home equity loans if housing values in our markets do not deteriorate from current prevailing levels and we are able to make such loans consistent with our current credit and underwriting standards. Second lien residential 1-4 family mortgages may be affected by unemployment or underemployment and deteriorating market values of real estate. Multi-family residential loans. The Company’s multi-family residential loans are primarily secured by multi-family properties, such as apartments and condominium buildings. These loans also may be affected by unemployment or underemployment and deteriorating market values of real estate. Commercial real estate loans . The Company’s commercial real estate owner-occupied loans include loans to finance commercial real estate owner occupied properties for various purposes including use as offices, warehouses, production facilities, health care facilities, retail centers, restaurants, churches and agricultural based facilities. Commercial real estate owner-occupied loans are typically repaid through the ongoing business operations of the borrower, and hence are dependent on the success of the underlying business for repayment and are more exposed to general economic conditions. Commercial real estate non-owner occupied loans . The Company’s commercial real estate non-owner occupied loans include loans to finance commercial real estate non-owner occupied investment properties for various purposes including use as offices, warehouses, health care facilities, hotels, mixed-use residential/commercial, manufactured housing communities, retail centers, assisted living facilities and agricultural based facilities. Commercial real estate non-owner occupied loans are typically repaid with the funds received from the sale of the completed property or rental proceeds from such property, and are therefore more sensitive to adverse conditions in the real estate market, which can also affected by general economic conditions. Consumer and other loans . The Company’s consumer and other loans include loans to individuals for personal, family and household purposes, including car, boat and other recreational vehicle loans, manufactured homes without real estate, and personal lines of credit. Consumer loans are generally secured by vehicles and other household goods. The collateral securing consumer loans may depreciate over time. The company seeks to minimize these risks through its underwriting standards. Other loans also include loans to states and political subdivisions in the U.S. These loans are generally subject to the risk that the borrowing municipality or political subdivision may lose a significant portion of its tax base or that the project for which the loan was made may produce inadequate revenue. (J) Business combinations, accounting for acquired loans with credit deterioration and off-balance sheet financial instruments: Business combinations are accounted for by applying the acquisition method in accordance with Accounting Standards Codification ("ASC") 805, “Business Combinations” (“ASC 805”). Under the acquisition method, identifiable assets acquired and liabilities assumed and any non-controlling interest in the acquiree at the acquisition date are measured at their fair values as of that date. Any excess of the purchase price over fair value of net assets acquired is recorded as goodwill. To the extent the fair value of net assets acquired, including any other identifiable intangible assets, exceed the purchase price, a bargain purchase gain is recognized. Results of operations of acquired entities are included in the consolidated statements of income from the date of acquisition. Beginning January 1, 2020, loans acquired in business combinations with evidence of more-than-insignificant credit deterioration since origination are considered to be Purchased Credit Deteriorated ("PCD"). The Company developed multiple criteria to assess the presence of more–than–insignificant credit deterioration in acquired loans, mainly focused on changes in credit quality and payment status. While general criteria have been established, each acquisition will vary in its specific facts and circumstances and the Company will apply judgment around PCD identification for each individual acquisition based on their unique portfolio mix and risks identified. The Company adopted ASC 326 using the prospective transition approach for loans previously classified as purchased credit impaired ("PCI") and accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether PCI assets met the criteria of PCD assets as of the date of adoption and all PCI loans were transitioned to PCD loans upon adoption. Under PCD accounting,the amount of expected credit losses as of the acquisition date is added to the purchase price of the PCD loan. This establishes the amortized cost basis of the PCD loan. The difference between the unpaid principal balance of the PCD loan and the amortized cost basis of the PCD loan as of the acquisition date is the non-credit discount. Interest income for a PCD loan is recognized by accreting the amortized cost basis of the PCD loan to its contractual cash flows. The discount related to estimated credit losses on acquisition recorded as an allowance for credit losses will not be accreted into interest income. Only the noncredit-related discount will be accreted into interest income and subsequent adjustments to expected credit losses will flow through the provision for credit losses on the income statement. Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded, unless considered derivatives. For loan commitments that are not accounted for as derivatives and when the obligation is not unconditionally cancellable by the Company, the Company applies the CECL methodology to estimate the expected credit loss on off-balance-sheet commitments. The estimate of expected credit losses for off-balance-sheet credit commitments is recognized as a liability. When the loan is funded, an allowance for expected credit losses is estimated for that loan using the CECL methodology, and the liability for off-balance-sheet commitments is reduced. When applying the CECL methodology to estimate the expected credit loss, the Company considers the likelihood that funding will occur, the contractual period of exposure to credit loss, the risk of loss, historical loss experience, and current conditions along with expectations of future economic conditions. (K) Premises and equipment: Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Provisions for depreciation are computed principally on the straight-line method and are charged to occupancy expense over the estimated useful lives of the assets. Maintenance agreements are amortized to expense over the period of time covered by the agreement. Costs of major additions, replacements or improvements are capitalized while expenditures for maintenance and repairs are charged to expense as incurred. For financial statement purposes, the estimated useful life for premises is the lesser of the remaining useful life per third party appraisal or forty years, for furniture and fixtures the estimated useful life is seven three (L) Other real estate owned: Real estate acquired through, or in lieu of, loan foreclosure is initially recorded at fair value less the estimated cost to sell at the date of foreclosure, which may establish a new cost basis. Other real estate owned may also include excess facilities and properties held for sale as described in Note 8. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan. After initial measurement, valuations are periodically performed by management and the asset is carried at the lower of carrying amount or fair value less costs to sell. Revenue and expenses from operations are included in other noninterest income and noninterest expenses. Losses due to the valuation of the property are included in gain (loss) on sales or write-downs of other real estate owned. (M) Leases: The Company leases certain banking, mortgage and operations locations. Effective January 1, 2019, the Company records leases on the balance sheet in the form of a lease liability for the present value of future minimum payments under the lease terms and a right-of-use asset equal to the lease liability adjusted for items such as deferred or prepaid rent, incentive liabilities, leasehold intangibles and any impairment of the right-of-use asset. In determining whether a contract contains a lease, management conducts an analysis at lease inception to ensure an asset was specifically identified and the Company has control of use of the asset. For contracts determined to be leases entered into after January 1, 2019, the Company performs additional analysis to determine whether the lease should be classified as a finance or operating lease. The Company considers a lease to be a finance lease if future minimum lease payments amount to greater than 90% of the asset's fair value or if the lease term is equal to or greater than 75% of the asset's estimated economic useful life. As of December 31, 2020, the Company has one finance lease that resulted from the Franklin transaction. As of December 31, 2019, the Company did not have any leases that were determined to be finance leases. The Company does not record leases on the consolidated balance sheets that are classified as short term (less than one year). Additionally, the Company has not recorded equipment leases or leases in which the Company is the lessor on the consolidated balance sheets as these are not material to the Company. At lease inception, the Company determines the lease term by adding together the minimum lease term and all optional renewal periods that it is reasonably certain to renew. This determination is at management's full discretion and is made through consideration of the asset, market conditions, comp

Mergers and acquisitions

Mergers and acquisitions12 Months Ended
Dec. 31, 2020
Business Combinations [Abstract]
Mergers and acquisitionsMergers and acquisitions: The following mergers and acquisitions were accounted for pursuant to FASB ASC 805. Accordingly, the purchase price of each acquisition was allocated to the acquired assets and liabilities assumed based on estimated fair values as of the respective acquisition dates. The excess of the purchase price over the net assets acquired was recorded as goodwill. Franklin Financial Network, Inc. merger Effective August 15, 2020, the Company completed its previously announced merger with Franklin Financial Network, Inc. and its wholly owned subsidiaries, with FB Financial Corporation continuing as the surviving entity. After consolidating duplicative locations the merger added 10 branches and expanded the Company's footprint in middle Tennessee and the Nashville metropolitan statistical area. Under the terms of the agreement, the Company acquired total assets of $3.63 billion, loans of $2.79 billion and assumed total deposits of $3.12 billion. Total loans acquired includes a non-strategic institutional portfolio with a fair value of $326,206 the Company classified as held for sale. Franklin common shareholders received 15,058,181 shares of the Company's common stock, net of the equivalent value of 44,311 shares withheld on certain Franklin employee equity awards that vested upon change in control, as consideration in connection with the merger, in addition to $31,330 in cash consideration. Also included in the purchase price, the Company issued replacement restricted stock units for awards initially granted by Franklin during 2020 that did not vest upon change in control, with a total fair value of $674 attributed to pre-combination service. Based on the closing price of the Company's common stock on the New York Stock Exchange of $29.52 on August 15, 2020, the merger consideration represented approximately $477,830 in aggregate consideration. Goodwill of $67,191 recorded in connection with the transaction resulted from the ongoing business contribution, reputation, operating model and expertise of Franklin. Measurement period adjustments recorded during the fourth quarter of 2020 amounting to $6,546 related to the finalization of valuations relating primarily to commercial loans held for sale, deposits and premises and equipment. The goodwill is not deductible for income tax purposes. Goodwill is included in the Banking segment as substantially all of the operations resulting from the acquisition of Franklin are in alignment with the Company's banking business. The following table presents an allocation of the consideration to net assets acquired: Purchase Price: Equity consideration Franklin shares outstanding (1) 15,588,337 Franklin options converted to net shares 62,906 15,651,243 Exchange ratio to FB Financial shares 0.965 FB Financial shares to be issued as merger consideration (2) 15,102,492 Issuance price as of August 15, 2020 $ 29.52 Value of FB Financial stock to be issued as merger consideration $ 445,826 Less: tax withholding on vested restricted stock awards, units and options (3) (1,308) Value of FB Financial stock issued $ 444,518 FB Financial shares issued 15,058,181 Franklin restricted stock units that do not vest on change in control 114,915 Replacement awards issued to Franklin employees 118,776 Fair value of replacement awards $ 3,506 Fair value of replacement awards attributable to pre-combination service $ 674 Cash consideration Total Franklin shares and net shares outstanding 15,651,243 Cash consideration per share $ 2.00 Total cash to be paid to Franklin (4) $ 31,330 Total purchase price $ 477,830 Fair value of net assets acquired 410,639 Goodwill resulting from merger $ 67,191 (1) Franklin shares outstanding includes restricted stock awards and restricted stock units that vested upon change in control. (2) Only factors in whole share issuance. Cash was paid in lieu of fractional shares. (3) Represents the equivalent value of approximately 44,311 shares of FB Financial Corporation stock on August 15, 2020. (4) Includes $28 of cash paid in lieu of fractional shares. FNB Financial Corp. merger Effective February 14, 2020, the Company completed its previously announced acquisition of FNB Financial Corp. and its wholly owned subsidiary, Farmers National Bank of Scottsville (collectively, "Farmers National"). Following the acquisition, Farmers National was merged into the Company with FB Financial Corporation continuing as the surviving entity. The transaction added four branches and expanded the Company's footprint into Kentucky. Under the terms of the agreement, the Company acquired total assets of $258,218, loans of $182,171 and assumed total deposits of $209,535. Farmers National shareholders received 954,797 shares of the Company's common stock as consideration in connection with the merger, in addition to $15,001 in cash consideration. Based on the closing price of the Company's common stock on the New York Stock Exchange of $36.70 on February 14, 2020, the merger consideration represented approximately $50,042 in aggregate consideration. Goodwill of $6,319 recorded in connection with the transaction resulted from the ongoing business contribution of Farmers National and anticipated synergies arising from the combination of certain operational areas of the Company. Goodwill resulting from this transaction is not deductible for income tax purposes. Goodwill is included in the Banking segment as substantially all of the operations resulting from the acquisition of Farmers National are in alignment with the Company's core banking business. The Company incurred $2,338 in merger expenses during the year ended December 31, 2020 in connection with this transaction. These expenses are primarily comprised of professional services, employee-related costs, and integration costs. The following table presents the total purchase price, fair value of net assets acquired, and the goodwill as of the acquisition date. Consideration: Net shares issued 954,797 Purchase price per share on February 14, 2020 $ 36.70 Value of stock consideration $ 35,041 Cash consideration paid 15,001 Total purchase price $ 50,042 Fair value of net assets acquired 43,723 Goodwill resulting from merger $ 6,319 Atlantic Capital Bank, N.A. Branches On April 5, 2019, the Bank completed its branch acquisition to purchase 11 Tennessee and three Georgia branch locations (the "Branches") from Atlantic Capital Bank, N.A., a national banking association and a wholly owned subsidiary of Atlantic Capital Bancshares, Inc., a Georgia corporation (collectively, "Atlantic Capital") in a transaction valued at $36,790, further increasing market share in existing markets and expanding the Company's footprint into new locations. The branch acquisition added $588,877 in customer deposits at a premium of 6.25%, $374,966 in loans at 99.32% of principal outstanding and $31,961 of goodwill. All of the operations of the Branches are included in the Banking segment. Net assets acquired The following table summarizes the estimated fair values of assets acquired and liabilities assumed as of the respective acquisition dates: As of August 15, 2020 As of February 14, 2020 Franklin Financial Network, Inc. FNB Financial Corp. ASSETS Cash and cash equivalents $ 284,004 $ 10,774 Investments 373,462 50,594 Mortgage loans held for sale, at fair value 38,740 — Commercial loans held for sale, at fair value 326,206 — Loans held for investment, net of fair value adjustments 2,427,527 182,171 Allowance for credit losses on PCD loans (24,831) (669) Premises and equipment 45,471 8,049 Operating lease right-of-use assets 23,958 14 Mortgage servicing rights 5,111 — Core deposit intangible 7,670 2,490 Other assets 124,571 4,795 Total assets $ 3,631,889 $ 258,218 LIABILITIES Deposits: Noninterest-bearing $ 505,374 $ 63,531 Interest-bearing 1,783,379 26,451 Money market and savings 342,093 37,002 Customer time deposits 383,433 82,551 Brokered and internet time deposits 107,452 — Total deposits 3,121,731 209,535 Borrowings 62,435 3,192 Operating lease liabilities 24,330 14 Accrued expenses and other liabilities 12,661 1,754 Total liabilities assumed 3,221,157 214,495 Noncontrolling interests acquired 93 — Net assets acquired $ 410,639 $ 43,723 Purchased credit-deteriorated loans Under CECL, the Company is required to determine whether purchased loans held for investment have experienced more-than-insignificant deterioration in credit quality since origination. Loans that have experienced this level of deterioration in credit quality are subject to special accounting at initial recognition and measurement. The Company initially measures the amortized cost of a PCD loan by adding the acquisition date estimate of expected credit losses to the loan's purchase price (i.e. the "gross up" approach). There is no provision for credit loss recognized upon acquisition of a PCD loan because the initial allowance is established through gross-up of the loans' amortized cost. The Company determined that 27.9% of the Franklin loan portfolio had more-than-insignificant deterioration in credit quality since origination as of the acquisition date. This included deterioration in credit metrics, such as delinquency, nonaccrual status or risk ratings as well as certain loans within designated industries of concern that have been negatively impacted by COVID-19. Additionally, it was determined that 10.1% of the Farmers National loan portfolio had more-than-insignificant deterioration in credit quality since origination as of the February acquisition date. These were primarily delinquent loans as of February 14, 2020, or loans that Farmers National had classified as nonaccrual or TDR prior to the Company's acquisition. As of August 15, 2020 As of February 14, 2020 Franklin Financial Network, Inc. FNB Financial Corp. Purchased credit-deteriorated loans Principal balance $ 693,999 $ 18,964 Allowance for credit losses at acquisition (24,831) (669) Net premium attributable to other factors 8,810 63 Loans purchased credit-deteriorated fair value $ 677,978 $ 18,358 Loans recognized through the acquisition of Franklin and Farmers National that have not experienced more-than-insignificant credit deterioration since origination are initially recognized at the purchase price. Expected credit losses are measured under CECL through the provision for credit losses. The Company recorded provisions for credit losses in the amounts of $52,822 and $2,885 as of August 15, 2020 and February 14, 2020, respectively, in the income statement related to estimated credit losses on non-PCD loans from Franklin and Farmers National, respectively. Additionally, the Company estimates expected credit losses on off-balance sheet loan commitments that are not accounted for as derivatives. The Company recorded an increase in provision for credit losses from unfunded commitments of $10,499 as of August 15, 2020 related to the Franklin acquisition. Pro forma financial information (unaudited) The results of operations of the acquisitions have been included in the Company's consolidated financial statements prospectively beginning on the date of each acquisition. The acquisitions have been fully integrated with the Company's existing operations. Accordingly, post-acquisition net interest income, total revenues, and net income are not discernible.The following unaudited pro forma condensed consolidated financial information presents the results of operations for the year ended December 31, 2020 and 2019, respectively, as though the Franklin merger and Farmers National acquisition had been completed as of January 1, 2019, and the Atlantic Capital acquisition had been completed as of January 1, 2018. The unaudited estimated pro forma information combines the historical results of the mergers with the Company’s historical consolidated results and includes certain adjustments reflecting the estimated impact of certain fair value adjustments for the periods presented. Merger expenses are reflected in the periods they were incurred. The pro forma information is not indicative of what would have occurred had the transactions taken place on January 1, 2019 and January 1, 2018, and does not include the effect of cost-saving or revenue-enhancing strategies. Year Ended December 31, 2020 2019 2018 Net interest income $ 338,092 $ 348,660 $ 220,269 Total revenues $ 654,374 $ 504,273 $ 354,258 Net income $ 65,135 $ 99,898 $ 78,762

Cash and cash equivalents conce

Cash and cash equivalents concentrations12 Months Ended
Dec. 31, 2020
Cash and Cash Equivalents [Abstract]
Cash and cash equivalents concentrationsCash and cash equivalents concentrations:The Bank is required to maintain an average reserve balance with the Federal Reserve Bank or maintain such reserve balance in the form of cash. The required balance was $0 and $20,881 as of December 31, 2020 and 2019. The Bank maintains its cash in bank deposit accounts, which, at times, may exceed federally insured limits. The Bank has not experienced any losses in such correspondent accounts and believes it is not exposed to any significant credit risk from cash and cash equivalents. The Bank had cash in the form of Federal funds sold included in cash and cash equivalents of $121,153 and $131,119 as of December 31, 2020 and 2019, respectively.

Investment securities

Investment securities12 Months Ended
Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]
Investment securitiesInvestment securities: The following tables summarize the amortized cost, allowance for credit losses and fair value of the available-for-sale debt securities and the corresponding amounts of unrealized gains and losses recognized in accumulated other comprehensive income at December 31, 2020 and 2019: December 31, 2020 Amortized cost Gross unrealized gains Gross unrealized losses Allowance for credit losses for investments Fair Value Investment Securities Available-for-sale debt securities U.S. government agency securities $ 2,000 $ 3 $ — $ — $ 2,003 Mortgage-backed securities - residential 760,099 14,040 (803) — 773,336 Mortgage-backed securities - commercial 20,226 1,362 — — 21,588 States and political subdivisions 336,543 19,806 (20) — 356,329 U.S. Treasury securities 16,480 148 — — 16,628 Corporate securities 2,500 17 (1) — 2,516 Total $ 1,137,848 $ 35,376 $ (824) $ — $ 1,172,400 December 31, 2019 Amortized cost Gross unrealized gains Gross unrealized losses Fair Value Investment Securities Available-for-sale debt securities Mortgage-backed securities - residential $ 474,144 $ 4,829 $ (1,661) $ 477,312 Mortgage-backed securities - commercial 12,957 407 — 13,364 States and political subdivisions 181,178 8,287 (230) 189,235 U.S. Treasury securities 7,426 22 — 7,448 Corporate securities 1,000 22 — 1,022 Total $ 676,705 $ 13,567 $ (1,891) $ 688,381 The components of amortized cost for debt securities on the consolidated balance sheets excludes accrued interest receivable since the Company elected to present accrued interest receivable separately on the consolidated balance sheets. As of December 31, 2020 and 2019, total accrued interest receivable on debt securities was $4,540 and $2,843, respectively. As of December 31, 2020 and 2019, the Company had $4,591 and $3,295, respectively, in marketable equity securities recorded at fair value, respectively. Securities pledged at December 31, 2020 and 2019 had carrying amounts of $804,821 and $373,674, respectively, and were pledged to secure a Federal Reserve Bank line of credit, public deposits and repurchase agreements. There were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of shareholders' equity during any period presented. At December 31, 2020 and December 31, 2019, there were no trade date payables that related to purchases settled after period end. The amortized cost and fair value of debt securities by contractual maturity at December 31, 2020 and December 31, 2019 are shown below. Maturities may differ from contractual maturities in mortgage-backed securities because the mortgage underlying the security may be called or repaid without any penalties. Therefore, mortgage-backed securities are not included in the maturity categories in the following maturity summary. December 31, December 31, 2020 2019 Available-for-sale Available-for-sale Amortized cost Fair value Amortized cost Fair value Due in one year or less $ 35,486 $ 35,662 $ 1,148 $ 1,152 Due in one to five years 24,278 24,684 11,553 11,676 Due in five to ten years 40,038 41,332 18,287 18,887 Due in over ten years 257,721 275,798 158,616 165,990 357,523 377,476 189,604 197,705 Mortgage-backed securities - residential 760,099 773,336 474,144 477,312 Mortgage-backed securities - commercial 20,226 21,588 12,957 13,364 Total debt securities $ 1,137,848 $ 1,172,400 $ 676,705 $ 688,381 Sales and other dispositions of available-for-sale securities were as follows: Year Ended December 31, 2020 2019 2018 Proceeds from sales $ 146,494 $ 24,498 $ 2,742 Proceeds from maturities, prepayments and calls 220,549 113,018 73,066 Gross realized gains 1,606 7 9 Gross realized losses 271 98 44 Additionally, net unrealized gains on equity securities of $296 and $148 were recognized in the years ended December 31, 2020 and 2019, respectively. The following tables show gross unrealized losses for which an allowance for credit losses has not been recorded at December 31, 2020 and December 31, 2019, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: December 31, 2020 Less than 12 months 12 months or more Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. government agency securities $ — $ — $ — $ — $ — $ — Mortgage-backed securities - residential 182,012 (803) — — 182,012 (803) States and political subdivisions 3,184 (20) — — 3,184 (20) Corporate securities 499 (1) — — 499 (1) Total $ 185,695 $ (824) $ — $ — $ 185,695 $ (824) December 31, 2019 Less than 12 months 12 months or more Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized loss Mortgage-backed securities - residential $ 47,641 $ (164) $ 175,730 $ (1,497) $ 223,371 $ (1,661) States and political subdivisions 15,433 (230) — — 15,433 (230) Total $ 63,074 $ (394) $ 175,730 $ (1,497) $ 238,804 $ (1,891) As of December 31, 2020 and December 31, 2019, the Company’s securities portfolio consisted of 514 and 365 securities, 16 and 58 of which were in an unrealized loss position, respectively.

Loans and Allowance for credit

Loans and Allowance for credit Losses12 Months Ended
Dec. 31, 2020
Receivables [Abstract]
Loans and allowance for credit lossesLoans and allowance for credit losses: Loans outstanding at December 31, 2020 and 2019, by class of financing receivable are as follows: December 31, December 31, 2020 2019 Commercial and industrial (1) $ 1,346,122 $ 1,034,036 Construction 1,222,220 551,101 Residential real estate: 1-to-4 family mortgage 1,089,270 710,454 Residential line of credit 408,211 221,530 Multi-family mortgage 175,676 69,429 Commercial real estate: Owner occupied 924,841 630,270 Non-owner occupied 1,598,979 920,744 Consumer and other 317,640 272,078 Gross loans 7,082,959 4,409,642 Less: Allowance for credit losses (170,389) (31,139) Net loans $ 6,912,570 $ 4,378,503 (1) Includes $212,645 of loans originated as part of the PPP at December 31, 2020, established by the CARES Act, in response to the COVID-19 pandemic. The PPP is administered by the SBA; loans originated as part of the PPP may be forgiven by the SBA under a set of defined rules. PPP loans are federally guaranteed as part of the CARES Act, provided PPP loan recipients receive loan forgiveness under the SBA regulations. As such, there is minimal credit risk associated with these loans. As of December 31, 2020 and December 31, 2019, $1,248,857 and $412,966, respectively, of qualifying residential mortgage loans (including loans held for sale) and $1,532,749 and $545,540, respectively, of qualifying commercial mortgage loans were pledged to the Federal Home Loan Bank of Cincinnati securing advances against the Bank’s line of credit. Additionally, as of December 31, 2020 and December 31, 2019, $2,463,281 and $1,407,662, respectively, of qualifying loans were pledged to the Federal Reserve Bank under the Borrower-in-Custody program. The components of amortized cost for loans on the consolidated balance sheet excludes accrued interest receivable as the Company elected to present accrued interest receivable separately on the balance sheet. As of December 31, 2020, total accrued interest receivable on loans was $38,316. Allowance for Credit Losses As of January 1, 2020, the Company’s policy for the allowance changed with the adoption of CECL. As permitted, the new guidance was implemented using a modified retrospective approach with the impact of the initial adoption being recorded through retained earnings at January 1, 2020, with no restatement of prior periods. Before January 1, 2020, the Company calculated the allowance on an incurred loss approach. As of January 1, 2020, the Company calculated an expected credit loss using a lifetime loss rate methodology. As a result of the difference in methodology between periods, disclosures presented below may not be comparative in nature. The Company utilizes probability-weighted forecasts, which consider multiple macroeconomic variables from a third-party vendor that are applicable to the type of loan. Each of the Company's loss rate models incorporate forward-looking macroeconomic projections throughout the reasonable and supportable forecast period and the subsequent historical reversion at the macroeconomic variable input level. In order to estimate the life of a loan, the contractual term of the loan is adjusted for estimated prepayments based on market information and the Company’s prepayment history. The Company's loss rate models estimate the lifetime loss rate for pools of loans by combining the calculated loss rate based on each variable within the model (including the macroeconomic variables). The lifetime loss rate for the pool is then multiplied by the loan balances to determine the expected credit losses on the pool. The Company considers the need to qualitatively adjust its modeled quantitative expected credit loss estimate for information not already captured in the model loss estimation process. These qualitative factor adjustments may increase or decrease the Company’s estimate of expected credit losses. The Company reviews the qualitative adjustments so as to validate that information that has already been considered and included in the modeled quantitative loss estimation process is not also included in the qualitative adjustment. The Company considers the qualitative factors that are relevant to the institution as of the reporting date, which may include, but are not limited to: levels of and trends in delinquencies and performance of loans; levels of and trends in write-offs and recoveries collected; trends in volume and terms of loans; effects of any changes in reasonable and supportable economic forecasts; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and expertise; available relevant information sources that contradict the Company’s own forecast; effects of changes in prepayment expectations or other factors affecting assessments of loan contractual terms; industry conditions; and effects of changes in credit concentrations. The quantitative models require loan data and macroeconomic variables based on the inherent credit risks in each portfolio to more accurately measure the credit risks associated with each. Each of the quantitative models pools loans with similar risk characteristics and collectively assesses the lifetime loss rate for each pool to estimate its expected credit loss. When a loan no longer shares similar risk characteristics with other loans in any given pool, the loan is individually assessed. The Company has determined the following circumstances in which a loan may require an individual evaluation: collateral dependent loans; loans for which foreclosure is probable; TDRs and reasonably expected TDRs. A loan is deemed collateral dependent when 1) the borrower is experiencing financial difficulty and 2) the repayment is expected to be primarily through sale or operation of the collateral. The allowance for credit losses for collateral dependent loans as well as loans where foreclosure is probable is calculated as the amount for which the loan’s amortized cost basis exceeds fair value. Fair value is determined based on appraisals performed by qualified appraisers and reviewed by qualified personnel. In cases where repayment is to be provided substantially through the sale of collateral, the Company reduces the fair value by the estimated costs to sell. Loans experiencing financial difficulty for which a concession has not yet been provided may be identified as reasonably expected TDRs. Reasonably expected TDRs use the same methodology as TDRs. In cases where the expected credit loss can only be captured through a discounted cash flow analysis (such as an interest rate modification for a TDR loan), the allowance is measured by the amount which the loan’s amortized cost exceeds the discounted cash flow analysis. The allowance for credit losses on a TDR or a reasonably expected TDR is calculated individually using a discounted cash flow methodology, unless the loan is deemed to be collateral dependent or foreclosure is probable. The Company’s acquisitions and changes in reasonable and supportable forecasts of macroeconomic variables, primarily due to the impact of the COVID-19 pandemic, resulted in projected credit deterioration requiring the Company to recognize significant increases in the provision for credit losses during the year ended December 31, 2020. Specifically, the Company performed additional qualitative evaluations by class of financing receivable in line with the Company's established qualitative framework, weighting the impact of the current economic outlook, status of federal government stimulus programs, and other considerations, in order to identify specific industries or borrowers seeing credit improvement or deterioration specific to the COVID-19 pandemic. Loans acquired during the period from Franklin increased the allowance for credit losses by $77,653 as of the August 15, 2020 acquisition date and Farmers National increased the allowance for credit losses by $4,494 as of the February 14, 2020 acquisition date. See Note 2, "Mergers and acquisitions" for additional details related to PCD loans acquired during the year ended December 31, 2020. The following provides the changes in the allowance for credit losses by class of financing receivable for the years ended December 31, 2020, 2019, and 2018: Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Year Ended December 31, 2020 Beginning balance - December 31, 2019 $ 4,805 $ 10,194 $ 3,112 $ 752 $ 544 $ 4,109 $ 4,621 $ 3,002 $ 31,139 Impact of adopting ASC 326 on non-purchased credit deteriorated loans 5,300 1,533 7,920 3,461 340 1,879 6,822 3,633 30,888 Impact of adopting ASC 326 on purchased credit deteriorated loans 82 150 421 (3) — 162 184 (438) 558 Provision for credit losses 13,830 40,807 6,408 5,649 5,506 (1,739) 17,789 6,356 94,606 Recoveries of loans previously charged-off 1,712 205 122 125 — 83 — 756 3,003 Loans charged off (11,735) (18) (403) (22) — (304) (711) (2,112) (15,305) Initial allowance on loans purchased with deteriorated credit quality 754 5,606 1,640 572 784 659 15,442 43 25,500 Ending balance - December 31, 2020 $ 14,748 $ 58,477 $ 19,220 $ 10,534 $ 7,174 $ 4,849 $ 44,147 $ 11,240 $ 170,389 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Year Ended December 31, 2019 Beginning balance - December 31, 2018 $ 5,348 $ 9,729 $ 3,428 $ 811 $ 566 $ 3,132 $ 4,149 $ 1,769 $ 28,932 Provision for loan losses 2,251 454 (175) 112 (22) 869 484 3,080 7,053 Recoveries of loans previously charged-off 136 11 79 138 — 108 — 634 1,106 Loans charged off (2,930) — (220) (309) — — (12) (2,481) (5,952) Ending balance - December 31, 2019 $ 4,805 $ 10,194 $ 3,112 $ 752 $ 544 $ 4,109 $ 4,621 $ 3,002 $ 31,139 Commercial and industrial Construction 1-to-4 family residential mortgage Residential line of credit Multi-family residential mortgage Commercial real estate owner occupied Commercial real estate non-owner occupied Consumer and Other Total Year Ended December 31, 2018 Beginning balance - $ 4,461 $ 7,135 $ 3,197 $ 944 $ 434 $ 3,558 $ 2,817 $ 1,495 $ 24,041 Provision for loan losses 1,395 1,459 547 (275) 132 (478) 1,281 1,337 5,398 Recoveries of loans 390 1,164 171 178 — 143 51 550 2,647 Loans charged off (898) (29) (138) (36) — (91) — (1,613) (2,805) Adjustments for transfers to loans HFS — — (349) — — — — — (349) Ending balance - $ 5,348 $ 9,729 $ 3,428 $ 811 $ 566 $ 3,132 $ 4,149 $ 1,769 $ 28,932 The following tables provides the amount of the allowance for credit losses by class of financing receivable disaggregated by measurement methodology as of December 31, 2020, 2019 and 2018: December 31, 2020 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Amount of allowance allocated to: Individually evaluated for credit loss $ 373 $ 95 $ — $ 9 $ — $ 30 $ 1,531 $ 1 $ 2,039 Collectively evaluated for credit loss 13,493 54,065 17,206 10,031 6,326 4,062 33,706 10,516 149,405 Purchased credit deteriorated 882 4,317 2,014 494 848 757 8,910 723 18,945 Ending balance - December 31, 2020 $ 14,748 $ 58,477 $ 19,220 $ 10,534 $ 7,174 $ 4,849 $ 44,147 $ 11,240 $ 170,389 December 31, 2019 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Amount of allowance allocated to: Individually evaluated for impairment $ 241 $ — $ 8 $ 9 $ — $ 238 $ 399 $ — $ 895 Collectively evaluated for impairment 4,457 10,192 2,940 743 544 3,853 3,909 1,933 28,571 Acquired with deteriorated credit quality 107 2 164 — — 18 313 1,069 1,673 Ending balance - December 31, 2019 $ 4,805 $ 10,194 $ 3,112 $ 752 $ 544 $ 4,109 $ 4,621 $ 3,002 $ 31,139 December 31, 2018 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Amount of allowance allocated to: Individually evaluated for impairment $ 3 $ — $ 7 $ — $ — $ 53 $ 205 $ — $ 268 Collectively evaluated for impairment 5,247 9,677 3,205 811 566 3,066 3,628 1,583 27,783 Acquired with deteriorated credit quality 98 52 216 — — 13 316 186 881 Ending balance - December 31, 2018 $ 5,348 $ 9,729 $ 3,428 $ 811 $ 566 $ 3,132 $ 4,149 $ 1,769 $ 28,932 The following table provides the amount of loans by class of financing receivable disaggregated by measurement methodology as of December 31, 2020, 2019, and 2018: December 31, 2020 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Loans, net of unearned income Individually evaluated for credit loss $ 15,578 $ 4,851 $ 848 $ 412 $ — $ 7,846 $ 8,631 $ 39 $ 38,205 Collectively evaluated for credit loss 1,270,058 1,140,634 987,142 387,250 156,447 813,151 1,272,203 302,983 6,329,868 Purchased credit deteriorated 60,486 76,735 101,280 20,549 19,229 103,844 318,145 14,618 714,886 Ending balance - December 31, 2020 $ 1,346,122 $ 1,222,220 $ 1,089,270 $ 408,211 $ 175,676 $ 924,841 $ 1,598,979 $ 317,640 $ 7,082,959 December 31, 2019 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Loans, net of unearned income Individually evaluated for impairment $ 9,026 $ 2,061 $ 1,347 $ 579 $ — $ 2,993 $ 7,755 $ 49 $ 23,810 Collectively evaluated for impairment 1,023,326 546,156 689,769 220,878 69,429 621,386 902,792 254,944 4,328,680 Acquired with deteriorated credit quality 1,684 2,884 19,338 73 — 5,891 10,197 17,085 57,152 Ending balance - December 31, 2019 $ 1,034,036 $ 551,101 $ 710,454 $ 221,530 $ 69,429 $ 630,270 $ 920,744 $ 272,078 $ 4,409,642 December 31, 2018 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Loans, net of unearned income Individually evaluated for impairment $ 1,847 $ 1,221 $ 987 $ 245 $ — $ 2,608 $ 6,735 $ 73 $ 13,716 Collectively evaluated for impairment 863,788 549,075 535,451 190,235 75,457 484,900 677,247 208,643 3,584,796 Acquired with deteriorated credit quality 1,448 5,755 19,377 — — 6,016 16,266 20,137 68,999 Ending balance - December 31, 2018 $ 867,083 $ 556,051 $ 555,815 $ 190,480 $ 75,457 $ 493,524 $ 700,248 $ 228,853 $ 3,667,511 Credit Quality The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans that share similar risk characteristics collectively. Loans that do not share similar risk characteristics are evaluated individually. The Company uses the following definitions for risk ratings: Pass. Loans rated Pass include those that are adequately performing and collateralized and which management believes do not have conditions that have occurred or may occur that would result in the loan being downgraded into an inferior category. Watch. Loans rated as Watch include those that management believes have conditions that have occurred, or may occur, which could result in the loan being downgraded to an inferior category. Also included in watch are loans rated as special mention, which have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. Substandard. Loans rated as Substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so rated have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful. Loans classified as Doubtful have all the weaknesses inherent in those classified as substandard, 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. Risk ratings are updated on an ongoing basis and are subject to change by continuous loan monitoring processes. The following table presents the credit quality of our loan portfolio by year of origination as of December 31, 2020. Revolving loans are presented separately. Management considers the guidance in ASC 310-20 when determining whether a modification, extension, or renewal constitutes a current period origination. Generally, current period renewals of credit are reunderwritten at the point of renewal and considered current period originations for the purposes of the table below. As of December 31, Term Loans Amortized Cost Basis by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Total Commercial and industrial Pass $ 335,519 $ 183,905 $ 64,897 $ 56,598 $ 30,641 $ 40,964 $ 525,885 $ 1,238,409 Watch 3,786 2,555 6,213 3,764 7,847 4,301 39,901 68,367 Substandard 2,467 2,688 11,227 4,403 6,582 1,277 10,502 39,146 Doubtful 34 — — 22 — — 144 200 Total 341,806 189,148 82,337 64,787 45,070 46,542 576,432 1,346,122 Construction Pass 460,232 387,759 78,319 40,777 40,386 59,344 112,004 1,178,821 Watch 1,952 4,169 10,368 13,386 1,250 3,559 — 34,684 Substandard 573 1,755 3,178 129 — 3,068 — 8,703 Doubtful — — — 12 — — — 12 Total 462,757 393,683 91,865 54,304 41,636 65,971 112,004 1,222,220 Residential real estate: 1-to-4 family mortgage Pass 282,747 176,374 159,036 147,816 107,911 152,027 — 1,025,911 Watch 1,783 2,166 6,672 10,668 4,004 13,889 — 39,182 Substandard 448 1,422 3,787 5,473 3,418 9,043 — 23,591 Doubtful — 6 19 — 204 357 — 586 Total 284,978 179,968 169,514 163,957 115,537 175,316 — 1,089,270 Residential line of credit Pass — — — — — — 396,348 396,348 Watch — — — — — — 6,511 6,511 Substandard — — — — — — 4,756 4,756 Doubtful — — — — — — 596 596 Total — — — — — — 408,211 408,211 Multi-family mortgage Pass 29,006 13,446 11,843 46,561 28,330 35,339 11,094 175,619 Watch — — — — — — — — Substandard — — — — — 57.00 — 57 Doubtful — — — — — — — — Total 29,006 13,446 11,843 46,561 28,330 35,396 11,094 175,676 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Owner occupied Pass 133,046 174,965 95,182 89,214 76,539 208,013 51,264 828,223 Watch 8,825 5,891 6,646 21,618 6,101 18,561 2,417 70,059 Substandard 44 1,785 2,423 6,074 274 11,226 4,733 26,559 Doubtful — — — — — — — — Total 141,915 182,641 104,251 116,906 82,914 237,800 58,414 924,841 Non-owner occupied Pass 166,962 222,238 324,848 193,496 264,820 237,933 37,787 1,448,084 Watch — 8,704 24,464 27,653 25,550 42,696 1,033 130,100 Substandard — 2,210 1,502 — — 17,083 — 20,795 Doubtful — — — — — — — — Total 166,962 233,152 350,814 221,149 290,370 297,712 38,820 1,598,979 Consumer and other loans Pass 89,625 52,725 39,420 26,172 40,980 31,063 14,816 294,801 Watch 281 911 1,893 1,497 3,049 7,974 12 15,617 Substandard 96 131 867 881 779 2,044 668 5,466 Doubtful 55 434 567 280 156 264 — 1,756 Total 90,057 54,201 42,747 28,830 44,964 41,345 15,496 317,640 Total Pass 1,497,137 1,211,412 773,545 600,634 589,607 764,683 1,149,198 6,586,216 Watch 16,627 24,396 56,256 78,586 47,801 90,980 49,874 364,520 Substandard 3,628 9,991 22,984 16,960 11,053 43,798 20,659 129,073 Doubtful 89 440 586 314 360 621 740 3,150 Total $ 1,517,481 $ 1,246,239 $ 853,371 $ 696,494 $ 648,821 $ 900,082 $ 1,220,471 $ 7,082,959 The following disclosures are presented in accordance with GAAP in effect prior to the adoption of CECL. The Company has included these disclosures to address the applicable prior periods presented. The following table shows credit quality indicators by class of financing receivable at December 31, 2019. December 31, 2019 Pass Watch Substandard Total Loans, excluding purchased credit impaired loans Commercial and industrial $ 946,247 $ 66,910 $ 19,195 $ 1,032,352 Construction 541,201 4,790 2,226 548,217 Residential real estate: 1-to-4 family mortgage 666,177 11,380 13,559 691,116 Residential line of credit 218,086 1,343 2,028 221,457 Multi-family mortgage 69,366 63 — 69,429 Commercial real estate: Owner occupied 576,737 30,379 17,263 624,379 Non-owner occupied 876,670 24,342 9,535 910,547 Consumer and other 248,632 3,304 3,057 254,993 Total loans, excluding purchased credit impaired loans $ 4,143,116 $ 142,511 $ 66,863 $ 4,352,490 Purchased credit impaired loans Commercial and industrial $ — $ 1,224 $ 460 $ 1,684 Construction — 2,681 203 2,884 Residential real estate: 1-to-4 family mortgage — 15,091 4,247 19,338 Residential line of credit — — 73 73 Multi-family mortgage — — — — Commercial real estate: Owner occupied — 4,535 1,356 5,891 Non-owner occupied — 6,617 3,580 10,197 Consumer and other — 13,521 3,564 17,085 Total purchased credit impaired loans — 43,669 13,483 57,152 Total loans $ 4,143,116 $ 186,180 $ 80,346 $ 4,409,642 Nonaccrual and Past Due Loans Nonperforming loans include loans that are no longer accruing interest (nonaccrual loans) and loans past due ninety or more days and still accruing interest. The following tables provide information on nonaccrual and past due loans as of December 31, 2020 and December 31, 2019. For December 31, 2019, purchased credit impaired ("PCI") loans are not included in the nonperforming disclosures as these loans are considered to be performing, even though they may be contractually past due. This is because any non-payment of contractual principal or interest was considered in the periodic re-estimation of expected cash flows and was included in the 2019 loan loss provision or future period yield adjustments. Under PCD accounting, management considers changes in the credit quality of the borrower as part of its regular estimation of expected credit losses and does not make the same future yield adjustments as under the PCI accounting. Consequently, PCD loans that are contractually past due or on nonaccrual status, including those formerly accounted for as PCI loans, are included in the December 31, 2020 nonperforming disclosures. The following table represents an analysis of the aging by class of financing receivable as of December 31, 2020: December 31, 2020 30-89 days 90 days or Non-accrual Loans current Total Commercial and industrial $ 3,297 $ 330 $ 16,005 $ 1,326,490 $ 1,346,122 Construction 7,607 573 4,053 1,209,987 1,222,220 Residential real estate: 1-to-4 family mortgage 7,058 10,470 5,923 1,065,819 1,089,270 Residential line of credit 3,551 239 1,757 402,664 408,211 Multi-family mortgage — 57 — 175,619 175,676 Commercial real estate: Owner occupied 98 — 7,948 916,795 924,841 Non-owner occupied 915 — 12,471 1,585,593 1,598,979 Consumer and other 4,469 2,027 2,603 308,541 317,640 Total $ 26,995 $ 13,696 $ 50,760 $ 6,991,508 $ 7,082,959 The following tables provide the amortized cost basis of loans on non-accrual status, as well as any related allowance and interest income, by class of financing receivable as of or for the year ended December 31, 2020: u End of period amortized cost Beginning of Non-accrual Non-accrual Related Year to date Interest Income Commercial and industrial $ 5,586 $ 13,960 $ 2,045 $ 383 $ 325 Construction 1,254 3,061 992 131 69 Residential real estate: 1-to-4 family mortgage 4,585 3,048 2,875 84 22 Residential line of credit 489 854 903 31 72 Commercial real estate: Owner occupied 2,285 7,172 776 63 89 Non-owner occupied 9,460 4,566 7,905 1,711 215 Consumer and other 1,623 — 2,603 147 24 Total $ 25,282 $ 32,661 $ 18,099 $ 2,550 $ 816 The following disclosures are presented in accordance with GAAP in effect prior to the adoption of CECL. The Company has included these disclosures to address the applicable prior periods presented. The following table provides the period-end amounts of loans that are past due, loans not accruing interest and loans current on payments accruing interest by category at December 31, 2019: December 31, 2019 30-89 days 90 days or Non-accrual Purchased Credit Loans current on payments and accruing interest Total Commercial and industrial $ 1,918 $ 291 $ 5,587 $ 1,684 $ 1,024,556 $ 1,034,036 Construction 1,021 42 1,087 2,884 546,067 551,101 Residential real estate: 1-to-4 family mortgage 10,738 3,965 3,332 19,338 673,081 710,454 Residential line of credit 658 412 416 73 219,971 221,530 Multi-family mortgage 63 — — — 69,366 69,429 Commercial real estate: Owner occupied 1,375 — 1,793 5,891 621,211 630,270 Non-owner occupied 327 — 7,880 10,197 902,340 920,744 Consumer and other 2,377 833 967 17,085 250,816 272,078 Total $ 18,477 $ 5,543 $ 21,062 $ 57,152 $ 4,307,408 $ 4,409,642 Impaired Loans The following disclosures are presented in accordance with GAAP in effect prior to the adoption of CECL. The Company has included these disclosures to address the applicable prior periods presented. Impaired loans recognized in conformity with ASC 310 at December 31, 2019 segregated by class, were as follows: December 31, 2019 Recorded Unpaid Related With a related allowance recorded: Commercial and industrial $ 6,080 $ 8,350 $ 241 Residential real estate: 1-to-4 family mortgage 264 324 8 Residential line of credit 320 320 9 Commercial real estate: Owner occupied 756 1,140 238 Non-owner occupied 6,706 6,747 399 Total $ 14,126 $ 16,881 $ 895 With no related allowance recorded: Commercial and industrial $ 2,946 $ 3,074 $ — Construction 2,061 2,499 — Residential real estate: 1-to-4 family mortgage 1,083 1,449 — Residential line of credit 259 280 — Commercial real estate: Owner occupied 2,237 2,627 — Non-owner occupied 1,049 1,781 — Consumer and other 49 49 — Total $ 9,684 $ 11,759 $ — Total impaired loans $ 23,810 $ 28,640 $ 895 Average recorded investment and interest income on a cash basis recognized during the years ended December 31, 2019, and 2018 on impaired loans, segregated by class, were as follows: December 31, 2019 2018 Average recorded investment Interest income recognized (cash basis) Average recorded investment Interest income recognized (cash basis) With a related allowance recorded: Commercial and industrial $ 3,349 $ 474 $ 335 $ 121 Residential real estate: 1-to-4 family mortgage 205 13 170 9 Commercial real estate: Owner occupied 658 27 702 43 Non-owner occupied 6,196 109 2,915 2 Consumer and other — — — — Total $ 10,568 $ 624 $ 4,122 $ 175 With no related allowance recorded: Commercial and industrial $ 2,088 $ 201 $ 1,377 $ 70 Construction 1,641 167 1,255 74 Residential real estate: 1-to-4 family mortgage 963 68 955 74 Residential line of credit 252 1 123 15 Commercial real estate: Owner occupied 2,143 133 1,862 148 Non-owner occupied 1,049 — 1,313 7 Consumer and other 61 5 49 4 Total $ 8,197 $ 575 $ 7,423 $ 418 Total impaired loans $ 18,765 $ 1,199 $ 11,545 $ 593 Purchased Credit Impaired Loans The following disclosures are presented in accordance with GAAP in effect prior to the adoption of CECL. The Company has included these disclosures to address the applicable prior periods presented. As of December 31, 2019 and 2018, the carrying value of PCI loans accounted for under ASC 310-30 "Loans and Debt Securities Acquired with Deteriorated Credit Quality" was $57,152 and $68,999. The following table presents changes in the value of the accretable yield for PCI loans for the periods indicated. Year Ended December 31, 2019 2018 Balance at the beginning of period $ (16,587) $ (17,682) Additions through business combinations (1,167) — Principal reductions and other reclassifications from nonaccretable difference 61 (4,047) Accretion 7,003 9,010 Changes in expected cash flows (360) (3,868) Balance at end of period $ (11,050) $ (16,587) Included in the ending balance of the accretable yield on PCI loans at December 31, 2019 and 2018, was a purchase accounting liquidity discount of $292 and $2,436, respectively. There was also a purchase accounting nonaccretable credit discount of $3,537 and $4,355 related to the PCI loan portfolio at December 31, 2019 and 2018, and an accretable credit and liquidity discount on non-PCI loans of $8,964 and $3,924 as of December 31, 2019 and $7,527 and $2,197, respectively, as of December 31, 2018. Interest revenue, through accretion of the difference between the recorded investment of the loans and the expected cash flows, was recognized on all PCI loans. Accretion of interest income amounting to $7,003 and $9,010 was recognized on PCI loans during the years ended December 31, 2019 and 2018, respectively. This included both the contractual interest income recognized and the purchase accounting contribution through accretion of the liquidity discount for changes in estimated cash flows. The total purchase accounting contribution through accretion excluding contractual interest collected for all purchased loans was $8,556 and $7,608 for the years ended December 31, 2019 and 2018, respectively As of December 31, 2020 and December 31, 2019, the Company has a recorded investment in TDRs of $15,988 and $12,206, respectively. The modifications included extensions of the maturity date and/or a stated rate of interest to one lower than the current market rate to borrowers experiencing financial difficulty. The Company has calculated $310 and $360 of specific reserves for those loans at December 31, 2020 and December 31, 2019, respectively. There were no commitments to lend any additional amounts to these customers for either period end. Of these loans, $8,279 and $5,201 were classified as non-accrual loans as of December 31, 2020 and December 31, 2019, respectively. The following tables present the financial effect of TDRs recorded during the periods indicated. Year Ended December 31, 2020 Number of loans Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Charge offs and specific reserves Commercial and industrial 5 $ 2,257 $ 2,257 $ — Commercial real estate: Owner occupied 7 2,794 2,794 — Non-owner occupied 2 3,752 3,752 $ — Residential real estate: 1-to-4 family mortgage 3 618 618 — Residential line of credit 1 95 95 — Total 18 $ 9,516 $ 9,516 $ — Year Ended December 31, 2019 Number of loans Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Charge offs and specific reserves Commercial and industrial 3 $ 3,204 $ 3,204 $ — Construction 2 1,085 1,085 — Commercial real estate: Owner occupied 2 1,494 1,495 — Non-owner occupied 1 1,366 1,366 106 Residential real estate: 1-4 family mortgage 2 175 175 — Residential line of credit 2 333 333 9 Total 12 $ 7,657 $ 7,658 $ 115 Year Ended December 31, 2018 Number of loans Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Charge offs and specific reserves Commercial and industrial 2 $ 887 $ 887 $ — Commercial real estate: Owner occupied 1 143 143 — Residential real estate: 1-4 family mortgage 1 249 249 — Consumer and other 5 61 61 — Total 9 $ 1,340 $ 1,340 $ — There were no loans modified as troubled debt restructurings for which there was a payment default within twelve months following the modification during the years ended December 31, 2020, 2019, and 2018. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under the Company’s internal underwriting policy. The terms of certain other loans were modified during the years ended December 31, 2020, 2019 and 2018 that did not meet the definition of a TDR. The modification of these loans usually involve either a modification of the terms of a loan to borrowers who are not experiencing financial difficulties or an insignificant delay in payments. Collateral Dependent Loans For loans for which the repayment (based on the Company's assessment) is expected to be provided substantially through the operation or sale of collateral and the borrower is experiencing financial difficulty, the following table presents the loans and the corresponding individually assessed allowance for credit losses by class of financing receivable. December 31, 2020 Type of Collateral Real Estate Financial Assets and Equipment Individually assessed allowance for credit loss Commercial and industrial $ — $ 1,728 $ 117 Construction 3,877 — — Residential real estate: 1-to-4 family mortgage 226 — — Residential line of credit 1,174 — 9 Multi-family mortgage — — — Commercial real estate: Owner occupied 3,391 — 30 Non-owner occupied 8,164 — 1,531 Consumer and other — — — Total $ 16,832 $ 1,728 $ 1,687 Defe

Loans held for sale

Loans held for sale12 Months Ended
Dec. 31, 2020
Receivables [Abstract]
Loans held for saleLoans held for sale: Loans held for sale are recorded at fair value, and consist primarily of residential mortgage loans originated to be sold in the secondary market. During the year ended December 31, 2020, the Company acquired a portfolio of commercial loans, including shared national credits and institutional healthcare loans, as part of the Franklin transaction that the Company elected to account for as held for sale. As such, these loans are excluded from the allowance for credit losses. Instead, the loans are recorded at fair value with subsequent changes to fair value recognized in earnings. During the year ended December 31, 2020, the Company recorded gains of $3,228 in other noninterest income related to changes in fair value of this portfolio. The following table summarizes loans held for sale, at fair value, as of the periods presented: December 31, December 31, 2020 2019 Commercial and industrial $ 215,403 $ — Residential real estate: 1-4 family mortgage 683,770 262,518 Total loans held for sale, at fair value $ 899,173 $ 262,518

Premises and equipment

Premises and equipment12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]
Premises and equipmentPremises and equipment: Premises and equipment and related accumulated depreciation as of December 31, 2020 and 2019, are as follows: 2020 2019 Land $ 33,151 $ 26,283 Premises 108,579 65,569 Furniture and fixtures 26,729 23,545 Leasehold improvements 18,429 12,989 Equipment 16,904 15,575 Construction in process 1,501 800 Finance lease 1,588 — 206,881 144,761 Less: accumulated depreciation and amortization (61,766) (54,630) Total Premises and Equipment $ 145,115 $ 90,131 Depreciation and amortization expense was $7,009, $5,176 and $4,334 for the years ended December 31, 2020, 2019 and 2018, respectively.

Other real estate owned

Other real estate owned12 Months Ended
Dec. 31, 2020
Real Estate [Abstract]
Other real estate ownedOther real estate owned The amount reported as other real estate owned includes property acquired through foreclosure in addition to excess facilities held for sale and is carried at fair value less estimated cost to sell the property. The following table summarizes the other real estate owned for the year ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 Balance at beginning of period $ 18,939 $ 12,643 $ 16,442 Transfers from loans 2,746 5,487 2,138 Transfers (to) from premises and equipment (841) 4,290 — Proceeds from sale of other real estate owned (6,937) (3,860) (4,819) Gain on sale of other real estate owned 354 1,058 271 Loans provided for sales of other real estate owned (305) (166) (1,019) Write-downs and partial liquidations (1,845) (513) (370) Balance at end of period $ 12,111 $ 18,939 $ 12,643 Foreclosed residential real estate properties totaled $1,890 and $4,295 as of December 31, 2020 and December 31, 2019, respectively. The recorded investment in residential mortgage loans secured by residential real estate properties for which foreclosure proceedings are in process totaled $167 and $82 at December 31, 2020 and December 31, 2019, respectively.

Goodwill and intangible assets

Goodwill and intangible assets12 Months Ended
Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and intangible assetsGoodwill and intangible assets: Goodwill Balance at December 31, 2018 $ 137,190 Addition from acquisition of Atlantic Capital branches 31,961 Relief of goodwill due to sale of TPO mortgage delivery channel (100) Balance at December 31, 2019 $ 169,051 Balance at December 31, 2019 $ 169,051 Addition from acquisition of Farmers National 6,319 Addition from acquisition of Franklin 67,191 Balance at December 31, 2020 $ 242,561 Goodwill is tested annually, or more often if circumstances warrant, for impairment. Impairment exists when a reporting unit's carrying value exceeds its fair value. As of December 31, 2020, the Company performed a quantitative assessment and determined it was more likely than not that the fair value of the reporting units exceeded its carrying value, including goodwill. As such, no impairment was indicated. The Company performed a qualitative test of goodwill for impairment as of December 31, 2019 and determined there to be no impairment. The Company recorded $100 in relief of goodwill during the year ended December 31, 2019, related to the sale of the TPO mortgage delivery channel. See Note 2, "Mergers & Acquisitions" for information on the calculation of goodwill for each of our mergers and acquisitions. Core deposit and other intangibles include core deposit intangibles, customer base trust intangible and manufactured housing servicing intangible. The composition of core deposit and other intangibles as of December 31, 2020 and December 31, 2019 is as follows: Core deposit and other intangibles Gross Carrying Amount Accumulated Amortization Net Carrying Amount December 31, 2020 Core deposit intangible $ 59,835 $ (38,807) $ 21,028 Customer base trust intangible 1,600 (547) 1,053 Manufactured housing servicing intangible 1,088 (743) 345 Total core deposit and other intangibles $ 62,523 $ (40,097) $ 22,426 December 31, 2019 Core deposit intangible $ 49,675 $ (33,861) $ 15,814 Customer base trust intangible 1,600 (387) 1,213 Manufactured housing servicing intangible 1,088 (526) 562 Total core deposit and other intangibles $ 52,363 $ (34,774) $ 17,589 During the first quarter of 2020, the Company recorded $2,490 of core deposit intangibles resulting from the Farmers National acquisition, which is being amortized over a weighted average life of approximately 4 years. During the third quarter of 2020, the Company recorded $7,670 of core deposit intangibles resulting from the Franklin merger, which is being amortized over a weighted average life of approximately 4 years. The estimated aggregate future amortization expense of core deposit and other intangibles is as follows: 2021 $ 5,477 2022 4,586 2023 3,658 2024 2,946 2025 2,306 Thereafter 3,453 $ 22,426

Leases

Leases12 Months Ended
Dec. 31, 2020
Leases [Abstract]
LeasesLeases: On January 1, 2019, the Company adopted ASU 2016-02 "Leases" (Topic 842) and all subsequent updates that modified Topic 842. For the Company, the adoption primarily affected the accounting treatment for operating lease agreements in which the Company is the lessee. Substantially all the leases for which the Company is the lessee are comprised of real estate for branches, mortgage, and operations locations. As of December 31, 2020, the Company was the lessee in 58 operating leases and 1 finance lease of certain branch, mortgage and operations locations, of which 49 operating leases and 1 finance lease currently have remaining terms varying from greater than one year to 35 years. Leases with initial terms of less than one year are not recorded on the consolidated balance sheets. The Company also does not include equipment leases and leases in which the Company is the lessor on the consolidated balance sheets as these are insignificant. Many leases include one or more options to renew, with renewal terms that can extend the lease up to an additional 20 years or more. Certain lease agreements contain provisions to periodically adjust rental payments for inflation. Renewal options that management is reasonably certain to renew and fixed rent escalations are included in the right-of-use ("ROU") asset and lease liability. During the year ended December 31, 2020, the Company recorded $23,972 in ROU assets and liabilities for operating leases assumed in the Franklin and FNB transactions. Additionally, the Company also assumed a finance lease in the Franklin transaction amounting to $1,630 included in premises and equipment and borrowings on the consolidated balance sheets. During the year ended December 31, 2020, the Company entered into a lease for a new corporate headquarters building located in downtown Nashville. The building is currently under construction and anticipated to be completed in late 2022. Upon commencement, the Company estimates recording a ROU asset and operating lease liability of approximately $29,000 and $30,000, respectively, in connection with this lease. Information related to the Company's leases is presented below: December 31, Classification 2020 2019 Right-of-use assets: Operating leases Operating lease right-of-use assets $ 49,537 $ 32,539 Finance leases Premises and equipment, net 1,588 — Total right-of-use assets $ 51,125 $ 32,539 Lease liabilities: Operating leases Operating lease liabilities $ 55,187 $ 35,525 Finance leases Borrowings 1,598 — Total lease liabilities $ 56,785 $ 35,525 Weighted average remaining lease term (in years) - operating 12.2 14.1 Weighted average remaining lease term (in years) - finance 14.4 0.0 Weighted average discount rate - operating 2.65 % 3.44 % Weighted average discount rate - finance 1.76 % — % The components of total lease expense included in the consolidated statements of income were as follows: Year Ended December 31, Classification 2020 2019 Operating lease costs Amortization of right-of-use asset Occupancy and equipment $ 6,228 $ 5,057 Short-term lease cost Occupancy and equipment 456 365 Variable lease cost Occupancy and equipment 602 682 Finance lease costs Interest on lease liabilities Interest expense on borrowings 11 — Amortization of right-of-use asset Occupancy and equipment 43 — Lease impairment Merger costs 2,142 — Total lease cost $ 9,482 $ 6,104 The Company does not separate lease and non-lease components and instead elects to account for them as a single lease component. Variable lease cost primarily represents variable payments such as common area maintenance, utilities, and property taxes. Prior to the adoption of ASU 2016-02 on January 1, 2019, lease expense and amortization of a favorable lease intangible included in occupancy and equipment expense during the year ended December 31, 2018 amounted to $5,019 and $90, respectively. A maturity analysis of operating and finance lease liabilities and a reconciliation of undiscounted cash flows to the total lease liability as of December 31, 2020 is as follows: Operating Finance Leases Leases Lease payments due: December 31, 2021 $ 8,042 $ 115 December 31, 2022 7,693 116 December 31, 2023 6,302 118 December 31, 2024 5,625 120 December 31, 2025 4,972 121 Thereafter 34,053 1,225 Total undiscounted future minimum lease payments 66,687 1,815 Less: imputed interest (11,500) (217) Net lease liability $ 55,187 $ 1,598
LeasesLeases: On January 1, 2019, the Company adopted ASU 2016-02 "Leases" (Topic 842) and all subsequent updates that modified Topic 842. For the Company, the adoption primarily affected the accounting treatment for operating lease agreements in which the Company is the lessee. Substantially all the leases for which the Company is the lessee are comprised of real estate for branches, mortgage, and operations locations. As of December 31, 2020, the Company was the lessee in 58 operating leases and 1 finance lease of certain branch, mortgage and operations locations, of which 49 operating leases and 1 finance lease currently have remaining terms varying from greater than one year to 35 years. Leases with initial terms of less than one year are not recorded on the consolidated balance sheets. The Company also does not include equipment leases and leases in which the Company is the lessor on the consolidated balance sheets as these are insignificant. Many leases include one or more options to renew, with renewal terms that can extend the lease up to an additional 20 years or more. Certain lease agreements contain provisions to periodically adjust rental payments for inflation. Renewal options that management is reasonably certain to renew and fixed rent escalations are included in the right-of-use ("ROU") asset and lease liability. During the year ended December 31, 2020, the Company recorded $23,972 in ROU assets and liabilities for operating leases assumed in the Franklin and FNB transactions. Additionally, the Company also assumed a finance lease in the Franklin transaction amounting to $1,630 included in premises and equipment and borrowings on the consolidated balance sheets. During the year ended December 31, 2020, the Company entered into a lease for a new corporate headquarters building located in downtown Nashville. The building is currently under construction and anticipated to be completed in late 2022. Upon commencement, the Company estimates recording a ROU asset and operating lease liability of approximately $29,000 and $30,000, respectively, in connection with this lease. Information related to the Company's leases is presented below: December 31, Classification 2020 2019 Right-of-use assets: Operating leases Operating lease right-of-use assets $ 49,537 $ 32,539 Finance leases Premises and equipment, net 1,588 — Total right-of-use assets $ 51,125 $ 32,539 Lease liabilities: Operating leases Operating lease liabilities $ 55,187 $ 35,525 Finance leases Borrowings 1,598 — Total lease liabilities $ 56,785 $ 35,525 Weighted average remaining lease term (in years) - operating 12.2 14.1 Weighted average remaining lease term (in years) - finance 14.4 0.0 Weighted average discount rate - operating 2.65 % 3.44 % Weighted average discount rate - finance 1.76 % — % The components of total lease expense included in the consolidated statements of income were as follows: Year Ended December 31, Classification 2020 2019 Operating lease costs Amortization of right-of-use asset Occupancy and equipment $ 6,228 $ 5,057 Short-term lease cost Occupancy and equipment 456 365 Variable lease cost Occupancy and equipment 602 682 Finance lease costs Interest on lease liabilities Interest expense on borrowings 11 — Amortization of right-of-use asset Occupancy and equipment 43 — Lease impairment Merger costs 2,142 — Total lease cost $ 9,482 $ 6,104 The Company does not separate lease and non-lease components and instead elects to account for them as a single lease component. Variable lease cost primarily represents variable payments such as common area maintenance, utilities, and property taxes. Prior to the adoption of ASU 2016-02 on January 1, 2019, lease expense and amortization of a favorable lease intangible included in occupancy and equipment expense during the year ended December 31, 2018 amounted to $5,019 and $90, respectively. A maturity analysis of operating and finance lease liabilities and a reconciliation of undiscounted cash flows to the total lease liability as of December 31, 2020 is as follows: Operating Finance Leases Leases Lease payments due: December 31, 2021 $ 8,042 $ 115 December 31, 2022 7,693 116 December 31, 2023 6,302 118 December 31, 2024 5,625 120 December 31, 2025 4,972 121 Thereafter 34,053 1,225 Total undiscounted future minimum lease payments 66,687 1,815 Less: imputed interest (11,500) (217) Net lease liability $ 55,187 $ 1,598

Mortgage servicing rights

Mortgage servicing rights12 Months Ended
Dec. 31, 2020
Transfers and Servicing of Financial Assets [Abstract]
Mortgage servicing rightsMortgage servicing rights: Changes in the Company’s mortgage servicing rights were as follows for the years ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 Carrying value at beginning of period $ 75,521 $ 88,829 76,107 Capitalization 47,025 42,151 54,913 Mortgage servicing rights acquired from Franklin, at fair value 5,111 — Sales — (29,160) (39,428) Change in fair value: Due to pay-offs/pay-downs (27,834) (16,350) (11,062) Due to change in valuation inputs or assumptions (19,826) (9,949) 8,299 Carrying value at end of period $ 79,997 $ 75,521 $ 88,829 The following table summarizes servicing income and expense, which are included in 'Mortgage banking income' and 'Other noninterest expense', respectively, within the Mortgage segment operating results for the years ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 Servicing income: Servicing income $ 22,128 $ 17,677 $ 20,591 Change in fair value of mortgage servicing rights (47,660) (26,299) (2,763) Change in fair value of derivative hedging instruments 13,286 9,310 (5,910) Servicing income (12,246) 688 11,918 Servicing expenses 7,890 6,832 7,675 Net servicing (loss) income (1) $ (20,136) $ (6,144) $ 4,243 (1) Excludes benefit of custodial service related noninterest-bearing deposits held by the Bank. Data and key economic assumptions related to the Company’s mortgage servicing rights as of December 31, 2020 and 2019 are as follows: December 31, 2020 2019 Unpaid principal balance $ 9,787,657 $ 6,734,496 Weighted-average prepayment speed (CPR) 14.07 % 10.05 % Estimated impact on fair value of a 10% increase $ (4,493) $ (2,839) Estimated impact on fair value of a 20% increase $ (8,599) $ (5,474) Discount rate 11.49 % 9.68 % Estimated impact on fair value of a 100 bp increase $ (2,942) $ (3,086) Estimated impact on fair value of a 200 bp increase $ (5,674) $ (5,932) Weighted-average coupon interest rate 3.58 % 4.20 % Weighted-average servicing fee (basis points) 28 29 Weighted-average remaining maturity (in months) 328 335 The Company hedges the mortgage servicing rights portfolio with various derivative instruments to offset changes in the fair value of the related mortgage servicing rights. See Note 18, "Derivatives" for additional information on these hedging instruments.-* During the years ended December 31, 2019 and 2018, the Company sold $29,160 and $39,428, of mortgage servicing rights on $2,034,374 and $3,181,483 of serviced mortgage loans, respectively. There was not a significant gain or loss recognized in connection with the sales. During the year ended December 31, 2020, there were no such transactions. As of December 31, 2020 and 2019, mortgage escrow deposits totaled to $147,957 and $92,610, respectively.

Other assets and other liabilit

Other assets and other liabilities12 Months Ended
Dec. 31, 2020
Other Assets And Other Liabilities [Abstract]
Other assets and other liabilitiesOther assets and other liabilities: Included in other assets are: As of December 31, Other assets 2020 2019 Cash surrender value on bank owned life insurance $ 71,977 $ 11,357 Prepaid expenses 5,328 4,575 Software 1,147 1,999 Mortgage lending receivable 8,716 10,765 Derivatives (See Note 18) 68,938 21,981 Deferred tax asset (See Note 15) 16,396 — FHLB lender risk account receivable (See Note 1) 12,729 11,225 Pledged collateral on derivative instruments 57,985 33,616 Other assets 30,900 27,196 Total other assets $ 274,116 $ 122,714 Included in other liabilities are: As of December 31, Other liabilities 2020 2019 Deferred compensation $ 2,261 $ 1,718 Accrued payroll 35,827 16,517 Mortgage buyback reserve 5,928 3,529 Accrued interest 6,772 6,465 Derivatives (See Note 18) 48,242 17,933 Deferred tax liability (See Note 15) — 20,490 FHLB lender risk account guaranty 6,183 5,546 Reserve for unfunded commitments 16,378 — Other liabilities 42,809 15,256 Total other liabilities $ 164,400 $ 87,454

Deposits

Deposits12 Months Ended
Dec. 31, 2020
Deposits [Abstract]
DepositsDeposits: The aggregate amount of time deposits with a minimum denomination greater than $250 was $425,227 and $343,756 at December 31, 2020 and 2019, respectively. At December 31, 2020, the scheduled maturities of time deposits are as follows: Scheduled maturities of time deposits Due on or before: December 31, 2021 $ 1,048,816 December 31, 2022 204,165 December 31, 2023 117,178 December 31, 2024 44,718 December 31, 2025 22,325 Thereafter 52 Total $ 1,437,254 At December 31, 2020 and 2019, the Company had $2,965 and $3,487, respectively, of deposit accounts in overdraft status and thus have been reclassified to loans on the accompanying consolidated balance sheets.

Borrowings

Borrowings12 Months Ended
Dec. 31, 2020
Debt Disclosure [Abstract]
BorrowingsBorrowings: Borrowings include securities sold under agreements to repurchase, lines of credit, Federal Home Loan Bank advances, and subordinated debt. Outstanding Balance Weighted Average Interest Rate December 31, December 31, December 31, December 31, 2020 2019 2020 2019 Securities sold under agreements to repurchase $ 32,199 $ 23,745 0.47 % 0.89 % FHLB advances — 250,000 — % 1.60 % Subordinated debt 189,527 30,930 5.10 % 5.13 % Other borrowings 16,598 — 1.88 % — % $ 238,324 $ 304,675 Securities sold under agreements to repurchase and federal funds purchased Securities sold under agreements to repurchase are financing arrangements that mature daily. The Company enters into agreements with certain customers to sell certain securities under agreements to repurchase the securities the following day. These agreements are made to provide customers with comprehensive treasury management programs and a short-term return for their excess funds. Information concerning securities sold under agreement to repurchase is summarized as follows: December 31, 2020 December 31, 2019 Balance at year end $ 32,199 $ 23,745 Average daily balance during the year 32,912 22,798 Average interest rate during the year 0.61 % 0.84 % Maximum month-end balance during the year $ 40,282 $ 30,273 Weighted average interest rate at year-end 0.47 % 0.89 % The fair value of securities pledged to secure repurchase agreements may decline. The Company manages this risk by having a policy to pledge securities valued at 100% of the outstanding balance of repurchase agreements. The Bank maintains lines with certain correspondent banks that provide borrowing capacity in the form of federal funds purchased in the aggregate amount of $335,000 and $305,000 as of December 31, 2020 and 2019, respectively. There were no borrowings against these available lines at December 31, 2020 or 2019. Federal Home Loan Bank Advances As a member of the FHLB Cincinnati, the Bank receives advances from the FHLB pursuant to the terms of various agreements that assist in funding its mortgage and loan portfolio production. Under these agreements, the Company pledged qualifying loans of $2,781,606 as collateral securing a line of credit with a total borrowing capacity of $1,276,095 as of December 31, 2020. As of December 31, 2019, the Company pledged qualifying loans of $958,506 as collateral securing a line of credit with a total borrowing capacity of $760,607. As of December 31, 2020 and 2019, letters of credit in the amount of $100,000 and $75,000, respectively, were pledged to secure public funds that require collateralization. Additionally, there was an additional line of $800,000 available with the FHLB for overnight borrowings as of both December 31, 2020 and 2019; however additional collateral may be needed to draw on the line. Borrowings against the Company's line totaled $0 and $250,000 as of December 31, 2020 and 2019, respectively. Total borrowings as of December 31, 2019 comprised $150,000 in long-term advances and $100,000 in 90 day fixed rate advances. The long-term advances as of December 31, 2019 contain putable features and are composed of $100,000 and $50,000 with initial contractual maturities of 10 and 7 years, respectively. The weighted average interest rate on outstanding advances at December 31, 2019 was 1.60%. During the year ended December 31, 2020, the Company repaid all the advances and incurred $6,838 in early termination costs. The Company maintained a line with the Federal Reserve Bank through the Borrower-in-Custody program in 2020 and 2019. As of December 31, 2020 and 2019, $2,463,281 and $1,407,662 of qualifying loans and $0 and $4,963 of investment securities were pledged to the Federal Reserve Bank through the Borrower-in-Custody program securing a line of credit of $1,695,639 and $1,013,239, respectively. Subordinated Debt In 2003, two separate trusts formed by the Company issued $9,000 of floating rate trust preferred securities (“Trust I”) and $21,000 of floating rate trust preferred securities (“Trust II”), respectively, as part of a pooled offering of such securities. The Company issued junior subordinated debentures of $9,280, which included proceeds of common securities purchased by the Company of $280, and junior subordinated debentures of $21,650, which included proceeds of common securities of $650. Both issuances were to the trusts in exchange for the proceeds of the securities offerings, which represent the sole asset of the trusts. Trust I pays interest quarterly based upon the 3-month LIBOR plus 3.25%. Trust II pays interest quarterly based upon the 3-month LIBOR plus 3.15%. Rates for the two issues at December 31, 2020, were 3.50% and 3.40%, respectively. Rates for the two issues at December 31, 2019, were 5.19% and 5.10%, respectively. The Company may redeem the first junior subordinated debenture listed, in whole or in part, on any distribution payment date within 120 days of the occurrence of a special event, at the redemption price. The Company may redeem the second junior subordinated debentures listed, in whole or in part, any time after June 26, 2008, on any distribution payment date, at the redemption price. The junior subordinated debentures must be redeemed no later than 2033. The Company has classified $30,000 of subordinated debt as Tier 1 capital at both December 31, 2020 and 2019. Additionally, during the year ended December 31, 2020, the Company placed $100,000 of ten year fixed-to-floating rate subordinated notes, maturing September 1, 2030. This subordinated note instrument pays interest semi-annually in arrears based on a 4.5% fixed annual interest rate for the first five years of the notes. For years six ten The Company also assumed two issues of subordinated debt, totaling $60,000, as part of the Franklin merger. The notes, issued in 2016, feature $40,000 of 6.875% fixed-to-floating rate subordinated notes due March 30, 2026 ("March 2026 Subordinated Notes"), and $20,000 of 7% fixed-to-floating rate subordinated notes due July 1, 2026 ("July 2026 Subordinated Notes"). Both note issuances currently pay interest semi-annually, and will begin resetting interest rates on a quarterly basis after March 30, 2021 and July 1, 2021. For years six ten Other borrowings During the year ended December 31, 2020, the Company initiated a credit line in the amount of $20.0 million (1.75% + 1 month LIBOR in effect 2 business days prior to reprice date) and borrowed $15.0 million against the line to fund the cash consideration paid in connection with the Farmers National transaction. As of December 31, 2020, an additional $5.0 million was available for the Company to draw. This line of credit had a term of one year and matured on February 21, 2021.

Income taxes

Income taxes12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]
Income taxesIncome taxes: An allocation of federal and state income taxes between current and deferred portions is presented below: For the Year Ended December 31, 2020 2019 2,018 Current $ 44,362 $ 27,641 $ 19,259 Deferred (25,530) (1,916) 6,359 Total $ 18,832 $ 25,725 $ 25,618 The following table presents a reconciliation of federal income taxes at the statutory federal rate of 21% to the Company's effective tax rates for the year ended December 31, 2020, 2019, and 2018: For the Year Ended December 31, 2020 2019 2018 Federal taxes calculated at statutory rate $ 17,317 21.0 % $ 23,003 21.0 % $ 22,230 21.0 % Increase (decrease) resulting from: State taxes, net of federal benefit 3,197 3.9 % 4,792 4.4 % 4,666 4.4 % Expense (benefit) from equity based compensation 153 0.2 % (1,353) (1.2) % (870) (0.8) % Municipal interest income, net of interest disallowance (1,507) (1.8) % (908) (0.8) % (837) (0.8) % Bank owned life insurance (327) (0.4) % (51) (0.1) % (51) — % Merger costs 289 0.4 % 66 0.1 % 141 0.1 % Other (290) (0.4) % 176 0.1 % 339 0.3 % Income tax expense, as reported $ 18,832 22.9 % $ 25,725 23.5 % $ 25,618 24.2 % As of December 31, 2020, the Company acquired $8,346 of net operating losses from Franklin. The net operating loss carryforwards can be used to offset taxable income in future periods and reduce income tax liabilities in those future periods. While net operating losses are subject to certain annual utilization limits under IRC Section 382, the Company believes the net operating losses carryforward will be realized based on the projected annual limitation and the length of the net operating loss carryover period. The Company's determination of the realization of the net deferred tax asset is based on its assessment of all available positive and negative evidence. The net operating loss carryforward is set to expire as of December 31, 2030. The Company is no longer subject to examination by taxing authorities for tax years before 2017 for federal taxes and before 2016 for various state jurisdictions. The components of the net deferred tax assets (liabilities) at December 31, 2020 and December 31, 2019, are as follows: December 31, December 31 2020 2019 Deferred tax assets: Allowance for credit losses $ 48,409 $ 8,113 Operating lease liabilities 14,496 9,373 Federal net operating loss 1,753 — Amortization of core deposit intangibles — 1,386 Deferred compensation 8,872 5,231 Unrealized loss on debt securities — 54 Unrealized loss on equity securities — 60 Unrealized loss on cash flow hedges 499 — Other 19,101 2,388 Subtotal 93,130 26,605 Deferred tax liabilities: FHLB stock dividends $ (561) $ (550) Operating leases - right of use assets (13,197) (8,641) Depreciation (7,491) (5,078) Amortization of core deposit intangibles (684) — Unrealized gain on equity securities (17) — Unrealized gain on cash flow hedges — (203) Unrealized gain on debt securities (13,027) (3,051) Mortgage servicing rights (20,803) (19,678) Goodwill (11,301) (8,859) Other (9,653) (1,035) Subtotal (76,734) (47,095) Net deferred tax assets (liabilities) $ 16,396 $ (20,490)

Dividend restrictions

Dividend restrictions12 Months Ended
Dec. 31, 2020
Disclosure of Restrictions on Dividends, Loans and Advances Disclosure [Abstract]
Dividend restrictionsDividend restrictions: Due to regulations of the Tennessee Department of Financial Institutions (“TDFI”), the Bank may not declare dividends in any calendar year that exceeds the total of its net income of that year combined with its retained net income of the preceding two years without the prior approval of the TDFI Commissioner. Based upon this regulation, $185,703 and $223,730 was available for payment of dividends without such prior approval at December 31, 2020 and 2019, respectively. In addition, dividends paid by the Bank to the Company would be prohibited if the effect thereof would cause the Bank’s capital to be reduced below applicable minimum capital requirements. During the year ended December 31, 2020, there were $48,750 in cash dividends and $956 in security dividends declared from the Bank to the Company. No cash dividends were declared from the Bank to the Company during the years ended December 31, 2019 or 2018.

Commitments and contingencies

Commitments and contingencies12 Months Ended
Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and contingenciesCommitments and contingencies: Some financial instruments, such as loan commitments, credit lines, letters of credit, and overdraft protection, are issued to meet customer financing needs. These are agreements to provide credit or to support the credit of others, as long as conditions established in the contract are met, and usually have expiration dates. Commitments may expire without being used. Off-balance sheet risk of credit loss exists up to the face amount of these instruments, although material losses are not anticipated. The same credit policies are used to make such commitments as are used for loans, including obtaining collateral at exercise of the commitment. December 31, 2020 2019 Commitments to extend credit, excluding interest rate lock commitments $ 2,719,996 $ 1,086,173 Letters of credit 67,598 19,569 Balance at end of period $ 2,787,594 $ 1,105,742 As of December 31, 2020, approximately $1.07 billion of loan commitments had fixed rates and $1.65 billion had floating rates. In connection with the adoption of CECL on January 1, 2020, the Company estimates expected credit losses on off-balance sheet loan commitments that are not accounted for as derivatives. When applying the CECL methodology to estimate expected credit loss, the Company considers the likelihood that funding will occur, the contractual period of exposure to credit loss, the risk of loss, historical loss experience, and current conditions along with expectations of future economic conditions. As such, upon adoption the Company recorded an initial allowance for credit losses on unfunded commitments in other liabilities amounting to $2,947. The impact net of taxes was recorded as part of the cumulative adjustment to retained earnings of $25,018 on January 1, 2020. The table below presents activity within the allowance for credit losses on unfunded commitments: For the Year Ended December 31, 2020 Balance at beginning of period $ — Impact of CECL adoption on provision for credit losses on unfunded commitments 2,947 Increase in provision for credit losses from unfunded commitments acquired in business combination 10,499 Provision for credit losses on unfunded commitments 2,932 Balance at end of period $ 16,378 In connection with the sale of mortgage loans to third party investors, the Bank makes usual and customary representations and warranties as to the propriety of its origination activities. Occasionally, the investors require the Bank to repurchase loans sold to them under the terms of the warranties. When this happens, the loans are recorded at fair value with a corresponding charge to a valuation reserve. The total principal amount of loans repurchased (or indemnified for) was $9,171, $6,475, and $6,646 for the years ended December 31, 2020, 2019, and 2018, respectively. The Company has established a reserve associated with loan repurchases. This reserve is recorded in accrued expenses and other liabilities on the consolidated balance sheets. The following table summarizes the activity in the repurchase reserve: For the Year Ended December 31, 2020 2019 2018 Balance at beginning of period $ 3,529 $ 3,273 $ 3,386 Provision for loan repurchases or indemnifications 2,607 362 174 Recoveries on previous losses (208) (106) 3 Losses on loans repurchased or indemnified — — (290) Balance at end of period $ 5,928 $ 3,529 $ 3,273

Derivatives

Derivatives12 Months Ended
Dec. 31, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DerivativesDerivatives: The Company utilizes derivative financial instruments as part of its ongoing efforts to manage its interest rate risk exposure as well as the exposure for its customers. Derivative financial instruments are included in the consolidated balance sheets line item “Other assets” or “Other liabilities” at fair value in accordance with ASC 815, “Derivatives and Hedging.” The Company enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding (rate-lock commitments). Under such commitments, interest rates for mortgage loans are typically locked in for between 45 to 90 days with the customer. These interest rate lock commitments are recorded at fair value in the Company’s consolidated balance sheets. The Company also enters into best effort or mandatory delivery forward commitments to sell residential mortgage loans to secondary market investors. Gains and losses arising from changes in the valuation of the rate-lock commitments and forward commitments are recognized currently in earnings and are reflected under the line item “Mortgage banking income” on the consolidated statements of income. The Company enters into forward commitments, futures and options contracts that are not designated as hedging instruments as economic hedges to offset the changes in fair value of MSRs. Gains and losses associated with these instruments are included in earnings and are reflected under the line item “Mortgage banking income” on the consolidated statements of income. Additionally, the Company enters into derivative instruments that are not designated as hedging instruments to help its commercial customers manage their exposure to interest rate fluctuations. To mitigate the interest rate risk associated with customer contracts, the Company enters into an offsetting derivative contract. The Company manages its credit risk, or potential risk of default by its commercial customers through credit limit approval and monitoring procedures. The Company also maintains two interest rate swap agreements with notional amounts totaling $30,000 used to hedge interest rate exposure on outstanding subordinated debentures included in long-term debt totaling $30,930. Under these agreements, the Company receives a variable rate of interest equal to 3-month LIBOR and pays a weighted average fixed rate of interest of 2.08%. The interest rate swap contracts, which mature in June of 2024, are designated as cash flow hedges with the objective of reducing the variability in cash flows resulting from changes in interest rates. As of December 31, 2020 and December 31, 2019, the fair value of these contracts resulted in liability balances of $1,909 and $515, respectively. In July 2017, the Company entered into three interest rate swap contracts on floating rate liabilities at the Bank level with notional amounts of $30,000, $35,000 and $35,000 for a period of three four three four The following tables provide details on the Company’s derivative financial instruments as of the dates presented: December 31, 2020 Notional Amount Asset Liability Not designated as hedging: Interest rate contracts $ 606,878 $ 34,547 $ 34,317 Forward commitments 1,358,328 — 11,633 Interest rate-lock commitments 1,191,621 34,391 — Futures contracts 375,400 — 383 Total $ 3,532,227 $ 68,938 $ 46,333 December 31, 2019 Notional Amount Asset Liability Not designated as hedging: Interest rate contracts $ 440,556 $ 14,929 $ 14,929 Forward commitments 684,437 — 866 Interest rate-lock commitments 453,198 7,052 — Futures contracts 389,000 — 1,623 Total $ 1,967,191 $ 21,981 $ 17,418 December 31, 2020 Notional Amount Asset Liability Designated as hedging: Interest rate swaps $ 30,000 $ — $ 1,909 December 31, 2019 Notional Amount Asset Liability Designated as hedging: Interest rate swaps $ 30,000 $ — $ 515 Gains (losses) included in the consolidated statements of income related to the Company’s derivative financial instruments were as follows: Year Ended December 31, 2020 2019 2018 Not designated as hedging instruments (included in mortgage banking income): Interest rate lock commitments $ 27,339 $ (2,112) $ (527) Forward commitments (73,033) 12,170 3,864 Futures contracts 8,151 (6,723) (2,981) Option contracts — (47) (58) Total $ (37,543) $ 3,288 $ 298 Year Ended December 31, 2020 2019 2018 Designated as hedging: Amount of gain reclassified from other comprehensive income and recognized in interest expense on borrowings, net of taxes of $337, $170, and $45 $ 955 $ 481 $ 128 (Loss) gain included in interest expense on borrowings (353) 115 32 Total $ 602 $ 596 $ 160 The following discloses the amount included in other comprehensive income, net of tax, for derivative instruments designated as cash flow hedges for the periods presented: Year Ended December 31, 2020 2019 2018 Designated as hedging: Amount of (loss) gain recognized in other comprehensive income, net of tax $363, $322, and $366 $ (1,031) $ (914) $ 1,039 Certain financial instruments, including derivatives, may be eligible for offset in the consolidated balance sheets when the “right of offset” exists or when the instruments are subject to an enforceable master netting agreement, which includes the right of the non-defaulting party or non-affected party to offset recognized amounts, including collateral posted with the counterparty, to determine a net receivable or net payable upon early termination of the agreement. Certain of the Company’s derivative instruments are subject to master netting agreements, however the Company has not elected to offset such financial instruments in the consolidated balance sheets. The following table presents the Company's gross derivative positions as recognized in the consolidated balance sheets as well as the net derivative positions, including collateral pledged to the extent the application of such collateral did not reduce the net derivative liability position below zero, had the Company elected to offset those instruments subject to an enforceable master netting agreement: Offsetting Derivative Assets Offsetting Derivative Liabilities December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 Gross amounts recognized $ 3,863 $ 331 $ 34,051 $ 14,682 Gross amounts offset in the consolidated balance sheets — — — — Net amounts presented in the consolidated balance sheets 3,863 331 34,051 14,682 Gross amounts not offset in the consolidated balance sheets Less: financial instruments 857 139 857 139 Less: financial collateral pledged — — 33,194 14,543 Net amounts $ 3,006 $ 192 $ — $ — Most derivative contracts with clients are secured by collateral. Additionally, in accordance with the interest rate agreements with derivatives dealers, the Company may be required to post margin to these counterparties. At December 31, 2020 and December 31, 2019, the Company had minimum collateral posting thresholds with certain derivative counterparties and had collateral posted of $57,985 and $33,616, respectively, against its obligations under these agreements. Cash collateral related to derivative contracts is recorded in other assets in the consolidated balance sheets.

Fair value of financial instrum

Fair value of financial instruments12 Months Ended
Dec. 31, 2020
Fair Value Disclosures [Abstract]
Fair value of financial instrumentsFair value of financial instruments:FASB ASC 820-10 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820-10 also establishes a framework for measuring the fair value of assets and liabilities according to a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets and liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that are derived from assumptions based on management’s estimate of assumptions that market participants would use in pricing the asset or liability based on the best information available under the circumstances. The hierarchy is broken down into the following three levels, based on the reliability of inputs: Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities that are accessible at the measurement date. Level 2: Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs for assets or liabilities that are derived from assumptions based on management’s estimate of assumptions that market participants would use in pricing the assets or liabilities. The Company records the fair values of financial assets and liabilities on a recurring and non-recurring basis using the following methods and assumptions: Investment securities-Investment securities are recorded at fair value on a recurring basis. Fair values for securities are based on quoted market prices, where available. If quoted prices are not available, fair values are based on quoted market prices of similar instruments or are determined by matrix pricing, which is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the pricing relationship or correlation among other benchmark quoted securities. Investment securities valued using quoted market prices of similar instruments or that are valued using matrix pricing are classified as Level 2. When significant inputs to the valuation are unobservable, the available-for-sale securities are classified within Level 3 of the fair value hierarchy. Where no active market exists for a security or other benchmark securities, fair value is estimated by the Company with reference to discount margins for other high-risk securities. Loans held for sale-Loans held for sale are carried at fair value. Fair value is determined using current secondary market prices for loans with similar characteristics, that is, using Level 2 inputs. Derivatives-The fair value of the interest rate swaps are based upon fair values provided from entities that engage in interest rate swap activity and is based upon projected future cash flows and interest rates. Fair value of commitments is based on fees currently charged to enter into similar agreements, and for fixed-rate commitments, the difference between current levels of interest rates and the committed rates is also considered. These financial instruments are classified as Level 2. Other real estate owned (“OREO”)-OREO is comprised of commercial and residential real estate obtained in partial or total satisfaction of loan obligations and excess land and facilities held for sale. OREO acquired in settlement of indebtedness is recorded at the lower of the carrying amount of the loan or the fair value of the real estate less costs to sell. Fair value is determined on a nonrecurring basis based on appraisals by qualified licensed appraisers and is adjusted for management’s estimates of costs to sell and holding period discounts. The valuations are classified as Level 3. Mortgage servicing rights ("MSRs")-MSRs are carried at fair value. Fair value is determined using an income approach with various assumptions including expected cash flows, market discount rates, prepayment speeds, servicing costs, and other factors. As such, mortgage servicing rights are considered Level 3. Collateral dependent loans (Impaired loans prior to the adoption of ASC 326)-loans for which, based on current information and events, the Company has determined foreclosure of the collateral is probable, or where the borrower is experiencing financial difficulty and the Company expects repayment of the loan to be provided substantially through the operation or sale of the collateral and it is probable that the creditor will be unable to collect all amounts due according to the contractual terms of the loan agreement. Collateral dependent loans are classified as Level 3. The following table contains the estimated fair values and the related carrying values of the Company's financial instruments. Items which are not financial instruments are not included. Fair Value December 31, 2020 Carrying amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 1,317,898 $ 1,317,898 $ — $ — $ 1,317,898 Investment securities 1,176,991 — 1,176,991 — 1,176,991 Loans, net 6,912,570 — — 7,058,693 7,058,693 Loans held for sale 899,173 — 683,770 215,403 899,173 Interest receivable 43,603 33 5,254 38,316 43,603 Mortgage servicing rights 79,997 — — 79,997 79,997 Derivatives 68,938 — 68,938 — 68,938 Financial liabilities: Deposits: Without stated maturities $ 8,020,783 $ 8,020,783 $ — $ — $ 8,020,783 With stated maturities 1,437,254 — 1,446,605 — 1,446,605 Securities sold under agreement to repurchase and federal funds sold 32,199 32,199 — — 32,199 Subordinated debt 189,527 — — 192,149 192,149 Other borrowings 16,598 — 16,598 — 16,598 Interest payable 6,772 327 4,210 2,235 6,772 Derivatives 48,242 — 48,242 — 48,242 Fair Value December 31, 2019 Carrying amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 232,681 $ 232,681 $ — $ — $ 232,681 Investment securities 691,676 — 691,676 — 691,676 Loans, net 4,378,503 — — 4,363,903 4,363,903 Loans held for sale 262,518 — 262,518 — 262,518 Interest receivable 17,083 — 3,282 13,801 17,083 Mortgage servicing rights 75,521 — — 75,521 75,521 Derivatives 21,981 — 21,981 — 21,981 Financial liabilities: Deposits: Without stated maturities $ 3,743,085 $ 3,743,085 $ — $ — $ 3,743,085 With stated maturities 1,191,853 — 1,200,145 — 1,200,145 Securities sold under agreement to repurchase and federal funds sold 23,745 23,745 — — 23,745 Federal Home Loan Bank advances 250,000 — 250,213 — 250,213 Subordinated debt 30,930 — 29,706 — 29,706 Interest payable 6,465 376 6,089 — 6,465 Derivatives 17,933 — 17,933 — 17,933 The balances and levels of the assets measured at fair value on a recurring basis at December 31, 2020 are presented in the following table: December 31, 2020 Quoted prices Significant Significant unobservable Total Recurring valuations: Financial assets: Available-for-sale securities: U.S. government agency securities $ — $ 2,003 $ — $ 2,003 Mortgage-backed securities - residential — 773,336 — 773,336 Mortgage-backed securities - commercial — 21,588 — 21,588 Municipals, tax-exempt — 356,329 — 356,329 Treasury securities — 16,628 — 16,628 Corporate securities — 2,516 — 2,516 Equity securities — 4,591 — 4,591 Total $ — $ 1,176,991 $ — $ 1,176,991 Loans held for sale $ — $ 683,770 $ 215,403 $ 899,173 Mortgage servicing rights — — 79,997 79,997 Derivatives — 68,938 — 68,938 Financial Liabilities: Derivatives — 48,242 — 48,242 The balances and levels of the assets measured at fair value on a non-recurring basis at December 31, 2020 are presented in the following table: At December 31, 2020 Quoted prices Significant Significant unobservable Total Non-recurring valuations: Financial assets: Other real estate owned $ — $ — $ 6,662 $ 6,662 Collateral dependent loans: Commercial and industrial $ — $ — $ 1,728 $ 1,728 Construction — — 3,877 3,877 Residential real estate: 1-4 family mortgage — — 226 226 Residential line of credit — — 1,174 1,174 Commercial real estate: Non-owner occupied — — 3,391 3,391 Consumer and other — — 8,164 8,164 Total collateral dependent loans $ — $ — $ 18,560 $ 18,560 The balances and levels of the assets measured at fair value on a recurring basis at December 31, 2019 are presented in the following table: At December 31, 2019 Quoted prices Significant Significant unobservable Total Recurring valuations: Financial assets: Available-for-sale securities: Mortgage-backed securities - residential $ — $ 477,312 $ — $ 477,312 Mortgage-backed securities - commercial — 13,364 — 13,364 Municipals, tax-exempt — 189,235 — 189,235 Treasury securities — 7,448 — 7,448 Corporate securities — 1,022 — 1,022 Equity securities — 3,295 — 3,295 Total $ — $ 691,676 $ — $ 691,676 Loans held for sale $ — $ 262,518 $ — $ 262,518 Mortgage servicing rights — — 75,521 75,521 Derivatives — 21,981 — 21,981 Financial Liabilities: Derivatives — 17,933 — 17,933 The balances and levels of the assets measured at fair value on a non-recurring basis at December 31, 2019 are presented in the following table: At December 31, 2019 Quoted prices Significant Significant unobservable Total Non-recurring valuations: Financial assets: Other real estate owned $ — $ — $ 9,774 $ 9,774 Impaired Loans (1) : Commercial and industrial $ — $ — $ 6,481 $ 6,481 Residential real estate: 1-4 family mortgage — — 378 378 Residential line of credit — — 321 321 Commercial real estate: Owner occupied — — 951 951 Non-owner occupied — — 2,560 2,560 Total $ — $ — $ 10,691 $ 10,691 (1) Includes both impaired non-purchased loans and collateral-dependent PCI loans. The following table presents information as of December 31, 2020 about significant unobservable inputs (Level 3) used in the valuation of assets measured at fair value on a nonrecurring basis: Financial instrument Fair Value Valuation technique Significant Range of Collateral dependent loans $ 18,560 Valuation of collateral Discount for comparable sales 0%-30% Other real estate owned $ 6,662 Appraised value of property less costs to sell Discount for costs to sell 0%-15% The following table presents information as of December 31, 2019 about significant unobservable inputs (Level 3) used in the valuation of assets measured at fair value on a nonrecurring basis: Financial instrument Fair Value Valuation technique Significant Range of Impaired loans (1) $ 10,691 Valuation of collateral Discount for comparable sales 0%-30% Other real estate owned $ 9,774 Appraised value of property less costs to sell Discount for costs to sell 0%-15% (1) Includes both impaired non-purchased loans and collateral-dependent PCI loans. For collateral dependent loans, the ACL is measured based on the difference between the fair value of the collateral and the amortized cost basis of the loan as of the measurement date. Fair value of the loan's collateral is determined by third-party appraisals, which are then adjusted for the estimated selling and closing costs related to liquidation of of the collateral. Collateral dependent loans are reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly, based on changes in market conditions from the time of valuation and management's knowledge of the client and client's business. Other real estate owned acquired in settlement of indebtedness is recorded at fair value of the real estate less estimated costs to sell. Subsequently, it may be necessary to record nonrecurring fair value adjustments for declines in fair value. Any write-downs based on the asset's fair value at the date of foreclosure are charged to the allowance for credit losses. Appraisals for both collateral dependent loans and other real estate owned are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, a member of the lending administrative department reviews the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry wide statistics. Fair value option The Company measures mortgage loans originated for sale at fair value under the fair value option as permitted under ASC 825. Electing to measure these assets at fair value reduces certain timing differences and more accurately matches the changes in fair value of the loans with changes in the fair value of derivative instruments used to economically hedge them. Net gains of $24,233 resulting from fair value changes of mortgage loans were recorded in income during the year ended December 31, 2020, compared to net losses of $2,861 during the year ended December 31, 2019, respectively. The amount does not reflect changes in fair values of related derivative instruments used to hedge exposure to market-related risks associated with these mortgage loans. The change in fair value of both loans held for sale and the related derivative instruments are recorded in Mortgage Banking Income in the consolidated statements of income. Election of the fair value option allows the Company to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at the lower of cost or fair value and the derivatives at fair value. As of December 31, 2020, and 2019, there were $151,184 and $51,705, respectively, of GNMA loans previously sold that the Company did not record on its consolidated balance sheets as the Company determined there not to be a more-than-trivial benefit based on an analysis of interest rates and an assessment of potential reputational risk associated with these loans. The Company’s valuation of loans held for sale incorporates an assumption for credit risk; however, given the short-term period that the Company holds these loans, valuation adjustments attributable to instrument-specific credit risk is nominal. Interest income on loans held for sale measured at fair value is accrued as it is earned based on contractual rates and is reflected in loan interest income in the consolidated statements of income. The following table summarizes the differences between the fair value and the principal balance for loans held for sale and nonaccrual loans measured at fair value as of December 31, 2020 and 2019: December 31, 2020 Aggregate Aggregate Difference Mortgage loans held for sale measured at fair value $ 683,770 $ 651,887 $ 31,883 Commercial loans held for sale measured at fair value 208,914 226,867 (17,953) Past due loans of 90 days or more 83 163 (80) Nonaccrual loans 6,406 12,033 (5,627) December 31, 2019 Mortgage loans held for sale measured at fair value $ 262,518 $ 254,868 $ 7,650 Past due loans of 90 days or more — — — Nonaccrual loans — — —

Parent company financial statem

Parent company financial statements12 Months Ended
Dec. 31, 2020
Condensed Financial Information Disclosure [Abstract]
Parent company financial statementsParent company financial statements: As of December 31, Balance sheet 2020 2019 Assets Cash and cash equivalents (1) $ 5,310 $ 4,673 Investments: Equity securities, at fair value 1,173 — Investment in subsidiaries (1) 1,378,347 782,565 Other assets 12,240 6,292 Goodwill 29 29 Total assets $ 1,397,099 $ 793,559 Liabilities and shareholders' equity Liabilities Borrowings $ 106,299 $ 30,930 Accrued expenses and other liabilities (489) 300 Total liabilities 105,810 31,230 Shareholders' equity Common stock 47,222 31,034 Additional paid-in capital 898,847 425,633 Retained earnings 317,625 293,524 Accumulated other comprehensive income 27,595 12,138 Total shareholders' equity 1,291,289 762,329 Total liabilities and shareholders' equity $ 1,397,099 $ 793,559 (1) Eliminates in Consolidation For the years ended December 31, Income Statements 2020 2019 2018 Income Dividend income from subsidiaries (1) $ 49,706 $ — $ — Gain on investments 217 — — (Loss) gain on other assets — (16) 297 Other income 1,732 211 — Total income 51,655 195 297 Expenses Interest expense 3,122 1,638 1,651 Salaries, legal and professional fees 1,458 1,056 1,481 Other noninterest expense 283 120 960 Total expenses 4,863 2,814 4,092 Income (loss) before income tax benefit and equity in undistributed 46,792 (2,619) (3,795) Federal and state income tax benefit (1,155) (683) (746) Income (loss) before equity in undistributed earnings of subsidiaries 47,947 (1,936) (3,049) Equity in undistributed earnings from subsidiaries (1) 15,674 85,750 83,285 Net income $ 63,621 $ 83,814 $ 80,236 (1) Eliminates in Consolidation For the years ended December 31, Statement of Cash Flows 2020 2019 2018 Operating Activities Net income $ 63,621 $ 83,814 $ 80,236 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed income of subsidiaries (15,674) (85,750) (83,285) Gain on investments (217) — — Loss (gain) on other assets — 16 (297) Stock-based compensation expense 10,214 7,089 7,207 (Increase) decrease in other assets (9,717) 1,056 (441) Decrease in other liabilities (13,363) (9,711) (7,737) Net provided by (used in) operating activities 34,864 (3,486) (4,317) Investing Activities Proceeds from sale of other assets — — 869 Net cash paid in business combinations (See Note 2) (35,505) — — Net cash (used in) provided by investing activities (35,505) — 869 Financing Activities Accretion of interest rate premium on subordinated debt (436) — — Payment of dividends (14,264) (10,045) (6,137) Proceeds of other borrowings 15,000 — — Net proceeds from sale of common stock 978 804 1,196 Net cash used in financing activities 1,278 (9,241) (4,941) Net decrease in cash and cash equivalents 637 (12,727) (8,389) Cash and cash equivalents at beginning of year 4,673 17,400 25,789 Cash and cash equivalents at end of year $ 5,310 $ 4,673 $ 17,400 Supplemental noncash disclosures: Dividends declared not paid on restricted stock units $ 238 $ 149 $ 226 Noncash dividend from Bank 956 — 572

Segment reporting

Segment reporting12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]
Segment reportingSegment reporting: The Company and the Bank are engaged in the business of banking and provide a full range of financial services. The Company determines reportable segments based on the significance of the segment’s operating results to the overall Company, the products and services offered, customer characteristics, processes and service delivery of the segments and the regular financial performance review and allocation of resources by the Chief Executive Officer (“CEO”), the Company’s chief operating decision maker. The Company has identified two distinct reportable segments—Banking and Mortgage. The Company’s primary segment is Banking, which provides a full range of deposit and lending products and services to corporate, commercial and consumer customers. The Company offers full-service conforming residential mortgage products, including conforming residential loans and services through the Mortgage segment. Additionally, the Mortgage segment includes the servicing of residential mortgage loans and the packaging and securitization of loans to governmental agencies. The Company’s mortgage division represents a distinct reportable segment which differs from the Company’s primary business of commercial and retail banking. The financial performance of the Mortgage segment is assessed based on results of operations reflecting direct revenues and expenses in addition to allocated expenses. This approach gives management a better indication of the operating performance of the segment. When assessing the Banking segment’s financial performance, the CEO utilizes reports with indirect revenues and expenses including but not limited to the investment portfolio, electronic delivery channels and areas that primarily support the banking segment operations. Therefore these are included in the results of the Banking segment. Other indirect revenue and expenses related to general administrative areas are also included in the internal financial results reports of the Banking segment utilized by the CEO for analysis and are thus included for Banking segment reporting. The Mortgage segment utilizes funding sources from the Banking segment in order to fund mortgage loans that are ultimately sold on the secondary market. The Mortgage segment uses the proceeds from loan sales to repay obligations due to the Banking segment. During the first quarter of 2019, the Company's Board of Directors approved management's strategic plan to exit its wholesale mortgage delivery channels. On June 7, 2019, the Company completed the sale of its third party origination ("TPO") channel and on August 1, 2019, the Company completed the sale of its correspondent channel. The Mortgage segment incurred $1,995 in restructuring and miscellaneous charges, during the year ended December 31, 2019, related to these sales. The restructuring charges include a one time charge of $100 in relief of goodwill associated with the TPO channel. During the first quarter of 2021, the Company re-evaluated its business segments and revised to align all mortgage activities with the Mortgage segment. Previously, the Company had attributed retail mortgage activities originating from geographical locations within the footprint of the Company's branches to the Banking segment. Previously reported results for the years ended December 31, 2020, 2019 and 2018 have been revised to reflect this realignment. The impact of this change on previously reported segment results reflects the reclassification of mortgage retail footprint total net contribution of $26,416, $7,213 and $3,789 from the Banking segment to the Mortgage segment for the years ended December 31, 2020, 2109 and 2018, respectively. The following tables recast segment financial information under the revised methodology for the years ended December 31, 2020, 2019, and 2018 as follows: Year Ended December 31, 2020 Banking (4) Mortgage Consolidated Net interest income $ 265,581 $ 77 $ 265,658 Provisions for credit losses (1) 107,967 — 107,967 Mortgage banking income — 289,702 289,702 Change in fair value of mortgage servicing rights, net of hedging (2) — (34,374) (34,374) Other noninterest income 46,527 — 46,527 Depreciation and amortization 6,425 584 7,009 Amortization of intangibles 5,323 — 5,323 Other noninterest mortgage banking expense — 150,808 150,808 Other noninterest expense (3) 212,890 1,055 213,945 Income before income taxes $ (20,497) $ 102,958 $ 82,461 Income tax expense 18,832 Net income applicable to FB Financial Corporation and noncontrolling interest $ 63,629 Net income applicable to noncontrolling interest 8 Net income applicable to FB Financial Corporation $ 63,621 Total assets $ 10,254,324 $ 953,006 $ 11,207,330 Goodwill 242,561 — 242,561 (1) Included $13,361 in provision for credit losses on unfunded commitments. (2) Included in mortgage banking income in the Company's consolidated statements of income. (3) Included $33,824 of merger costs in the Banking segment related to the acquisition and integration of Farmers National and Franklin, and $1,055 of merger costs in the Mortgage segment related to the Franklin merger. (4) Banking segment includes noncontrolling interest. Year Ended December 31, 2019 Banking Mortgage Consolidated Net interest income $ 226,098 $ (62) $ 226,036 Provisions for credit losses 7,053 — 7,053 Mortgage banking income — 117,905 117,905 Change in fair value of mortgage servicing rights, net of hedging (1) — (16,989) (16,989) Other noninterest income 34,481 — 34,481 Depreciation and amortization 4,670 506 5,176 Amortization of intangibles 4,339 — 4,339 Other noninterest mortgage banking expense — 88,673 88,673 Other noninterest expense (2) 144,658 1,995 146,653 Income before income taxes $ 99,859 $ 9,680 $ 109,539 Income tax expense 25,725 Net income $ 83,814 Total assets $ 5,700,558 $ 424,363 $ 6,124,921 Goodwill 169,051 — 169,051 (1) Included in mortgage banking income in the Company's consolidated statements of income. (2) Includes $5,385 in merger costs in the Banking segment related to the Atlantic Capital branch acquisition and $1,995 in mortgage restructuring charges in the Mortgage segment. Year Ended December 31, 2018 Banking Mortgage Consolidated Net interest income $ 204,517 $ (449) $ 204,068 Provisions for credit losses 5,398 — 5,398 Mortgage banking income — 109,334 109,334 Change in fair value of mortgage servicing rights, net of hedging (1) — (8,673) (8,673) Other noninterest income 29,981 — 29,981 Depreciation and amortization 3,827 507 4,334 Amortization of intangibles 3,185 — 3,185 Other noninterest mortgage banking expense — 94,739 94,739 Other noninterest expense (2) 121,200 — 121,200 Income before income taxes $ 100,888 $ 4,966 $ 105,854 Income tax expense 25,618 Net income $ 80,236 Total assets $ 4,713,346 $ 423,418 $ 5,136,764 Goodwill 137,090 100 137,190 (1) Included in mortgage banking income in the Company's consolidated statements of income. (2) Included $1,594 in merger costs and $671 in costs related to follow-on secondary offering in the Banking segment. Our Banking segment provides our Mortgage segment with a warehouse line of credit that is used to fund mortgage loans held for sale. The warehouse line of credit, which is eliminated in consolidation, had a prime interest rate of 3.25% and 4.75% as of December 31, 2020 and 2019, respectively, and is limited based on interest income earned by the Mortgage segment. The amount of interest paid by our Mortgage segment to our Banking segment under this warehouse line of credit is recorded as interest income to our Banking segment and as interest expense to our Mortgage segment, both of which are included in the calculation of net interest income for each segment. The amount of interest paid by our Mortgage segment to our Banking segment under this warehouse line of credit was $14,810, $11,183 and $16,057 for the years ended December 31, 2020, 2019 and 2018, respectively.

Minimum capital requirements

Minimum capital requirements12 Months Ended
Dec. 31, 2020
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]
Minimum capital requirementsMinimum capital requirements: Banks and bank holding companies are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet capital requirements can initiate regulatory action. Under regulatory guidance for non-advanced approaches institutions, the Bank and Company are required to maintain minimum capital ratios as outlined in the table below. Additionally, under U.S. Basel III Capital Rules, the decision was made to opt out of including accumulated other comprehensive income in regulatory capital. As of December 31, 2020 and 2019, the Bank and Company met all capital adequacy requirements to which they are subject. In December 2018, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC approved a final rule to address changes to credit loss accounting under GAAP, including banking organizations’ implementation of CECL. The final rule provides banking organizations the option to phase in over a three-year period the day-one adverse effects on regulatory capital that may result from the adoption of the new accounting standard. In March 2020, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC announced a final rule to delay the estimated impact on regulatory capital stemming from the implementation of CECL. The final rule maintains the three-year transition option in the previous rule and provides banks the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period (five-year transition option). The Company adopted the capital transition relief over the permissible five-year period. Actual and required capital amounts and ratios are included below for the periods presented. Actual Minimum Capital To be well capitalized Amount Ratio Amount Ratio Amount Ratio December 31, 2020 Total Capital (to risk-weighted assets) FB Financial Corporation $ 1,358,897 15.0 % $ 952,736 10.5 % N/A N/A FirstBank 1,353,279 14.9 % 951,327 10.5 % $ 906,026 10.0 % Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 1,090,364 12.0 % $ 771,262 8.5 % N/A N/A FirstBank 1,142,548 12.6 % 770,122 8.5 % $ 724,820 8.0 % Tier 1 Capital (to average assets) FB Financial Corporation $ 1,090,364 10.0 % $ 435,064 4.0 % N/A N/A FirstBank 1,142,548 10.5 % 435,279 4.0 % $ 544,098 5.0 % Common Equity Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 1,060,364 11.7 % $ 635,157 7.0 % N/A N/A FirstBank 1,142,548 12.6 % 634,218 7.0 % $ 588,917 6.5 % Actual Minimum Capital To be well capitalized Amount Ratio Amount Ratio Amount Ratio December 31, 2019 Total Capital (to risk-weighted assets) FB Financial Corporation $ 633,549 12.2 % $ 545,268 10.5 % N/A N/A FirstBank 623,432 12.1 % 540,995 10.5 % $ 515,233 10.0 % Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 602,410 11.6 % $ 441,421 8.50 % N/A N/A FirstBank 592,293 11.5 % 437,782 8.50 % $ 412,030 8.0 % Tier 1 Capital (to average assets) FB Financial Corporation $ 602,410 10.1 % $ 238,578 4.00 % N/A N/A FirstBank 592,293 9.9 % 239,310 4.00 % $ 299,138 5.0 % Common Equity Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 572,410 11.1 % $ 360,979 7.0 % N/A N/A FirstBank 592,293 11.5 % 360,526 7.0 % $ 334,774 6.5 %

Employee benefit plans

Employee benefit plans12 Months Ended
Dec. 31, 2020
Retirement Benefits [Abstract]
Employee benefit plansEmployee benefit plans: (A)—401(k) plan: The Bank has a 401(k) Plan (the “Plan”) whereby substantially all employees participate in the Plan. Employees may contribute the maximum amount of their eligible compensation subject to certain limits based on the federal tax laws. During the year ended December 31, 2019, the Bank increased the employer match to 50% of participant contributions not to exceed 6% of an employee’s total compensation. Prior to 2019, the employer match was 25% of participant contributions not to exceed 6% of an employee's total compensation with an additional discretionary 25% match. Additionally, during 2019, the vesting term of profit sharing contributions was changed to a three-year ratable period from five years in 2018. For the years ended December 31, 2020, 2019 and 2018, the matching portions provided by the Bank to this Plan were $3,198 and $2,325 and $2,211 respectively, which includes an additional discretionary contribution of 25% match for 2018. (B)—Acquired supplemental retirement plans: In prior years, the Company assumed certain nonqualified supplemental retirement plans for certain former employees of acquired entities. At December 31, 2020 and 2019, other liabilities on the consolidated balance sheet included post-retirement benefits payable of $1,112 and $1,315, respectively, related to these plans. For the years ended December 31, 2020, 2019 and 2018, the Company recorded expense of $29, $1 and $4, respectively, related to these plans and payments to the participants were $131, $150 and $191 in 2020, 2019 and 2018, respectively. The Company also acquired single premium life insurance policies on these individuals. At December 31, 2020 and 2019, other assets on the consolidated balance sheet include cash surrender value of bank owned life insurance amounting to $71,977 and $11,357, respectively. Income related to these policies (net of related insurance premium expense) amounted to $1,556, $240 and $158 in 2020, 2019 and 2018, respectively. (C)—Deferred compensation plans and agreements: 2012 EBI Plan — The Bank granted awards (“EBI Units”) to certain employees pursuant to the the FirstBank 2012 Equity Based Incentive Plan (the “2012 EBI Plan”). Prior to the initial public offering, awards granted under the 2012 EBI Plan were settled in cash only. Following the initial public offering, participants in the EBI Plans were given the one-time option to elect, for each EBI Unit vested to such participant, either (i) an amount in cash or (ii) a number of shares of Company common stock determined pursuant to a conversion formula that took into account the effect of the initial public offering. Consistent with the terms of the EBI Plans and approved by the Board of Directors, outstanding EBI Units were adjusted to reflect the 100-for-one stock split that was effectuated prior to the IPO. EBI Units granted under the 2012 EBI Plan were fully vested and paid out during the year ended December 31, 2019. No further grants will be made under the 2012 EBI Plan. Deferred Compensation Agreement —Effective December 31, 2014, the Bank entered into an agreement with the Bank’s Chief Executive Officer to reward his prior service, pursuant to which he is entitled to receive a fixed lump sum cash payment equal to $3,000,000 on December 31, 2019 or the earlier occurrence of his separation of service or a change in control of the Company. On August 19, 2016, the Bank entered into an amendment to the deferred compensation agreement, pursuant to which the award was converted to 157,895 deferred stock units, determined by dividing $3,000,000 by $19.00 (the IPO price). On December 31, 2019, the deferred stock units were converted on a 1-for-1 basis into shares of Company common stock and distributed. No other awards have been made under this agreement. Summary —At December 31, 2019, the accompanying consolidated balance sheet included other liabilities for cash-settled awards under the EBI Plans amounting to $993 representing 29,172 units for those employees who elected cash settlement of EBI units. As of January 31, 2019, these cash-settled awards were fully distributed. For the years ended December 31 , 2019 and 2018, the Company incurred expenses related to these plans and agreements totaling $484 and $3,787, respectively, which is included in salaries, commissions and employee benefits in the accompanying statement of income. Additionally, payments under the plans totaled $1,191 and $1,818 for years ended December 31, 2019 and 2018, respectively.

Stock-based compensation

Stock-based compensation12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement [Abstract]
Stock-Based CompensationStock-Based Compensation Restricted Stock Units The Company grants restricted stock units under compensation arrangements for the benefit of employees, executive officers, and directors. Restricted stock unit grants are subject to time-based vesting. The total number of restricted stock units granted represents the maximum number of restricted stock units eligible to vest based upon the service conditions set forth in the grant agreements. The following table summarizes information about the changes in restricted stock units as of and for the year ended December 31, 2020: Restricted Stock Weighted Balance at beginning of period 826,263 $ 23.76 Granted (1) 420,521 31.35 Vested (177,581) 31.64 Forfeited (22,132) 33.20 Balance at end of period 1,047,071 $ 26.06 (1) Includes 118,776 restricted stock units issued in replacement of those initially granted by Franklin. See Note 2, "Mergers and acquisitions" for additional information. The total fair value of restricted stock units vested and released was $5,619, $9,923 and $4,562 for the years ended December 31, 2020, 2019, and 2018, respectively. The weighted average grant date fair value price was $31.35, $34.08 and $39.55 for the years ended December 31, 2020, 2019 and 2018, respectively. The compensation cost related to stock grants and vesting of restricted stock units was $9,213, $7,089, and $7,436 for the years ended December 31, 2020, 2019, and 2018, respectively. This included $898, $724, and $645 paid to Company independent directors during the years ended December 31, 2020, 2019, and 2018, respectively, related to independent director grants and compensation elected to be settled in stock. As of December 31, 2020, there was $13,436 of total unrecognized compensation cost related to unvested restricted stock units which is expected to be recognized over a weighted-average period of 2.5 years. As of December 31, 2020 and December 31, 2019, there were 2,240,434 and 2,377,574 shares available for issuance under the 2016-LTIP plan, respectively. At December 31, 2020 and December 31, 2019, there were $613 and $375, respectively, accrued in other liabilities related to dividends declared to be paid upon vesting and distribution of the underlying RSUs. Performance Based Restricted Stock Units During 2020, the Company began awarding performance-based restricted stock units ("PSUs") to executives and other officers and employees. Under the terms of the award, the number of units that will vest and convert to shares of common stock will be based on the extent to which the Company achieves specified performance criteria during the fixed three-year performance period. The number of shares issued upon vesting will range from 0% to 200% of the PSUs granted. The PSUs vest at the end of a three-year period based on average adjusted return on tangible equity as reported, adjusted for unusual gains/losses, merger expenses, and other items as approved by the compensation committee of the Company's board of directors. Compensation expense for the PSUs will be estimated each period based on the fair value of the stock at the grant date and the most probable outcome of the performance condition, adjusted for the passage of time within the vesting period of the awards. The Company granted 53,147 shares of performance based restricted stock units and recorded compensation cost of $1,001 during the year ended December 31, 2020. As of December 31, 2020, the Company determined the probability of meeting the performance criteria, and recorded compensation cost associated with a 181% vesting, when factoring in the conversion of PSUs to shares of common stock. During the year ended December 31, 2020. there were no forfeitures or vestings related to these grants. As of December 31, 2020, maximum unrecognized compensation cost related to the unvested PSUs was $2,482, and the remaining performance period over which the cost could be recognized was 2.1 years. Employee Stock Purchase Plan: The Company maintains an employee stock purchase plan (“ESPP”) under which employees, through payroll deductions, are able to purchase shares of Company common stock. The purchase price is 95% of the lower of the market price on the first or last day of the offering period. The maximum number of shares issuable during any offering period is 200,000 shares and a participant may not purchase more than 725 shares during any offering period (and, in any event, no more than $25 worth of common stock in any calendar year). During the years ended December 31, 2020 and 2019, there were 30,179 and 23,171 shares of common stock issued under the ESPP, respectively. As of December 31, 2020 and December 31, 2019, there were 2,379,006 and 2,409,185 shares available for issuance under the ESPP, respectively.

Related party transactions

Related party transactions12 Months Ended
Dec. 31, 2020
Related Party Transactions [Abstract]
Related party transactionsRelated party transactions: (A) Loans: The Bank has made and expects to continue to make loans to the directors, certain management and executive officers of the Company and their affiliates in the ordinary course of business, in compliance with regulatory requirements. An analysis of loans to executive officers, certain management, and directors of the Bank and their affiliates is presented below: Loans outstanding at January 1, 2020 $ 30,880 New loans and advances 10,492 Change in related party status (3,462) Repayments (13,235) Loans outstanding at December 31, 2020 $ 24,675 Unfunded commitments to certain executive officers, certain management and directors and their associates totaled $23,059 and $19,404 at December 31, 2020 and 2019, respectively. (B) Deposits: The Bank held deposits from related parties totaling $245,084 and $238,781 as of December 31, 2020 and 2019, respectively. (C) Leases: The Bank leases various office spaces from entities owned by certain directors of the Company under varying terms. The Company had $53 and $86 in unamortized leasehold improvements related to these leases at December 31, 2020 and 2019, respectively. These improvements are being amortized over a term not to exceed the length of the lease. Lease expense for these properties totaled $510, $509, and $516 for the years ended December 31, 2020, 2019, and 2018, respectively. (D) Aviation time sharing agreement: The Company is a participant to aviation time sharing agreements with entities owned by a certain director of the Company. During the years ended December 31, 2020, 2019, and 2018, the Company made payments of

Quarterly Results of Operations

Quarterly Results of Operations (Unaudited)12 Months Ended
Dec. 31, 2020
Quarterly Financial Information Disclosure [Abstract]
Quarterly Results of Operations (Unaudited)Quarterly Results of Operations (Unaudited) Summarized unaudited quarterly operating results for the Company for the years ending December 31, 2020 and 2019 are as follows: 2020 First Second Third Fourth Interest income $ 69,674 $ 65,607 $ 81,127 $ 98,236 Interest expense 13,425 10,270 12,299 12,992 Net interest income 56,249 55,337 68,828 85,244 Provision for credit losses 27,964 24,039 45,834 (3,231) Provision for credit losses on unfunded commitments 1,601 1,882 9,567 311 Net interest income after provision for loan losses 26,684 29,416 13,427 88,164 Noninterest income 42,700 81,491 97,026 80,638 Noninterest expense 68,559 80,579 118,092 109,855 Income tax expense (benefit) 80 7,455 (2,040) 13,337 Net income (loss) attributable to FB Financial Corporation and noncontrolling interest $ 745 $ 22,873 $ (5,599) $ 45,610 Net income applicable to noncontrolling interest — — — 8 Net income (loss) applicable to FB Financial Corporation $ 745 $ 22,873 $ (5,599) $ 45,602 Weighted average common shares outstanding: Basic 31,257,739 32,094,274 40,154,841 47,204,738 Fully diluted 31,734,112 32,506,417 40,637,745 47,791,659 Earnings per share Basic $ 0.02 $ 0.71 $ (0.14) $ 0.97 Fully diluted $ 0.02 $ 0.70 $ (0.14) $ 0.95 2019 First Second Third Fourth Interest income $ 65,933 $ 71,719 $ 73,242 $ 71,643 Interest expense 12,917 14,696 14,937 13,951 Net interest income 53,016 57,023 58,305 57,692 Provision for loan losses 1,391 881 1,831 2,950 Net interest income after provision for loan losses 51,625 56,142 56,474 54,742 Noninterest income 29,039 32,979 38,145 35,234 Noninterest expense 55,101 64,119 62,935 62,686 Income tax expense 5,975 6,314 7,718 5,718 Net income $ 19,588 $ 18,688 $ 23,966 $ 21,572 Weighted average common shares outstanding: Basic 30,786,684 30,859,596 30,899,583 30,934,092 Fully diluted 31,349,198 31,378,018 31,425,573 31,470,565 Earnings per share Basic $ 0.63 $ 0.60 $ 0.77 $ 0.69 Fully diluted $ 0.62 $ 0.59 $ 0.76 $ 0.68

Basis of presentation (Policies

Basis of presentation (Policies)12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]
Basis of presentationBasis of presentation: The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America and general banking industry. In preparing the financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and the reported results of operations for the year then ended. Actual results could differ significantly from those estimates. It is possible that the Company's estimate of the allowance for credit losses and determination of impairment of goodwill could change as a result of the continued impact of the COVID-19 pandemic on the economy. The resulting change in these estimates could be material to the Company's financial statements. The consolidated financial statements include the accounts of the Company, the Bank, and its’ wholly-owned subsidiaries, FirstBank Insurance, Inc., Investors Title Company, in addition to the newly acquired subsidiaries mentioned above. All significant intercompany accounts and transactions have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to the current period presentation without any impact on the reported amounts of net income or shareholders’ equity.
Cash flowsCash flows:For purposes of reporting consolidated cash flows, cash and cash equivalents include cash on hand, amounts due from banks, federal funds sold and interest earning deposits in other financial institutions with maturities of less than 90 days at the date of purchase. These amounts are reported in the consolidated balance sheets caption “Cash and cash equivalents.” Net cash flows are reported for loans held for investment, deposits and short-term borrowings.
Cash and cash equivalentsCash and cash equivalents:The Company considers all highly liquid unrestricted investments with a maturity of three months or less when purchased to be cash equivalents.
Investment securitiesInvestment securities: Debt securities are classified as held to maturity and carried at amortized cost, excluding accrued interest, when management has the positive intent and ability to hold them to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Available-for-sale debt securities are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of applicable taxes. Beginning January 1, 2020, unrealized losses resulting from credit losses for available-for-sale debt securities are recognized in earnings as a provision for credit losses. Unrealized losses that do not result from credit losses are excluded from earnings and reported as accumulated other comprehensive income, net of applicable taxes, which is included in equity. Accrued interest receivable is separated from other components of amortized cost and presented separately on the consolidated balance sheets. Equity securities with readily determinable market values are carried at fair value on the balance sheet with any periodic changes in value made through adjustments to the statement of income. Equity securities without readily determinable market values are carried at cost less impairment and included in other assets on the consolidated balance sheets. Interest income includes the amortization and accretion of purchase premium and discount. Premiums and discounts on securities are amortized on the level-yield method anticipating prepayments based upon the prior three month average monthly prepayments when available. Gains and losses on sales are recorded on the trade date and determined using the specific identification method. The Company evaluates available-for-sale securities for expected credit losses at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. For securities in an unrealized loss position, consideration is given to the extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. In analyzing an issuer’s financial condition, the Company considers whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. When credit losses are expected to occur, the amount of the expected credit loss recognized in earnings depends on the Company's intention to sell the security or if it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis. If the Company intends to sell the security or it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis, the expected credit loss recognized in earnings is equal to the entire difference between its amortized cost basis and its fair value at the date it was determined to be impaired due to credit losses or other factors. The previous amortized cost basis less the impairment recognized in earnings becomes the new amortized cost basis of the investment. However, if the Company does not intend to sell the security and it is not more likely than not to be required to sell the security before recovery of its amortized cost basis, the difference between the amortized cost and the fair value is separated into the amount representing the credit loss and the amount related to all other factors. If the Company determines a decline in fair value below the amortized cost basis of an available-for-sale investment security has resulted from credit related factors, beginning January 1, 2020 with the adoption of CECL, the Company records a credit loss through an allowance for credit losses. The allowance for credit losses is limited by the amount that the fair value is less than amortized cost. The amount of the allowance for credit losses is determined based on the present value of cash flows expected to be collected and is recognized as a charge to earnings. The amount of the impairment related to other, non-credit related, factors is recognized in other comprehensive income, net of applicable taxes. The Company did not record any provision for credit losses for its available-for-sale debt securities during the year ended December 31, 2020, as the majority of the investment portfolio is government guaranteed and declines in fair value below amortized cost were determined to be non-credit related.
Federal Home Loan Bank (FHLB) stockFederal Home Loan Bank (FHLB) stock:The Bank accounts for its investments in FHLB stock in accordance with FASB ASC Topic 942-325 "Financial Services-Depository and Lending-Investments-Other." FHLB stock are equity securities that do not have a readily determinable fair value because its ownership is restricted and lacks a market. FHLB stock is carried at cost and evaluated for impairment.
Loans held for saleLoans held for sale: Loans originated and intended for sale in the secondary market, primarily mortgage loans, are carried at fair value as permitted under the guidance in ASC 825, “Financial Instruments” (“ASC 825”). Net gains (losses) of $24,233, $(2,861), and $(4,539) resulting from fair value changes of these mortgage loans were recorded in income during the years ended December 31, 2020, 2019 and 2018, respectively. The amount does not reflect changes in fair values of related derivative instruments used to hedge exposure to market-related risks associated with these mortgage loans. The change in fair value of both mortgage loans held for sale and the related derivative instruments are recorded in “Mortgage banking income” in the Consolidated Statements of Income. Gains and losses are recognized in Mortgage banking income on the consolidated statements of income at the time the loan is closed. Pass through origination costs and related loan fees are also included in “Mortgage banking income”. Periodically, the Bank will transfer mortgage loans originated for sale in the secondary markets into the loan portfolio based on current market conditions, the overall secondary marketability of the loan and the status of the loan. During the years ended December 31, 2020, 2019, and 2018, the Bank transferred $55,766, $12,259, and $14,732, respectively, of residential mortgage loans into its loans held for investment portfolio. The loans are transferred into the portfolio at fair value at the date of transfer. Additionally, occasionally the Bank will transfer loans from the held for investment portfolio into loans held for sale. At the time of the transfer, loans are marked to fair value through the allowance for credit losses and reclassified to loans held for sale. During the year ended December 31, 2020, the Company transferred $2,116 from the portfolio to loans held for sale. During the year ended December 31, 2018, the Company transferred $11,888 from the portfolio to loans held for sale,resulting in an adjustment to the allowance for loan losses of $349. Government National Mortgage Association (GNMA) optional repurchase programs allow financial institutions to buy back individual delinquent mortgage loans that meet certain criteria from the securitized loan pool for which the institution provides servicing and was the original transferor. At the servicer’s option and without GNMA’s prior authorization, the servicer may repurchase such a delinquent loan for an amount equal to 100 percent of the remaining principal balance of the loan. Under FASB ASC Topic 860, “Transfers and Servicing,” this buy-back option is considered a conditional option until the delinquency criteria are met, at which time the option becomes unconditional. When the Company is deemed to have regained effective control over these loans under the unconditional buy-back option, the loans can no longer be reported as sold and must be brought back onto the balance sheet, regardless of whether the Company intends to exercise the buy-back option if the buyback option provides the transferor a more-than-trivial benefit. When this criteria is met and these are repurchased, after a period of borrower performance, the loans are transferred to loans held for sale at fair value and are able to be repooled into new Ginnie Mae guaranteed securities. During the years ended December 31, 2020 and 2019, the Company transferred $9,367 and $7,891, respectively, of these repurchased loans from loans held for investment to loans held for sale. There was no such activity during the year ended December 21, 2018. As of December 31, 2020, and 2019, there were $151,184 and $51,705, respectively, of delinquent GNMA loans that had previously been sold which the Company had the option to repurchase; however, the Company determined there not to be a "more-than-trivial benefit" based on an analysis of interest rates and assessment of potential reputational risk associated with these loans. As such, the Company did not record these loans on the balance sheets. During the year ended December 31, 2020 , the Company acquired a portfolio of commercial loans, including shared national credits and institutional healthcare loans, as part of the Franklin transaction that the Company has elected to account for as held for sale. Changes in fair value from the acquisition date fair value are included in 'other noninterest income' on the consolidated statement of income.
Loans (excluding purchase credit impaired loans)Loans (excluding purchased credit deteriorated loans):Loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off are stated at the principal amount outstanding less any purchase accounting discount net of any accretion recognized to date. Interest on loans is recognized as income by using the simple interest method on daily balances of the principal amount outstanding plus any accretion of purchase accounting discounts.Loans on which the accrual of interest has been discontinued are designated as nonaccrual loans. Accrual of interest is discontinued on loans past due 90 days or more unless the credit is well secured and in the process of collection. Also, a loan may be placed on nonaccrual status prior to becoming past due 90 days if management believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that collection of principal or interest is doubtful. The decision to place a loan on nonaccrual status prior to becoming past due 90 days is based on an evaluation of the borrower’s financial condition, collateral liquidation value, economic and business conditions and other factors that affect the borrower’s ability to pay. When a loan is placed on nonaccrual status, the accrued but unpaid interest is charged against current period operations. Thereafter, interest on nonaccrual loans is recognized only as received if future collection of principal is probable. If the collectability of outstanding principal is doubtful, interest received is applied as a reduction of principal. A loan may be restored to accrual status when principal and interest are no longer past due or it otherwise becomes both well secured and collectability is reasonably assured. The Company continues to monitor the level of accrued interest receivable, however an allowance for credit losses was not required as of December 31, 2020.
Allowance for credit lossesAllowance for credit losses: The allowance for credit losses represents the portion of the loan's amortized cost basis that the Company does not expect to collect due to credit losses over the loan's life, considering past events, current conditions, and reasonable and supportable forecasts of future economic conditions considering macroeconomic forecasts. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The allowance for credit losses is based on the loan's amortized cost basis, excluding accrued interest receivable, as the Company promptly charges off uncollectible accrued interest receivable. Management’s determination of the appropriateness of the allowance is based on periodic evaluation of the loan portfolio, lending-related commitments and other relevant factors, including macroeconomic forecasts and historical loss rates. In future quarters, the Company may update information and forecasts that may cause significant changes in the estimate in those future quarters. As of January 1, 2020, the Company’s policy for the allowance for credit losses changed with the adoption of CECL. As permitted, the new guidance was implemented using a modified retrospective approach with the impact of the initial adoption being recorded through retained earnings at January 1, 2020, with no restatement of prior periods. Prior to adopting CECL, the Company calculated the allowance using an incurred loss approach. Beginning January 1, 2020, the Company calculates the allowance using a lifetime expected credit loss approach as described in the previous paragraph. See Note 5, "Loans and allowance for credit losses" for additional details related to the Company's specific calculation methodology. The allowance for credit losses is the Company’s best estimate. Actual losses may differ from the December 31, 2020 allowance for credit loss as the CECL estimate is sensitive to economic forecasts and management judgment. The following portfolio segments have been identified: Commercial and industrial loans. The Company provides a mix of variable and fixed rate commercial and industrial loans. Commercial and industrial loans are typically made to small- and medium-sized manufacturing, wholesale, retail and service businesses for working capital and operating needs and business expansions, including the purchase of capital equipment and loans made to farmers relating to their operations. This category also includes loans secured by manufactured housing receivables. Commercial and industrial loans generally include lines of credit and loans with maturities of five years or less. The loans are generally made with operating cash flows as the primary source of repayment, but may also include collateralization by inventory, accounts receivable, equipment and/or personal guarantees. The ability of the borrower to collect accounts receivable, and to turn inventory into sales are risk factors in the repayment of the loan. Construction loans. Construction loans include commercial construction, land acquisition and land development loans and single-family interim construction loans to small- and medium-sized businesses and individuals. These loans are generally secured by the land or the real property being built and are made based on our assessment of the value of the property on an as-completed basis. We expect to continue to make construction loans at a similar pace so long as demand continues and the market for and values of such properties remain stable or continue to improve in our markets. These loans can carry risk of repayment when projects incur cost overruns, have an increase in the price of building materials, encounter zoning and environmental issues, or encounter other factors that may affect the completion of a project on time and on budget. Additionally, repayment risk may be negatively impacted when the market experiences a deterioration in the value of real estate. Residential real estate 1-4 family mortgage loans . The Company’s residential real estate 1-4 family mortgage loans are primarily made with respect to and secured by single family homes, which are both owner-occupied and investor owned and include manufactured homes with real estate. The Company intends to continue to make residential 1-4 family housing loans at a similar pace, so long as housing values in our markets do not deteriorate from current prevailing levels and we are able to make such loans consistent with our current credit and underwriting standards. First lien residential 1-4 family mortgages may be affected by unemployment or underemployment and deteriorating market values of real estate. Residential line of credit loans. The Company’s residential line of credit loans are primarily revolving, open-end lines of credit secured by 1-4 residential properties. The Company intends to continue to make home equity loans if housing values in our markets do not deteriorate from current prevailing levels and we are able to make such loans consistent with our current credit and underwriting standards. Second lien residential 1-4 family mortgages may be affected by unemployment or underemployment and deteriorating market values of real estate. Multi-family residential loans. The Company’s multi-family residential loans are primarily secured by multi-family properties, such as apartments and condominium buildings. These loans also may be affected by unemployment or underemployment and deteriorating market values of real estate. Commercial real estate loans . The Company’s commercial real estate owner-occupied loans include loans to finance commercial real estate owner occupied properties for various purposes including use as offices, warehouses, production facilities, health care facilities, retail centers, restaurants, churches and agricultural based facilities. Commercial real estate owner-occupied loans are typically repaid through the ongoing business operations of the borrower, and hence are dependent on the success of the underlying business for repayment and are more exposed to general economic conditions. Commercial real estate non-owner occupied loans . The Company’s commercial real estate non-owner occupied loans include loans to finance commercial real estate non-owner occupied investment properties for various purposes including use as offices, warehouses, health care facilities, hotels, mixed-use residential/commercial, manufactured housing communities, retail centers, assisted living facilities and agricultural based facilities. Commercial real estate non-owner occupied loans are typically repaid with the funds received from the sale of the completed property or rental proceeds from such property, and are therefore more sensitive to adverse conditions in the real estate market, which can also affected by general economic conditions. Consumer and other loans . The Company’s consumer and other loans include loans to individuals for personal, family and household purposes, including car, boat and other recreational vehicle loans, manufactured homes without real estate, and personal lines of credit. Consumer loans are generally secured by vehicles and other household goods. The collateral securing consumer loans may depreciate over time. The company seeks to minimize these risks through its underwriting standards. Other loans also include loans to states and political subdivisions in the U.S. These loans are generally subject to the risk that the borrowing municipality or political subdivision may lose a significant portion of its tax base or that the project for which the loan was made may produce inadequate revenue.
Business combinations and accounting for acquired loans with credit deterioration and off-balance sheet financial instrumentsBusiness combinations, accounting for acquired loans with credit deterioration and off-balance sheet financial instruments: Business combinations are accounted for by applying the acquisition method in accordance with Accounting Standards Codification ("ASC") 805, “Business Combinations” (“ASC 805”). Under the acquisition method, identifiable assets acquired and liabilities assumed and any non-controlling interest in the acquiree at the acquisition date are measured at their fair values as of that date. Any excess of the purchase price over fair value of net assets acquired is recorded as goodwill. To the extent the fair value of net assets acquired, including any other identifiable intangible assets, exceed the purchase price, a bargain purchase gain is recognized. Results of operations of acquired entities are included in the consolidated statements of income from the date of acquisition. Beginning January 1, 2020, loans acquired in business combinations with evidence of more-than-insignificant credit deterioration since origination are considered to be Purchased Credit Deteriorated ("PCD"). The Company developed multiple criteria to assess the presence of more–than–insignificant credit deterioration in acquired loans, mainly focused on changes in credit quality and payment status. While general criteria have been established, each acquisition will vary in its specific facts and circumstances and the Company will apply judgment around PCD identification for each individual acquisition based on their unique portfolio mix and risks identified. The Company adopted ASC 326 using the prospective transition approach for loans previously classified as purchased credit impaired ("PCI") and accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether PCI assets met the criteria of PCD assets as of the date of adoption and all PCI loans were transitioned to PCD loans upon adoption. Under PCD accounting,the amount of expected credit losses as of the acquisition date is added to the purchase price of the PCD loan. This establishes the amortized cost basis of the PCD loan. The difference between the unpaid principal balance of the PCD loan and the amortized cost basis of the PCD loan as of the acquisition date is the non-credit discount. Interest income for a PCD loan is recognized by accreting the amortized cost basis of the PCD loan to its contractual cash flows. The discount related to estimated credit losses on acquisition recorded as an allowance for credit losses will not be accreted into interest income. Only the noncredit-related discount will be accreted into interest income and subsequent adjustments to expected credit losses will flow through the provision for credit losses on the income statement. Financial instruments include off-balance sheet credit instruments, such as commitments to make loans and commercial letters of credit, issued to meet customer financing needs. The face amount for these items represents the exposure to loss, before considering customer collateral or ability to repay. Such financial instruments are recorded when they are funded, unless considered derivatives. For loan commitments that are not accounted for as derivatives and when the obligation is not unconditionally cancellable by the Company, the Company applies the CECL methodology to estimate the expected credit loss on off-balance-sheet commitments. The estimate of expected credit losses for off-balance-sheet credit commitments is recognized as a liability. When the loan is funded, an allowance for expected credit losses is estimated for that loan using the CECL methodology, and the liability for off-balance-sheet commitments is reduced. When applying the CECL methodology to estimate the expected credit loss, the Company considers the likelihood that funding will occur, the contractual period of exposure to credit loss, the risk of loss, historical loss experience, and current conditions along with expectations of future economic conditions.
Premises and equipmentPremises and equipment: Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Provisions for depreciation are computed principally on the straight-line method and are charged to occupancy expense over the estimated useful lives of the assets. Maintenance agreements are amortized to expense over the period of time covered by the agreement. Costs of major additions, replacements or improvements are capitalized while expenditures for maintenance and repairs are charged to expense as incurred. For financial statement purposes, the estimated useful life for premises is the lesser of the remaining useful life per third party appraisal or forty years, for furniture and fixtures the estimated useful life is seven three
Other real estate ownedOther real estate owned:Real estate acquired through, or in lieu of, loan foreclosure is initially recorded at fair value less the estimated cost to sell at the date of foreclosure, which may establish a new cost basis. Other real estate owned may also include excess facilities and properties held for sale as described in Note 8. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan. After initial measurement, valuations are periodically performed by management and the asset is carried at the lower of carrying amount or fair value less costs to sell. Revenue and expenses from operations are included in other noninterest income and noninterest expenses. Losses due to the valuation of the property are included in gain (loss) on sales or write-downs of other real estate owned.
LeasesLeases:The Company leases certain banking, mortgage and operations locations. Effective January 1, 2019, the Company records leases on the balance sheet in the form of a lease liability for the present value of future minimum payments under the lease terms and a right-of-use asset equal to the lease liability adjusted for items such as deferred or prepaid rent, incentive liabilities, leasehold intangibles and any impairment of the right-of-use asset. In determining whether a contract contains a lease, management conducts an analysis at lease inception to ensure an asset was specifically identified and the Company has control of use of the asset. For contracts determined to be leases entered into after January 1, 2019, the Company performs additional analysis to determine whether the lease should be classified as a finance or operating lease. The Company considers a lease to be a finance lease if future minimum lease payments amount to greater than 90% of the asset's fair value or if the lease term is equal to or greater than 75% of the asset's estimated economic useful life. As of December 31, 2020, the Company has one finance lease that resulted from the Franklin transaction. As of December 31, 2019, the Company did not have any leases that were determined to be finance leases. The Company does not record leases on the consolidated balance sheets that are classified as short term (less than one year). Additionally, the Company has not recorded equipment leases or leases in which the Company is the lessor on the consolidated balance sheets as these are not material to the Company. At lease inception, the Company determines the lease term by adding together the minimum lease term and all optional renewal periods that it is reasonably certain to renew. This determination is at management's full discretion and is made through consideration of the asset, market conditions, competition and entity based economic conditions, among other factors. The lease term is used in the economic life test and also to calculate straight-line rent expense. The depreciable life of leasehold improvements is limited by the estimated lease term, including renewals. Operating leases are expensed on a straight-line basis over the life of the lease beginning when the lease commences. Rent expense and variable lease expense are included in occupancy and equipment expense on the Company's Consolidated statements of income. The Company's variable lease expense include rent escalators that are based on the Consumer Price Index or market conditions and include items such as common area maintenance, utilities, parking, property taxes, insurance and other costs associated with the lease. There are no residual value guarantees or restrictions or covenants imposed by leases that will impact the Company's ability to pay dividends or cause the Company to incur additional expenses. The discount rate used in determining the lease liability is based upon incremental borrowing rates the Company could obtain for similar loans as of the date of commencement or renewal.
Mortgage servicing rightsMortgage servicing rights: The Company accounts for its mortgage servicing rights under the fair value option as permitted under ASC 860-50-35, "Transfers and Servicing". The Company retains the right to service certain mortgage loans that it sells to secondary market investors. The retained mortgage servicing right is initially recorded at the fair value of future net cash flows expected to be realized for performing servicing activities. Fair value is determined using an income approach with various assumptions including expected cash flows, prepayment speeds, market discount rates, servicing costs, and other factors. These mortgage servicing rights are recognized as a separate asset on the date the corresponding mortgage loan is sold. Subsequent changes in fair value, including the write downs due to pay offs and paydowns, are recorded in earnings in Mortgage banking income.
Transfers of financial assetsTransfers of financial assets:Transfers of financial assets are accounted for as sales, when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.
Goodwill and other intangiblesGoodwill and other intangibles:Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired. Goodwill impairment testing is performed annually or more frequently if events or circumstances indicate possible impairment. Goodwill is assigned to the Company’s reporting units, Banking or Mortgage as applicable. Goodwill is evaluated for impairment by first performing a qualitative evaluation to determine whether it is necessary to perform the quantitative goodwill impairment test. The qualitative evaluation is an assessment of factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill.  If an entity does a qualitative assessment and determines that it is not more likely than not the fair value of a reporting unit is less than its carrying amount, then goodwill of the reporting unit is not considered impaired, and it is not necessary to continue to the quantitative goodwill impairment test. If the estimated implied fair value of goodwill is less than the carrying amount, an impairment loss would be recognized in noninterest expense to reduce the carrying amount to the estimated implied fair value, which could be material to our operating results for any particular reporting period.Other intangible assets consist of core deposit intangible assets arising from whole bank and branch acquisitions in addition to both a customer trust intangible and manufactured housing loan servicing intangible. All intangible assets are initially measured at fair value and then amortized over their estimated useful lives. See Note 9,"Goodwill and intangible assets" for additional information on other intangibles.
Income taxesIncome taxes: Income tax expense is the total of the current year income tax due and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are the expected future tax amounts for the temporary differences between carrying amounts and tax bases of assets and liabilities, computed using enacted tax rates. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded.
Long-lived assetsLong-lived assets:Premises and equipment, core deposit intangible assets, and other long-lived assets are reviewed for impairment when events indicate their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are recorded at fair value.
Derivative financial instruments and hedging activitiesDerivative financial instruments and hedging activities: All derivative financial instruments are recorded at their fair values in other assets or other liabilities in the consolidated balance sheets in accordance with ASC 815, “Derivatives and Hedging.” If derivative financial instruments are designated as hedges of fair values, both the change in the fair value of the hedge and the hedged item are included in current earnings. If derivative financial instruments are not designated as hedges, only the change in the fair value of the derivative instrument is included in current earnings. Cash flow hedges are utilized to mitigate the exposure to variability in expected future cash flows or other types of forecasted transactions. For the Company’s derivatives designated as cash flow hedges, changes in the fair value of cash flow hedges are, to the extent that the hedging relationship is effective, recorded as other comprehensive income and are subsequently recognized in earnings at the same time that the hedged item is recognized in earnings. The ineffective portions of the changes in fair value of the hedging instruments are immediately recognized in earnings. The assessment of the effectiveness of the hedging relationship is evaluated under the hypothetical derivative method. The Company also utilizes derivative instruments that are not designated as hedging instruments. The Company enters into interest rate cap and/or floor agreements with its customers and then enters into an offsetting derivative contract position with other financial institutions to mitigate the interest rate risk associated with these customer contracts. Because these derivative instruments are not designated as hedging instruments, changes in the fair value of the derivative instruments are recognized currently in earnings. The Company also enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding (rate-lock commitments). Rate-lock commitments on mortgage loans that are intended to be sold are considered to be derivatives. Accordingly, such commitments, along with any related fees received from potential borrowers, are recorded at fair value in other assets or liabilities, with changes in fair value recorded in the line item “Mortgage banking income” on the Consolidated Statements of Income. Fair value is based on fees currently charged to enter into similar agreements, and for fixed-rate commitments, the difference between current levels of interest rates and the committed rates is also considered. The Company utilizes forward loan sale contracts and forward sales of residential mortgage-backed securities to mitigate the interest rate risk inherent in the Company’s mortgage loan pipeline and held-for-sale portfolio. Forward sale contracts are contracts for delayed delivery of mortgage loans or a group of loans pooled as mortgage-backed securities. The Company agrees to deliver on a specified future date, a specified instrument, at a specified price or yield. However, the contract may allow for cash settlement. The credit risk inherent to the Company arises from the potential inability of counterparties to meet the terms of their contracts. In the event of non-acceptance by the counterparty, the Company would be subject to the credit and inherent (or market) risk of the loans retained. Such contracts are accounted for as derivatives and, along with related fees paid to investor are recorded at fair value in derivative assets or liabilities, with changes in fair value recorded in the line item “Mortgage banking income” on the Consolidated Statements of Income. Fair value is based on the estimated amounts that the Company would receive or pay to terminate the commitment at the reporting date. The Company utilizes two methods to deliver mortgage loans sold to an investor. Under a “best efforts” sales agreement, the Company enters into a sales agreement with an investor in the secondary market to sell the loan when an interest rate-lock commitment is entered into with a customer, as described above. Under a “best efforts” sales agreement, the Company is obligated to sell the mortgage loan to the investor only if the loan is closed and funded. Thus, the Company will not incur any liability to an investor if the mortgage loan commitment in the pipeline fails to close. The Company also utilizes “mandatory delivery” sales agreements. Under a mandatory delivery sales agreement, the Company commits to deliver a certain principal amount of mortgage loans to an investor at a specified price and delivery date. Penalties are paid to the investor should the Company fail to satisfy the contract. Mandatory commitments are recorded at fair value in the Company’s Consolidated Balance Sheets. Gains and losses arising from changes in the valuation of these commitments are recognized currently in earnings and are reflected under the line item “Mortgage banking income” on the Consolidated Statements of Income.
Lender risk accountLender risk account:During 2018, the Company began selling qualified mortgage loans to FHLB-Cincinnati via the Mortgage Purchase Program (“MPP”).  All mortgage loans purchased from members through the MPP are held on the FHLB’s balance sheet. FHLB does not securitize MPP loans for sale to other investors.  They mitigate their credit risk exposure through their underwriting and pool composition requirements and through the establishment of the Lender Risk Account (“LRA”) credit enhancement. The LRA protects the FHLB against possible credit losses by setting aside a portion of the initial purchase price into a performance based escrow account that can be used to offset possible loan losses.  The LRA amount is established as a percentage applied to the sum of the initial unpaid principal balance of each mortgage in the aggregated pool at the time of the purchase of the mortgage as determined by the FHLB-Cincinnati and is funded by the deduction from the proceeds of sale of each mortgage in the aggregated pool to the FHLB-Cincinnati.  As of December 31, 2020 and 2019, the Company had on deposit with the FHLB-Cincinnati $12,729 and $11,225, respectively, in these LRA’s. Additionally, as of December 31, 2020 and 2019, the Company estimated the guaranty account to be $6,183 and $5,546, respectively. The Company bears the risk of receiving less than 100% of its LRA contribution in the event of losses, either by the Company or other members selling mortgages in the aggregated pool.  Any losses will be deducted first from the individual LRA contribution of the institution that sold the mortgage of which the loss was incurred. If losses incurred in the aggregated pool are greater than the member’s LRA contribution, such losses will be deducted from the LRA contribution of other members selling mortgages in that aggregated pool.  Any portion of the LRA not used to pay losses will be released over a thirty year period and will not start until the end of five years after the initial fill-up period.
Comprehensive incomeComprehensive income:Comprehensive income consists of net income and other comprehensive income. Other comprehensive income includes unrealized gains and losses on available-for-sale securities and derivatives designated as cash flow hedges, net of taxes.
Loss contingenciesLoss contingencies:Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are such matters that will have a material effect on the financial statements.
Securities sold under agreements to repurchaseSecurities sold under agreements to repurchase:The Company routinely sells securities to certain customers and then repurchases the securities the next business day. Securities sold under agreements to repurchase are recorded on the consolidated balance sheets at the amount of cash received in connection with each transaction in the line item "Borrowings". These are secured liabilities and are not covered by the Federal Deposit Insurance Corporation ("FDIC"). See Note 14, "Borrowings" in the Notes to the consolidated financial statements for additional details regarding securities sold under agreements to repurchase.
Advertising expenseAdvertising expense:Advertising costs, including costs related to internet mortgage marketing, lead generation, and related costs, are expensed as incurred.
Earnings per common shareEarnings per common share: Basic earnings per common share ("EPS") excludes dilution and is computed by dividing earnings attributable to common shareholders by the weighted average number of common shares outstanding during the period. Diluted EPS includes the dilutive effect of additional potential common shares issuable under the restricted stock units granted but not yet vested and distributable. Diluted EPS is computed by dividing earnings attributable to common shareholders by the weighted average number of common shares outstanding for the year, plus an incremental number of common-equivalent shares computed using the treasury stock method. Unvested share-based payment awards, which include the right to receive non-forfeitable dividends or dividend equivalents, are considered to participate with common shareholders in undistributed earnings for purposes of computing EPS. Companies that have such participating securities, including the Company, are required to calculate basic and diluted EPS using the two-class method. Certain restricted stock awards granted by the Company include non-forfeitable dividend equivalents and are considered participating securities. Calculations of EPS under the two-class method (i) exclude from the numerator any dividends paid or owed on participating securities and any undistributed earnings considered to be attributable to participating securities and (ii) exclude from the denominator the dilutive impact of the participating securities.
Segment reportingSegment reporting: The Company’s Mortgage division represents a distinct reportable segment that differs from the Company’s primary business of Banking.
Stock-based compensationStock-based compensation: The Company grants restricted stock units ("RSUs") under compensation arrangements for the benefit of employees, executive officers, and directors. Restricted stock unit grants are subject to time-based vesting. The total number of restricted stock units granted represents the maximum number of restricted stock units eligible to vest based upon the service conditions set forth in the grant agreements. During 2020, the Company began awarding performance-based restricted stock units ("PSUs") to executives and other officers and employees. Under the terms of the award, the number of units that will vest and convert to shares of common stock will be based on the extent to which the Company achieves specified performance criteria during a fixed three-year performance period. Stock-based compensation expense is recognized in accordance with ASC 718-20, “ Compensation – Stock Compensation Awards Classified as Equity”.
Subsequent eventsSubsequent Events:ASC Topic 855, "Subsequent Events", establishes general standards of accounting for and disclosure of events that occur after the balance sheet date but before financial statements are issued. The Company evaluated all events or transactions that occurred after December 31, 2020 through the date of the issued financial statements.
Recently adopted accounting policies and Newly issued not yet effective accounting standardsRecently adopted accounting standards: In June 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” ASU 2016-13 and its subsequent amendments issued by the FASB requires the measurement of all current expected credit losses for financial assets (including off-balance sheet credit exposures) held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Additionally, the update requires enhanced disclosures related to the significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. The new methodology requires institutions to calculate all probable and estimable losses that are expected to be incurred through the financial asset's entire life through a provision for credit losses, including certain loans obtained as a result of any acquisition. For available-for-sale debt securities that have experienced a deterioration in credit, Topic 326 requires an allowance for credit losses to be recognized, instead of a direct write-down, which was previously required under the other-than-temporary impairment ("OTTI") model. Topic 326 eliminates the concept of OTTI impairment and instead focuses on determining whether any impairment is a result of a credit loss or other factors. As a result, the standard says the Company may not use the length of time a debt security has been in an unrealized loss position as a factor, either by itself or in combination with other factors, to conclude that a credit loss does not exist, as the Company was previously allowed under the OTTI model. ASU 2016-13 eliminates the existing guidance for PCI loans, but requires an allowance for purchased financial assets with more than insignificant deterioration since origination to be determined in a manner similar to that of other financial assets measured at amortized cost; however, the initial allowance will be added to the purchase price rather than recorded as provision expense referred herein as the PCD asset gross-up approach. The Company applied the new PCD asset gross-up approach at transition to all assets that were accounted for as PCI prior to adoption. Any change in the allowance for credit losses for these assets as a result of applying the new guidance is accounted for as an adjustment to the asset’s amortized cost basis and not as a cumulative-effect adjustment to beginning retained earnings. Additionally, ASU 2016-13 requires additional disclosures related to loans and debt securities. See Note 4, “Investment securities” and Note 5, “Loans and allowance for credit losses” for these disclosures. The Company formed a cross–functional working group to oversee the adoption of CECL at the effective date. The working group developed a project plan focused on understanding the new standard, researching issues, identifying data needs for modeling inputs, technology requirements, modeling considerations, and ensuring overarching governance was achieved for each objective and milestone. The key data driver for each model was identified, populated, and internally validated. The Company also completed data and model validation testing. The Company has performed model sensitivity analysis, developed a framework for qualitative adjustments, created supporting analytics, and executed the enhanced governance and approval process. Internal controls related to the CECL process were finalized prior to adoption. ASU 2016-13 was adopted effective January 1, 2020 using a modified retrospective approach with no adjustments to prior period comparative financial statements. Upon adoption, the Company recorded a cumulative effective adjustment to decrease retained earnings by $25,018, with corresponding adjustments to the allowance for credit losses on loans and unfunded commitments in addition to recording a deferred tax asset on its consolidated balance sheet. As of that date, the Company also recorded a cumulative effect adjustment to gross-up the amortized cost amount of its PCD loans by $558, with a corresponding adjustment to the allowance for credit losses on its consolidated balance sheet. In December 2018, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC approved a final rule to address changes to credit loss accounting under GAAP, including banking organizations’ implementation of CECL. The final rule provides banking organizations the option to phase in over a three-year period the day-one adverse effects on regulatory capital that may result from the adoption of the new accounting standard. In March 2020, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC announced an interim final rule, which became final on September 30, 2020 to delay the estimated impact on regulatory capital stemming from the implementation of CECL. The final rule maintains the three-year transition option in the previous rule and provides banks the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period (five-year transition option). The Company elected the five-year capital transition relief option. In January 2017, the FASB issued ASU 2017-04, “Intangibles – Goodwill and Other (Topic 350) – Simplifying the Test for Goodwill Impairment.” ASU 2017-04 eliminates step two from the goodwill impairment test. Instead, an entity may perform only step one of its quantitative goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount, and then recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Entities have the option to perform a qualitative assessment for a reporting unit to determine if the quantitative step one impairment test is necessary. ASU 2017-04 became effective for the Company on January 1, 2020. The adoption of this standard did not have any impact on the Company's consolidated financial statements or disclosures. In August 2018, the FASB issued "Accounting Standards Update 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurements." This update is part of the disclosure framework project and eliminates certain disclosure requirements for fair value measurements, requires entities to disclose new information, and modifies existing disclosure requirements. The update became effective on January 1, 2020 and did not have an impact on the Company's consolidated financial statements or disclosures. In March 2019, FASB issued ASU 2019-01, "Leases (Topic 842): Codification Improvements", which aligns the guidance for fair value of the underlying assets by lessors that are not manufacturers or dealers in Topic 842 with that of existing guidance. As a result, the fair value of the underlying asset at lease commencement is its cost, reflecting any volume or trade discounts that may apply. However, if there has been a significant lapse of time between when the underlying asset is acquired and when the lease commences, the definition of fair value in Topic 820, Fair Value Measurement should be applied. ASU No. 2019-01 also requires lessors within the scope of Topic 942, "Financial Services—Depository and Lending", to present all “principal payments received under leases” within investing activities. The adoption of this standard on January 1, 2020 did not have a material impact on the Company's consolidated financial statements or disclosures. In April 2019, the FASB issued ASU No. 2019-04, " Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments". The amendments related to Topic 326 address accrued interest, transfers between classifications or categories for loans and debt securities, recoveries, vintage disclosures, and contractual extensions and renewal options and became effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. The improvements and clarifications related to Topic 815 address partial-term fair value hedges of interest-rate risk, amortization, and disclosure of fair value hedge basis adjustments and consideration of hedged contractually specified interest rates under the hypothetical method and became effective for the annual reporting period beginning January 1, 2020. The amendments related to Topic 825 contain various improvements to ASU 2016-01, including scope; held-to-maturity debt securities fair value disclosures; and remeasurement of equity securities at historical exchange rates and became effective as of January 1, 2020. The amendments in this update did not have a material impact on the financial statements. Newly issued not yet effective accounting standards: In June 2018, FASB issued ASU 2018-07, "Compensation-Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting", which expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. Consistent with the accounting for employee share-based payment awards, nonemployee share-based payment awards will be measured at grant-date fair value of the equity instruments obligated to be issued when the good has been delivered or the service rendered and any other conditions necessary to earn the right to benefit from the instruments have been satisfied. This ASU is effective for all entities for fiscal years beginnings after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. The Company adopted the update effective January 1, 2021. The adoption of this standard did not have a significant impact on the consolidated financial statements or disclosures.

Basis of presentation (Tables)

Basis of presentation (Tables)12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]
Schedule of Basic and Diluted Earnings Per Common Share CalculationThe following is a summary of the basic and diluted earnings per common share calculation for each of the periods presented: Year Ended December 31, 2020 2019 2018 Basic earnings per common share calculation: Net income applicable to FB Financial Corporation $ 63,621 $ 83,814 $ 80,236 Dividends paid on and undistributed earnings allocated to — (447) (428) Earnings available to common shareholders $ 63,621 $ 83,367 $ 79,808 Weighted average basic shares outstanding 37,621,720 30,870,474 30,675,755 Basic earnings per common share $ 1.69 $ 2.70 $ 2.60 Diluted earnings per common share: Earnings available to common shareholders 63,621 83,367 79,808 Weighted average basic shares outstanding 37,621,720 30,870,474 30,675,755 Weighted average diluted shares contingently issuable (1) 478,024 532,423 639,226 Weighted average diluted shares outstanding 38,099,744 31,402,897 31,314,981 Diluted earnings per common share $ 1.67 $ 2.65 $ 2.55 (1)
Schedule of Impact on the Consolidated Balance Sheet of Adoption of ASU 2016-13A summary of the impact to the consolidated balance sheet as of the adoption date is presented in the table below: Balance before adoption of ASC 326 Cumulative effect adjustment to adopt ASC 326 Impact of the adjustment to adopt ASC 326 Balance at January 1, 2020 (post ASC 326 adoption) ASSETS: Loans $ 4,409,642 $ 558 Increase $ 4,410,200 Allowance for credit losses (31,139) (31,446) Increase (62,585) Total impact to assets $ (30,888) Net decrease LIABILITIES AND EQUITY: Allowance for credit losses on unfunded commitments $ — $ 2,947 Increase $ 2,947 Net deferred tax liability 20,490 (8,817) Decrease 11,673 Retained earnings 293,524 (25,018) Decrease 268,506 Total impact to liabilities and equity $ (30,888) Net decrease

Mergers and acquisitions (Table

Mergers and acquisitions (Tables)12 Months Ended
Dec. 31, 2020
Business Acquisition [Line Items]
Schedule of Recognized Identified Assets Acquired and Liabilities AssumedThe following table summarizes the estimated fair values of assets acquired and liabilities assumed as of the respective acquisition dates: As of August 15, 2020 As of February 14, 2020 Franklin Financial Network, Inc. FNB Financial Corp. ASSETS Cash and cash equivalents $ 284,004 $ 10,774 Investments 373,462 50,594 Mortgage loans held for sale, at fair value 38,740 — Commercial loans held for sale, at fair value 326,206 — Loans held for investment, net of fair value adjustments 2,427,527 182,171 Allowance for credit losses on PCD loans (24,831) (669) Premises and equipment 45,471 8,049 Operating lease right-of-use assets 23,958 14 Mortgage servicing rights 5,111 — Core deposit intangible 7,670 2,490 Other assets 124,571 4,795 Total assets $ 3,631,889 $ 258,218 LIABILITIES Deposits: Noninterest-bearing $ 505,374 $ 63,531 Interest-bearing 1,783,379 26,451 Money market and savings 342,093 37,002 Customer time deposits 383,433 82,551 Brokered and internet time deposits 107,452 — Total deposits 3,121,731 209,535 Borrowings 62,435 3,192 Operating lease liabilities 24,330 14 Accrued expenses and other liabilities 12,661 1,754 Total liabilities assumed 3,221,157 214,495 Noncontrolling interests acquired 93 — Net assets acquired $ 410,639 $ 43,723
Schedule of Purchased Credit-deteriorated LoansAs of August 15, 2020 As of February 14, 2020 Franklin Financial Network, Inc. FNB Financial Corp. Purchased credit-deteriorated loans Principal balance $ 693,999 $ 18,964 Allowance for credit losses at acquisition (24,831) (669) Net premium attributable to other factors 8,810 63 Loans purchased credit-deteriorated fair value $ 677,978 $ 18,358
Schedule of Pro Forma Financial Information (Unaudited)Year Ended December 31, 2020 2019 2018 Net interest income $ 338,092 $ 348,660 $ 220,269 Total revenues $ 654,374 $ 504,273 $ 354,258 Net income $ 65,135 $ 99,898 $ 78,762
Franklin Financial Network, Inc.
Business Acquisition [Line Items]
Schedule of Consideration Paid and Allocation of Purchase Price to Net Assets AcquiredThe following table presents an allocation of the consideration to net assets acquired: Purchase Price: Equity consideration Franklin shares outstanding (1) 15,588,337 Franklin options converted to net shares 62,906 15,651,243 Exchange ratio to FB Financial shares 0.965 FB Financial shares to be issued as merger consideration (2) 15,102,492 Issuance price as of August 15, 2020 $ 29.52 Value of FB Financial stock to be issued as merger consideration $ 445,826 Less: tax withholding on vested restricted stock awards, units and options (3) (1,308) Value of FB Financial stock issued $ 444,518 FB Financial shares issued 15,058,181 Franklin restricted stock units that do not vest on change in control 114,915 Replacement awards issued to Franklin employees 118,776 Fair value of replacement awards $ 3,506 Fair value of replacement awards attributable to pre-combination service $ 674 Cash consideration Total Franklin shares and net shares outstanding 15,651,243 Cash consideration per share $ 2.00 Total cash to be paid to Franklin (4) $ 31,330 Total purchase price $ 477,830 Fair value of net assets acquired 410,639 Goodwill resulting from merger $ 67,191 (1) Franklin shares outstanding includes restricted stock awards and restricted stock units that vested upon change in control. (2) Only factors in whole share issuance. Cash was paid in lieu of fractional shares. (3) Represents the equivalent value of approximately 44,311 shares of FB Financial Corporation stock on August 15, 2020.
FNB Financial Corp.
Business Acquisition [Line Items]
Schedule of Consideration Paid and Allocation of Purchase Price to Net Assets AcquiredThe following table presents the total purchase price, fair value of net assets acquired, and the goodwill as of the acquisition date. Consideration: Net shares issued 954,797 Purchase price per share on February 14, 2020 $ 36.70 Value of stock consideration $ 35,041 Cash consideration paid 15,001 Total purchase price $ 50,042 Fair value of net assets acquired 43,723 Goodwill resulting from merger $ 6,319

Investment securities (Tables)

Investment securities (Tables)12 Months Ended
Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]
Schedule of Amortized Cost of Securities and Fair ValuesThe following tables summarize the amortized cost, allowance for credit losses and fair value of the available-for-sale debt securities and the corresponding amounts of unrealized gains and losses recognized in accumulated other comprehensive income at December 31, 2020 and 2019: December 31, 2020 Amortized cost Gross unrealized gains Gross unrealized losses Allowance for credit losses for investments Fair Value Investment Securities Available-for-sale debt securities U.S. government agency securities $ 2,000 $ 3 $ — $ — $ 2,003 Mortgage-backed securities - residential 760,099 14,040 (803) — 773,336 Mortgage-backed securities - commercial 20,226 1,362 — — 21,588 States and political subdivisions 336,543 19,806 (20) — 356,329 U.S. Treasury securities 16,480 148 — — 16,628 Corporate securities 2,500 17 (1) — 2,516 Total $ 1,137,848 $ 35,376 $ (824) $ — $ 1,172,400 December 31, 2019 Amortized cost Gross unrealized gains Gross unrealized losses Fair Value Investment Securities Available-for-sale debt securities Mortgage-backed securities - residential $ 474,144 $ 4,829 $ (1,661) $ 477,312 Mortgage-backed securities - commercial 12,957 407 — 13,364 States and political subdivisions 181,178 8,287 (230) 189,235 U.S. Treasury securities 7,426 22 — 7,448 Corporate securities 1,000 22 — 1,022 Total $ 676,705 $ 13,567 $ (1,891) $ 688,381
Schedule of Amortized Cost and Fair Value of Debt Securities by Contractual MaturityTherefore, mortgage-backed securities are not included in the maturity categories in the following maturity summary. December 31, December 31, 2020 2019 Available-for-sale Available-for-sale Amortized cost Fair value Amortized cost Fair value Due in one year or less $ 35,486 $ 35,662 $ 1,148 $ 1,152 Due in one to five years 24,278 24,684 11,553 11,676 Due in five to ten years 40,038 41,332 18,287 18,887 Due in over ten years 257,721 275,798 158,616 165,990 357,523 377,476 189,604 197,705 Mortgage-backed securities - residential 760,099 773,336 474,144 477,312 Mortgage-backed securities - commercial 20,226 21,588 12,957 13,364 Total debt securities $ 1,137,848 $ 1,172,400 $ 676,705 $ 688,381
Schedule of Sales and Other Dispositions of Available-for-Sale SecuritiesSales and other dispositions of available-for-sale securities were as follows: Year Ended December 31, 2020 2019 2018 Proceeds from sales $ 146,494 $ 24,498 $ 2,742 Proceeds from maturities, prepayments and calls 220,549 113,018 73,066 Gross realized gains 1,606 7 9 Gross realized losses 271 98 44
Schedule of Gross Unrealized LossesThe following tables show gross unrealized losses for which an allowance for credit losses has not been recorded at December 31, 2020 and December 31, 2019, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: December 31, 2020 Less than 12 months 12 months or more Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss U.S. government agency securities $ — $ — $ — $ — $ — $ — Mortgage-backed securities - residential 182,012 (803) — — 182,012 (803) States and political subdivisions 3,184 (20) — — 3,184 (20) Corporate securities 499 (1) — — 499 (1) Total $ 185,695 $ (824) $ — $ — $ 185,695 $ (824) December 31, 2019 Less than 12 months 12 months or more Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized loss Mortgage-backed securities - residential $ 47,641 $ (164) $ 175,730 $ (1,497) $ 223,371 $ (1,661) States and political subdivisions 15,433 (230) — — 15,433 (230) Total $ 63,074 $ (394) $ 175,730 $ (1,497) $ 238,804 $ (1,891)

Loans and allowance for credi_2

Loans and allowance for credit losses (Tables)12 Months Ended
Dec. 31, 2020
Receivables [Abstract]
Schedule of Loans Outstanding by Class of Financing ReceivableLoans outstanding at December 31, 2020 and 2019, by class of financing receivable are as follows: December 31, December 31, 2020 2019 Commercial and industrial (1) $ 1,346,122 $ 1,034,036 Construction 1,222,220 551,101 Residential real estate: 1-to-4 family mortgage 1,089,270 710,454 Residential line of credit 408,211 221,530 Multi-family mortgage 175,676 69,429 Commercial real estate: Owner occupied 924,841 630,270 Non-owner occupied 1,598,979 920,744 Consumer and other 317,640 272,078 Gross loans 7,082,959 4,409,642 Less: Allowance for credit losses (170,389) (31,139) Net loans $ 6,912,570 $ 4,378,503 (1) Includes $212,645 of loans originated as part of the PPP at December 31, 2020, established by the CARES Act, in response to the COVID-19 pandemic. The PPP is administered by the SBA; loans originated as part of the PPP may be forgiven by the SBA under a set of defined rules. PPP loans are federally guaranteed as part of the CARES Act, provided PPP loan recipients receive loan forgiveness under the SBA regulations. As such, there is minimal credit risk associated with these loans.
Schedule of Changes in Allowance for Credit Losses by Class of Financing ReceivableThe following provides the changes in the allowance for credit losses by class of financing receivable for the years ended December 31, 2020, 2019, and 2018: Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Year Ended December 31, 2020 Beginning balance - December 31, 2019 $ 4,805 $ 10,194 $ 3,112 $ 752 $ 544 $ 4,109 $ 4,621 $ 3,002 $ 31,139 Impact of adopting ASC 326 on non-purchased credit deteriorated loans 5,300 1,533 7,920 3,461 340 1,879 6,822 3,633 30,888 Impact of adopting ASC 326 on purchased credit deteriorated loans 82 150 421 (3) — 162 184 (438) 558 Provision for credit losses 13,830 40,807 6,408 5,649 5,506 (1,739) 17,789 6,356 94,606 Recoveries of loans previously charged-off 1,712 205 122 125 — 83 — 756 3,003 Loans charged off (11,735) (18) (403) (22) — (304) (711) (2,112) (15,305) Initial allowance on loans purchased with deteriorated credit quality 754 5,606 1,640 572 784 659 15,442 43 25,500 Ending balance - December 31, 2020 $ 14,748 $ 58,477 $ 19,220 $ 10,534 $ 7,174 $ 4,849 $ 44,147 $ 11,240 $ 170,389 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Year Ended December 31, 2019 Beginning balance - December 31, 2018 $ 5,348 $ 9,729 $ 3,428 $ 811 $ 566 $ 3,132 $ 4,149 $ 1,769 $ 28,932 Provision for loan losses 2,251 454 (175) 112 (22) 869 484 3,080 7,053 Recoveries of loans previously charged-off 136 11 79 138 — 108 — 634 1,106 Loans charged off (2,930) — (220) (309) — — (12) (2,481) (5,952) Ending balance - December 31, 2019 $ 4,805 $ 10,194 $ 3,112 $ 752 $ 544 $ 4,109 $ 4,621 $ 3,002 $ 31,139 Commercial and industrial Construction 1-to-4 family residential mortgage Residential line of credit Multi-family residential mortgage Commercial real estate owner occupied Commercial real estate non-owner occupied Consumer and Other Total Year Ended December 31, 2018 Beginning balance - $ 4,461 $ 7,135 $ 3,197 $ 944 $ 434 $ 3,558 $ 2,817 $ 1,495 $ 24,041 Provision for loan losses 1,395 1,459 547 (275) 132 (478) 1,281 1,337 5,398 Recoveries of loans 390 1,164 171 178 — 143 51 550 2,647 Loans charged off (898) (29) (138) (36) — (91) — (1,613) (2,805) Adjustments for transfers to loans HFS — — (349) — — — — — (349) Ending balance - $ 5,348 $ 9,729 $ 3,428 $ 811 $ 566 $ 3,132 $ 4,149 $ 1,769 $ 28,932
Schedule of Allowance for Credit Losses by Class of Financing Receivable Disaggregated by Measurement MethodologyThe following tables provides the amount of the allowance for credit losses by class of financing receivable disaggregated by measurement methodology as of December 31, 2020, 2019 and 2018: December 31, 2020 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Amount of allowance allocated to: Individually evaluated for credit loss $ 373 $ 95 $ — $ 9 $ — $ 30 $ 1,531 $ 1 $ 2,039 Collectively evaluated for credit loss 13,493 54,065 17,206 10,031 6,326 4,062 33,706 10,516 149,405 Purchased credit deteriorated 882 4,317 2,014 494 848 757 8,910 723 18,945 Ending balance - December 31, 2020 $ 14,748 $ 58,477 $ 19,220 $ 10,534 $ 7,174 $ 4,849 $ 44,147 $ 11,240 $ 170,389 December 31, 2019 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Amount of allowance allocated to: Individually evaluated for impairment $ 241 $ — $ 8 $ 9 $ — $ 238 $ 399 $ — $ 895 Collectively evaluated for impairment 4,457 10,192 2,940 743 544 3,853 3,909 1,933 28,571 Acquired with deteriorated credit quality 107 2 164 — — 18 313 1,069 1,673 Ending balance - December 31, 2019 $ 4,805 $ 10,194 $ 3,112 $ 752 $ 544 $ 4,109 $ 4,621 $ 3,002 $ 31,139 December 31, 2018 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Amount of allowance allocated to: Individually evaluated for impairment $ 3 $ — $ 7 $ — $ — $ 53 $ 205 $ — $ 268 Collectively evaluated for impairment 5,247 9,677 3,205 811 566 3,066 3,628 1,583 27,783 Acquired with deteriorated credit quality 98 52 216 — — 13 316 186 881 Ending balance - December 31, 2018 $ 5,348 $ 9,729 $ 3,428 $ 811 $ 566 $ 3,132 $ 4,149 $ 1,769 $ 28,932
Schedule of Amount of Loans by Class of Financing Receivable Disaggregated by Measurement MethodologyThe following table provides the amount of loans by class of financing receivable disaggregated by measurement methodology as of December 31, 2020, 2019, and 2018: December 31, 2020 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Loans, net of unearned income Individually evaluated for credit loss $ 15,578 $ 4,851 $ 848 $ 412 $ — $ 7,846 $ 8,631 $ 39 $ 38,205 Collectively evaluated for credit loss 1,270,058 1,140,634 987,142 387,250 156,447 813,151 1,272,203 302,983 6,329,868 Purchased credit deteriorated 60,486 76,735 101,280 20,549 19,229 103,844 318,145 14,618 714,886 Ending balance - December 31, 2020 $ 1,346,122 $ 1,222,220 $ 1,089,270 $ 408,211 $ 175,676 $ 924,841 $ 1,598,979 $ 317,640 $ 7,082,959 December 31, 2019 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Loans, net of unearned income Individually evaluated for impairment $ 9,026 $ 2,061 $ 1,347 $ 579 $ — $ 2,993 $ 7,755 $ 49 $ 23,810 Collectively evaluated for impairment 1,023,326 546,156 689,769 220,878 69,429 621,386 902,792 254,944 4,328,680 Acquired with deteriorated credit quality 1,684 2,884 19,338 73 — 5,891 10,197 17,085 57,152 Ending balance - December 31, 2019 $ 1,034,036 $ 551,101 $ 710,454 $ 221,530 $ 69,429 $ 630,270 $ 920,744 $ 272,078 $ 4,409,642 December 31, 2018 Commercial Construction 1-to-4 Residential Multi-family Commercial Commercial Consumer Total Loans, net of unearned income Individually evaluated for impairment $ 1,847 $ 1,221 $ 987 $ 245 $ — $ 2,608 $ 6,735 $ 73 $ 13,716 Collectively evaluated for impairment 863,788 549,075 535,451 190,235 75,457 484,900 677,247 208,643 3,584,796 Acquired with deteriorated credit quality 1,448 5,755 19,377 — — 6,016 16,266 20,137 68,999 Ending balance - December 31, 2018 $ 867,083 $ 556,051 $ 555,815 $ 190,480 $ 75,457 $ 493,524 $ 700,248 $ 228,853 $ 3,667,511
Schedule of Credit Quality of Loan Portfolio by Year of OriginationThe following table presents the credit quality of our loan portfolio by year of origination as of December 31, 2020. Revolving loans are presented separately. Management considers the guidance in ASC 310-20 when determining whether a modification, extension, or renewal constitutes a current period origination. Generally, current period renewals of credit are reunderwritten at the point of renewal and considered current period originations for the purposes of the table below. As of December 31, Term Loans Amortized Cost Basis by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Total Commercial and industrial Pass $ 335,519 $ 183,905 $ 64,897 $ 56,598 $ 30,641 $ 40,964 $ 525,885 $ 1,238,409 Watch 3,786 2,555 6,213 3,764 7,847 4,301 39,901 68,367 Substandard 2,467 2,688 11,227 4,403 6,582 1,277 10,502 39,146 Doubtful 34 — — 22 — — 144 200 Total 341,806 189,148 82,337 64,787 45,070 46,542 576,432 1,346,122 Construction Pass 460,232 387,759 78,319 40,777 40,386 59,344 112,004 1,178,821 Watch 1,952 4,169 10,368 13,386 1,250 3,559 — 34,684 Substandard 573 1,755 3,178 129 — 3,068 — 8,703 Doubtful — — — 12 — — — 12 Total 462,757 393,683 91,865 54,304 41,636 65,971 112,004 1,222,220 Residential real estate: 1-to-4 family mortgage Pass 282,747 176,374 159,036 147,816 107,911 152,027 — 1,025,911 Watch 1,783 2,166 6,672 10,668 4,004 13,889 — 39,182 Substandard 448 1,422 3,787 5,473 3,418 9,043 — 23,591 Doubtful — 6 19 — 204 357 — 586 Total 284,978 179,968 169,514 163,957 115,537 175,316 — 1,089,270 Residential line of credit Pass — — — — — — 396,348 396,348 Watch — — — — — — 6,511 6,511 Substandard — — — — — — 4,756 4,756 Doubtful — — — — — — 596 596 Total — — — — — — 408,211 408,211 Multi-family mortgage Pass 29,006 13,446 11,843 46,561 28,330 35,339 11,094 175,619 Watch — — — — — — — — Substandard — — — — — 57.00 — 57 Doubtful — — — — — — — — Total 29,006 13,446 11,843 46,561 28,330 35,396 11,094 175,676 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Total Commercial real estate: Owner occupied Pass 133,046 174,965 95,182 89,214 76,539 208,013 51,264 828,223 Watch 8,825 5,891 6,646 21,618 6,101 18,561 2,417 70,059 Substandard 44 1,785 2,423 6,074 274 11,226 4,733 26,559 Doubtful — — — — — — — — Total 141,915 182,641 104,251 116,906 82,914 237,800 58,414 924,841 Non-owner occupied Pass 166,962 222,238 324,848 193,496 264,820 237,933 37,787 1,448,084 Watch — 8,704 24,464 27,653 25,550 42,696 1,033 130,100 Substandard — 2,210 1,502 — — 17,083 — 20,795 Doubtful — — — — — — — — Total 166,962 233,152 350,814 221,149 290,370 297,712 38,820 1,598,979 Consumer and other loans Pass 89,625 52,725 39,420 26,172 40,980 31,063 14,816 294,801 Watch 281 911 1,893 1,497 3,049 7,974 12 15,617 Substandard 96 131 867 881 779 2,044 668 5,466 Doubtful 55 434 567 280 156 264 — 1,756 Total 90,057 54,201 42,747 28,830 44,964 41,345 15,496 317,640 Total Pass 1,497,137 1,211,412 773,545 600,634 589,607 764,683 1,149,198 6,586,216 Watch 16,627 24,396 56,256 78,586 47,801 90,980 49,874 364,520 Substandard 3,628 9,991 22,984 16,960 11,053 43,798 20,659 129,073 Doubtful 89 440 586 314 360 621 740 3,150 Total $ 1,517,481 $ 1,246,239 $ 853,371 $ 696,494 $ 648,821 $ 900,082 $ 1,220,471 $ 7,082,959
Schedule of Credit Quality Indicators by Class of Financing ReceivableThe following table shows credit quality indicators by class of financing receivable at December 31, 2019. December 31, 2019 Pass Watch Substandard Total Loans, excluding purchased credit impaired loans Commercial and industrial $ 946,247 $ 66,910 $ 19,195 $ 1,032,352 Construction 541,201 4,790 2,226 548,217 Residential real estate: 1-to-4 family mortgage 666,177 11,380 13,559 691,116 Residential line of credit 218,086 1,343 2,028 221,457 Multi-family mortgage 69,366 63 — 69,429 Commercial real estate: Owner occupied 576,737 30,379 17,263 624,379 Non-owner occupied 876,670 24,342 9,535 910,547 Consumer and other 248,632 3,304 3,057 254,993 Total loans, excluding purchased credit impaired loans $ 4,143,116 $ 142,511 $ 66,863 $ 4,352,490 Purchased credit impaired loans Commercial and industrial $ — $ 1,224 $ 460 $ 1,684 Construction — 2,681 203 2,884 Residential real estate: 1-to-4 family mortgage — 15,091 4,247 19,338 Residential line of credit — — 73 73 Multi-family mortgage — — — — Commercial real estate: Owner occupied — 4,535 1,356 5,891 Non-owner occupied — 6,617 3,580 10,197 Consumer and other — 13,521 3,564 17,085 Total purchased credit impaired loans — 43,669 13,483 57,152 Total loans $ 4,143,116 $ 186,180 $ 80,346 $ 4,409,642
Schedule of Analysis of Aging by Class of Financing ReceivableThe following table represents an analysis of the aging by class of financing receivable as of December 31, 2020: December 31, 2020 30-89 days 90 days or Non-accrual Loans current Total Commercial and industrial $ 3,297 $ 330 $ 16,005 $ 1,326,490 $ 1,346,122 Construction 7,607 573 4,053 1,209,987 1,222,220 Residential real estate: 1-to-4 family mortgage 7,058 10,470 5,923 1,065,819 1,089,270 Residential line of credit 3,551 239 1,757 402,664 408,211 Multi-family mortgage — 57 — 175,619 175,676 Commercial real estate: Owner occupied 98 — 7,948 916,795 924,841 Non-owner occupied 915 — 12,471 1,585,593 1,598,979 Consumer and other 4,469 2,027 2,603 308,541 317,640 Total $ 26,995 $ 13,696 $ 50,760 $ 6,991,508 $ 7,082,959 The following table provides the period-end amounts of loans that are past due, loans not accruing interest and loans current on payments accruing interest by category at December 31, 2019: December 31, 2019 30-89 days 90 days or Non-accrual Purchased Credit Loans current on payments and accruing interest Total Commercial and industrial $ 1,918 $ 291 $ 5,587 $ 1,684 $ 1,024,556 $ 1,034,036 Construction 1,021 42 1,087 2,884 546,067 551,101 Residential real estate: 1-to-4 family mortgage 10,738 3,965 3,332 19,338 673,081 710,454 Residential line of credit 658 412 416 73 219,971 221,530 Multi-family mortgage 63 — — — 69,366 69,429 Commercial real estate: Owner occupied 1,375 — 1,793 5,891 621,211 630,270 Non-owner occupied 327 — 7,880 10,197 902,340 920,744 Consumer and other 2,377 833 967 17,085 250,816 272,078 Total $ 18,477 $ 5,543 $ 21,062 $ 57,152 $ 4,307,408 $ 4,409,642
Schedule of Amortized Cost, Related Allowance and Interest Income of Non-accrual LoansThe following tables provide the amortized cost basis of loans on non-accrual status, as well as any related allowance and interest income, by class of financing receivable as of or for the year ended December 31, 2020: u End of period amortized cost Beginning of Non-accrual Non-accrual Related Year to date Interest Income Commercial and industrial $ 5,586 $ 13,960 $ 2,045 $ 383 $ 325 Construction 1,254 3,061 992 131 69 Residential real estate: 1-to-4 family mortgage 4,585 3,048 2,875 84 22 Residential line of credit 489 854 903 31 72 Commercial real estate: Owner occupied 2,285 7,172 776 63 89 Non-owner occupied 9,460 4,566 7,905 1,711 215 Consumer and other 1,623 — 2,603 147 24 Total $ 25,282 $ 32,661 $ 18,099 $ 2,550 $ 816
Schedule of Impaired Loans Segregated by ClassImpaired loans recognized in conformity with ASC 310 at December 31, 2019 segregated by class, were as follows: December 31, 2019 Recorded Unpaid Related With a related allowance recorded: Commercial and industrial $ 6,080 $ 8,350 $ 241 Residential real estate: 1-to-4 family mortgage 264 324 8 Residential line of credit 320 320 9 Commercial real estate: Owner occupied 756 1,140 238 Non-owner occupied 6,706 6,747 399 Total $ 14,126 $ 16,881 $ 895 With no related allowance recorded: Commercial and industrial $ 2,946 $ 3,074 $ — Construction 2,061 2,499 — Residential real estate: 1-to-4 family mortgage 1,083 1,449 — Residential line of credit 259 280 — Commercial real estate: Owner occupied 2,237 2,627 — Non-owner occupied 1,049 1,781 — Consumer and other 49 49 — Total $ 9,684 $ 11,759 $ — Total impaired loans $ 23,810 $ 28,640 $ 895 Average recorded investment and interest income on a cash basis recognized during the years ended December 31, 2019, and 2018 on impaired loans, segregated by class, were as follows: December 31, 2019 2018 Average recorded investment Interest income recognized (cash basis) Average recorded investment Interest income recognized (cash basis) With a related allowance recorded: Commercial and industrial $ 3,349 $ 474 $ 335 $ 121 Residential real estate: 1-to-4 family mortgage 205 13 170 9 Commercial real estate: Owner occupied 658 27 702 43 Non-owner occupied 6,196 109 2,915 2 Consumer and other — — — — Total $ 10,568 $ 624 $ 4,122 $ 175 With no related allowance recorded: Commercial and industrial $ 2,088 $ 201 $ 1,377 $ 70 Construction 1,641 167 1,255 74 Residential real estate: 1-to-4 family mortgage 963 68 955 74 Residential line of credit 252 1 123 15 Commercial real estate: Owner occupied 2,143 133 1,862 148 Non-owner occupied 1,049 — 1,313 7 Consumer and other 61 5 49 4 Total $ 8,197 $ 575 $ 7,423 $ 418 Total impaired loans $ 18,765 $ 1,199 $ 11,545 $ 593
Schedule of Changes Value of Accretable Yield of PCI LoansThe following table presents changes in the value of the accretable yield for PCI loans for the periods indicated. Year Ended December 31, 2019 2018 Balance at the beginning of period $ (16,587) $ (17,682) Additions through business combinations (1,167) — Principal reductions and other reclassifications from nonaccretable difference 61 (4,047) Accretion 7,003 9,010 Changes in expected cash flows (360) (3,868) Balance at end of period $ (11,050) $ (16,587)
Schedule of Financial Effect of TDRsThe following tables present the financial effect of TDRs recorded during the periods indicated. Year Ended December 31, 2020 Number of loans Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Charge offs and specific reserves Commercial and industrial 5 $ 2,257 $ 2,257 $ — Commercial real estate: Owner occupied 7 2,794 2,794 — Non-owner occupied 2 3,752 3,752 $ — Residential real estate: 1-to-4 family mortgage 3 618 618 — Residential line of credit 1 95 95 — Total 18 $ 9,516 $ 9,516 $ — Year Ended December 31, 2019 Number of loans Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Charge offs and specific reserves Commercial and industrial 3 $ 3,204 $ 3,204 $ — Construction 2 1,085 1,085 — Commercial real estate: Owner occupied 2 1,494 1,495 — Non-owner occupied 1 1,366 1,366 106 Residential real estate: 1-4 family mortgage 2 175 175 — Residential line of credit 2 333 333 9 Total 12 $ 7,657 $ 7,658 $ 115 Year Ended December 31, 2018 Number of loans Pre-modification outstanding recorded investment Post-modification outstanding recorded investment Charge offs and specific reserves Commercial and industrial 2 $ 887 $ 887 $ — Commercial real estate: Owner occupied 1 143 143 — Residential real estate: 1-4 family mortgage 1 249 249 — Consumer and other 5 61 61 — Total 9 $ 1,340 $ 1,340 $ —
Schedule of Individually Assessed Allowance for Credit Losses for Collateral Dependent LoansFor loans for which the repayment (based on the Company's assessment) is expected to be provided substantially through the operation or sale of collateral and the borrower is experiencing financial difficulty, the following table presents the loans and the corresponding individually assessed allowance for credit losses by class of financing receivable. December 31, 2020 Type of Collateral Real Estate Financial Assets and Equipment Individually assessed allowance for credit loss Commercial and industrial $ — $ 1,728 $ 117 Construction 3,877 — — Residential real estate: 1-to-4 family mortgage 226 — — Residential line of credit 1,174 — 9 Multi-family mortgage — — — Commercial real estate: Owner occupied 3,391 — 30 Non-owner occupied 8,164 — 1,531 Consumer and other — — — Total $ 16,832 $ 1,728 $ 1,687
Schedule of Financing Receivables Under Deferral ProgramThe following table outlines the Company's recorded investment and percentage of loans held for investment by class of financing receivable for Company executed deferrals that remain on deferral at December 31, 2020, in connection with Company COVID-19 relief programs. These deferrals typically ranged from sixty December 31, 2020 % of Loans Commercial and industrial $ 7,118 0.5 % Construction 1,918 0.2 % Residential real estate: 1-to-4 family mortgage 19,201 1.8 % Residential line of credit 204 — % Multi-family mortgage 3,305 1.9 % Commercial real estate: Owner occupied 19,815 2.1 % Non-owner occupied 139,590 8.7 % Consumer and other 11,366 3.6 % Total $ 202,517 2.9 %

Loans held for sale (Tables)

Loans held for sale (Tables)12 Months Ended
Dec. 31, 2020
Receivables [Abstract]
Schedule for Loans Held For SaleThe following table summarizes loans held for sale, at fair value, as of the periods presented: December 31, December 31, 2020 2019 Commercial and industrial $ 215,403 $ — Residential real estate: 1-4 family mortgage 683,770 262,518 Total loans held for sale, at fair value $ 899,173 $ 262,518

Premises and equipment (Tables)

Premises and equipment (Tables)12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]
Schedule of Premises and Equipment and Related Accumulated DepreciationPremises and equipment and related accumulated depreciation as of December 31, 2020 and 2019, are as follows: 2020 2019 Land $ 33,151 $ 26,283 Premises 108,579 65,569 Furniture and fixtures 26,729 23,545 Leasehold improvements 18,429 12,989 Equipment 16,904 15,575 Construction in process 1,501 800 Finance lease 1,588 — 206,881 144,761 Less: accumulated depreciation and amortization (61,766) (54,630) Total Premises and Equipment $ 145,115 $ 90,131

Other real estate owned (Tables

Other real estate owned (Tables)12 Months Ended
Dec. 31, 2020
Real Estate [Abstract]
Schedule of Other Real Estate OwnedThe following table summarizes the other real estate owned for the year ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 Balance at beginning of period $ 18,939 $ 12,643 $ 16,442 Transfers from loans 2,746 5,487 2,138 Transfers (to) from premises and equipment (841) 4,290 — Proceeds from sale of other real estate owned (6,937) (3,860) (4,819) Gain on sale of other real estate owned 354 1,058 271 Loans provided for sales of other real estate owned (305) (166) (1,019) Write-downs and partial liquidations (1,845) (513) (370) Balance at end of period $ 12,111 $ 18,939 $ 12,643

Goodwill and intangible assets

Goodwill and intangible assets (Tables)12 Months Ended
Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill ActivityGoodwill Balance at December 31, 2018 $ 137,190 Addition from acquisition of Atlantic Capital branches 31,961 Relief of goodwill due to sale of TPO mortgage delivery channel (100) Balance at December 31, 2019 $ 169,051 Balance at December 31, 2019 $ 169,051 Addition from acquisition of Farmers National 6,319 Addition from acquisition of Franklin 67,191 Balance at December 31, 2020 $ 242,561
Schedule of Core Deposit and Other IntangiblesThe composition of core deposit and other intangibles as of December 31, 2020 and December 31, 2019 is as follows: Core deposit and other intangibles Gross Carrying Amount Accumulated Amortization Net Carrying Amount December 31, 2020 Core deposit intangible $ 59,835 $ (38,807) $ 21,028 Customer base trust intangible 1,600 (547) 1,053 Manufactured housing servicing intangible 1,088 (743) 345 Total core deposit and other intangibles $ 62,523 $ (40,097) $ 22,426 December 31, 2019 Core deposit intangible $ 49,675 $ (33,861) $ 15,814 Customer base trust intangible 1,600 (387) 1,213 Manufactured housing servicing intangible 1,088 (526) 562 Total core deposit and other intangibles $ 52,363 $ (34,774) $ 17,589
Schedule of Estimated Aggregate Amortization Expense of Core Deposit and Other IntangiblesThe estimated aggregate future amortization expense of core deposit and other intangibles is as follows: 2021 $ 5,477 2022 4,586 2023 3,658 2024 2,946 2025 2,306 Thereafter 3,453 $ 22,426

Leases (Tables)

Leases (Tables)12 Months Ended
Dec. 31, 2020
Leases [Abstract]
Schedule of Information Related to Company's Leases and Lease ExpenseInformation related to the Company's leases is presented below: December 31, Classification 2020 2019 Right-of-use assets: Operating leases Operating lease right-of-use assets $ 49,537 $ 32,539 Finance leases Premises and equipment, net 1,588 — Total right-of-use assets $ 51,125 $ 32,539 Lease liabilities: Operating leases Operating lease liabilities $ 55,187 $ 35,525 Finance leases Borrowings 1,598 — Total lease liabilities $ 56,785 $ 35,525 Weighted average remaining lease term (in years) - operating 12.2 14.1 Weighted average remaining lease term (in years) - finance 14.4 0.0 Weighted average discount rate - operating 2.65 % 3.44 % Weighted average discount rate - finance 1.76 % — % The components of total lease expense included in the consolidated statements of income were as follows: Year Ended December 31, Classification 2020 2019 Operating lease costs Amortization of right-of-use asset Occupancy and equipment $ 6,228 $ 5,057 Short-term lease cost Occupancy and equipment 456 365 Variable lease cost Occupancy and equipment 602 682 Finance lease costs Interest on lease liabilities Interest expense on borrowings 11 — Amortization of right-of-use asset Occupancy and equipment 43 — Lease impairment Merger costs 2,142 — Total lease cost $ 9,482 $ 6,104
Schedule of Maturity Analysis of Operating Lease LiabilitiesA maturity analysis of operating and finance lease liabilities and a reconciliation of undiscounted cash flows to the total lease liability as of December 31, 2020 is as follows: Operating Finance Leases Leases Lease payments due: December 31, 2021 $ 8,042 $ 115 December 31, 2022 7,693 116 December 31, 2023 6,302 118 December 31, 2024 5,625 120 December 31, 2025 4,972 121 Thereafter 34,053 1,225 Total undiscounted future minimum lease payments 66,687 1,815 Less: imputed interest (11,500) (217) Net lease liability $ 55,187 $ 1,598
Schedule of Maturity of Finance Lease LiabilitiesA maturity analysis of operating and finance lease liabilities and a reconciliation of undiscounted cash flows to the total lease liability as of December 31, 2020 is as follows: Operating Finance Leases Leases Lease payments due: December 31, 2021 $ 8,042 $ 115 December 31, 2022 7,693 116 December 31, 2023 6,302 118 December 31, 2024 5,625 120 December 31, 2025 4,972 121 Thereafter 34,053 1,225 Total undiscounted future minimum lease payments 66,687 1,815 Less: imputed interest (11,500) (217) Net lease liability $ 55,187 $ 1,598

Mortgage servicing rights (Tabl

Mortgage servicing rights (Tables)12 Months Ended
Dec. 31, 2020
Transfers and Servicing of Financial Assets [Abstract]
Schedule of Changes in Mortgage Servicing RightsChanges in the Company’s mortgage servicing rights were as follows for the years ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 Carrying value at beginning of period $ 75,521 $ 88,829 76,107 Capitalization 47,025 42,151 54,913 Mortgage servicing rights acquired from Franklin, at fair value 5,111 — Sales — (29,160) (39,428) Change in fair value: Due to pay-offs/pay-downs (27,834) (16,350) (11,062) Due to change in valuation inputs or assumptions (19,826) (9,949) 8,299 Carrying value at end of period $ 79,997 $ 75,521 $ 88,829
Schedule of Servicing Income and Expense Included in Mortgage Banking IncomeThe following table summarizes servicing income and expense, which are included in 'Mortgage banking income' and 'Other noninterest expense', respectively, within the Mortgage segment operating results for the years ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 Servicing income: Servicing income $ 22,128 $ 17,677 $ 20,591 Change in fair value of mortgage servicing rights (47,660) (26,299) (2,763) Change in fair value of derivative hedging instruments 13,286 9,310 (5,910) Servicing income (12,246) 688 11,918 Servicing expenses 7,890 6,832 7,675 Net servicing (loss) income (1) $ (20,136) $ (6,144) $ 4,243 (1) Excludes benefit of custodial service related noninterest-bearing deposits held by the Bank.
Schedule of Data and Key Economic Assumptions Related to Mortgage Servicing RightsData and key economic assumptions related to the Company’s mortgage servicing rights as of December 31, 2020 and 2019 are as follows: December 31, 2020 2019 Unpaid principal balance $ 9,787,657 $ 6,734,496 Weighted-average prepayment speed (CPR) 14.07 % 10.05 % Estimated impact on fair value of a 10% increase $ (4,493) $ (2,839) Estimated impact on fair value of a 20% increase $ (8,599) $ (5,474) Discount rate 11.49 % 9.68 % Estimated impact on fair value of a 100 bp increase $ (2,942) $ (3,086) Estimated impact on fair value of a 200 bp increase $ (5,674) $ (5,932) Weighted-average coupon interest rate 3.58 % 4.20 % Weighted-average servicing fee (basis points) 28 29 Weighted-average remaining maturity (in months) 328 335

Other assets and other liabil_2

Other assets and other liabilities (Tables)12 Months Ended
Dec. 31, 2020
Other Assets And Other Liabilities [Abstract]
Schedule of Other AssetsIncluded in other assets are: As of December 31, Other assets 2020 2019 Cash surrender value on bank owned life insurance $ 71,977 $ 11,357 Prepaid expenses 5,328 4,575 Software 1,147 1,999 Mortgage lending receivable 8,716 10,765 Derivatives (See Note 18) 68,938 21,981 Deferred tax asset (See Note 15) 16,396 — FHLB lender risk account receivable (See Note 1) 12,729 11,225 Pledged collateral on derivative instruments 57,985 33,616 Other assets 30,900 27,196 Total other assets $ 274,116 $ 122,714
Schedule of Other LiabilitiesIncluded in other liabilities are: As of December 31, Other liabilities 2020 2019 Deferred compensation $ 2,261 $ 1,718 Accrued payroll 35,827 16,517 Mortgage buyback reserve 5,928 3,529 Accrued interest 6,772 6,465 Derivatives (See Note 18) 48,242 17,933 Deferred tax liability (See Note 15) — 20,490 FHLB lender risk account guaranty 6,183 5,546 Reserve for unfunded commitments 16,378 — Other liabilities 42,809 15,256 Total other liabilities $ 164,400 $ 87,454

Deposits (Tables)

Deposits (Tables)12 Months Ended
Dec. 31, 2020
Deposits [Abstract]
Schedule of Maturities of Time DepositsAt December 31, 2020, the scheduled maturities of time deposits are as follows: Scheduled maturities of time deposits Due on or before: December 31, 2021 $ 1,048,816 December 31, 2022 204,165 December 31, 2023 117,178 December 31, 2024 44,718 December 31, 2025 22,325 Thereafter 52 Total $ 1,437,254

Borrowings (Tables)

Borrowings (Tables)12 Months Ended
Dec. 31, 2020
Debt Disclosure [Abstract]
Schedule of Long-term Debt InstrumentsBorrowings include securities sold under agreements to repurchase, lines of credit, Federal Home Loan Bank advances, and subordinated debt. Outstanding Balance Weighted Average Interest Rate December 31, December 31, December 31, December 31, 2020 2019 2020 2019 Securities sold under agreements to repurchase $ 32,199 $ 23,745 0.47 % 0.89 % FHLB advances — 250,000 — % 1.60 % Subordinated debt 189,527 30,930 5.10 % 5.13 % Other borrowings 16,598 — 1.88 % — % $ 238,324 $ 304,675
Schedule of Securities Sold under Agreement to RepurchaseInformation concerning securities sold under agreement to repurchase is summarized as follows: December 31, 2020 December 31, 2019 Balance at year end $ 32,199 $ 23,745 Average daily balance during the year 32,912 22,798 Average interest rate during the year 0.61 % 0.84 % Maximum month-end balance during the year $ 40,282 $ 30,273 Weighted average interest rate at year-end 0.47 % 0.89 %

Income taxes (Tables)

Income taxes (Tables)12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]
Schedule of Allocation of Federal and State Income Taxes between Current and Deferred PortionsAn allocation of federal and state income taxes between current and deferred portions is presented below: For the Year Ended December 31, 2020 2019 2,018 Current $ 44,362 $ 27,641 $ 19,259 Deferred (25,530) (1,916) 6,359 Total $ 18,832 $ 25,725 $ 25,618
Schedule of Reconciliation of Income Taxes Computed at the United States Federal Statutory Tax Rates to the Provision for Income TaxesThe following table presents a reconciliation of federal income taxes at the statutory federal rate of 21% to the Company's effective tax rates for the year ended December 31, 2020, 2019, and 2018: For the Year Ended December 31, 2020 2019 2018 Federal taxes calculated at statutory rate $ 17,317 21.0 % $ 23,003 21.0 % $ 22,230 21.0 % Increase (decrease) resulting from: State taxes, net of federal benefit 3,197 3.9 % 4,792 4.4 % 4,666 4.4 % Expense (benefit) from equity based compensation 153 0.2 % (1,353) (1.2) % (870) (0.8) % Municipal interest income, net of interest disallowance (1,507) (1.8) % (908) (0.8) % (837) (0.8) % Bank owned life insurance (327) (0.4) % (51) (0.1) % (51) — % Merger costs 289 0.4 % 66 0.1 % 141 0.1 % Other (290) (0.4) % 176 0.1 % 339 0.3 % Income tax expense, as reported $ 18,832 22.9 % $ 25,725 23.5 % $ 25,618 24.2 %
Schedule of Net Deferred Tax liabilityThe components of the net deferred tax assets (liabilities) at December 31, 2020 and December 31, 2019, are as follows: December 31, December 31 2020 2019 Deferred tax assets: Allowance for credit losses $ 48,409 $ 8,113 Operating lease liabilities 14,496 9,373 Federal net operating loss 1,753 — Amortization of core deposit intangibles — 1,386 Deferred compensation 8,872 5,231 Unrealized loss on debt securities — 54 Unrealized loss on equity securities — 60 Unrealized loss on cash flow hedges 499 — Other 19,101 2,388 Subtotal 93,130 26,605 Deferred tax liabilities: FHLB stock dividends $ (561) $ (550) Operating leases - right of use assets (13,197) (8,641) Depreciation (7,491) (5,078) Amortization of core deposit intangibles (684) — Unrealized gain on equity securities (17) — Unrealized gain on cash flow hedges — (203) Unrealized gain on debt securities (13,027) (3,051) Mortgage servicing rights (20,803) (19,678) Goodwill (11,301) (8,859) Other (9,653) (1,035) Subtotal (76,734) (47,095) Net deferred tax assets (liabilities) $ 16,396 $ (20,490)

Commitments and contingencies (

Commitments and contingencies (Tables)12 Months Ended
Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Schedule of Financial Instruments with Off-Balance Sheet Credit RiskDecember 31, 2020 2019 Commitments to extend credit, excluding interest rate lock commitments $ 2,719,996 $ 1,086,173 Letters of credit 67,598 19,569 Balance at end of period $ 2,787,594 $ 1,105,742
Schedule of Allowance of Credit Losses on Unfunded CommitmentsThe table below presents activity within the allowance for credit losses on unfunded commitments: For the Year Ended December 31, 2020 Balance at beginning of period $ — Impact of CECL adoption on provision for credit losses on unfunded commitments 2,947 Increase in provision for credit losses from unfunded commitments acquired in business combination 10,499 Provision for credit losses on unfunded commitments 2,932 Balance at end of period $ 16,378
Schedule of Activity in the Repurchase ReserveThe following table summarizes the activity in the repurchase reserve: For the Year Ended December 31, 2020 2019 2018 Balance at beginning of period $ 3,529 $ 3,273 $ 3,386 Provision for loan repurchases or indemnifications 2,607 362 174 Recoveries on previous losses (208) (106) 3 Losses on loans repurchased or indemnified — — (290) Balance at end of period $ 5,928 $ 3,529 $ 3,273

Derivatives (Tables)

Derivatives (Tables)12 Months Ended
Dec. 31, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Financial InstrumentsThe following tables provide details on the Company’s derivative financial instruments as of the dates presented: December 31, 2020 Notional Amount Asset Liability Not designated as hedging: Interest rate contracts $ 606,878 $ 34,547 $ 34,317 Forward commitments 1,358,328 — 11,633 Interest rate-lock commitments 1,191,621 34,391 — Futures contracts 375,400 — 383 Total $ 3,532,227 $ 68,938 $ 46,333 December 31, 2019 Notional Amount Asset Liability Not designated as hedging: Interest rate contracts $ 440,556 $ 14,929 $ 14,929 Forward commitments 684,437 — 866 Interest rate-lock commitments 453,198 7,052 — Futures contracts 389,000 — 1,623 Total $ 1,967,191 $ 21,981 $ 17,418 December 31, 2020 Notional Amount Asset Liability Designated as hedging: Interest rate swaps $ 30,000 $ — $ 1,909 December 31, 2019 Notional Amount Asset Liability Designated as hedging: Interest rate swaps $ 30,000 $ — $ 515
Schedule of Gains (Losses) Included in the Consolidated Statements of Income Related to Derivative Financial InstrumentsGains (losses) included in the consolidated statements of income related to the Company’s derivative financial instruments were as follows: Year Ended December 31, 2020 2019 2018 Not designated as hedging instruments (included in mortgage banking income): Interest rate lock commitments $ 27,339 $ (2,112) $ (527) Forward commitments (73,033) 12,170 3,864 Futures contracts 8,151 (6,723) (2,981) Option contracts — (47) (58) Total $ (37,543) $ 3,288 $ 298 Year Ended December 31, 2020 2019 2018 Designated as hedging: Amount of gain reclassified from other comprehensive income and recognized in interest expense on borrowings, net of taxes of $337, $170, and $45 $ 955 $ 481 $ 128 (Loss) gain included in interest expense on borrowings (353) 115 32 Total $ 602 $ 596 $ 160 The following discloses the amount included in other comprehensive income, net of tax, for derivative instruments designated as cash flow hedges for the periods presented: Year Ended December 31, 2020 2019 2018 Designated as hedging: Amount of (loss) gain recognized in other comprehensive income, net of tax $363, $322, and $366 $ (1,031) $ (914) $ 1,039
Schedule of Offsetting AssetsThe following table presents the Company's gross derivative positions as recognized in the consolidated balance sheets as well as the net derivative positions, including collateral pledged to the extent the application of such collateral did not reduce the net derivative liability position below zero, had the Company elected to offset those instruments subject to an enforceable master netting agreement: Offsetting Derivative Assets Offsetting Derivative Liabilities December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 Gross amounts recognized $ 3,863 $ 331 $ 34,051 $ 14,682 Gross amounts offset in the consolidated balance sheets — — — — Net amounts presented in the consolidated balance sheets 3,863 331 34,051 14,682 Gross amounts not offset in the consolidated balance sheets Less: financial instruments 857 139 857 139 Less: financial collateral pledged — — 33,194 14,543 Net amounts $ 3,006 $ 192 $ — $ —
Schedule of Offsetting LiabilitiesThe following table presents the Company's gross derivative positions as recognized in the consolidated balance sheets as well as the net derivative positions, including collateral pledged to the extent the application of such collateral did not reduce the net derivative liability position below zero, had the Company elected to offset those instruments subject to an enforceable master netting agreement: Offsetting Derivative Assets Offsetting Derivative Liabilities December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2019 Gross amounts recognized $ 3,863 $ 331 $ 34,051 $ 14,682 Gross amounts offset in the consolidated balance sheets — — — — Net amounts presented in the consolidated balance sheets 3,863 331 34,051 14,682 Gross amounts not offset in the consolidated balance sheets Less: financial instruments 857 139 857 139 Less: financial collateral pledged — — 33,194 14,543 Net amounts $ 3,006 $ 192 $ — $ —

Fair value of financial instr_2

Fair value of financial instruments (Tables)12 Months Ended
Dec. 31, 2020
Fair Value Disclosures [Abstract]
Schedule of Estimated Fair Values and Carrying Values of Financial InstrumentsThe following table contains the estimated fair values and the related carrying values of the Company's financial instruments. Items which are not financial instruments are not included. Fair Value December 31, 2020 Carrying amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 1,317,898 $ 1,317,898 $ — $ — $ 1,317,898 Investment securities 1,176,991 — 1,176,991 — 1,176,991 Loans, net 6,912,570 — — 7,058,693 7,058,693 Loans held for sale 899,173 — 683,770 215,403 899,173 Interest receivable 43,603 33 5,254 38,316 43,603 Mortgage servicing rights 79,997 — — 79,997 79,997 Derivatives 68,938 — 68,938 — 68,938 Financial liabilities: Deposits: Without stated maturities $ 8,020,783 $ 8,020,783 $ — $ — $ 8,020,783 With stated maturities 1,437,254 — 1,446,605 — 1,446,605 Securities sold under agreement to repurchase and federal funds sold 32,199 32,199 — — 32,199 Subordinated debt 189,527 — — 192,149 192,149 Other borrowings 16,598 — 16,598 — 16,598 Interest payable 6,772 327 4,210 2,235 6,772 Derivatives 48,242 — 48,242 — 48,242 Fair Value December 31, 2019 Carrying amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 232,681 $ 232,681 $ — $ — $ 232,681 Investment securities 691,676 — 691,676 — 691,676 Loans, net 4,378,503 — — 4,363,903 4,363,903 Loans held for sale 262,518 — 262,518 — 262,518 Interest receivable 17,083 — 3,282 13,801 17,083 Mortgage servicing rights 75,521 — — 75,521 75,521 Derivatives 21,981 — 21,981 — 21,981 Financial liabilities: Deposits: Without stated maturities $ 3,743,085 $ 3,743,085 $ — $ — $ 3,743,085 With stated maturities 1,191,853 — 1,200,145 — 1,200,145 Securities sold under agreement to repurchase and federal funds sold 23,745 23,745 — — 23,745 Federal Home Loan Bank advances 250,000 — 250,213 — 250,213 Subordinated debt 30,930 — 29,706 — 29,706 Interest payable 6,465 376 6,089 — 6,465 Derivatives 17,933 — 17,933 — 17,933
Schedule of Balances and Levels of Assets Measured at Fair Value on Recurring BasisThe balances and levels of the assets measured at fair value on a recurring basis at December 31, 2020 are presented in the following table: December 31, 2020 Quoted prices Significant Significant unobservable Total Recurring valuations: Financial assets: Available-for-sale securities: U.S. government agency securities $ — $ 2,003 $ — $ 2,003 Mortgage-backed securities - residential — 773,336 — 773,336 Mortgage-backed securities - commercial — 21,588 — 21,588 Municipals, tax-exempt — 356,329 — 356,329 Treasury securities — 16,628 — 16,628 Corporate securities — 2,516 — 2,516 Equity securities — 4,591 — 4,591 Total $ — $ 1,176,991 $ — $ 1,176,991 Loans held for sale $ — $ 683,770 $ 215,403 $ 899,173 Mortgage servicing rights — — 79,997 79,997 Derivatives — 68,938 — 68,938 Financial Liabilities: Derivatives — 48,242 — 48,242 The balances and levels of the assets measured at fair value on a recurring basis at December 31, 2019 are presented in the following table: At December 31, 2019 Quoted prices Significant Significant unobservable Total Recurring valuations: Financial assets: Available-for-sale securities: Mortgage-backed securities - residential $ — $ 477,312 $ — $ 477,312 Mortgage-backed securities - commercial — 13,364 — 13,364 Municipals, tax-exempt — 189,235 — 189,235 Treasury securities — 7,448 — 7,448 Corporate securities — 1,022 — 1,022 Equity securities — 3,295 — 3,295 Total $ — $ 691,676 $ — $ 691,676 Loans held for sale $ — $ 262,518 $ — $ 262,518 Mortgage servicing rights — — 75,521 75,521 Derivatives — 21,981 — 21,981 Financial Liabilities: Derivatives — 17,933 — 17,933
Schedule of Balances and Levels of Assets Measured at Fair Value on Non-recurring BasisThe balances and levels of the assets measured at fair value on a non-recurring basis at December 31, 2020 are presented in the following table: At December 31, 2020 Quoted prices Significant Significant unobservable Total Non-recurring valuations: Financial assets: Other real estate owned $ — $ — $ 6,662 $ 6,662 Collateral dependent loans: Commercial and industrial $ — $ — $ 1,728 $ 1,728 Construction — — 3,877 3,877 Residential real estate: 1-4 family mortgage — — 226 226 Residential line of credit — — 1,174 1,174 Commercial real estate: Non-owner occupied — — 3,391 3,391 Consumer and other — — 8,164 8,164 Total collateral dependent loans $ — $ — $ 18,560 $ 18,560 The balances and levels of the assets measured at fair value on a non-recurring basis at December 31, 2019 are presented in the following table: At December 31, 2019 Quoted prices Significant Significant unobservable Total Non-recurring valuations: Financial assets: Other real estate owned $ — $ — $ 9,774 $ 9,774 Impaired Loans (1) : Commercial and industrial $ — $ — $ 6,481 $ 6,481 Residential real estate: 1-4 family mortgage — — 378 378 Residential line of credit — — 321 321 Commercial real estate: Owner occupied — — 951 951 Non-owner occupied — — 2,560 2,560 Total $ — $ — $ 10,691 $ 10,691 (1) Includes both impaired non-purchased loans and collateral-dependent PCI loans.
Schedule of Information About Significant Unobservable Inputs (Level 3) Used in Valuation of Assets Measured at Fair Value on Nonrecurring BasisThe following table presents information as of December 31, 2020 about significant unobservable inputs (Level 3) used in the valuation of assets measured at fair value on a nonrecurring basis: Financial instrument Fair Value Valuation technique Significant Range of Collateral dependent loans $ 18,560 Valuation of collateral Discount for comparable sales 0%-30% Other real estate owned $ 6,662 Appraised value of property less costs to sell Discount for costs to sell 0%-15% The following table presents information as of December 31, 2019 about significant unobservable inputs (Level 3) used in the valuation of assets measured at fair value on a nonrecurring basis: Financial instrument Fair Value Valuation technique Significant Range of Impaired loans (1) $ 10,691 Valuation of collateral Discount for comparable sales 0%-30% Other real estate owned $ 9,774 Appraised value of property less costs to sell Discount for costs to sell 0%-15%
Schedule of Differences between Fair Value and Principal Balance for Loans Held for Sale Measured at Fair ValueThe following table summarizes the differences between the fair value and the principal balance for loans held for sale and nonaccrual loans measured at fair value as of December 31, 2020 and 2019: December 31, 2020 Aggregate Aggregate Difference Mortgage loans held for sale measured at fair value $ 683,770 $ 651,887 $ 31,883 Commercial loans held for sale measured at fair value 208,914 226,867 (17,953) Past due loans of 90 days or more 83 163 (80) Nonaccrual loans 6,406 12,033 (5,627) December 31, 2019 Mortgage loans held for sale measured at fair value $ 262,518 $ 254,868 $ 7,650 Past due loans of 90 days or more — — — Nonaccrual loans — — —

Parent company financial stat_2

Parent company financial statements (Tables)12 Months Ended
Dec. 31, 2020
Condensed Financial Information Disclosure [Abstract]
Balance Sheet As of December 31, Balance sheet 2020 2019 Assets Cash and cash equivalents (1) $ 5,310 $ 4,673 Investments: Equity securities, at fair value 1,173 — Investment in subsidiaries (1) 1,378,347 782,565 Other assets 12,240 6,292 Goodwill 29 29 Total assets $ 1,397,099 $ 793,559 Liabilities and shareholders' equity Liabilities Borrowings $ 106,299 $ 30,930 Accrued expenses and other liabilities (489) 300 Total liabilities 105,810 31,230 Shareholders' equity Common stock 47,222 31,034 Additional paid-in capital 898,847 425,633 Retained earnings 317,625 293,524 Accumulated other comprehensive income 27,595 12,138 Total shareholders' equity 1,291,289 762,329 Total liabilities and shareholders' equity $ 1,397,099 $ 793,559 (1) Eliminates in Consolidation
Income Statements For the years ended December 31, Income Statements 2020 2019 2018 Income Dividend income from subsidiaries (1) $ 49,706 $ — $ — Gain on investments 217 — — (Loss) gain on other assets — (16) 297 Other income 1,732 211 — Total income 51,655 195 297 Expenses Interest expense 3,122 1,638 1,651 Salaries, legal and professional fees 1,458 1,056 1,481 Other noninterest expense 283 120 960 Total expenses 4,863 2,814 4,092 Income (loss) before income tax benefit and equity in undistributed 46,792 (2,619) (3,795) Federal and state income tax benefit (1,155) (683) (746) Income (loss) before equity in undistributed earnings of subsidiaries 47,947 (1,936) (3,049) Equity in undistributed earnings from subsidiaries (1) 15,674 85,750 83,285 Net income $ 63,621 $ 83,814 $ 80,236 (1) Eliminates in Consolidation
Statement of Cash Flows For the years ended December 31, Statement of Cash Flows 2020 2019 2018 Operating Activities Net income $ 63,621 $ 83,814 $ 80,236 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed income of subsidiaries (15,674) (85,750) (83,285) Gain on investments (217) — — Loss (gain) on other assets — 16 (297) Stock-based compensation expense 10,214 7,089 7,207 (Increase) decrease in other assets (9,717) 1,056 (441) Decrease in other liabilities (13,363) (9,711) (7,737) Net provided by (used in) operating activities 34,864 (3,486) (4,317) Investing Activities Proceeds from sale of other assets — — 869 Net cash paid in business combinations (See Note 2) (35,505) — — Net cash (used in) provided by investing activities (35,505) — 869 Financing Activities Accretion of interest rate premium on subordinated debt (436) — — Payment of dividends (14,264) (10,045) (6,137) Proceeds of other borrowings 15,000 — — Net proceeds from sale of common stock 978 804 1,196 Net cash used in financing activities 1,278 (9,241) (4,941) Net decrease in cash and cash equivalents 637 (12,727) (8,389) Cash and cash equivalents at beginning of year 4,673 17,400 25,789 Cash and cash equivalents at end of year $ 5,310 $ 4,673 $ 17,400 Supplemental noncash disclosures: Dividends declared not paid on restricted stock units $ 238 $ 149 $ 226 Noncash dividend from Bank 956 — 572

Segment reporting (Tables)

Segment reporting (Tables)12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]
Schedule of Segment Financial InformationYear Ended December 31, 2020 Banking (4) Mortgage Consolidated Net interest income $ 265,581 $ 77 $ 265,658 Provisions for credit losses (1) 107,967 — 107,967 Mortgage banking income — 289,702 289,702 Change in fair value of mortgage servicing rights, net of hedging (2) — (34,374) (34,374) Other noninterest income 46,527 — 46,527 Depreciation and amortization 6,425 584 7,009 Amortization of intangibles 5,323 — 5,323 Other noninterest mortgage banking expense — 150,808 150,808 Other noninterest expense (3) 212,890 1,055 213,945 Income before income taxes $ (20,497) $ 102,958 $ 82,461 Income tax expense 18,832 Net income applicable to FB Financial Corporation and noncontrolling interest $ 63,629 Net income applicable to noncontrolling interest 8 Net income applicable to FB Financial Corporation $ 63,621 Total assets $ 10,254,324 $ 953,006 $ 11,207,330 Goodwill 242,561 — 242,561 (1) Included $13,361 in provision for credit losses on unfunded commitments. (2) Included in mortgage banking income in the Company's consolidated statements of income. (3) Included $33,824 of merger costs in the Banking segment related to the acquisition and integration of Farmers National and Franklin, and $1,055 of merger costs in the Mortgage segment related to the Franklin merger. (4) Banking segment includes noncontrolling interest. Year Ended December 31, 2019 Banking Mortgage Consolidated Net interest income $ 226,098 $ (62) $ 226,036 Provisions for credit losses 7,053 — 7,053 Mortgage banking income — 117,905 117,905 Change in fair value of mortgage servicing rights, net of hedging (1) — (16,989) (16,989) Other noninterest income 34,481 — 34,481 Depreciation and amortization 4,670 506 5,176 Amortization of intangibles 4,339 — 4,339 Other noninterest mortgage banking expense — 88,673 88,673 Other noninterest expense (2) 144,658 1,995 146,653 Income before income taxes $ 99,859 $ 9,680 $ 109,539 Income tax expense 25,725 Net income $ 83,814 Total assets $ 5,700,558 $ 424,363 $ 6,124,921 Goodwill 169,051 — 169,051 (1) Included in mortgage banking income in the Company's consolidated statements of income. (2) Includes $5,385 in merger costs in the Banking segment related to the Atlantic Capital branch acquisition and $1,995 in mortgage restructuring charges in the Mortgage segment. Year Ended December 31, 2018 Banking Mortgage Consolidated Net interest income $ 204,517 $ (449) $ 204,068 Provisions for credit losses 5,398 — 5,398 Mortgage banking income — 109,334 109,334 Change in fair value of mortgage servicing rights, net of hedging (1) — (8,673) (8,673) Other noninterest income 29,981 — 29,981 Depreciation and amortization 3,827 507 4,334 Amortization of intangibles 3,185 — 3,185 Other noninterest mortgage banking expense — 94,739 94,739 Other noninterest expense (2) 121,200 — 121,200 Income before income taxes $ 100,888 $ 4,966 $ 105,854 Income tax expense 25,618 Net income $ 80,236 Total assets $ 4,713,346 $ 423,418 $ 5,136,764 Goodwill 137,090 100 137,190 (1) Included in mortgage banking income in the Company's consolidated statements of income. (2) Included $1,594 in merger costs and $671 in costs related to follow-on secondary offering in the Banking segment.

Minimum capital requirements (T

Minimum capital requirements (Tables)12 Months Ended
Dec. 31, 2020
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]
Schedule of Actual and Required Capital Amounts and RatiosActual and required capital amounts and ratios are included below for the periods presented. Actual Minimum Capital To be well capitalized Amount Ratio Amount Ratio Amount Ratio December 31, 2020 Total Capital (to risk-weighted assets) FB Financial Corporation $ 1,358,897 15.0 % $ 952,736 10.5 % N/A N/A FirstBank 1,353,279 14.9 % 951,327 10.5 % $ 906,026 10.0 % Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 1,090,364 12.0 % $ 771,262 8.5 % N/A N/A FirstBank 1,142,548 12.6 % 770,122 8.5 % $ 724,820 8.0 % Tier 1 Capital (to average assets) FB Financial Corporation $ 1,090,364 10.0 % $ 435,064 4.0 % N/A N/A FirstBank 1,142,548 10.5 % 435,279 4.0 % $ 544,098 5.0 % Common Equity Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 1,060,364 11.7 % $ 635,157 7.0 % N/A N/A FirstBank 1,142,548 12.6 % 634,218 7.0 % $ 588,917 6.5 % Actual Minimum Capital To be well capitalized Amount Ratio Amount Ratio Amount Ratio December 31, 2019 Total Capital (to risk-weighted assets) FB Financial Corporation $ 633,549 12.2 % $ 545,268 10.5 % N/A N/A FirstBank 623,432 12.1 % 540,995 10.5 % $ 515,233 10.0 % Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 602,410 11.6 % $ 441,421 8.50 % N/A N/A FirstBank 592,293 11.5 % 437,782 8.50 % $ 412,030 8.0 % Tier 1 Capital (to average assets) FB Financial Corporation $ 602,410 10.1 % $ 238,578 4.00 % N/A N/A FirstBank 592,293 9.9 % 239,310 4.00 % $ 299,138 5.0 % Common Equity Tier 1 Capital (to risk-weighted assets) FB Financial Corporation $ 572,410 11.1 % $ 360,979 7.0 % N/A N/A FirstBank 592,293 11.5 % 360,526 7.0 % $ 334,774 6.5 %

Stock-based compensation (Table

Stock-based compensation (Tables)12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement [Abstract]
Schedule of Changes in Restricted Stock UnitsThe following table summarizes information about the changes in restricted stock units as of and for the year ended December 31, 2020: Restricted Stock Weighted Balance at beginning of period 826,263 $ 23.76 Granted (1) 420,521 31.35 Vested (177,581) 31.64 Forfeited (22,132) 33.20 Balance at end of period 1,047,071 $ 26.06 (1) Includes 118,776 restricted stock units issued in replacement of those initially granted by Franklin. See Note 2, "Mergers and acquisitions" for additional information.

Related party transactions (Tab

Related party transactions (Tables)12 Months Ended
Dec. 31, 2020
Related Party Transactions [Abstract]
Schedule of Loans Analysis to Executive Officers, Certain Management, Bank Directors and Their AffiliatesAn analysis of loans to executive officers, certain management, and directors of the Bank and their affiliates is presented below: Loans outstanding at January 1, 2020 $ 30,880 New loans and advances 10,492 Change in related party status (3,462) Repayments (13,235) Loans outstanding at December 31, 2020 $ 24,675

Quarterly Results of Operatio_2

Quarterly Results of Operations (Unaudited) (Tables)12 Months Ended
Dec. 31, 2020
Quarterly Financial Information Disclosure [Abstract]
Schedule of Quarterly Results of Operations (Unaudited)Summarized unaudited quarterly operating results for the Company for the years ending December 31, 2020 and 2019 are as follows: 2020 First Second Third Fourth Interest income $ 69,674 $ 65,607 $ 81,127 $ 98,236 Interest expense 13,425 10,270 12,299 12,992 Net interest income 56,249 55,337 68,828 85,244 Provision for credit losses 27,964 24,039 45,834 (3,231) Provision for credit losses on unfunded commitments 1,601 1,882 9,567 311 Net interest income after provision for loan losses 26,684 29,416 13,427 88,164 Noninterest income 42,700 81,491 97,026 80,638 Noninterest expense 68,559 80,579 118,092 109,855 Income tax expense (benefit) 80 7,455 (2,040) 13,337 Net income (loss) attributable to FB Financial Corporation and noncontrolling interest $ 745 $ 22,873 $ (5,599) $ 45,610 Net income applicable to noncontrolling interest — — — 8 Net income (loss) applicable to FB Financial Corporation $ 745 $ 22,873 $ (5,599) $ 45,602 Weighted average common shares outstanding: Basic 31,257,739 32,094,274 40,154,841 47,204,738 Fully diluted 31,734,112 32,506,417 40,637,745 47,791,659 Earnings per share Basic $ 0.02 $ 0.71 $ (0.14) $ 0.97 Fully diluted $ 0.02 $ 0.70 $ (0.14) $ 0.95 2019 First Second Third Fourth Interest income $ 65,933 $ 71,719 $ 73,242 $ 71,643 Interest expense 12,917 14,696 14,937 13,951 Net interest income 53,016 57,023 58,305 57,692 Provision for loan losses 1,391 881 1,831 2,950 Net interest income after provision for loan losses 51,625 56,142 56,474 54,742 Noninterest income 29,039 32,979 38,145 35,234 Noninterest expense 55,101 64,119 62,935 62,686 Income tax expense 5,975 6,314 7,718 5,718 Net income $ 19,588 $ 18,688 $ 23,966 $ 21,572 Weighted average common shares outstanding: Basic 30,786,684 30,859,596 30,899,583 30,934,092 Fully diluted 31,349,198 31,378,018 31,425,573 31,470,565 Earnings per share Basic $ 0.63 $ 0.60 $ 0.77 $ 0.69 Fully diluted $ 0.62 $ 0.59 $ 0.76 $ 0.68

Basis of presentation - Narrati

Basis of presentation - Narrative (Details)12 Months Ended
Dec. 31, 2020USD ($)methodbranchDec. 31, 2019USD ($)branchDec. 31, 2018USD ($)Jan. 01, 2020USD ($)Dec. 31, 2017USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Number of full-service branches | branch81
Provision for credit losses on available-for-sale securities $ 0
Transfer from loans held for sale to loan portfolio55,766,000 $ 12,259,000 $ 14,732,000
Transfer of from loan portfolio to held for sale $ 11,483,000 7,891,000 11,888,000
Adjustments for transfers to loans HFS349,000
Percent of remaining principal allowed to buy back under GNMA optional repurchase programs100.00%
Lessee, number of finance leases | branch1
Cumulative effect adjustment of adoption of accounting principle $ (1,291,382,000)(762,329,000)(671,857,000)
Goodwill impairment0 0
Amounts related to uncertain tax positions0 0 0
Impairment of long-lived assets $ 0 0
Number of methods to deliver mortgage loans | method2
Deposits with Federal Home Loan Banks $ 12,729,000 11,225,000
FHLB lender risk account guaranty $ 6,183,000 5,546,000
Lender risk account, contribution percentage1
Lender risk account, period to release portion of funds not used to cover losses30 years
Lender risk account, initial fill-up period5 years
Loans $ 7,082,959,000 $ 4,409,642,000 3,667,511,000 $ 4,409,642,000
Residential mortgage
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Transfer of from loan portfolio to held for sale $ 2,116,000
PSUs
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Criteria period3 years
Franklin Financial Network, Inc.
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Lessee, number of finance leases | branch1 0
Mortgage Loans
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Net gains (losses) from fair value changes of mortgage loans $ 24,233,000 $ (2,861,000)(4,539,000)
GNMA
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Transfer of from loan portfolio to held for sale9,367,000 7,891,000 0
Delinquent GNMA loans that had been previously sold151,184,000 51,705,000
Residential Mortgage Loans
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Transfer from loans held for sale to loan portfolio55,766,000 12,259,000 14,732,000
FHLB Cincinnati
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Deposits with Federal Home Loan Banks $ 12,729,000 11,225,000
Leasehold improvements | Maximum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, useful life20 years
Premises
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, useful life40 years
Furniture and fixtures | Minimum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, useful life7 years
Furniture and fixtures | Maximum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, useful life10 years
Equipment | Minimum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, useful life3 years
Equipment | Maximum
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Property, plant and equipment, useful life7 years
Retained earnings
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment of adoption of accounting principle $ (317,625,000)(293,524,000)(221,213,000)
Cumulative effect of change in accounting principle
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment of adoption of accounting principle $ 25,018,000 1,309,000 $ 0
Loans558,000
Cumulative effect of change in accounting principle | Retained earnings
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustment of adoption of accounting principle $ 1,309,000 $ 25,018,000 $ 109,000

Basis of presentation - Basic a

Basis of presentation - Basic and Diluted Earnings Per Common Share Calculation (Details) - USD ($) $ / shares in Units, $ in Thousands3 Months Ended12 Months Ended
Dec. 31, 2020Sep. 30, 2020Jun. 30, 2020Mar. 31, 2020Dec. 31, 2019Sep. 30, 2019Jun. 30, 2019Mar. 31, 2019Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Basic earnings per common share calculation:
Net income applicable to FB Financial Corporation $ 45,602 $ (5,599) $ 22,873 $ 745 $ 21,572 $ 23,966 $ 18,688 $ 19,588 $ 63,621 $ 83,814 $ 80,236
Dividends paid on and undistributed earnings allocated to participating securities0 (447)(428)
Earnings available to common shareholders $ 63,621 $ 83,367 $ 79,808
Weighted average basic shares outstanding (in shares)47,204,738 40,154,841 32,094,274 31,257,739 30,934,092 30,899,583 30,859,596 30,786,684 37,621,720 30,870,474 30,675,755
Basic earnings per common share (in dollars per share) $ 0.97 $ (0.14) $ 0.71 $ 0.02 $ 0.69 $ 0.77 $ 0.60 $ 0.63 $ 1.69 $ 2.70 $ 2.60
Diluted earnings per common share:
Earnings available to common shareholders $ 63,621 $ 83,367 $ 79,808
Weighted average basic shares outstanding (in shares)47,204,738 40,154,841 32,094,274 31,257,739 30,934,092 30,899,583 30,859,596 30,786,684 37,621,720 30,870,474 30,675,755
Weighted average diluted shares contingently issuable (in shares)478,024 532,423 639,226
Weighted average diluted shares outstanding (in shares)47,791,659 40,637,745 32,506,417 31,734,112 31,470,565 31,425,573 31,378,018 31,349,198 38,099,744 31,402,897 31,314,981
Diluted (loss) earnings per common share (in dollars per share) $ 0.95 $ (0.14) $ 0.70 $ 0.02 $ 0.68 $ 0.76 $ 0.59 $ 0.62 $ 1.67 $ 2.65 $ 2.55
Restricted stock units outstanding considered to be antidilutive (in shares)239,813

Basic of presentation - Impact

Basic of presentation - Impact on the Consolidated Balance Sheet Effect of Adoption of ASU 2016-13 (Details) - USD ($) $ in ThousandsDec. 31, 2020Jan. 01, 2020Dec. 31, 2019Dec. 31, 2018Dec. 31, 2017
ASSETS
Loans $ 7,082,959 $ 4,409,642 $ 4,409,642 $ 3,667,511
Allowance for credit losses(170,389)(31,139)(31,139)(28,932) $ (24,041)
Total assets11,207,330 6,124,921 $ 5,136,764
Liabilities and shareholders' equity
Allowance for credit losses on unfunded commitments0
Net deferred tax liability20,490 20,490
Retained earnings317,625 293,524 293,524
Total liabilities and shareholders' equity $ 11,207,330 $ 6,124,921
Cumulative effect adjustment to adopt ASC 326
ASSETS
Loans558
Allowance for credit losses(31,446)
Total assets(30,888)
Liabilities and shareholders' equity
Allowance for credit losses on unfunded commitments2,947
Net deferred tax liability(8,817)
Retained earnings(25,018)
Total liabilities and shareholders' equity(30,888)
Balance at January 1, 2020 (post ASC 326 adoption)
ASSETS
Loans4,410,200
Allowance for credit losses(62,585)
Liabilities and shareholders' equity
Allowance for credit losses on unfunded commitments2,947
Net deferred tax liability11,673
Retained earnings $ 268,506

Mergers and acquisitions - Fran

Mergers and acquisitions - Franklin Financial Network, Inc. - Narrative (Details) $ / shares in Units, $ in ThousandsAug. 15, 2020USD ($)branch$ / sharessharesDec. 31, 2020USD ($)Dec. 31, 2020USD ($)Dec. 31, 2019USD ($)
Business Acquisition [Line Items]
Goodwill resulting from merger $ 31,961
Merger costs $ 34,879
Franklin Financial Network, Inc.
Business Acquisition [Line Items]
Assets assumed in acquisition $ 3,631,889
Loans assumed in acquisition2,790,000
Deposits assumed in acquisition3,121,731
Non-strategic loans assumed in acquisition $ 326,206
Business acquisition, shares issued (in shares) | shares15,058,181
Equivalent value of parent stock (in shares) | shares44,311
Cash consideration paid $ 31,330
Business acquisition, stock assumed, pre combination service, fair value $ 674
Business acquisition, share price (dollar per share) | $ / shares $ 29.52
Business combination, consideration, value $ 477,830
Measurement period adjustments to loans held-for-sale, deposits and premises and equipment $ 6,546
Goodwill resulting from merger $ 67,191 67,191
Merger costs $ 32,364
Franklin Financial Network, Inc. | Tennessee
Business Acquisition [Line Items]
Number of branches acquired | branch10

Mergers and acquisitions - Cons

Mergers and acquisitions - Consideration for Franklin Financial Network (Details) $ / shares in Units, $ in ThousandsAug. 15, 2020USD ($)$ / sharessharesDec. 31, 2020USD ($)Dec. 31, 2019USD ($)
Business Combination, Consideration Transferred [Abstract]
Shares and net shares outstanding (in shares) | shares15,651,243
Goodwill resulting from merger | $ $ 31,961
Franklin Financial Network, Inc.
Business Combination, Consideration Transferred [Abstract]
Shares outstanding (in shares) | shares15,588,337
Options converted to net shares (in shares) | shares62,906
Number of shares outstanding including converted options (in shares) | shares15,651,243
Exchange ratio0.965
Shares to be issued as merger consideration (in shares) | shares15,102,492
Issuance price (dollar per share) | $ / shares $ 29.52
Value of stock to be issued as merger consideration | $ $ 445,826
Tax withholding on vested restricted stock awards, units and options | $(1,308)
Value of stock issued | $ $ 444,518
Net shares issued (in shares) | shares15,058,181
Stock units that do not vest on change in control (in shares) | shares114,915
Replacement awards issued to employees (in shares) | shares118,776
Fair value of replacement awards (in shares) | shares3,506,000
Fair value of replacement awards attributable to pre-combination service | $ $ 674
Cash consideration per share (dollar per share) | $ / shares $ 2
Cash to be paid | $ $ 31,330
Purchase price | $477,830
Preliminary fair value of net assets acquired | $410,639
Goodwill resulting from merger | $ $ 67,191 $ 67,191
Equivalent value of parent stock (in shares) | shares44,311
Cash paid in lieu of fractional shares | $ $ 28

Mergers and acquisitions - FNB

Mergers and acquisitions - FNB Financial Corp. - Narrative (Details) $ / shares in Units, $ in ThousandsFeb. 14, 2020USD ($)branch$ / sharessharesDec. 31, 2020USD ($)Dec. 31, 2019USD ($)
Business Acquisition [Line Items]
Goodwill resulting from merger $ 31,961
Merger related expenses $ 34,879
FNB Financial Corp.
Business Acquisition [Line Items]
Assets assumed in acquisition $ 258,218
Loans assumed in acquisition182,171
Deposits assumed in acquisition $ 209,535
Business acquisition, shares issued (in shares) | shares954,797
Cash consideration paid $ 15,001
Business acquisition, share price (dollar per share) | $ / shares $ 36.70
Business combination, consideration, value $ 50,042
Goodwill resulting from merger $ 6,319 6,319
Merger related expenses $ 2,338
FNB Financial Corp. | Kentucky
Business Acquisition [Line Items]
Number of branches acquired | branch4

Mergers and acquisitions - Co_2

Mergers and acquisitions - Consideration for FNB Financial Corp. (Details) - USD ($) $ / shares in Units, $ in ThousandsFeb. 14, 2020Dec. 31, 2020Dec. 31, 2019
Business Combination, Consideration Transferred [Abstract]
Goodwill resulting from merger $ 31,961
FNB Financial Corp.
Business Combination, Consideration Transferred [Abstract]
Net shares issued (in shares)954,797
Purchase price per share (dollar per share) $ 36.70
Value of stock consideration $ 35,041
Cash consideration paid15,001
Total purchase price50,042
Preliminary fair value of net assets acquired43,723
Goodwill resulting from merger $ 6,319 $ 6,319

Mergers and acquisitions - Atla

Mergers and acquisitions - Atlantic Capital Bank N.A. Branches - Narrative (Details) $ in ThousandsApr. 05, 2019USD ($)branchDec. 31, 2020USD ($)Dec. 31, 2019USD ($)Dec. 31, 2018USD ($)
Business Acquisition [Line Items]
Goodwill $ 242,561 $ 169,051 $ 137,190
Atlantic Capital
Business Acquisition [Line Items]
Total purchase price $ 36,790
Customer deposits $ 588,877
Deposit premium percentage6.25%
Loans held for investment, net of fair value adjustments $ 374,966
Percentage of loans outstanding99.32%
Goodwill $ 31,961
Tennessee | Atlantic Capital
Business Acquisition [Line Items]
Number of branches acquired | branch11
Georgia | Atlantic Capital
Business Acquisition [Line Items]
Number of branches acquired | branch3

Mergers and acquisitions - Reco

Mergers and acquisitions - Recognized Identified Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in ThousandsAug. 15, 2020Feb. 14, 2020
Franklin Financial Network, Inc.
Assets
Cash and cash equivalents $ 284,004
Investments373,462
Mortgage loans held for sale, at fair value38,740
Commercial loans held for sale, at fair value326,206
Loans held for investment, net of fair value adjustments2,427,527
Allowance for credit losses on PCD loans(24,831)
Premises and equipment45,471
Operating lease right-of-use assets23,958
Mortgage servicing rights5,111
Core deposit intangible7,670
Other assets124,571
Assets assumed in acquisition3,631,889
Liabilities
Non-interest bearing deposits505,374
Interest-bearing1,783,379
Money market and savings342,093
Customer time deposits383,433
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Brokered and Internet Time Deposits107,452
Total deposits3,121,731
Borrowings62,435
Operating lease liabilities24,330
Accrued expenses and other liabilities12,661
Total liabilities3,221,157
Noncontrolling interests acquired93
Net assets acquired $ 410,639
FNB Financial Corp.
Assets
Cash and cash equivalents $ 10,774
Investments50,594
Mortgage loans held for sale, at fair value0
Commercial loans held for sale, at fair value0
Loans held for investment, net of fair value adjustments182,171
Allowance for credit losses on PCD loans(669)
Premises and equipment8,049
Operating lease right-of-use assets14
Mortgage servicing rights0
Core deposit intangible2,490
Other assets4,795
Assets assumed in acquisition258,218
Liabilities
Non-interest bearing deposits63,531
Interest-bearing26,451
Money market and savings37,002
Customer time deposits82,551
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Brokered and Internet Time Deposits0
Total deposits209,535
Borrowings3,192
Operating lease liabilities14
Accrued expenses and other liabilities1,754
Total liabilities214,495
Noncontrolling interests acquired0
Net assets acquired $ 43,723

Mergers and acquisitions - Purc

Mergers and acquisitions - Purchased Credit-deteriorated Loans (Details) - USD ($) $ in ThousandsAug. 15, 2020Feb. 14, 2020Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Deterioration credit quality since origination, percentage27.90%10.10%
Allowance for credit loss, purchased with credit deterioration $ 25,500
Franklin Financial Network, Inc.
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal balance $ 693,999
Allowance for credit losses at acquisition(24,831)
Net premium attributable to other factors8,810
Loans purchased credit-deteriorated fair value677,978
Allowance for credit loss, purchased with credit deterioration52,822
Increase in provision for credit losses from unfunded commitments acquired in business combination $ 10,499
FNB Financial Corp.
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal balance $ 18,964
Allowance for credit losses at acquisition(669)
Net premium attributable to other factors63
Loans purchased credit-deteriorated fair value18,358
Allowance for credit loss, purchased with credit deterioration $ 2,885

Mergers and acquisitions - Pro

Mergers and acquisitions - Pro Forma Information (unaudited) (Details) - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Business Combinations [Abstract]
Net interest income $ 338,092 $ 348,660 $ 220,269
Total revenues654,374 504,273 354,258
Net income $ 65,135 $ 99,898 $ 78,762

Cash and cash equivalents con_2

Cash and cash equivalents concentrations (Details) - USD ($)Dec. 31, 2020Dec. 31, 2019
Cash and Cash Equivalents [Abstract]
Restricted cash $ 0 $ 20,881,000
Federal funds sold $ 121,153,000 $ 131,119,000

Investment securities - Summary

Investment securities - Summary of Amortized Cost of Securities and Fair Values (Details) - USD ($)Dec. 31, 2020Dec. 31, 2019
Debt Securities, Available-for-sale [Abstract]
Amortized cost $ 1,137,848,000 $ 676,705,000
Gross unrealized gains35,376,000 13,567,000
Gross unrealized losses(824,000)(1,891,000)
Allowance for credit losses for investments0
Fair Value1,172,400,000 688,381,000
U.S. government agency securities
Debt Securities, Available-for-sale [Abstract]
Amortized cost2,000,000
Gross unrealized gains3,000
Gross unrealized losses0
Allowance for credit losses for investments0
Fair Value2,003,000
Mortgage-backed securities - residential
Debt Securities, Available-for-sale [Abstract]
Amortized cost760,099,000 474,144,000
Gross unrealized gains14,040,000 4,829,000
Gross unrealized losses(803,000)(1,661,000)
Allowance for credit losses for investments0
Fair Value773,336,000 477,312,000
Mortgage-backed securities - commercial
Debt Securities, Available-for-sale [Abstract]
Amortized cost20,226,000 12,957,000
Gross unrealized gains1,362,000 407,000
Gross unrealized losses0 0
Allowance for credit losses for investments0
Fair Value21,588,000 13,364,000
States and political subdivisions
Debt Securities, Available-for-sale [Abstract]
Amortized cost336,543,000 181,178,000
Gross unrealized gains19,806,000 8,287,000
Gross unrealized losses(20,000)(230,000)
Allowance for credit losses for investments0
Fair Value356,329,000 189,235,000
U.S. Treasury securities
Debt Securities, Available-for-sale [Abstract]
Amortized cost16,480,000 7,426,000
Gross unrealized gains148,000 22,000
Gross unrealized losses0 0
Allowance for credit losses for investments0
Fair Value16,628,000 7,448,000
Corporate securities
Debt Securities, Available-for-sale [Abstract]
Amortized cost2,500,000 1,000,000
Gross unrealized gains17,000 22,000
Gross unrealized losses(1,000)0
Allowance for credit losses for investments0
Fair Value $ 2,516,000 $ 1,022,000

Investment securities - Narrati

Investment securities - Narrative (Details)12 Months Ended
Dec. 31, 2020USD ($)securityDec. 31, 2019USD ($)securityDec. 31, 2018USD ($)
Debt and Equity Securities, FV-NI [Line Items]
Accrued interest receivable $ 43,603,000 $ 17,083,000
Marketable securities at fair value4,591,000 3,295,000
Trade date payable - securities0 0 $ 2,120,000
Net unrealized gains on equity securities $ 296,000 $ 148,000
Number of securities in securities portfolio | security514 365
Number of securities in securities portfolio, unrealized loss position | security16 58
Allowance for credit losses for investments $ 0
Provision for credit losses on available for sale debt securities0
Other than temporary impairment of equity securities $ 0
Debt Securities
Debt and Equity Securities, FV-NI [Line Items]
Accrued interest receivable4,540,000 2,843,000
Collateral Pledged
Debt and Equity Securities, FV-NI [Line Items]
Securities pledged $ 804,821,000 $ 373,674,000

Investment securities - Schedul

Investment securities - Schedule of Amortized Cost and Fair Value of Debt Securities by Contractual Maturity (Details) - USD ($) $ in ThousandsDec. 31, 2020Dec. 31, 2019
Amortized cost
Due in one year or less $ 35,486 $ 1,148
Due in one to five years24,278 11,553
Due in five to ten years40,038 18,287
Due in over ten years257,721 158,616
Amortized cost, total357,523 189,604
Amortized cost1,137,848 676,705
Fair value
Due in one year or less35,662 1,152
Due in one to five years24,684 11,676
Due in five to ten years41,332 18,887
Due in over ten years275,798 165,990
Fair value, total377,476 197,705
Total debt securities1,172,400 688,381
Mortgage-backed securities - residential
Amortized cost
Mortgage-backed securities760,099 474,144
Amortized cost760,099 474,144
Fair value
Mortgage-backed securities773,336 477,312
Total debt securities773,336 477,312
Mortgage-backed securities - commercial
Amortized cost
Mortgage-backed securities20,226 12,957
Amortized cost20,226 12,957
Fair value
Mortgage-backed securities21,588 13,364
Total debt securities $ 21,588 $ 13,364

Investment securities - Summa_2

Investment securities - Summary of Sales and Other Dispositions of Available-for-Sale Securities (Details) - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
Proceeds from sales $ 146,494 $ 24,498 $ 2,742
Proceeds from maturities, prepayments and calls220,549 113,018 73,066
Gross realized gains1,606 7 9
Gross realized losses $ 271 $ 98 $ 44

Investment securities - Sched_2

Investment securities - Schedule of Gross Unrealized Losses (Details) - USD ($) $ in ThousandsDec. 31, 2020Dec. 31, 2019
Debt Securities, Available-for-sale [Abstract]
Fair Value, Less than 12 months $ 185,695 $ 63,074
Unrealized Loss, Less than 12 months(824)(394)
Fair Value, 12 months or more0 175,730
Unrealized Loss, 12 months or more0 (1,497)
Fair Value, Total185,695 238,804
Unrealized Loss, Total(824)(1,891)
U.S. government agency securities
Debt Securities, Available-for-sale [Abstract]
Fair Value, Less than 12 months0
Unrealized Loss, Less than 12 months0
Fair Value, 12 months or more0
Unrealized Loss, 12 months or more0
Fair Value, Total0
Unrealized Loss, Total0
Mortgage-backed securities - residential
Debt Securities, Available-for-sale [Abstract]
Fair Value, Less than 12 months182,012 47,641
Unrealized Loss, Less than 12 months(803)(164)
Fair Value, 12 months or more0 175,730
Unrealized Loss, 12 months or more0 (1,497)
Fair Value, Total182,012 223,371
Unrealized Loss, Total(803)(1,661)
States and political subdivisions
Debt Securities, Available-for-sale [Abstract]
Fair Value, Less than 12 months3,184 15,433
Unrealized Loss, Less than 12 months(20)(230)
Fair Value, 12 months or more0 0
Unrealized Loss, 12 months or more0 0
Fair Value, Total3,184 15,433
Unrealized Loss, Total(20) $ (230)
Corporate securities
Debt Securities, Available-for-sale [Abstract]
Fair Value, Less than 12 months499
Unrealized Loss, Less than 12 months(1)
Fair Value, 12 months or more0
Unrealized Loss, 12 months or more0
Fair Value, Total499
Unrealized Loss, Total $ (1)

Loans and allowance for credi_3

Loans and allowance for credit losses - Loans Outstanding by Class of Financing Receivable (Details) - USD ($) $ in ThousandsDec. 31, 2020Jan. 01, 2020Dec. 31, 2019Dec. 31, 2018Dec. 31, 2017
Financing Receivable, Past Due [Line Items]
Gross loans $ 7,082,959 $ 4,409,642 $ 4,409,642 $ 3,667,511
Less: Allowance for credit losses(170,389) $ (31,139)(31,139)(28,932) $ (24,041)
Net loans6,912,570 4,378,503
Loans originated as part of PPP program212,645
Paycheck Protection Program
Financing Receivable, Past Due [Line Items]
Loans originated as part of PPP program212,645
Commercial and industrial
Financing Receivable, Past Due [Line Items]
Gross loans1,346,122 1,034,036 867,083
Less: Allowance for credit losses(14,748)(4,805)(5,348)(4,461)
Construction
Financing Receivable, Past Due [Line Items]
Gross loans1,222,220 551,101 556,051
Less: Allowance for credit losses(58,477)(10,194)(9,729)(7,135)
Residential real estate | 1-to-4 family mortgage
Financing Receivable, Past Due [Line Items]
Gross loans1,089,270 710,454 555,815
Less: Allowance for credit losses(19,220)(3,112)(3,428)(3,197)
Residential real estate | Residential line of credit
Financing Receivable, Past Due [Line Items]
Gross loans408,211 221,530 190,480
Less: Allowance for credit losses(10,534)(752)(811)(944)
Residential real estate | Multi-family mortgage
Financing Receivable, Past Due [Line Items]
Gross loans175,676 69,429 75,457
Less: Allowance for credit losses(7,174)(544)(566)(434)
Residential real estate | Non-owner occupied
Financing Receivable, Past Due [Line Items]
Gross loans1,598,979
Commercial real estate
Financing Receivable, Past Due [Line Items]
Gross loans924,841
Commercial real estate | Owner occupied
Financing Receivable, Past Due [Line Items]
Gross loans924,841 630,270 493,524
Less: Allowance for credit losses(4,849)(4,109)(3,132)(3,558)
Commercial real estate | Non-owner occupied
Financing Receivable, Past Due [Line Items]
Gross loans1,598,979 920,744 700,248
Less: Allowance for credit losses(44,147)(4,621)(4,149)(2,817)
Consumer and other
Financing Receivable, Past Due [Line Items]
Gross loans317,640 272,078 228,853
Less: Allowance for credit losses $ (11,240) $ (3,002) $ (1,769) $ (1,495)

Loans and allowance for credi_4

Loans and allowance for credit losses - Narrative (Details) - USD ($)Aug. 15, 2020Mar. 22, 2020Feb. 14, 2020Mar. 31, 2020Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Financing Receivable, Past Due [Line Items]
Accrued interest receivable $ 38,316,000
Accretion of interest income3,788,000 $ 8,556,000 $ 7,608,000
Total accretion excluded interest income8,556,000 7,608,000
Recorded investment in TDRs15,988,000 12,206,000
Allocation to specific reserves310,000 360,000
Commitment to lend additional amounts to troubled debt restructuring0 0
TDRs classified as non-accruals8,279,000 5,201,000
Payment default for loans modified as troubled debt restructurings0 0 0
Classification of TDR, exemption period, CARES ACT60 days
Deferred loans that were transferred to normal payment status1,399,088,000
PCI Loans
Financing Receivable, Past Due [Line Items]
Carrying value of PCI loans57,152,000 68,999,000
Purchase accounting liquidity discount292,000 2,436,000
Purchase accounting non accretable credit discount3,537,000 4,355,000
Accretion of interest income7,003,000 9,010,000
Non-PCI Loans
Financing Receivable, Past Due [Line Items]
Purchase accounting liquidity discount3,924,000 2,197,000
Purchase accounting accretable credit discount8,964,000 $ 7,527,000
Minimum
Financing Receivable, Past Due [Line Items]
Payment deferral period60 days
Maximum
Financing Receivable, Past Due [Line Items]
Payment deferral period90 days
Federal Reserve Bank
Financing Receivable, Past Due [Line Items]
Pledged loans to the Federal Reserve Bank2,463,281,000 1,407,662,000
Residential Mortgage Loans | FHLB Cincinnati
Financing Receivable, Past Due [Line Items]
Pledge loans to the Federal Home Loan Bank securing advances1,248,857,000 412,966,000
Commercial Loan | FHLB Cincinnati
Financing Receivable, Past Due [Line Items]
Pledge loans to the Federal Home Loan Bank securing advances $ 1,532,749,000 $ 545,540,000
Franklin Financial Network, Inc.
Financing Receivable, Past Due [Line Items]
Increase in allowance for credit losses $ 77,653,000
Farmers National
Financing Receivable, Past Due [Line Items]
Increase in allowance for credit losses $ 4,494,000

Loans and allowance for credi_5

Loans and allowance for credit losses - Changes in Allowance for Credit Losses by Class of Financing Receivable (Details) - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2020Dec. 31, 2019Dec. 31, 2018
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period $ 31,139 $ 28,932 $ 24,041
Provision for credit losses94,606 7,053 5,398
Recoveries of loans previously charged-off3,003 1,106 2,647
Loans charged off(15,305)(5,952)(2,805)
Initial allowance on loans purchased with deteriorated credit quality25,500
Adjustments for transfers to loans HFS(349)
Balance at end of period170,389 31,139 28,932
Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period30,888
Balance at end of period30,888
Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period558
Balance at end of period558
Commercial and industrial
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period4,805 5,348 4,461
Provision for credit losses13,830 2,251 1,395
Recoveries of loans previously charged-off1,712 136 390
Loans charged off(11,735)(2,930)(898)
Initial allowance on loans purchased with deteriorated credit quality754
Adjustments for transfers to loans HFS0
Balance at end of period14,748 4,805 5,348
Commercial and industrial | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period5,300
Balance at end of period5,300
Commercial and industrial | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period82
Balance at end of period82
Construction
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period10,194 9,729 7,135
Provision for credit losses40,807 454 1,459
Recoveries of loans previously charged-off205 11 1,164
Loans charged off(18)0 (29)
Initial allowance on loans purchased with deteriorated credit quality5,606
Adjustments for transfers to loans HFS0
Balance at end of period58,477 10,194 9,729
Construction | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period1,533
Balance at end of period1,533
Construction | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period150
Balance at end of period150
Residential real estate | 1-to-4 family mortgage
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period3,112 3,428 3,197
Provision for credit losses6,408 (175)547
Recoveries of loans previously charged-off122 79 171
Loans charged off(403)(220)(138)
Initial allowance on loans purchased with deteriorated credit quality1,640
Adjustments for transfers to loans HFS(349)
Balance at end of period19,220 3,112 3,428
Residential real estate | 1-to-4 family mortgage | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period7,920
Balance at end of period7,920
Residential real estate | 1-to-4 family mortgage | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period421
Balance at end of period421
Residential real estate | Residential line of credit
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period752 811 944
Provision for credit losses5,649 112 (275)
Recoveries of loans previously charged-off125 138 178
Loans charged off(22)(309)(36)
Initial allowance on loans purchased with deteriorated credit quality572
Adjustments for transfers to loans HFS0
Balance at end of period10,534 752 811
Residential real estate | Residential line of credit | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period3,461
Balance at end of period3,461
Residential real estate | Residential line of credit | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period(3)
Balance at end of period(3)
Residential real estate | Multi-family mortgage
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period544 566 434
Provision for credit losses5,506 (22)132
Recoveries of loans previously charged-off0 0 0
Loans charged off0 0 0
Initial allowance on loans purchased with deteriorated credit quality784
Adjustments for transfers to loans HFS0
Balance at end of period7,174 544 566
Residential real estate | Multi-family mortgage | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period340
Balance at end of period340
Residential real estate | Multi-family mortgage | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period0
Balance at end of period0
Commercial real estate | Owner occupied
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period4,109 3,132 3,558
Provision for credit losses(1,739)869 (478)
Recoveries of loans previously charged-off83 108 143
Loans charged off(304)0 (91)
Initial allowance on loans purchased with deteriorated credit quality659
Adjustments for transfers to loans HFS0
Balance at end of period4,849 4,109 3,132
Commercial real estate | Owner occupied | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period1,879
Balance at end of period1,879
Commercial real estate | Owner occupied | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period162
Balance at end of period162
Commercial real estate | Non-owner occupied
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period4,621 4,149 2,817
Provision for credit losses17,789 484 1,281
Recoveries of loans previously charged-off0 0 51
Loans charged off(711)(12)0
Initial allowance on loans purchased with deteriorated credit quality15,442
Adjustments for transfers to loans HFS0
Balance at end of period44,147 4,621 4,149
Commercial real estate | Non-owner occupied | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period6,822
Balance at end of period6,822
Commercial real estate | Non-owner occupied | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period184
Balance at end of period184
Consumer and other
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period3,002 1,769 1,495
Provision for credit losses6,356 3,080 1,337
Recoveries of loans previously charged-off756 634 550
Loans charged off(2,112)(2,481)(1,613)
Initial allowance on loans purchased with deteriorated credit quality43
Adjustments for transfers to loans HFS0
Balance at end of period11,240 3,002 $ 1,769
Consumer and other | Non-purchased credit deteriorated loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period3,633
Balance at end of period3,633
Consumer and other | Purchased Credit Impaired loans | Cumulative effect of change in accounting principle
Allowance for Loan and Lease Losses [Roll Forward]
Balance at beginning of period $ (438)
Balance at end of period $ (438)

Loans and allowance for credi_6

Loans and allowance for credit losses - Allowance for Credit Losses by Class of Financing Receivable Disaggregated by Measurement Methodology (Details) - USD ($) $ in ThousandsDec. 31, 2020Jan. 01, 2020Dec. 31, 2019Dec. 31, 2018Dec. 31, 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment $ 2,039 $ 895 $ 268
Collectively evaluated for credit loss/impairment149,405 28,571 27,783
Ending balance170,389 $ 31,139 31,139 28,932 $ 24,041
Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment18,945 1,673 881
Commercial and industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment373 241 3
Collectively evaluated for credit loss/impairment13,493 4,457 5,247
Ending balance14,748 4,805 5,348 4,461
Commercial and industrial | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment882 107 98
Construction
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment95 0 0
Collectively evaluated for credit loss/impairment54,065 10,192 9,677
Ending balance58,477 10,194 9,729 7,135
Construction | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment4,317 2 52
Residential real estate | 1-to-4 family mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment0 8 7
Collectively evaluated for credit loss/impairment17,206 2,940 3,205
Ending balance19,220 3,112 3,428 3,197
Residential real estate | 1-to-4 family mortgage | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment2,014 164 216
Residential real estate | Residential line of credit
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment9 9 0
Collectively evaluated for credit loss/impairment10,031 743 811
Ending balance10,534 752 811 944
Residential real estate | Residential line of credit | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment494 0 0
Residential real estate | Multi-family mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment0 0 0
Collectively evaluated for credit loss/impairment6,326 544 566
Ending balance7,174 544 566 434
Residential real estate | Multi-family mortgage | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment848 0 0
Commercial real estate | Owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment30 238 53
Collectively evaluated for credit loss/impairment4,062 3,853 3,066
Ending balance4,849 4,109 3,132 3,558
Commercial real estate | Owner occupied | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment757 18 13
Commercial real estate | Non-owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment1,531 399 205
Collectively evaluated for credit loss/impairment33,706 3,909 3,628
Ending balance44,147 4,621 4,149 2,817
Commercial real estate | Non-owner occupied | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment8,910 313 316
Consumer and other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment1 0 0
Collectively evaluated for credit loss/impairment10,516 1,933 1,583
Ending balance11,240 3,002 1,769 $ 1,495
Consumer and other | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment $ 723 $ 1,069 $ 186

Loans and allowance for credi_7

Loans and allowance for credit losses - Amount of Loans by Loan Class of Financing Receivable Individually and Collectively Evaluated for Impairment (Details) - USD ($) $ in ThousandsDec. 31, 2020Jan. 01, 2020Dec. 31, 2019Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment $ 38,205 $ 23,810 $ 13,716
Collectively evaluated for credit loss/impairment6,329,868 4,328,680 3,584,796
Loans7,082,959 $ 4,409,642 4,409,642 3,667,511
Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment714,886 57,152 68,999
Loans57,152
Commercial and industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment15,578 9,026 1,847
Collectively evaluated for credit loss/impairment1,270,058 1,023,326 863,788
Loans1,346,122 1,034,036 867,083
Commercial and industrial | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment60,486 1,684 1,448
Loans1,684
Construction
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment4,851 2,061 1,221
Collectively evaluated for credit loss/impairment1,140,634 546,156 549,075
Loans1,222,220 551,101 556,051
Construction | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment76,735 2,884 5,755
Loans2,884
Residential real estate | 1-to-4 family mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment848 1,347 987
Collectively evaluated for credit loss/impairment987,142 689,769 535,451
Loans1,089,270 710,454 555,815
Residential real estate | 1-to-4 family mortgage | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment101,280 19,338 19,377
Loans19,338
Residential real estate | Residential line of credit
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment412 579 245
Collectively evaluated for credit loss/impairment387,250 220,878 190,235
Loans408,211 221,530 190,480
Residential real estate | Residential line of credit | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment20,549 73 0
Loans73
Residential real estate | Multi-family mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment0 0 0
Collectively evaluated for credit loss/impairment156,447 69,429 75,457
Loans175,676 69,429 75,457
Residential real estate | Multi-family mortgage | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment19,229 0 0
Loans0
Residential real estate | Non-owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans1,598,979
Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans924,841
Commercial real estate | Owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment7,846 2,993 2,608
Collectively evaluated for credit loss/impairment813,151 621,386 484,900
Loans924,841 630,270 493,524
Commercial real estate | Owner occupied | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment103,844 5,891 6,016
Loans5,891
Commercial real estate | Non-owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment8,631 7,755 6,735
Collectively evaluated for credit loss/impairment1,272,203 902,792 677,247
Loans1,598,979 920,744 700,248
Commercial real estate | Non-owner occupied | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment318,145 10,197 16,266
Loans10,197
Consumer and other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Individually evaluated for credit loss/impairment39 49 73
Collectively evaluated for credit loss/impairment302,983 254,944 208,643
Loans317,640 272,078 228,853
Consumer and other | Purchased Credit Impaired loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Collectively evaluated for credit loss/impairment $ 14,618 17,085 $ 20,137
Loans $ 17,085

Loans and allowance for credi_8

Loans and allowance for credit losses - Credit Quality of Loan Portfolio by Year of Origination (Details) - USD ($) $ in ThousandsDec. 31, 2020Jan. 01, 2020Dec. 31, 2019Dec. 31, 2018
Financing Receivable, Allowance for Credit Loss [Line Items]
2020 $ 1,517,481
20191,246,239
2018853,371
2017696,494
2016648,821
Prior900,082
Revolving Loans Amortized Cost Basis1,220,471
Loans7,082,959 $ 4,409,642 $ 4,409,642 $ 3,667,511
Pass
Financing Receivable, Allowance for Credit Loss [Line Items]
20201,497,137
20191,211,412
2018773,545
2017600,634
2016589,607
Prior764,683
Revolving Loans Amortized Cost Basis1,149,198
Loans6,586,216 4,143,116
Watch
Financing Receivable, Allowance for Credit Loss [Line Items]
202016,627
201924,396
201856,256
201778,586
201647,801
Prior90,980
Revolving Loans Amortized Cost Basis49,874
Loans364,520 186,180
Substandard
Financing Receivable, Allowance for Credit Loss [Line Items]
20203,628
20199,991
201822,984
201716,960
201611,053
Prior43,798
Revolving Loans Amortized Cost Basis20,659
Loans129,073 80,346
Doubtful
Financing Receivable, Allowance for Credit Loss [Line Items]
202089
2019440
2018586
2017314
2016360
Prior621
Revolving Loans Amortized Cost Basis740
Loans3,150
Commercial and industrial
Financing Receivable, Allowance for Credit Loss [Line Items]
2020341,806
2019189,148
201882,337
201764,787
201645,070
Prior46,542
Revolving Loans Amortized Cost Basis576,432
Loans1,346,122 1,034,036 867,083
Commercial and industrial | Pass
Financing Receivable, Allowance for Credit Loss [Line Items]
2020335,519
2019183,905
201864,897
201756,598
201630,641
Prior40,964
Revolving Loans Amortized Cost Basis525,885
Loans1,238,409
Commercial and industrial | Watch
Financing Receivable, Allowance for Credit Loss [Line Items]
20203,786
20192,555
20186,213
20173,764
20167,847
Prior4,301
Revolving Loans Amortized Cost Basis39,901
Loans68,367
Commercial and industrial | Substandard
Financing Receivable, Allowance for Credit Loss [Line Items]
20202,467
20192,688
201811,227
20174,403
20166,582
Prior1,277
Revolving Loans Amortized Cost Basis10,502
Loans39,146
Commercial and industrial | Doubtful
Financing Receivable, Allowance for Credit Loss [Line Items]
202034
20190
20180
201722
20160
Prior0
Revolving Loans Amortized Cost Basis144
Loans200
Construction
Financing Receivable, Allowance for Credit Loss [Line Items]
2020462,757
2019393,683
201891,865
201754,304
201641,636
Prior65,971
Revolving Loans Amortized Cost Basis112,004
Loans1,222,220 551,101 556,051
Construction | Pass
Financing Receivable, Allowance for Credit Loss [Line Items]
2020460,232
2019387,759
201878,319
201740,777
201640,386
Prior59,344
Revolving Loans Amortized Cost Basis112,004
Loans1,178,821
Construction | Watch
Financing Receivable, Allowance for Credit Loss [Line Items]
20201,952
20194,169
201810,368
201713,386
20161,250
Prior3,559
Revolving Loans Amortized Cost Basis0
Loans34,684
Construction | Substandard
Financing Receivable, Allowance for Credit Loss [Line Items]
2020573
20191,755
20183,178
2017129
20160
Prior3,068
Revolving Loans Amortized Cost Basis0
Loans8,703
Construction | Doubtful
Financing Receivable, Allowance for Credit Loss [Line Items]
20200
20190
20180
201712
20160
Prior0
Revolving Loans Amortized Cost Basis0
Loans12
Residential real estate | 1-to-4 family mortgage
Financing Receivable, Allowance for Credit Loss [Line Items]
2020284,978
2019179,968
2018169,514
2017163,957
2016115,537
Prior175,316
Revolving Loans Amortized Cost Basis0
Loans1,089,270 710,454 555,815
Residential real estate | 1-to-4 family mortgage | Pass
Financing Receivable, Allowance for Credit Loss [Line Items]
2020282,747
2019176,374
2018159,036
2017147,816
2016107,911
Prior152,027
Revolving Loans Amortized Cost Basis0
Loans1,025,911
Residential real estate | 1-to-4 family mortgage | Watch
Financing Receivable, Allowance for Credit Loss [Line Items]
20201,783
20192,166
20186,672
201710,668
20164,004
Prior13,889
Revolving Loans Amortized Cost Basis0
Loans39,182
Residential real estate | 1-to-4 family mortgage | Substandard
Financing Receivable, Allowance for Credit Loss [Line Items]
2020448
20191,422
20183,787
20175,473
20163,418
Prior9,043
Revolving Loans Amortized Cost Basis0
Loans23,591
Residential real estate | 1-to-4 family mortgage | Doubtful
Financing Receivable, Allowance for Credit Loss [Line Items]
20200
20196
201819
20170
2016204
Prior357
Revolving Loans Amortized Cost Basis0
Loans586
Residential real estate | Residential line of credit
Financing Receivable, Allowance for Credit Loss [Line Items]
20200
20190
20180
20170
20160
Prior0
Revolving Loans Amortized Cost Basis408,211
Loans408,211 221,530 190,480
Residential real estate | Residential line of credit | Pass
Financing Receivable, Allowance for Credit Loss [Line Items]
20200
20190
20180
20170
20160
Prior0
Revolving Loans Amortized Cost Basis396,348
Loans396,348
Residential real estate | Residential line of credit | Watch
Financing Receivable, Allowance for Credit Loss [Line Items]
20200
20190
20180
20170
20160
Prior0
Revolving Loans Amortized Cost Basis6,511
Loans6,511
Residential real estate | Residential line of credit | Substandard
Financing Receivable, Allowance for Credit Loss [Line Items]
20200
20190
20180
20170
20160
Prior0
Revolving Loans Amortized Cost Basis4,756
Loans4,756