Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2021 | Jun. 15, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | CULLMAN BANCORP, INC. | |
Entity Central Index Key | 0001845799 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 0 | |
Entity Shell Company | false | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity File Number | 333-254220 | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 61-1990996 | |
Entity Address, Address Line One | 316 Second Avenue | |
Entity Address, Address Line Two | SW | |
Entity Address, City or Town | Cullman | |
Entity Address, State or Province | AL | |
Entity Address, Postal Zip Code | 35055 | |
City Area Code | 256 | |
Local Phone Number | 734-1740 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
ASSETS | ||
Interest Bearing Cash and cash equivalents | $ 145 | $ 148 |
Non Interest Bearing Cash and cash equivalents | 3,104 | 2,988 |
Federal funds sold | 53,925 | 57,225 |
Total cash and cash equivalents | 57,174 | 60,361 |
Securities available for sale | 20,673 | 18,875 |
Loans, net of allowance of $2,359 and $2,361 respectively | 236,271 | 231,799 |
Loans held for sale | 0 | 173 |
Premises and equipment, net | 8,540 | 8,576 |
Foreclosed real estate | 434 | 434 |
Accrued interest receivable | 771 | 1,001 |
Restricted equity securities | 1,796 | 2,541 |
Bank owned life insurance | 5,622 | 5,657 |
Deferred Tax asset, net | 950 | 854 |
Other assets | 1,896 | 1,125 |
Total assets | 334,127 | 331,396 |
Deposits | ||
Non-interest bearing | 16,972 | 14,375 |
Interest bearing | 212,819 | 202,588 |
Total deposits | 229,791 | 216,963 |
Federal Home Loan Bank advances | 43,500 | 53,500 |
Accrued interest payable | 73 | 100 |
Other liabilities | 4,122 | 3,958 |
Total liabilities | 277,486 | 274,521 |
Shareholders' equity | ||
Common stock, $0.01 par value; 20,000,000 shares authorized; 2,450,408 and 2,449,919 shares outstanding at March 31, 2021 and December 31, 2020 | 24 | 24 |
Additional paid-in capital | 6,810 | 6,687 |
Retained earnings | 49,607 | 49,679 |
Accumulated other comprehensive income | 244 | 542 |
Unearned ESOP shares, at cost | (44) | (57) |
Total shareholders' equity | 56,641 | 56,875 |
Total liabilities and shareholders' equity | $ 334,127 | $ 331,396 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Statement Of Financial Position [Abstract] | ||
Loans and Leases Receivable, Allowance | $ 2,359 | $ 2,361 |
Common Stock, Par Value | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 20,000,000 | 20,000,000 |
Common Stock, Shares, Outstanding | 2,450,408 | 2,449,919 |
Consolidated Statements of Net
Consolidated Statements of Net Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Interest and dividend income: | ||
Loans, including fees | $ 3,187 | $ 3,335 |
Non taxable securities | 16 | 19 |
Securities | 91 | 148 |
FHLB Dividends | 24 | 36 |
Federal funds sold and other | 11 | 21 |
Total interest income | 3,329 | 3,559 |
Interest expense: | ||
Deposits | 304 | 482 |
Federal Home Loan Bank advances and other borrowings | 224 | 263 |
Total interest expense | 528 | 745 |
Net interest income | 2,801 | 2,814 |
Provision for loan losses | 0 | 110 |
Net interest income after provision for loan losses | 2,801 | 2,704 |
Noninterest income: | ||
Service charges on deposit accounts | 190 | 199 |
Income on bank owned life insurance | 37 | 37 |
Gain on sales of mortgage loans | 65 | 117 |
Net gain on sale of foreclosed real estate | 1 | 0 |
Gain on prepayment of Federal Home Loan Bank advances | 104 | 0 |
Other | 69 | 27 |
Total noninterest income | 466 | 380 |
Noninterest expense: | ||
Salaries and employee benefits | 1,593 | 1,441 |
Occupancy and equipment | 203 | 197 |
Data processing | 177 | 153 |
Professional and supervisory fees | 111 | 114 |
Office expense | 57 | 51 |
Advertising | 17 | 39 |
FDIC deposit insurance | 21 | 0 |
Other | 87 | 85 |
Total noninterest expense | 2,266 | 2,080 |
Income before income taxes | 1,001 | 1,004 |
Income tax expense | 216 | 206 |
Net income | $ 785 | $ 798 |
Earnings per share: | ||
Basic | $ 0.34 | $ 0.34 |
Dilutive | $ 0.34 | $ 0.34 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net Income | $ 785 | $ 798 |
Other compreshensive income (loss), net of tax | ||
Unrealized gain (loss) on securities available for sale | (377) | (474) |
Reclassification adjustment for (gains) losses included in net income related to sale of securities available for sale | 0 | 0 |
Less income tax effect | 79 | 100 |
Other comprehensive income (loss) | (298) | (374) |
Comprehensive income | $ 487 | $ 424 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Unearned ESOP Shares [Member] |
Beginning Balance at Dec. 31, 2019 | $ 53,395 | $ 24 | $ 6,476 | $ 46,964 | $ 44 | $ (113) |
Beginning Balance (in shares) at Dec. 31, 2019 | 2,370,578 | |||||
Net Income | 798 | 798 | ||||
Other comprehensive income (loss) | (374) | (374) | ||||
Net Settlement of common stock options exercised | (40) | (40) | ||||
Net Settlement of common stock options exercised (in shares) | (2,356) | |||||
ESOP shares earned | 12 | 12 | ||||
Divended paid | (830) | (830) | ||||
Stock-based compensation expense | 5 | 5 | ||||
Ending Balance at Mar. 31, 2020 | 52,966 | $ 24 | 6,441 | 46,932 | (330) | (101) |
Ending Balance (in shares) at Mar. 31, 2020 | 2,368,222 | |||||
Beginning Balance at Dec. 31, 2020 | 56,875 | $ 24 | 6,687 | 49,679 | 542 | (57) |
Beginning Balance (in shares) at Dec. 31, 2020 | 2,449,919 | |||||
Net Income | 785 | 785 | ||||
Other comprehensive income (loss) | (298) | (298) | ||||
Net Settlement of common stock options exercised | $ (16) | (16) | ||||
Net Settlement of common stock options exercised (in shares) | (2,290) | (489) | ||||
ESOP shares earned | $ 13 | 13 | ||||
Divended paid | (857) | (857) | ||||
Stock-based compensation expense | 139 | 139 | ||||
Ending Balance at Mar. 31, 2021 | $ 56,641 | $ 24 | $ 6,810 | $ 49,607 | $ 244 | $ (44) |
Ending Balance (in shares) at Mar. 31, 2021 | 2,450,408 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Cash flows from operating activities | ||
Net income | $ 785 | $ 798 |
Adjustment to reconcile net income to net cash provided from operating activities: | ||
Provision for loan losses | 0 | 110 |
Depreciation and amortization, net | 136 | 99 |
Deferred income taxes | (17) | (48) |
Income on bank owned life insurance | (37) | (37) |
Gains on sale of mortgage loans | (65) | (117) |
Mortgage loans originated for sale | (1,853) | (4,048) |
Mortgage loans sold | 2,091 | 4,165 |
ESOP Compensation expense | 13 | 12 |
Stock based compensation expense | 139 | 5 |
Net gain of extinguishment of debt | (104) | 0 |
Net change in operating assets and liabilities | ||
(Increase)/Decrease in Accrued interest receivable | 230 | 23 |
(Increase)/Decrease in Accrued interest payable | (27) | (177) |
(Increase)/Decrease Other | (608) | 154 |
Net cash provided by operating activities | 683 | 939 |
Cash flows from investing activities | ||
Purchases of premises and equipment | (69) | (63) |
Purchases of securities | (3,000) | (5,888) |
Proceeds from maturities, paydowns and calls of securities | 806 | 8,835 |
Purchases of restricted equity securities | 0 | (429) |
Proceeds from redempton of restricted equity securities | 745 | 0 |
Gains from sales of foreclosed real estate | 1 | 0 |
Proceeds from bank owned life insurance benefit | 72 | 0 |
Loan originations and payments, net | (4,484) | 2,507 |
Net cash provided by (used in) investing activities | (5,929) | 4,962 |
Cash flows from financing activities | ||
Net increase (decrease) in deposits | 12,828 | 4,837 |
Proceeds from Federal Home Loan Bank advances | 0 | 53,500 |
Repayment of Federal Home Loan Bank advances | (9,896) | (43,500) |
Cash payment of dividends | (857) | (829) |
Proceeds from exercise of stock options | (16) | (40) |
Net cash provided by (used in) financing activities | 2,059 | 13,968 |
Net change in cash and cash equivalents | (3,187) | 19,869 |
Cash and cash equivalents at the beginning of quarter | 60,361 | 6,096 |
Cash ad cash equivalents at end of the quarter | 57,174 | 25,965 |
Supplemental cash flow information | ||
Interest expense | 451 | 922 |
Income taxes paid | 0 | 0 |
Supplemental noncash disclosures: | ||
Transfers for loans to foreclosed assets | 0 | 0 |
Loans advanced for sales of foreclosed asset or investment property | 0 | 0 |
Lease Liabilities arising from obtaining right of use assets | $ 210 | $ 260 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations and Principles of Consolidation : Cullman Bancorp, Inc., a Maryland corporation (“New Cullman”), was formed to serve as the stock holding company for Cullman Savings Bank (“the Bank”) as part of the mutual-to-stock conversion of Cullman Savings Bank, MHC. Upon completion of the conversion, Cullman Savings Bank, MHC and Old Cullman will cease to exist and New Cullman will become the successor corporation to Old Cullman. The conversion will be accomplished be the merger of Cullman Savings Bank, MHC with and into Old Cullman followed by the merger of Old Cullman with and into New Cullman. The shares of New Cullman common stock being offered for sale represent the majority ownership interest in Old Cullman currently owned by Cullman Savings Bank, MHC. In addition, we intend to contribute cash and shares of common stock to a new charitable foundation we are establishing in connection with the conversion. Public stockholders of Old Cullman will receive shares of common stock of New Cullman in exchange for their shares of Old Cullman at an exchange ratio intended to preserve approximately the same aggregate ownership interest in New Cullman as public stockholders had in Old Cullman, adjusted downward to reflect certain assets held by Cullman Savings Bank, MHC, without giving effect to new shares purchased in the offering, cash paid in lieu of any fractional shares or the effect of shares issues to the charitable foundation. The shares of Old Cullman common stock owned by Cullman Savings Bank, MHC will be canceled. As of March 31, 2021, the conversion had not been completed, and, as of that date, New Cullman had no assets or liabilities, and had not conducted any business other than that of an organizational nature. After the conversion and offering are completed, we will be organized as a fully public stock holding company, with 100% of the common stock being held by the public. Accordingly, the financial statements and other information included in Part I of this Quarterly Report is for Cullman Bancorp, Inc., a federal corporation (“the Bancorp”). The consolidated financial statements of the Bancorp include the accounts of its wholly owned subsidiary, the Bank, together referred to as “the Company”. The Company is majority owned ( 57 %) by Cullman Savings Bank, MHC. These financial statements do not include the transactions and balances of Cullman Savings Bank, MHC. The Company provides financial services through its offices in Cullman County, Alabama. Its primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are residential mortgage, commercial, and installment loans. Substantially all loans are secured by specific items of collateral including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from operations of businesses. There are no significant concentrations of loans to any one industry or customer. However, the customers’ ability to repay their loans is dependent on the real estate and general economic conditions in the area. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) On October 8, 2009, the Bank completed its conversion and reorganization from a mutual savings bank into a two-tier mutual holding stock company. In accordance with the plan of reorganization, Cullman Bancorp, Inc. (of which Cullman Savings Bank became a wholly-owned subsidiary) issued and sold shares of capital stock to eligible depositors of Cullman Savings Bank. Cullman Bancorp, Inc.’s common stock began trading on the over-the-counter market under the symbol “CULL” on October 9, 2009. The shares held by the public represent 43 % of the common stock of Cullman Bancorp, Inc. Additionally, the shares contributed to the charitable foundation represent 2 %, or 50,255 shares. In 2002, the Board of Directors voted to create a foundation for the purpose of giving back to our community in yet another way. The Cullman Savings Foundation continues to give back to various community projects. Cullman Savings Bank, MHC owns 57% or 1,403,731 shares. Use of Estimates : To prepare financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and the disclosures provided, and actual results could differ. Coronavirus 2019 (COVID-19) Pandemic : On March 11, 2020, the World Health Organization declared COVID-19, the disease caused by the novel coronavirus, a pandemic as a result of the global spread of the coronavirus illness. The COVID-19 pandemic has adversely affected, and may continue to adversely affect economic activity globally, nationally and locally. In response to the pandemic, federal and state authorities in the United States introduced various measures to try to limit or slow the spread of the virus, including travel restrictions, nonessential business closures, stay-at-home orders, and strict social distancing. The full impact of the COVID-19 pandemic is unknown and rapidly evolving. It has caused substantial disruption in international and U.S. economies, markets, and employment. The COVID-19 pandemic may continue to have a significant adverse impact on certain industries the Bank serves, including restaurants and food services, hotels and retail. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Because of the significant uncertainties related to the ultimate duration of the COVID-19 pandemic and its potential effects on customers and prospects, and on the national and local economy as a whole, there can be no assurances as to how the crisis may ultimately affect the Bank’s loan portfolio. It is unknown how long the adverse conditions associated with the COVID-19 pandemic will last and what the complete financial effect will be to the Bank. It is reasonably possible that estimates made in the financial statements could be materially and adversely impacted in the near term as a result of these conditions, including expected credit losses on loans and off-balance sheet credit exposures. See Note 3 – Loans for information regarding the impact of COVID-19 on the Bank’s loan portfolio. Restrictions on Cash : Cash on hand or on deposit with the Federal Reserve Bank might be required to meet regulatory reserve and clearing requirements. Cash Flows : Cash and cash equivalents include cash, deposits with other financial institutions with maturities fewer than 90 days, and federal funds sold. Net cash flows are reported for customer loan and deposit transactions, federal funds purchased, and premises and equipment transactions. Securities : Debt securities are classified as available for sale when they might be sold before maturity. Securities available for sale are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of tax. Interest income includes amortization and accretion of purchase premiums and discounts. Premiums and discounts on securities are amortized and accreted using the level-yield method without anticipating prepayments, except for mortgage backed securities where prepayments are anticipated. Gains and losses on sales are recorded on the trade date and determined using the specific identification method. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Management evaluates securities for other-than-temporary impairment (OTTI) at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: (1) OTTI related to credit loss, which must be recognized in the income statement; and (2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. Loans : Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of deferred loan fees and costs and an allowance for loan losses. Interest income is accrued on the unpaid principal balance. Management defers any material loan fees net of certain direct costs and amortizes these deferred fees or costs into interest income using the level yield method without anticipating prepayments. Interest income on loans is discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured or when it otherwise becomes well secured and in the process of collection. Concentration of Credit Risk : Most of the Company’s business activity is with customers located within Cullman County. Therefore, the Company’s exposure to credit risk is significantly affected by changes in the economy in the Cullman County area. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Allowance for Loan Losses : The allowance for loan losses is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off. The allowance consists of specific and general components. The specific component consists of the amount of impairment related to loans that have been evaluated on an individual basis, and the general component consists of the amount of impairment related to loans that have been evaluated on a collective basis. Loans are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Troubled debt restructurings are separately identified for impairment disclosures and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a troubled debt restructuring is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral. For troubled debt restructurings that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan losses. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent 12 quarters. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; 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 other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Management utilizes an internal loan grading system and assigns each loan a grade of pass, special mention, substandard, or doubtful, which are more fully explained in Note 3. All loan relationships over $150 graded substandard and doubtful are evaluated for impairment. The amount of impairment, if any, is measured by a comparison of the loan’s carrying value to the net present value of future cash flows using the loan’s exiting rate or at the fair value of collateral if repayment is expected to solely from the collateral. All loans graded pass, special mention, substandard and doubtful not specifically evaluated for impairment are collectively evaluated for impairment by portfolio segment. To develop and document a systematic methodology for determining the portion of the allowance for loan losses for loans evaluated collectively, the Company has divided the loan portfolio into six portfolio segments, each with different risk characteristics and methodologies for assessing risk. Those portfolio segments are discussed below: One-to-four family real estate : One-to-four family residential loans consist primarily of loans secured by first or second liens or mortgages on primary residences. We originate adjustable-rate and fixed-rate, one-to-four-family residential real estate loans for the construction, purchase or refinancing of a mortgage. These loans are collateralized by owner-occupied properties located in the Company’s market area. Loans on one-to-four-family residential real estate are generally originated in amounts of up to 89.9 % for owner-occupied one-to-four family homes and up to 80 % for non-owner occupied homes. Mortgage title insurance and hazard insurance are normally required. Commercial real estate : Commercial real estate loans consist of loans to finance real estate purchases, refinancings, expansions and improvements to commercial properties. Commercial real estate loans are made to finance the purchases of real property, which generally consists of real estate with completed structures. These commercial real estate loans are secured by first liens on the real estate, which primarily include office buildings, farms, retail and mixed-use properties, churches, warehouses and restaurants located within the Company’s market area. The Company’s underwriting analysis includes credit verification, independent appraisals, a review of the borrower’s financial condition, and a detailed analysis of the borrower’s underlying cash flows. Commercial real estate loans are larger than one-to-four family residential loans and involve greater credit risk. Often these loans are made to single borrowers or groups of related borrowers, and the repayment of these loans largely depends on the results of operations and management of these properties. Adverse economic conditions also affect the repayment ability to a greater extent than one-to-four real estate loans. These loans are typically originated in NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) amounts of no more than 85 % of the appraised value or the purchase price of the property with an appropriate projected debt service coverage ratio. The Company’s underwriting analysis includes considering the borrower’s expertise and requires verification of the borrower’s credit history, income and financial statements, banking relationships, independent appraisals, references and income projections for the property. The Company generally obtains personal guarantees on these loans. Multi-family real estate : Multi-family real estate loans generally have a maximum term of 20 years and are secured by apartment buildings in the Company’s market area. The interest rates on these loans are generally fixed for an initial period five years. These loans are generally made in amounts of up to 85 % of the lesser of the appraised value or the purchase price of the property with an appropriate projected debt service coverage ratio. The Company’s underwriting analysis includes considering the borrower’s expertise and requires verification of the borrower’s credit history, income and financial statements, banking relationships, independent appraisals, references and income projections for the property. The Company generally obtains personal guarantees on these loans. Multi-family real estate loans generally present a higher level of risk than loans secured by one-to-four family residences. This greater risk is due to several factors, including the concentration of principal in a limited number of loans and borrowers, the effects of general economic conditions on income-producing properties and the increased difficulty of evaluating and monitoring these types of loans. Furthermore, the repayment of loans secured by multi-family residential real estate is typically dependent upon the successful operation of the related real estate project. Construction real estate : Construction loans consist of loans to individuals for the construction of their primary residences and, to a limited extent, loans to builders and commercial borrowers for owner-occupied projects. Loans to individuals for the construction of their residences typically run for up to 12 months and then convert to permanent loans. These construction loans have rates and terms comparable to one-to-four family loans. During the construction phase, the borrower pays interest only. The maximum loan-to-value ratio of owner-occupied single-family construction loans is 85 %. Residential construction loans are generally underwritten pursuant to the same guidelines used for originating permanent residential loans. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Construction loans generally are made for relatively short terms. However, to the extent construction loans are not made to owner-occupants of single-family homes, they are more vulnerable to changes in economic conditions and the concentration of credit with a limited number of borrowers. Further, the nature of these loans is such that they are more difficult to evaluate and monitor. The risk of loss on a construction loan is dependent largely upon the accuracy of the initial estimate of the property’s value upon completion of the project and the estimated cost (including interest) of the project. The maximum loan-to-value ratio of owner-occupied single-family construction loans is 85%. Commercial : Commercial business loans and lines of credit consist of loans to small- and medium-sized companies in the Company’s market area. Commercial business loans are generally used for working capital purposes or for acquiring equipment, inventory or furniture. Interest rates on these loans are fixed rates. Primarily all of the Company’s commercial loans are secured loans, along with a small amount of unsecured loans. Additionally, Paycheck Protection Program (PPP) loans are also included in Commercial business loans. The Company’s underwriting analysis consists of a review of the financial statements of the borrower, the lending history of the borrower, the debt service capabilities of the borrower, the projected cash flows of the business, the value of the collateral, if any, and whether the loan is guaranteed by the principals of the borrower. Commercial business loans are generally secured by accounts receivable, inventory and equipment. Commercial business loans are typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business, which makes them of higher risk than one-to-four family residential loans and the collateral securing loans may depreciate over time, may be difficult to appraise and may fluctuate in value based on the success of the business. We seek to minimize these risks through our underwriting standards. Consumer : Consumer loans mainly consist of variable-rate and fixed-rate home equity lines-of-credit secured by a lien on the borrower’s primary residence. Home equity products are limited to 89.99 % of the property value less any other mortgages if the first loan is with the Bank. Home equity products in a secondary lien position are limited to 80 % of the property value less any superior liens. The Company uses the same underwriting standards for home equity lines-of-credit as it uses for one-to-four family residential mortgage loans. Home equity lines-of-credit provide for an initial draw period of up to ten years , with monthly payments of 1.5 % of the outstanding balance or interest only payments calculated on the outstanding balance. At the end of the initial term, the line may be paid in full or restructured through our then current home equity program. To that extent, most of our consumer loans share approximately the same level of risk as one-to-four family residential mortgages. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Loans Held for Sale : Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or market, as determined by outstanding commitments from investors. Net unrealized losses, if any, are recorded as a valuation allowance and charged to earnings. Mortgage loans held for sale are generally sold with servicing rights released. Gains and losses on sales of mortgage loans are based on the difference between the selling price and the carrying value of the related loan sold. Mortgage Banking Derivatives : Commitments to fund mortgage loans (interest rate locks) to be sold into the secondary market and forward commitments for the future delivery of these mortgage loans are accounted for as derivatives not qualifying for hedge accounting. The fair values of these derivatives have not been recognized at March 31, 2021 and December 31, 2020 because they are not significant. Premises and Equipment : Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Buildings and related components are depreciated using the straight-line method with useful lives ranging from 15 to 43 years. Furniture, fixtures and equipment are depreciated using the straight-line method with useful lives ranging from three to 20 years. Foreclosed Real Estate : Real estate acquired through loan foreclosure is recorded at fair value less cost to sell when acquired, establishing a new cost basis. 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 through completion of a deed in lieu of foreclosure or through a similar legal agreement. These assets are subsequently accounted for at the lower of cost or fair value less costs to sell. Valuations are periodically performed and any reductions in fair value result in a write down of the carrying value and a charge to the income statement. Revenues and expenses from operations are recognized in the income statement as earned or incurred. Restricted Equity Securities : The Bank is a member of the FHLB system. Members are required to own a certain amount of stock based on the level of borrowings and other factors and may invest in additional amounts. FHLB stock is carried at cost, classified as a restricted security, periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Service Charges/Non-Interest Income : The company earns fees from its deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Company fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Company satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance. Income Taxes : Income tax expense is the total of the current year income tax due or refundable 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. The principal differences relate to deferred compensation, foreclosed assets, premises and equipment, and the allowance for loan losses. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. 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 largest 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. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. Comprehensive Income : Comprehensive income consists of net income and other comprehensive income. Other comprehensive income includes unrealized gains and losses on securities available for sale which are also recognized as a separate component of equity. Bank Owned Life Insurance : The Company has purchased life insurance policies on certain officers and directors. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Loss 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 now are such matters that will have a material effect on the financial statements. Stock Based Compensation : Compensation cost is recognized for stock options and restricted stock awards issued to employees, based on the fair value of these awards at the date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options, while the market price of the Company’s common stock at the date of grant is used for restricted stock awards. Compensation cost is recognized over the required service period, generally defined as the vesting period. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. Loan Commitments and Related Financial Instruments : 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. The fair value of standby letters of credit at March 31, 2021 and December 31, 2020 were not significant and have not been recorded. Fair Value of Financial Instruments : Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in a separate note. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or market conditions could significantly affect the estimates. Operating Segments : While the chief decision-makers monitor the revenue streams of the various products and services, operations are managed and financial performance is evaluated on a Company-wide basis. Operating segments are aggregated into one as operating results for all segments are similar. Accordingly, all of the financial service operations are considered by management to be aggregated in one reportable operating segment. Retirement Plans : Employee 401(k)/profit sharing plan expense is the amount of employer contributions. Deferred compensation and supplemental retirement plan expense allocates the benefits over years of services. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Employee Stock Ownership Plan : The cost of shares issued to the ESOP, but not yet allocated to participants, is shown as a reduction of shareholders’ equity. Compensation expense is based on the market price of shares as they are committed to be released to participant accounts. Dividends, when paid, on allocated ESOP shares reduce retained earnings; dividends, when paid, on unearned ESOP shares reduce debt and accrued interest. Earnings per Common Share : Basic earnings per common share is net income divided by the weighted average number of common shares outstanding during the period. ESOP shares are considered outstanding for this calculation unless unearned. All outstanding unvested share-based payment awards that contain rights to nonforfeitable dividends are considered participating securities for this calculation. Diluted earnings per common share includes the dilutive effect of additional potential common shares issuable under stock options. Earnings and dividends per share are restated for all stock splits and stock dividends through the date of issuance of the financial statements. Dividend Restriction : Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to the Bancorp or by the Bancorp to shareholders. RECENT ACCOUNTING PRONOUCEMENTS AND ACCOUNTING CHANGES The following provides a brief description of accounting standards that could have a material impact to the Bank’s consolidated financial statements upon adoption. Standard: ASU 2016-13, Measurement of Credit Losses on Financial Instruments Required Date of Adoption: January 1, 2023 Description: This ASU amends Topic 326, Financial Instruments- Credit Losses to replace the current incurred loss accounting model with a current expected credit loss approach (CECL) for financial instruments measured at amortized cost and other commitments to extend credit. The amendments require entities to consider all available relevant information when estimating current expected credit losses, including details about past events, current conditions, and reasonable and supportable forecasts. The resulting allowance for credit losses is to reflect the portion of the amortized cost basis that the entity does not expect to collect. The amendments also eliminate the current accounting model for purchased credit impa |
Securities Available for Sale
Securities Available for Sale | 3 Months Ended |
Mar. 31, 2021 | |
Available For Sale Securities [Abstract] | |
Securities Available for Sale | NOTE 2 – SECURITIES AVAILABLE FOR SALE The fair value of available for sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income at March 31, 2021 and December 31, 2020 were as follows: March 31, 2021 Amortized Gross Gross Estimated US government sponsored $ 3,000 $ — $ — $ 3,000 Municipal- taxable 11,077 331 ( 134 ) 11,274 Municipal- tax exempt 2,443 28 — 2,471 Residential mortgage-backed, government sponsored enterprise ("GSE") 2,577 51 ( 2 ) 2,626 Small Business Administration guaranteed debenture 1,267 35 — 1,302 Total $ 20,364 $ 445 $ ( 136 ) $ 20,673 December 31, 2020 Municipal- taxable $ 11,086 $ 542 $ ( 16 ) $ 11,612 Municipal- tax exempt 2,809 41 — 2,850 Residential mortgage-backed, government sponsored enterprise ("GSE") 2,823 67 — 2,890 Small Business Administration guaranteed debenture 1,471 52 — 1,523 Total $ 18,189 $ 702 $ ( 16 ) $ 18,875 The Company’s mortgage-backed securities are primarily issued by GSEs and agencies such as Fannie Mae and Ginnie Mae as denoted in the tables above and below as GSE. The proceeds from sales and calls of securities and the associated gains and losses are listed below: 2021 2020 Proceeds $ — $ 8,675 Gross gains — — Gross losses — — NOTE 2 – SECURITIES AVAILABLE FOR SALE (Continued) There were no sales or tax expense related to sales of securities in the three months ended March 31, 2021 or the three months ended March 31, 2020. The amortized cost and fair value of the investment securities portfolio are shown below by expected maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. March 31, 2021 Amortized Estimated Due one year or less $ — $ — Due from one to five years 2,177 2,218 Due from five to ten years 2,825 2,961 Due after ten years 11,518 11,566 Residential mortgage-backed 2,577 2,626 SBA guaranteed debenture 1,267 1,302 Total $ 20,364 $ 20,673 Carrying amounts of securities pledged to secure public deposits as of March 31, 2021 and December 31, 2020 were $ 8,772 and $ 9,169 , respectively. At March 31, 2021 and 2020, 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. NOTE 2 – SECURITIES AVAILABLE FOR SALE (Continued) Securities with unrealized losses at March 31, 2021 and December 31, 2020, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows: Less than 12 months 12 months or more Total March 31, 2021 Fair Unrealized Fair Unrealized Fair Unrealized Municipal- taxable $ 1,762 $ ( 73 ) $ 1,766 $ ( 61 ) $ 3,528 $ ( 134 ) Residential MB, GSE 969 ( 2 ) — — 969 ( 2 ) Total temporarily $ 2,731 $ ( 75 ) $ 1,766 $ ( 61 ) $ 4,497 $ ( 136 ) Less than 12 months 12 months or more Total December 31, 2020 Fair Unrealized Fair Unrealized Fair Unrealized Municipal- taxable $ 1,816 $ ( 16 ) $ — $ — $ 1,816 $ ( 16 ) Total temporarily $ 1,816 $ ( 16 ) $ — $ — $ 1,816 $ ( 16 ) The Company evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. The Company considers the length of time and the extent to which the fair value has been less than cost and the financial condition and near-term prospects of the issuer. Additionally, the Company considers its intent to sell or whether it will be more likely than not it will be required to sell the security prior to the security’s anticipated recovery in fair value. In analyzing an issuer’s financial condition, the Company may consider whether the securities are issued by the federal Government sponsored agencies, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. There were six municipal – taxable securities and one mortgage backed security with unrealized losses at March 31, 2021. No ne of the unrealized losses for these securities have been recognized into net income for the three months ended March 31, 2021 because the issuer’s bonds are of high credit quality, management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery, and the decline in fair value is largely due to changes in interest rates. The fair value is expected to recover as the bonds approach their maturity date or reset date. |
Loans
Loans | 3 Months Ended |
Mar. 31, 2021 | |
Receivables [Abstract] | |
Loans | NOTE 3 – LOANS Loans at March 31, 2021 and December 31, 2020 were as follows: 2021 2020 Real Estate Loans: One-to-four family $ 116,233 $ 114,766 Multi-family 4,764 4,867 Commercial 77,914 77,841 Construction 9,356 5,504 Total real estate loans 208,267 202,978 Commercial loans 24,536 25,485 Consumer loans: Home equity loans and lines of credit 3,743 3,520 Other consumer 2,267 2,347 Total consumer loans 6,010 5,867 Total loans 238,813 234,330 Net deferred loans fees ( 183 ) ( 170 ) Allowance for loan losses ( 2,359 ) ( 2,361 ) Loans, net $ 236,271 $ 231,799 NOTE 3 – LOANS (Continued) The following tables present the activity in the allowance for loan losses for March 31, 2021, December 31, 2020 and March 31, 2020. The recorded investment in loans in any of the following tables does not include accrued and unpaid interest or any deferred loan fees or costs, as amounts are not significant. Real Estate March 31, 2021 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Allowance for loan losses: Beginning balance $ 1,300 $ 27 $ 746 $ 37 $ 187 $ 64 $ 2,361 Charge offs — — — — — ( 2 ) ( 2 ) Recoveries — — — — — — — Provisions ( 21 ) ( 1 ) ( 7 ) 31 ( 6 ) 4 — Total ending balance 1,279 26 739 68 181 66 2,359 Ending balance attributed to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Collectively evaluated for impairment 1,279 26 739 68 181 66 2,359 Total ending allowance balance: $ 1,279 $ 26 $ 739 $ 68 $ 181 $ 66 $ 2,359 Loans: Loans individually evaluated for impairment $ 439 $ — $ 6,117 $ — $ 1,071 $ — $ 7,627 Loans collectively evaluated for impairment 115,794 4,764 71,797 9,356 23,465 6,010 231,186 Total ending loans balance $ 116,233 $ 4,764 $ 77,914 $ 9,356 $ 24,536 $ 6,010 $ 238,813 December 31, 2020 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Allowance for loan losses: Beginning balance $ 1,200 $ 21 $ 632 $ 66 $ 223 $ 76 $ 2,218 Charge offs — — — — — ( 20 ) ( 20 ) Recoveries 5 — — — — 6 11 Provisions 95 6 114 ( 29 ) ( 36 ) 2 152 Total ending balance 1,300 27 746 37 187 64 2,361 Ending balance attributed to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Collectively evaluated for impairment 1,300 27 746 37 187 64 2,361 Total ending allowance balance: $ 1,300 $ 27 $ 746 $ 37 $ 187 $ 64 $ 2,361 Loans: Loans individually evaluated for impairment $ 439 $ — $ 6,561 $ — $ 1,191 $ — $ 8,191 Loans collectively evaluated for impairment 114,327 4,867 71,280 5,504 24,294 5,867 226,139 Total ending loans balance $ 114,766 $ 4,867 $ 77,841 $ 5,504 $ 25,485 $ 5,867 $ 234,330 Real Estate March 31, 2020 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Allowance for loan losses: Beginning balance $ 1,200 $ 21 $ 632 $ 66 $ 223 $ 76 $ 2,218 Charge offs — — — — — — — Recoveries — — — — — — — Provisions 80 1 21 5 8 ( 5 ) 110 Total ending balance 1,280 22 653 71 231 71 2,328 Ending balance attributed to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Collectively evaluated for impairment 1,280 22 653 71 231 71 2,328 Total ending allowance balance: $ 1,280 $ 22 $ 653 $ 71 $ 231 $ 71 $ 2,328 NOTE 3 – LOANS (Continued) The following tables presents loans individually evaluated for impairment by portfolio class at March 31, 2021 and December 31, 2020 and the respective average balances of impaired loans and interest income recognized for the three months ended March 31, 2021 and 2020: March 31, 2021 December 31, 2020 Unpaid Recorded Related Unpaid Recorded Related With no recorded allowance: Real estate loans: One-to-four family $ 467 $ 439 $ — $ 468 $ 439 $ — Multi-family — — — — — — Commercial 6,117 6,117 — 6,561 6,561 — Construction — — — — — — Commercial 1,071 1,071 — 1,191 1,191 — Consumer: — — — — — — Total $ 7,655 $ 7,627 $ — $ 8,220 $ 8,191 $ — Three Months ended Three Months ended Average Interest Average Interest With no recorded allowance: Real estate loans: One-to-four family $ 439 $ 5 $ 423 $ 3 Multi-family — — — — Commercial 6,339 94 2,556 46 Commercial loans: 1,096 18 745 9 Consumer loans: — — — — Total $ 7,874 $ 117 $ 3,724 $ 58 There were no loans individually evaluated for impairment with recorded allowance for the three months ending March 31, 2021 and 2020. The difference between interest income recognized and cash basis interest income recognized was not material. NOTE 3 – LOANS (Continued) The following tables present the aging of the recorded investment in past due loans at March 31, 2021 and December 31, 2020 by portfolio class of loans: March 31, 2021 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 2,581 $ 216 $ — $ 2,797 $ 113,436 $ 116,233 Multi-family — — — — 4,764 4,764 Commercial — — — — 77,914 77,914 Construction — — — — 9,356 9,356 Total real estate loans 2,581 216 — 2,797 205,470 208,267 Commercial 49 20 — 69 24,467 24,536 Consumer loans: Home equity loans and lines of credit — — — — 3,743 3,743 Other consumer loans 1 — — 1 2,266 2,267 Total $ 2,631 $ 236 $ — $ 2,867 $ 235,946 $ 238,813 December 31, 2020 30-59 Days Past due 60-89 Days Past due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 1,723 $ 370 $ 104 $ 2,197 $ 112,569 $ 114,766 Multi-family — — — — 4,867 4,867 Commercial 437 — — 437 77,404 77,841 Construction — — — — 5,504 5,504 Total real estate loans 2,160 370 104 2,634 200,344 202,978 Commercial 8 — — 8 25,477 25,485 Consumer loans: Home equity loans and lines of credit — 33 — 33 3,487 3,520 Other consumer loans 2 — — 2 2,345 2,347 Total $ 2,170 $ 403 $ 104 $ 2,677 $ 231,653 $ 234,330 A loan need not be placed in nonaccrual status if the loan is a consumer loan (loans to individuals for household, family and other personal expenditures) or the loan is secured by a 1-4 family residential property. Such loans should be subject to other alternative methods of evaluation to assure that the Bank's interest income is not materially overstated. The loans that NOTE 3 – LOANS (Continued) were past due 90 days or more were accruing interest as of March 31, 2021 due to the fact that they were well secured and in the process of collection. The following tables present the recorded investment in nonaccrual loans by class of loans as of March 31, 2021 and December 31, 2020: 2021 2020 Real estate loans: One-to-four family $ 17 $ 18 Commercial real estate — — Construction — — Total real estate loans 17 18 Commercial loans: — — Consumer loans: Other consumer loans — — Total consumer loans — — Total loans $ 17 $ 18 Troubled Debt Restructurings: Troubled debt restructurings at March 31, 2021 and December 31, 2020 were $ 5,814 and $ 2,336 , respectively. The amount of impairment allocated to loans whose loan terms have been modified in troubled debt restructurings was $ 0 at March 31, 2021 and December 31, 2020. The Company has committed no additional amounts at March 31, 2021 and December 31, 2020 to customers with outstanding loans that are classified as troubled debt restructurings. There was one borrower's commercial real estate loans that were modified as troubled debt restructurings that occurred during the three months ended March 31, 2021. This loan was re-amortized over the original term of the loan. There were no loans modified as troubled debt restructurings that occurred during the year December 31, 2020. The troubled debt restructurings resulted in no charge-offs during the three months ended March 31, 2021 or the year ended December 31, 2020. NOTE 3 – LOANS (Continued) There were no troubled debt restructurings for which there was a payment default within twelve months of the modification during the three months ended March 31, 2021 or the year ended December 31, 2020. 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. During the year ended December 31, 2020, we originated $ 9,800 of small business loans under the Paycheck Protection Program (PPP), created by the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was signed into law in March 2020. During the quarter ended March 31, 2021, we originated $ 2,800 of PPP loans. The CARES Act established the PPP through the Small Business Administration (SBA), which allowed us to lend money to small businesses to maintain employee payrolls through the COVID-19 crisis with guarantees from the SBA. Under this program, loan amounts may be forgiven if the borrower maintains employee payrolls and meet certain other requirements. PPP loans have a fixed interest rate of 1.00 % and a maturity date of either two or five years . Such loans totaled $ 3,300 and $ 5,100 at March 31, 2021 and December 31, 2020, respectively. These loans are included in the commercial loans. Additionally, the Company is working with borrowers impacted by COVID-19 and providing modifications to include principal and interest deferral. These modifications are excluded from troubled debt restructuring classification under Section 4013 of the CARES Act or under applicable interagency guidance of the federal banking regulators. During the year ended December 31, 2020, the Company modified 61 loans with outstanding balances of $ 17,732 . As of March 31, 2021, there is only one loan still on deferral with an outstanding balance of $ 2,684 . Credit Quality Indicators: The Company utilizes a grading system whereby all loans are assigned a grade based on the risk profile of each loan. Loan grades are determined based on an evaluation of 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. All loans, regardless of size, are analyzed and are given a grade based upon the management’s assessment of the ability of borrowers to service their debts. The analysis is performed on a quarterly basis. NOTE 3 – LOANS (Continued) The Company uses the following definitions for loan grades: Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of repayment prospects for the loan or of the institution’s credit position at some future date. Substandard . Loans classified 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 classified 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. Loans not meeting the criteria above are graded Pass. These loans are included within groups of homogenous pools of loans based upon portfolio segment and class for estimation of the allowance for loan losses on a collective basis. At March 31, 2021 and December 31, 2020, based on the most recent analysis performed, the loan grade for each loan by portfolio class is as follows: Pass Special Mention Substandard Doubtful Total March 31, 2021 Real estate loans: One-to-four family $ 115,533 $ — $ 700 $ — $ 116,233 Multi-family 4,764 — — — 4,764 Commercial 71,797 — 6,117 — 77,914 Construction 9,356 — — — 9,356 Total real estate loans 201,450 — 6,817 — 208,267 Commercial 23,298 110 1,128 — 24,536 Consumer loans: Home equity loans and lines of credit 3,743 — — — 3,743 Other consumer loans 2,267 — — — 2,267 Total $ 230,758 $ 110 $ 7,945 $ — $ 238,813 NOTE 3 – LOANS (Continued) Pass Special Mention Substandard Doubtful Total December 31, 2020 Real estate loans: One-to-four family $ 114,139 $ — $ 627 $ — $ 114,766 Multi-family 4,867 — — — 4,867 Commercial 71,280 — 6,561 — 77,841 Construction 5,504 — — — 5,504 Total real estate loans 195,790 — 7,188 — 202,978 Commercial 24,122 112 1,251 — 25,485 Consumer loans: Home equity loans and lines of credit 3,520 — — — 3,520 Other consumer loans 2,347 — — — 2,347 Total $ 225,779 $ 112 $ 8,439 $ — $ 234,330 The one remaining modified loan under the CARES Act is classified substandard as of March 31, 2021 and December 31, 2020. |
Premises and Equipment
Premises and Equipment | 3 Months Ended |
Mar. 31, 2021 | |
Property Plant And Equipment [Abstract] | |
Premises and Equipment | NOTE 4- PREMISES AND EQUIPMENT Premises and equipment at March 31, 2021 and December 31, 2020 were as follows: 2021 2020 Land $ 1,365 $ 1,365 Buildings and improvements 13,651 13,624 Furniture, fixtures and equipment 2,202 2,160 17,218 17,149 Less: Accumulated depreciation ( 8,678 ) ( 8,573 ) $ 8,540 $ 8,576 Depreciation expense for the three months ended March 31, 2021 was $ 105 . Depreciation expense for the year ended December 31,2020 was $ 419 . |
Deposits
Deposits | 3 Months Ended |
Mar. 31, 2021 | |
Deposits [Abstract] | |
Deposits | NOTE 5 – DEPOSITS Time deposits that meet or exceed the FDIC Insurance limit of $ 250 at March 31, 2021 and December 31, 2020 were $ 36,658 and $ 35,110 , respectively. Scheduled maturities of time deposits at March 31, 2021 for the next five years were as follows: 2022 $ 49,723 2023 21,507 2024 3,362 2025 8,776 2026 3,204 At March 31, 2021 and 2020, overdraft demand and savings deposits reclassified to loans totaled $ 50 and $ 156 , respectively. |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances and Other Debt | 3 Months Ended |
Mar. 31, 2021 | |
Federal Home Loan Banks [Abstract] | |
Federal Home Loan Bank Advances and Other Debt | NOTE 6 – FEDERAL HOME LOAN BANK ADVANCES AND OTHER DEBT At period-end, advances from the Federal Home Loan Bank were as follows: March 31, December 31, Maturities March 2024 through March 2030, 1.385 % to 2.2025 %, 1.73 % $ 43,500 $ — Maturities March 2024 through March 2030, 1.385 % to 2.2025 %, 1.74 % — 53,500 Total $ 43,500 $ 53,500 Each advance is payable at its maturity date, with a prepayment penalty for fixed rate advances. The average rate of 1.73 % is a blended rate, which includes prepayment penalties when the Company refinanced $ 46,500 of the advances. Additionally, the bank prepaid $ 10,000 in March of 2021 and recognized a gain of $ 104 . The advances were collateralized by $ 94,630 and $ 89,780 of eligible first mortgage one-to-four family, multi-family, and commercial loans under a blanket lien arrangement at March 31, 2021 and December 31, 2020, respectively. Based on this collateral and the Company’s holdings of FHLB stock, the Company is eligible to borrow additional funds of $ 66,202 at March 31,2021. NOTE 6 – FEDERAL HOME LOAN BANK ADVANCES AND OTHER DEBT (Continued) Payments over the next five years are as follows: 2022 $ — 2023 — 2024 5,000 2025 8,500 2026 15,000 Thereafter 15,000 The Company had approximately $ 10,000 available in a line of credit for federal funds (or the equivalent thereof) with correspondent banks at March 31, 2021 and December 31, 2020. There were no amounts outstanding as of March 31, 2021 or December 31, 2020. |
Employee Stock Ownership Plan
Employee Stock Ownership Plan | 3 Months Ended |
Mar. 31, 2021 | |
Compensation Related Costs [Abstract] | |
Employee Stock Ownership Plan | NOTE 7 - EMPLOYEE STOCK OWNERSHIP PLAN The Company created an Employee Stock Ownership Plan (ESOP) in October 2009. The ESOP borrowed from the Company to purchase 98,500 shares of the Company’s common stock at $ 10 during 2009. The Company makes discretionary contributions to the ESOP, as well as paying dividends on unallocated shares to the ESOP, and the ESOP uses funds it receives to repay the loan. When loan payments are made, ESOP shares are allocated to participants based on relative compensation and expense is recorded. Dividends on allocated shares increase participant accounts. During 2017, the Company performed a plan to plan transfer, where the Company Stock held by the employees in the profit-sharing plan was transferred to the employees’ ESOP plans. This resulted in 140,972 shares being transferred into the Allocated to participants section. Participants receive the shares at the end of employment. A participant may require stock received to be repurchased unless the stock is traded on an established market. The ESOP compensation expense for the three months ended March 31, 2021 and 2020 were $ 37 and $ 85 , respectively. At March 31, there were 5,652 shares not yet released having an aggregate market value based on the annual ESOP valuation of approximately $ 158 . |
Stock Based Compensation
Stock Based Compensation | 3 Months Ended |
Mar. 31, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Based Compensation | NOTE 8 – STOCK BASED COMPENSATION In December of 2010, the stockholders approved the Cullman Bancorp, Inc. 2010 Equity Incentive Plan (the “Equity Incentive Plan”) for employees and directors of the Company. The Equity Incentive Plan authorizes the issuance of up to 172,373 shares of the Company’s common stock, with no more than 49,249 of shares as restricted stock awards and 123,124 as stock NOTE 8 – STOCK BASED COMPENSATION (Continued) options, either incentive stock options or non-qualified stock options. The exercise price of options granted under the Equity Incentive Plan may not be less than the fair market value on the date the stock option is granted. The compensation committee of the board of directors has sole discretion to determine the amount and to whom equity incentive awards are granted. On January 18, 2011, the compensation committee of the board of directors approved the issuance of 123,124 options to purchase Company stock and 49,249 shares of restricted stock. Stock options and restricted stock vest over a five-year period, and stock options expire ten years after issuance. Apart from the vesting schedule for both stock options and restricted stock, there are no performance-based conditions or any other material conditions applicable to the awards issued. At March 31, 2021 there were no shares available for future grants under this plan. In May of 2020, the stockholders approved the Cullman Bancorp, Inc. 2020 Equity Incentive Plan (the “2020 Equity Incentive Plan”) for employees and directors of the Company. The Equity Incentive Plan authorizes the issuance of up to 200,000 shares of the Company’s common stock, with no more than 80,000 of shares as restricted stock awards and 120,000 as stock options, either incentive stock options or non-qualified stock options. The exercise price of options granted under the Equity Incentive Plan may not be less than the fair market value on the date the stock option is granted. The compensation committee of the board of directors has sole discretion to determine the amount and to whom equity incentive awards are granted. On August 18, 2020, the compensation committee of the board of directors approved the issuance of 120,000 options to purchase Company stock and 80,000 shares of restricted stock. Stock options and restricted stock vest over a five-year period, and stock options expire ten years after issuance. Apart from the vesting schedule for both stock options and restricted stock, there are no performance-based conditions or any other material conditions applicable to the awards issued. At March 31, 2021, there were no shares available for future grants under this plan. NOTE 8 – STOCK BASED COMPENSATION (Continued) The following table summarizes stock option activity for the year ended March 31, 2021: Options Weighted- Weighted- Aggregate (1) Outstanding 1/1/21 122,290 $ 27.67 9.81 Granted — — — Exercised ( 2,290 ) 10.30 Forfeited — — Outstanding 3/31/21 120,000 $ 28.00 9.38 $ 210 (1) Based on last trade of $ 22.00 per share as of December 31, 2020 and $ 29.75 per share as of March 31, 2021. Intrinsic value for stock options is defined as the difference between the current market value and the exercise price multiplied by the number of in-the-money options. There were no options that vested during quarter ended March 31, 2021. Stock based compensation expense for stock options for the quarter ended March 31, 2021 was $27, in relation to the 120,000 options awarded in 2020. Unrecognized compensation cost related to nonvested stock options at December 31, 2020 was $ 468 and is expected to be recognized over 4.33 years. The following table summarizes non-vested restricted stock activity for the quarter ended March 31, 2021: March 31, 2021 Balance – beginning of period 80,000 Granted — Vested — Balance – end of period 80,000 The following table summarizes the restricted stock fair value: Date of Awards Shares Vesting Fair Value August 2020 80,000 5 $ 28 NOTE 8 – STOCK BASED COMPENSATION (Continued) For the three months ended March 31, 2021, stock-based compensation expense for restricted stock included in non-interest expense was $112. Unrecognized compensation expense for nonvested restricted stock awards was $ 1,941 and is expected to be recognized over 4.33 years. |
Regulatory Capital Matters
Regulatory Capital Matters | 3 Months Ended |
Mar. 31, 2021 | |
Regulatory Capital Requirements [Abstract] | |
Regulatory Capital Matters | NOTE 9 - REGULATORY CAPITAL MATTERS 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. The net unrealized gain or loss on available for sale securities is not included in computing regulatory capital. Management believes as of March 31, 2021, the Bank meets all capital adequacy requirements to which they are subject. Prompt corrective action regulations provide five classifications: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized, and critically undercapitalized, although these terms are not used to represent overall financial condition. If adequately capitalized, regulatory approval is required to accept brokered deposits. If undercapitalized, capital distributions are limited, as is asset growth and expansion, and capital restoration plans are required. As of March 31, 2021 and December 31, 2020, the most recent regulatory notifications categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the institution’s category. In 2019, the federal banking agencies jointly issued a final rule that provides for an optional, simplified measure of capital adequacy, the community bank leverage ratio framework (CBLR framework), for qualifying community banking organizations, consistent with Section 201 of the Economic Growth, Regulatory Relief, and Consumer Protection Act. The final rule became effective January 1, 2020 and was elected by the Bank as of December 31, 2020. In April 2020, the federal banking agencies issued an interim final rule that makes temporary changes to the CBLR framework, pursuant to section 4012 of the CARES Act, and a second interim final rule that provides a graduated increase in the community bank leverage ratio requirement after the expiration of the temporary changes implements pursuant to section 4012 of the CARES Act. The community bank leverage ratio removes the requirement for qualifying banking organizations to calculate and report risk-based capital but rather only requires a Tier 1 to average assets (leverage) ratio. Qualifying banking organizations that elect to use the community NOTE 9 - REGULATORY CAPITAL MATTERS (Continued) bank leverage rate framework and that maintain a leverage ratio of greater than required minimums will be considered to have satisfied the generally applicable risk based and leverage capital requirements in the agencies’ capital rules (generally applicable rule) and, if applicable, will be considered to have met the well capitalized ratio requirements for purposes of section 38 of the Federal Deposit Insurance Act. Under the interim final rules, the community bank leverage ratio minimum requirement is 8 % as of December 31, 2020, 8.5 % for calendar year 2021, and 9 % for calendar year 2022 and beyond. The interim rule allows for a two-quarter grace period to correct a ratio that falls below the required amount, provided that the bank maintains a leverage ratio of 7 % as of December 31, 2020, 7.5 % for calendar year 2021, and 8 % for calendar year 2022 and beyond. Under the final rule, an eligible banking organization can opt out of the CBLR framework and revert back to the risk-weighting framework without restriction. As of March 31, 2021 the Bank was a qualifying community banking organization as defined by the federal banking agencies and elected to measure capital adequacy under the CBLR framework. Actual and required capital amounts for the Bank and ratios at March 31, 2021 and December 31, 2020 are presented below: Actual To be well Capitalized Amount Ratio Amount Ratio March 31, 2021 Tier 1 (Core) Capital to average total 51,916 15.68 % 28,146 8.50 % December 31, 2020 Tier 1 (Core) Capital to average total 50,690 15.49 % 26,180 8.00 % The Qualified Thrift Lender test requires at least 65 % of assets be maintained in housing-related finance and other specified areas. If this test is not met, limits are placed on growth, branching, new investments, FHLB advances and dividends, or the Bank must convert to a commercial bank charter. Management believes this test is met. Dividend Restrictions - The Company’s principal source of funds for dividend payments is dividends received from the Bank. Banking regulations limit the amount of dividends that may be paid without prior approval of regulatory agencies. Under these regulations, the amount of NOTE 9 - REGULATORY CAPITAL MATTERS (Continued) dividends that may be paid in any calendar year is limited to the current year’s net profits, combined with the retained net profits of the preceding two years, subject to the capital requirements described above. During 2020, the Bank could, without prior approval from its regulators, declare dividends of approximately $ 5,442 plus any 2021 net profits retained to the date of the dividend declaration. |
Fair Values of Financial Instru
Fair Values of Financial Instruments | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Values of Financial Instruments | NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS Fair value is 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. There are three levels of inputs that may be used to measure fair values: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of 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 that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability; or generated from model-based techniques that use at least one significant assumption not observable in the market. Valuation techniques include use of option pricing models, discounted cash flow models and similar techniques. The Company used the following methods and significant assumptions to estimate fair value: Investment Securities : The fair values for investment securities are determined by quoted market prices, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2), using matrix pricing. Matrix pricing is a mathematical technique commonly used to price debt securities that are not actively traded, values debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2 inputs). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). The Company’s taxable municipal investment securities’ fair values are determined based on a discounted cash flow analysis prepared by an independent third party. NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) Impaired Loans : At the time a loan is considered impaired, it is valued at the lower of cost or fair value. For collateral dependent loans, fair value is commonly based on recent real estate. appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business, resulting in a Level 3 fair value classification. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Foreclosed Real Estate : Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. For appraisals where the value is $ 100 or above for both collateral-dependent impaired 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 Loan 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. In accordance to company policy, if the Company holds the property for over two years , an updated appraisal would be obtained in order to determine if the fair value amount should be adjusted. NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) Assets and Liabilities Measured on a Recurring Basis Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurement Using Quoted Prices in Significant Other Significant March 31, 2021 Financial assets: US government sponsored entities and agencies $ — $ 3,000 $ — Municipal- Taxable — 11,274 — Municipal- Tax exempt — 2,471 — Residential MB, GSE — 2,626 — SBA guaranteed debenture $ — $ 1,302 $ — Total AFS $ — $ 20,673 $ — Fair Value Measurement Using Quoted Prices in Significant Other Significant December 31, 2020 Financial assets: U.S Government entities $ — $ — $ — Municipal- Taxable — 11,612 — Municipal- Tax exempt — 2,850 — Residential MB, GSE — 2,890 — SBA guaranteed debenture $ — $ 1,523 $ — Total AFS $ — $ 18,875 $ — NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) There were no assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) in 2021. The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the year ended December 31, 2020: Municipals-Taxable 2020 Beginning Balance of recurring Level 3 assets $ 1,734 Redemption ( 1,734 ) Unrealized gain — Ending Balance of recurring Level 3 assets $ — There were no transfers between levels during 2021 or 2020. Our state and municipal securities valuations are supported by analysis prepared by an independent third party. Their approach to determining fair value involves using recently executed transactions for similar securities and market quotations for similar securities. As these securities are not rated by the rating agencies and trading volumes are thin, it was determined that these were valued using Level 3 inputs. The significant unobservable inputs used in the fair value measurement of the Company’s taxable municipal securities are discount rates and credit spreads that the market would require for taxable municipal securities with similar maturities and risk characteristics. Significant increases/(decreases) in any of those inputs in isolation would result in a significantly lower/(higher) fair value measurement. NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) Assets and Liabilities Measured on a Nonrecurring Basis The Company may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis in accordance with U.S. generally accepted accounting principles. These include assets that are measured at the lower of cost or market that were recognized at fair value below cost at the end of the period. Assets measured at fair value on a nonrecurring basis are included in the table below as of March 31, 2021 and December 31, 2020 (amounts in thousands): Fair Value Measurements March 31, 2021 December 31, 2020 Impaired loans: RE loans: One-to four family $ 439 $ 439 Foreclosed real esate: One-to four family $ — $ 108 Commerical 326 326 NOTE 10 – FAIR VALUES OF FINANCIAL INSTRUMENTS (Continued) The Company has estimated the fair values of these assets using Level 3 inputs, specifically the appraised value of the collateral. Impaired loan balances represent those collateral dependent impaired loans where management has estimated the credit loss by comparing the loan’s carrying value against the expected realizable fair value of the impaired loan for the amount of the credit loss. The Company had no Level 3 assets measured at fair value on a recurring basis at March 31, 2021 and December 31, 2020. For Level 3 assets measured at fair value on a nonrecurring basis as of March 31, 2021 and December 31, 2020 for the valuation technique, we used appraisals. For the significant unobservable input, we used appraisal discounts and the weighted average input of 15 - 20 % was used. This is for the period ended March 31, 2021 and December 31, 2020. The carrying amounts and estimated fair values of the Company’s on-balance sheet financial instruments at March 31, 2021 and December 31, 2020 are summarized below: Fair Value Measurements at Carrying Amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 57,174 $ 57,174 $ — $ — $ 57,174 Securities available for sale 20,673 — 20,673 — 20,673 Loans held for sale — — — — — Loan, net 236,271 — — 240,921 240,921 Accrued interest receivable 771 — 104 667 771 Financial liabilities: Deposits $ 229,791 $ 156,224 $ 76,330 $ — $ 232,554 Federal Home Loan Bank advances 43,500 — 44,103 — 44,103 Accrued interest payable 73 3 70 — 73 The assumptions used to estimate the fair values are intended to approximate those that a market participant would use in a hypothetical orderly transaction. In estimating fair value, the Company makes adjustments for estimated changes in interest rates, market liquidity and credit spreads in the periods they are deemed to have occurred. Fair value of debt is based on current rates for similar financing. The fair value of off-balance sheet items is not considered to be material. |
Earnings Per Common Share
Earnings Per Common Share | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | NOTE 11 – EARNINGS PER COMMON SHARE The factors used in the earnings per common share computation follow: For the Three Months 2021 2020 Earnings per share Net Income $ 785 $ 798 Less: Distributed earning allocated to participating securities — — Less: Earnings allocated to participating securities 2 — Net earnings allocated to common stock 787 798 Weighted common shares outstanding including participating 2,370,408 2,370,578 Less: Participating securities ( 80,000 ) ( 856 ) Less: Average unearned ESOP shares ( 5,653 ) ( 11,305 ) Weighted average shares 2,284,755 2,358,417 Basic earnings per share $ 0.34 $ 0.34 Net earnings allocated to common stock 787 798 Weighted average shares 2,284,755 2,358,417 Add: dilutive effects of assumed exercises of stock options 8,311 2,355 Average shares and dilutive potential common shares 2,293,066 2,360,772 Dilutive earnings per share $ 0.34 $ 0.34 Stock options for 120,000 shares of common stock were not considered in computing diluted earnings per common share because they were antidilutive. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Nature of Operations and Principles of Consolidation | Nature of Operations and Principles of Consolidation : Cullman Bancorp, Inc., a Maryland corporation (“New Cullman”), was formed to serve as the stock holding company for Cullman Savings Bank (“the Bank”) as part of the mutual-to-stock conversion of Cullman Savings Bank, MHC. Upon completion of the conversion, Cullman Savings Bank, MHC and Old Cullman will cease to exist and New Cullman will become the successor corporation to Old Cullman. The conversion will be accomplished be the merger of Cullman Savings Bank, MHC with and into Old Cullman followed by the merger of Old Cullman with and into New Cullman. The shares of New Cullman common stock being offered for sale represent the majority ownership interest in Old Cullman currently owned by Cullman Savings Bank, MHC. In addition, we intend to contribute cash and shares of common stock to a new charitable foundation we are establishing in connection with the conversion. Public stockholders of Old Cullman will receive shares of common stock of New Cullman in exchange for their shares of Old Cullman at an exchange ratio intended to preserve approximately the same aggregate ownership interest in New Cullman as public stockholders had in Old Cullman, adjusted downward to reflect certain assets held by Cullman Savings Bank, MHC, without giving effect to new shares purchased in the offering, cash paid in lieu of any fractional shares or the effect of shares issues to the charitable foundation. The shares of Old Cullman common stock owned by Cullman Savings Bank, MHC will be canceled. As of March 31, 2021, the conversion had not been completed, and, as of that date, New Cullman had no assets or liabilities, and had not conducted any business other than that of an organizational nature. After the conversion and offering are completed, we will be organized as a fully public stock holding company, with 100% of the common stock being held by the public. Accordingly, the financial statements and other information included in Part I of this Quarterly Report is for Cullman Bancorp, Inc., a federal corporation (“the Bancorp”). The consolidated financial statements of the Bancorp include the accounts of its wholly owned subsidiary, the Bank, together referred to as “the Company”. The Company is majority owned ( 57 %) by Cullman Savings Bank, MHC. These financial statements do not include the transactions and balances of Cullman Savings Bank, MHC. The Company provides financial services through its offices in Cullman County, Alabama. Its primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are residential mortgage, commercial, and installment loans. Substantially all loans are secured by specific items of collateral including business assets, consumer assets, and commercial and residential real estate. Commercial loans are expected to be repaid from cash flow from operations of businesses. There are no significant concentrations of loans to any one industry or customer. However, the customers’ ability to repay their loans is dependent on the real estate and general economic conditions in the area. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) On October 8, 2009, the Bank completed its conversion and reorganization from a mutual savings bank into a two-tier mutual holding stock company. In accordance with the plan of reorganization, Cullman Bancorp, Inc. (of which Cullman Savings Bank became a wholly-owned subsidiary) issued and sold shares of capital stock to eligible depositors of Cullman Savings Bank. Cullman Bancorp, Inc.’s common stock began trading on the over-the-counter market under the symbol “CULL” on October 9, 2009. The shares held by the public represent 43 % of the common stock of Cullman Bancorp, Inc. Additionally, the shares contributed to the charitable foundation represent 2 %, or 50,255 shares. In 2002, the Board of Directors voted to create a foundation for the purpose of giving back to our community in yet another way. The Cullman Savings Foundation continues to give back to various community projects. Cullman Savings Bank, MHC owns 57% or 1,403,731 shares. |
Use of Estimates | Use of Estimates : To prepare financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the financial statements and the disclosures provided, and actual results could differ. |
Coronavirus 2019 (COVID-19) Pandemic | Coronavirus 2019 (COVID-19) Pandemic : On March 11, 2020, the World Health Organization declared COVID-19, the disease caused by the novel coronavirus, a pandemic as a result of the global spread of the coronavirus illness. The COVID-19 pandemic has adversely affected, and may continue to adversely affect economic activity globally, nationally and locally. In response to the pandemic, federal and state authorities in the United States introduced various measures to try to limit or slow the spread of the virus, including travel restrictions, nonessential business closures, stay-at-home orders, and strict social distancing. The full impact of the COVID-19 pandemic is unknown and rapidly evolving. It has caused substantial disruption in international and U.S. economies, markets, and employment. The COVID-19 pandemic may continue to have a significant adverse impact on certain industries the Bank serves, including restaurants and food services, hotels and retail. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Because of the significant uncertainties related to the ultimate duration of the COVID-19 pandemic and its potential effects on customers and prospects, and on the national and local economy as a whole, there can be no assurances as to how the crisis may ultimately affect the Bank’s loan portfolio. It is unknown how long the adverse conditions associated with the COVID-19 pandemic will last and what the complete financial effect will be to the Bank. It is reasonably possible that estimates made in the financial statements could be materially and adversely impacted in the near term as a result of these conditions, including expected credit losses on loans and off-balance sheet credit exposures. See Note 3 – Loans for information regarding the impact of COVID-19 on the Bank’s loan portfolio. |
Restrictions on Cash | Restrictions on Cash : Cash on hand or on deposit with the Federal Reserve Bank might be required to meet regulatory reserve and clearing requirements. |
Cash Flows | Cash Flows : Cash and cash equivalents include cash, deposits with other financial institutions with maturities fewer than 90 days, and federal funds sold. Net cash flows are reported for customer loan and deposit transactions, federal funds purchased, and premises and equipment transactions. |
Securities | Securities : Debt securities are classified as available for sale when they might be sold before maturity. Securities available for sale are carried at fair value, with unrealized holding gains and losses reported in other comprehensive income, net of tax. Interest income includes amortization and accretion of purchase premiums and discounts. Premiums and discounts on securities are amortized and accreted using the level-yield method without anticipating prepayments, except for mortgage backed securities where prepayments are anticipated. Gains and losses on sales are recorded on the trade date and determined using the specific identification method. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Management evaluates securities for other-than-temporary impairment (OTTI) at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: (1) OTTI related to credit loss, which must be recognized in the income statement; and (2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. |
Loans | Loans : Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of deferred loan fees and costs and an allowance for loan losses. Interest income is accrued on the unpaid principal balance. Management defers any material loan fees net of certain direct costs and amortizes these deferred fees or costs into interest income using the level yield method without anticipating prepayments. Interest income on loans is discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured or when it otherwise becomes well secured and in the process of collection. |
Concentration of Credit Risk | Concentration of Credit Risk : Most of the Company’s business activity is with customers located within Cullman County. Therefore, the Company’s exposure to credit risk is significantly affected by changes in the economy in the Cullman County area. |
Allowance for Loan Losses | Allowance for Loan Losses : The allowance for loan losses is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off. The allowance consists of specific and general components. The specific component consists of the amount of impairment related to loans that have been evaluated on an individual basis, and the general component consists of the amount of impairment related to loans that have been evaluated on a collective basis. Loans are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings and classified as impaired. Troubled debt restructurings are separately identified for impairment disclosures and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a troubled debt restructuring is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral. For troubled debt restructurings that subsequently default, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan losses. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment and is based on the actual loss history experienced by the Company over the most recent 12 quarters. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; 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 other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Management utilizes an internal loan grading system and assigns each loan a grade of pass, special mention, substandard, or doubtful, which are more fully explained in Note 3. All loan relationships over $150 graded substandard and doubtful are evaluated for impairment. The amount of impairment, if any, is measured by a comparison of the loan’s carrying value to the net present value of future cash flows using the loan’s exiting rate or at the fair value of collateral if repayment is expected to solely from the collateral. All loans graded pass, special mention, substandard and doubtful not specifically evaluated for impairment are collectively evaluated for impairment by portfolio segment. To develop and document a systematic methodology for determining the portion of the allowance for loan losses for loans evaluated collectively, the Company has divided the loan portfolio into six portfolio segments, each with different risk characteristics and methodologies for assessing risk. Those portfolio segments are discussed below: One-to-four family real estate : One-to-four family residential loans consist primarily of loans secured by first or second liens or mortgages on primary residences. We originate adjustable-rate and fixed-rate, one-to-four-family residential real estate loans for the construction, purchase or refinancing of a mortgage. These loans are collateralized by owner-occupied properties located in the Company’s market area. Loans on one-to-four-family residential real estate are generally originated in amounts of up to 89.9 % for owner-occupied one-to-four family homes and up to 80 % for non-owner occupied homes. Mortgage title insurance and hazard insurance are normally required. Commercial real estate : Commercial real estate loans consist of loans to finance real estate purchases, refinancings, expansions and improvements to commercial properties. Commercial real estate loans are made to finance the purchases of real property, which generally consists of real estate with completed structures. These commercial real estate loans are secured by first liens on the real estate, which primarily include office buildings, farms, retail and mixed-use properties, churches, warehouses and restaurants located within the Company’s market area. The Company’s underwriting analysis includes credit verification, independent appraisals, a review of the borrower’s financial condition, and a detailed analysis of the borrower’s underlying cash flows. Commercial real estate loans are larger than one-to-four family residential loans and involve greater credit risk. Often these loans are made to single borrowers or groups of related borrowers, and the repayment of these loans largely depends on the results of operations and management of these properties. Adverse economic conditions also affect the repayment ability to a greater extent than one-to-four real estate loans. These loans are typically originated in NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) amounts of no more than 85 % of the appraised value or the purchase price of the property with an appropriate projected debt service coverage ratio. The Company’s underwriting analysis includes considering the borrower’s expertise and requires verification of the borrower’s credit history, income and financial statements, banking relationships, independent appraisals, references and income projections for the property. The Company generally obtains personal guarantees on these loans. Multi-family real estate : Multi-family real estate loans generally have a maximum term of 20 years and are secured by apartment buildings in the Company’s market area. The interest rates on these loans are generally fixed for an initial period five years. These loans are generally made in amounts of up to 85 % of the lesser of the appraised value or the purchase price of the property with an appropriate projected debt service coverage ratio. The Company’s underwriting analysis includes considering the borrower’s expertise and requires verification of the borrower’s credit history, income and financial statements, banking relationships, independent appraisals, references and income projections for the property. The Company generally obtains personal guarantees on these loans. Multi-family real estate loans generally present a higher level of risk than loans secured by one-to-four family residences. This greater risk is due to several factors, including the concentration of principal in a limited number of loans and borrowers, the effects of general economic conditions on income-producing properties and the increased difficulty of evaluating and monitoring these types of loans. Furthermore, the repayment of loans secured by multi-family residential real estate is typically dependent upon the successful operation of the related real estate project. Construction real estate : Construction loans consist of loans to individuals for the construction of their primary residences and, to a limited extent, loans to builders and commercial borrowers for owner-occupied projects. Loans to individuals for the construction of their residences typically run for up to 12 months and then convert to permanent loans. These construction loans have rates and terms comparable to one-to-four family loans. During the construction phase, the borrower pays interest only. The maximum loan-to-value ratio of owner-occupied single-family construction loans is 85 %. Residential construction loans are generally underwritten pursuant to the same guidelines used for originating permanent residential loans. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Construction loans generally are made for relatively short terms. However, to the extent construction loans are not made to owner-occupants of single-family homes, they are more vulnerable to changes in economic conditions and the concentration of credit with a limited number of borrowers. Further, the nature of these loans is such that they are more difficult to evaluate and monitor. The risk of loss on a construction loan is dependent largely upon the accuracy of the initial estimate of the property’s value upon completion of the project and the estimated cost (including interest) of the project. The maximum loan-to-value ratio of owner-occupied single-family construction loans is 85%. Commercial : Commercial business loans and lines of credit consist of loans to small- and medium-sized companies in the Company’s market area. Commercial business loans are generally used for working capital purposes or for acquiring equipment, inventory or furniture. Interest rates on these loans are fixed rates. Primarily all of the Company’s commercial loans are secured loans, along with a small amount of unsecured loans. Additionally, Paycheck Protection Program (PPP) loans are also included in Commercial business loans. The Company’s underwriting analysis consists of a review of the financial statements of the borrower, the lending history of the borrower, the debt service capabilities of the borrower, the projected cash flows of the business, the value of the collateral, if any, and whether the loan is guaranteed by the principals of the borrower. Commercial business loans are generally secured by accounts receivable, inventory and equipment. Commercial business loans are typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business, which makes them of higher risk than one-to-four family residential loans and the collateral securing loans may depreciate over time, may be difficult to appraise and may fluctuate in value based on the success of the business. We seek to minimize these risks through our underwriting standards. Consumer : Consumer loans mainly consist of variable-rate and fixed-rate home equity lines-of-credit secured by a lien on the borrower’s primary residence. Home equity products are limited to 89.99 % of the property value less any other mortgages if the first loan is with the Bank. Home equity products in a secondary lien position are limited to 80 % of the property value less any superior liens. The Company uses the same underwriting standards for home equity lines-of-credit as it uses for one-to-four family residential mortgage loans. Home equity lines-of-credit provide for an initial draw period of up to ten years , with monthly payments of 1.5 % of the outstanding balance or interest only payments calculated on the outstanding balance. At the end of the initial term, the line may be paid in full or restructured through our then current home equity program. To that extent, most of our consumer loans share approximately the same level of risk as one-to-four family residential mortgages. |
Loans Held For Sale | Loans Held for Sale : Mortgage loans originated and intended for sale in the secondary market are carried at the lower of aggregate cost or market, as determined by outstanding commitments from investors. Net unrealized losses, if any, are recorded as a valuation allowance and charged to earnings. Mortgage loans held for sale are generally sold with servicing rights released. Gains and losses on sales of mortgage loans are based on the difference between the selling price and the carrying value of the related loan sold. |
Mortgage Banking Derivatives | Mortgage Banking Derivatives : Commitments to fund mortgage loans (interest rate locks) to be sold into the secondary market and forward commitments for the future delivery of these mortgage loans are accounted for as derivatives not qualifying for hedge accounting. The fair values of these derivatives have not been recognized at March 31, 2021 and December 31, 2020 because they are not significant. |
Premises and Equipment | Premises and Equipment : Land is carried at cost. Premises and equipment are stated at cost less accumulated depreciation. Buildings and related components are depreciated using the straight-line method with useful lives ranging from 15 to 43 years. Furniture, fixtures and equipment are depreciated using the straight-line method with useful lives ranging from three to 20 years. |
Foreclosed Real Estate | Foreclosed Real Estate : Real estate acquired through loan foreclosure is recorded at fair value less cost to sell when acquired, establishing a new cost basis. 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 through completion of a deed in lieu of foreclosure or through a similar legal agreement. These assets are subsequently accounted for at the lower of cost or fair value less costs to sell. Valuations are periodically performed and any reductions in fair value result in a write down of the carrying value and a charge to the income statement. Revenues and expenses from operations are recognized in the income statement as earned or incurred. |
Restricted Equity Securities | Restricted Equity Securities : The Bank is a member of the FHLB system. Members are required to own a certain amount of stock based on the level of borrowings and other factors and may invest in additional amounts. FHLB stock is carried at cost, classified as a restricted security, periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. |
Service Charges/Non-Interest Income | Service Charges/Non-Interest Income : The company earns fees from its deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Company fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Company satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance. |
Income Taxes | Income Taxes : Income tax expense is the total of the current year income tax due or refundable 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. The principal differences relate to deferred compensation, foreclosed assets, premises and equipment, and the allowance for loan losses. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. 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 largest 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. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. |
Comprehensive Income | Comprehensive Income : Comprehensive income consists of net income and other comprehensive income. Other comprehensive income includes unrealized gains and losses on securities available for sale which are also recognized as a separate component of equity. |
Bank Owned Life Insurance | Bank Owned Life Insurance : The Company has purchased life insurance policies on certain officers and directors. Bank owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. |
Loss Contingencies | Loss 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 now are such matters that will have a material effect on the financial statements. |
Stock Based Compensation | Stock Based Compensation : Compensation cost is recognized for stock options and restricted stock awards issued to employees, based on the fair value of these awards at the date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options, while the market price of the Company’s common stock at the date of grant is used for restricted stock awards. Compensation cost is recognized over the required service period, generally defined as the vesting period. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. |
Loan Commitments and Related Financial Instruments | Loan Commitments and Related Financial Instruments : 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. The fair value of standby letters of credit at March 31, 2021 and December 31, 2020 were not significant and have not been recorded. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments : Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in a separate note. Fair value estimates involve uncertainties and matters of significant judgment regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or market conditions could significantly affect the estimates. |
Operating Segments | Operating Segments : While the chief decision-makers monitor the revenue streams of the various products and services, operations are managed and financial performance is evaluated on a Company-wide basis. Operating segments are aggregated into one as operating results for all segments are similar. Accordingly, all of the financial service operations are considered by management to be aggregated in one reportable operating segment. |
Retirement Plans | Retirement Plans : Employee 401(k)/profit sharing plan expense is the amount of employer contributions. Deferred compensation and supplemental retirement plan expense allocates the benefits over years of services. |
Employee Stock Ownership Plan | Employee Stock Ownership Plan : The cost of shares issued to the ESOP, but not yet allocated to participants, is shown as a reduction of shareholders’ equity. Compensation expense is based on the market price of shares as they are committed to be released to participant accounts. Dividends, when paid, on allocated ESOP shares reduce retained earnings; dividends, when paid, on unearned ESOP shares reduce debt and accrued interest. |
Earnings per Common Share | Earnings per Common Share : Basic earnings per common share is net income divided by the weighted average number of common shares outstanding during the period. ESOP shares are considered outstanding for this calculation unless unearned. All outstanding unvested share-based payment awards that contain rights to nonforfeitable dividends are considered participating securities for this calculation. Diluted earnings per common share includes the dilutive effect of additional potential common shares issuable under stock options. Earnings and dividends per share are restated for all stock splits and stock dividends through the date of issuance of the financial statements. |
Dividend Restriction | Dividend Restriction : Banking regulations require maintaining certain capital levels and may limit the dividends paid by the Bank to the Bancorp or by the Bancorp to shareholders. |
Recent Accounting Pronouncements and Accounting Changes | The following provides a brief description of accounting standards that could have a material impact to the Bank’s consolidated financial statements upon adoption. Standard: ASU 2016-13, Measurement of Credit Losses on Financial Instruments Required Date of Adoption: January 1, 2023 Description: This ASU amends Topic 326, Financial Instruments- Credit Losses to replace the current incurred loss accounting model with a current expected credit loss approach (CECL) for financial instruments measured at amortized cost and other commitments to extend credit. The amendments require entities to consider all available relevant information when estimating current expected credit losses, including details about past events, current conditions, and reasonable and supportable forecasts. The resulting allowance for credit losses is to reflect the portion of the amortized cost basis that the entity does not expect to collect. The amendments also eliminate the current accounting model for purchased credit impaired loans and debt securities. NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) While the CECL model does not apply to available for sale debt securities, the ASU does require entities to record an allowance when recognizing credit losses for AFS securities, rather than reduce the amortized cost of the securities by direct write-offs. Entities that have loans accounted for under ASC 310-30 (purchase credit impaired loans) at the time of adoption should prospectively apply the guidance in this amendment for purchase credit deteriorated assets. Effect on the Company’s financial statements or other significant matters: The Company has developed a project plan that results in the adoption of the standard in the fiscal year beginning after December 15, 2022. Key project implementation activities for 2021 and 2020 focused on execution and implementation, processes and control, policies, disclosures, and data resolution. The Bank expects adoption of the standard will result in an overall increase in the allowance for credit losses given the change from accounting for losses inherent in the loan portfolio to accounting for losses over the remaining expected life of the portfolio. The bank will recognize a one-time cumulative effect adjustment to the allowance for loan losses as of the beginning of the first reporting period in which the new standard is effective. Additionally, there could be decreases in the allowance in certain of our loan portfolios at adoption. The amount of the change in these allowances will be impacted by the portfolio composition and quality at the adoption date as well as economic conditions and forecasts at that time. |
Securities Available for Sale (
Securities Available for Sale (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Available For Sale Securities [Abstract] | |
Summary of Fair Value of Available for Sale Securities and Related Gross Unrealized Gains and Losses | The fair value of available for sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income at March 31, 2021 and December 31, 2020 were as follows: March 31, 2021 Amortized Gross Gross Estimated US government sponsored $ 3,000 $ — $ — $ 3,000 Municipal- taxable 11,077 331 ( 134 ) 11,274 Municipal- tax exempt 2,443 28 — 2,471 Residential mortgage-backed, government sponsored enterprise ("GSE") 2,577 51 ( 2 ) 2,626 Small Business Administration guaranteed debenture 1,267 35 — 1,302 Total $ 20,364 $ 445 $ ( 136 ) $ 20,673 December 31, 2020 Municipal- taxable $ 11,086 $ 542 $ ( 16 ) $ 11,612 Municipal- tax exempt 2,809 41 — 2,850 Residential mortgage-backed, government sponsored enterprise ("GSE") 2,823 67 — 2,890 Small Business Administration guaranteed debenture 1,471 52 — 1,523 Total $ 18,189 $ 702 $ ( 16 ) $ 18,875 |
Summary of Proceeds from Maturities and Calls of Securities and Associated Gains and Losses | The proceeds from sales and calls of securities and the associated gains and losses are listed below: 2021 2020 Proceeds $ — $ 8,675 Gross gains — — Gross losses — — NOTE 2 – SECURITIES AVAILABLE FOR SALE (Continued) |
Schedule of Amortized Cost and Fair Value of Investment Securities Portfolio by Expected Maturities | The amortized cost and fair value of the investment securities portfolio are shown below by expected maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. March 31, 2021 Amortized Estimated Due one year or less $ — $ — Due from one to five years 2,177 2,218 Due from five to ten years 2,825 2,961 Due after ten years 11,518 11,566 Residential mortgage-backed 2,577 2,626 SBA guaranteed debenture 1,267 1,302 Total $ 20,364 $ 20,673 |
Summary of Unrealized Loss on Securities | Securities with unrealized losses at March 31, 2021 and December 31, 2020, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows: Less than 12 months 12 months or more Total March 31, 2021 Fair Unrealized Fair Unrealized Fair Unrealized Municipal- taxable $ 1,762 $ ( 73 ) $ 1,766 $ ( 61 ) $ 3,528 $ ( 134 ) Residential MB, GSE 969 ( 2 ) — — 969 ( 2 ) Total temporarily $ 2,731 $ ( 75 ) $ 1,766 $ ( 61 ) $ 4,497 $ ( 136 ) Less than 12 months 12 months or more Total December 31, 2020 Fair Unrealized Fair Unrealized Fair Unrealized Municipal- taxable $ 1,816 $ ( 16 ) $ — $ — $ 1,816 $ ( 16 ) Total temporarily $ 1,816 $ ( 16 ) $ — $ — $ 1,816 $ ( 16 ) |
Loans (Tables)
Loans (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Receivables [Abstract] | |
Summary of Major Classifications of Loans | Loans at March 31, 2021 and December 31, 2020 were as follows: 2021 2020 Real Estate Loans: One-to-four family $ 116,233 $ 114,766 Multi-family 4,764 4,867 Commercial 77,914 77,841 Construction 9,356 5,504 Total real estate loans 208,267 202,978 Commercial loans 24,536 25,485 Consumer loans: Home equity loans and lines of credit 3,743 3,520 Other consumer 2,267 2,347 Total consumer loans 6,010 5,867 Total loans 238,813 234,330 Net deferred loans fees ( 183 ) ( 170 ) Allowance for loan losses ( 2,359 ) ( 2,361 ) Loans, net $ 236,271 $ 231,799 |
Recorded investment in loans based on impairment method | The following tables present the activity in the allowance for loan losses for March 31, 2021, December 31, 2020 and March 31, 2020. The recorded investment in loans in any of the following tables does not include accrued and unpaid interest or any deferred loan fees or costs, as amounts are not significant. Real Estate March 31, 2021 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Allowance for loan losses: Beginning balance $ 1,300 $ 27 $ 746 $ 37 $ 187 $ 64 $ 2,361 Charge offs — — — — — ( 2 ) ( 2 ) Recoveries — — — — — — — Provisions ( 21 ) ( 1 ) ( 7 ) 31 ( 6 ) 4 — Total ending balance 1,279 26 739 68 181 66 2,359 Ending balance attributed to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Collectively evaluated for impairment 1,279 26 739 68 181 66 2,359 Total ending allowance balance: $ 1,279 $ 26 $ 739 $ 68 $ 181 $ 66 $ 2,359 Loans: Loans individually evaluated for impairment $ 439 $ — $ 6,117 $ — $ 1,071 $ — $ 7,627 Loans collectively evaluated for impairment 115,794 4,764 71,797 9,356 23,465 6,010 231,186 Total ending loans balance $ 116,233 $ 4,764 $ 77,914 $ 9,356 $ 24,536 $ 6,010 $ 238,813 December 31, 2020 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Allowance for loan losses: Beginning balance $ 1,200 $ 21 $ 632 $ 66 $ 223 $ 76 $ 2,218 Charge offs — — — — — ( 20 ) ( 20 ) Recoveries 5 — — — — 6 11 Provisions 95 6 114 ( 29 ) ( 36 ) 2 152 Total ending balance 1,300 27 746 37 187 64 2,361 Ending balance attributed to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Collectively evaluated for impairment 1,300 27 746 37 187 64 2,361 Total ending allowance balance: $ 1,300 $ 27 $ 746 $ 37 $ 187 $ 64 $ 2,361 Loans: Loans individually evaluated for impairment $ 439 $ — $ 6,561 $ — $ 1,191 $ — $ 8,191 Loans collectively evaluated for impairment 114,327 4,867 71,280 5,504 24,294 5,867 226,139 Total ending loans balance $ 114,766 $ 4,867 $ 77,841 $ 5,504 $ 25,485 $ 5,867 $ 234,330 Real Estate March 31, 2020 One-to-Four Family Multi-Family Commercial Construction Commercial Consumer Total Allowance for loan losses: Beginning balance $ 1,200 $ 21 $ 632 $ 66 $ 223 $ 76 $ 2,218 Charge offs — — — — — — — Recoveries — — — — — — — Provisions 80 1 21 5 8 ( 5 ) 110 Total ending balance 1,280 22 653 71 231 71 2,328 Ending balance attributed to loans: Individually evaluated for impairment $ — $ — $ — $ — $ — $ — $ — Collectively evaluated for impairment 1,280 22 653 71 231 71 2,328 Total ending allowance balance: $ 1,280 $ 22 $ 653 $ 71 $ 231 $ 71 $ 2,328 |
Loans individually evaluated for impairment by portfolio class | The following tables presents loans individually evaluated for impairment by portfolio class at March 31, 2021 and December 31, 2020 and the respective average balances of impaired loans and interest income recognized for the three months ended March 31, 2021 and 2020: March 31, 2021 December 31, 2020 Unpaid Recorded Related Unpaid Recorded Related With no recorded allowance: Real estate loans: One-to-four family $ 467 $ 439 $ — $ 468 $ 439 $ — Multi-family — — — — — — Commercial 6,117 6,117 — 6,561 6,561 — Construction — — — — — — Commercial 1,071 1,071 — 1,191 1,191 — Consumer: — — — — — — Total $ 7,655 $ 7,627 $ — $ 8,220 $ 8,191 $ — Three Months ended Three Months ended Average Interest Average Interest With no recorded allowance: Real estate loans: One-to-four family $ 439 $ 5 $ 423 $ 3 Multi-family — — — — Commercial 6,339 94 2,556 46 Commercial loans: 1,096 18 745 9 Consumer loans: — — — — Total $ 7,874 $ 117 $ 3,724 $ 58 |
Schedule of Analysis of Past due Loans | The following tables present the aging of the recorded investment in past due loans at March 31, 2021 and December 31, 2020 by portfolio class of loans: March 31, 2021 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 2,581 $ 216 $ — $ 2,797 $ 113,436 $ 116,233 Multi-family — — — — 4,764 4,764 Commercial — — — — 77,914 77,914 Construction — — — — 9,356 9,356 Total real estate loans 2,581 216 — 2,797 205,470 208,267 Commercial 49 20 — 69 24,467 24,536 Consumer loans: Home equity loans and lines of credit — — — — 3,743 3,743 Other consumer loans 1 — — 1 2,266 2,267 Total $ 2,631 $ 236 $ — $ 2,867 $ 235,946 $ 238,813 December 31, 2020 30-59 Days Past due 60-89 Days Past due 90 Days or More Past Due Total Past Due Current Total Loans Real estate loans: One-to-four family $ 1,723 $ 370 $ 104 $ 2,197 $ 112,569 $ 114,766 Multi-family — — — — 4,867 4,867 Commercial 437 — — 437 77,404 77,841 Construction — — — — 5,504 5,504 Total real estate loans 2,160 370 104 2,634 200,344 202,978 Commercial 8 — — 8 25,477 25,485 Consumer loans: Home equity loans and lines of credit — 33 — 33 3,487 3,520 Other consumer loans 2 — — 2 2,345 2,347 Total $ 2,170 $ 403 $ 104 $ 2,677 $ 231,653 $ 234,330 |
Summary of Information Regarding Non-accrual Loans | The following tables present the recorded investment in nonaccrual loans by class of loans as of March 31, 2021 and December 31, 2020: 2021 2020 Real estate loans: One-to-four family $ 17 $ 18 Commercial real estate — — Construction — — Total real estate loans 17 18 Commercial loans: — — Consumer loans: Other consumer loans — — Total consumer loans — — Total loans $ 17 $ 18 |
Summary of Internal Risk Ratings of Loans | At March 31, 2021 and December 31, 2020, based on the most recent analysis performed, the loan grade for each loan by portfolio class is as follows: Pass Special Mention Substandard Doubtful Total March 31, 2021 Real estate loans: One-to-four family $ 115,533 $ — $ 700 $ — $ 116,233 Multi-family 4,764 — — — 4,764 Commercial 71,797 — 6,117 — 77,914 Construction 9,356 — — — 9,356 Total real estate loans 201,450 — 6,817 — 208,267 Commercial 23,298 110 1,128 — 24,536 Consumer loans: Home equity loans and lines of credit 3,743 — — — 3,743 Other consumer loans 2,267 — — — 2,267 Total $ 230,758 $ 110 $ 7,945 $ — $ 238,813 NOTE 3 – LOANS (Continued) Pass Special Mention Substandard Doubtful Total December 31, 2020 Real estate loans: One-to-four family $ 114,139 $ — $ 627 $ — $ 114,766 Multi-family 4,867 — — — 4,867 Commercial 71,280 — 6,561 — 77,841 Construction 5,504 — — — 5,504 Total real estate loans 195,790 — 7,188 — 202,978 Commercial 24,122 112 1,251 — 25,485 Consumer loans: Home equity loans and lines of credit 3,520 — — — 3,520 Other consumer loans 2,347 — — — 2,347 Total $ 225,779 $ 112 $ 8,439 $ — $ 234,330 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Property Plant And Equipment [Abstract] | |
Summary of Premises and Equipment | Premises and equipment at March 31, 2021 and December 31, 2020 were as follows: 2021 2020 Land $ 1,365 $ 1,365 Buildings and improvements 13,651 13,624 Furniture, fixtures and equipment 2,202 2,160 17,218 17,149 Less: Accumulated depreciation ( 8,678 ) ( 8,573 ) $ 8,540 $ 8,576 |
Deposits (Tables)
Deposits (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Deposits [Abstract] | |
Scheduled Maturities of Time Deposits | Scheduled maturities of time deposits at March 31, 2021 for the next five years were as follows: 2022 $ 49,723 2023 21,507 2024 3,362 2025 8,776 2026 3,204 |
Federal Home Loan Bank Advanc_2
Federal Home Loan Bank Advances and Other Debt (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Federal Home Loan Banks [Abstract] | |
Summary of Advances from Federal Home Loan Bank | At period-end, advances from the Federal Home Loan Bank were as follows: March 31, December 31, Maturities March 2024 through March 2030, 1.385 % to 2.2025 %, 1.73 % $ 43,500 $ — Maturities March 2024 through March 2030, 1.385 % to 2.2025 %, 1.74 % — 53,500 Total $ 43,500 $ 53,500 |
Summary of Payments Over Next Five Years | Payments over the next five years are as follows: 2022 $ — 2023 — 2024 5,000 2025 8,500 2026 15,000 Thereafter 15,000 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Option Activity | The following table summarizes stock option activity for the year ended March 31, 2021: Options Weighted- Weighted- Aggregate (1) Outstanding 1/1/21 122,290 $ 27.67 9.81 Granted — — — Exercised ( 2,290 ) 10.30 Forfeited — — Outstanding 3/31/21 120,000 $ 28.00 9.38 $ 210 (1) Based on last trade of $ 22.00 per share as of December 31, 2020 and $ 29.75 per share as of March 31, 2021. Intrinsic value for stock options is defined as the difference between the current market value and the exercise price multiplied by the number of in-the-money options. |
Summary of Nonvested Restricted Stock Activity | The following table summarizes non-vested restricted stock activity for the quarter ended March 31, 2021: March 31, 2021 Balance – beginning of period 80,000 Granted — Vested — Balance – end of period 80,000 |
Summary of Restricted Stock Fair Value | The following table summarizes the restricted stock fair value: Date of Awards Shares Vesting Fair Value August 2020 80,000 5 $ 28 |
Regulatory Capital Matters (Tab
Regulatory Capital Matters (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Regulatory Capital Requirements [Abstract] | |
Schedule of Actual and Required Capital Amounts for the Bank and Ratios | Actual and required capital amounts for the Bank and ratios at March 31, 2021 and December 31, 2020 are presented below: Actual To be well Capitalized Amount Ratio Amount Ratio March 31, 2021 Tier 1 (Core) Capital to average total 51,916 15.68 % 28,146 8.50 % December 31, 2020 Tier 1 (Core) Capital to average total 50,690 15.49 % 26,180 8.00 % |
Fair Values of Financial Inst_2
Fair Values of Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurement Using Quoted Prices in Significant Other Significant March 31, 2021 Financial assets: US government sponsored entities and agencies $ — $ 3,000 $ — Municipal- Taxable — 11,274 — Municipal- Tax exempt — 2,471 — Residential MB, GSE — 2,626 — SBA guaranteed debenture $ — $ 1,302 $ — Total AFS $ — $ 20,673 $ — Fair Value Measurement Using Quoted Prices in Significant Other Significant December 31, 2020 Financial assets: U.S Government entities $ — $ — $ — Municipal- Taxable — 11,612 — Municipal- Tax exempt — 2,850 — Residential MB, GSE — 2,890 — SBA guaranteed debenture $ — $ 1,523 $ — Total AFS $ — $ 18,875 $ — |
Reconciliation of Assets Measured at Fair Value on Recurring Basis Using Unobservable Inputs | The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the year ended December 31, 2020: Municipals-Taxable 2020 Beginning Balance of recurring Level 3 assets $ 1,734 Redemption ( 1,734 ) Unrealized gain — Ending Balance of recurring Level 3 assets $ — |
Financial Assets and Liabilities Measured at Fair Value on Non Recurring Basis | Assets measured at fair value on a nonrecurring basis are included in the table below as of March 31, 2021 and December 31, 2020 (amounts in thousands): Fair Value Measurements March 31, 2021 December 31, 2020 Impaired loans: RE loans: One-to four family $ 439 $ 439 Foreclosed real esate: One-to four family $ — $ 108 Commerical 326 326 |
Estimated Fair Value of Financial Instruments | The carrying amounts and estimated fair values of the Company’s on-balance sheet financial instruments at March 31, 2021 and December 31, 2020 are summarized below: Fair Value Measurements at Carrying Amount Level 1 Level 2 Level 3 Total Financial assets: Cash and cash equivalents $ 57,174 $ 57,174 $ — $ — $ 57,174 Securities available for sale 20,673 — 20,673 — 20,673 Loans held for sale — — — — — Loan, net 236,271 — — 240,921 240,921 Accrued interest receivable 771 — 104 667 771 Financial liabilities: Deposits $ 229,791 $ 156,224 $ 76,330 $ — $ 232,554 Federal Home Loan Bank advances 43,500 — 44,103 — 44,103 Accrued interest payable 73 3 70 — 73 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Calculation of Earnings Per Common Share | The factors used in the earnings per common share computation follow: For the Three Months 2021 2020 Earnings per share Net Income $ 785 $ 798 Less: Distributed earning allocated to participating securities — — Less: Earnings allocated to participating securities 2 — Net earnings allocated to common stock 787 798 Weighted common shares outstanding including participating 2,370,408 2,370,578 Less: Participating securities ( 80,000 ) ( 856 ) Less: Average unearned ESOP shares ( 5,653 ) ( 11,305 ) Weighted average shares 2,284,755 2,358,417 Basic earnings per share $ 0.34 $ 0.34 Net earnings allocated to common stock 787 798 Weighted average shares 2,284,755 2,358,417 Add: dilutive effects of assumed exercises of stock options 8,311 2,355 Average shares and dilutive potential common shares 2,293,066 2,360,772 Dilutive earnings per share $ 0.34 $ 0.34 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2021shares | |
Building and Related Components [Member] | Minimum [Member] | |
Estimated useful lives | 15 years |
Building and Related Components [Member] | Maximum [Member] | |
Estimated useful lives | 43 years |
Furniture, Fixtures and Equipment [Member] | Maximum [Member] | |
Estimated useful lives | 20 years |
Consumer Loan [Member] | |
Initial draw period | 10 years |
Interest rate | 1.50% |
Consumer Loan [Member] | Senior Lien [Member] | |
Loan to value ratio | 89.99% |
Consumer Loan [Member] | Junior Lien [Member] | |
Loan to value ratio | 80.00% |
Owner Occupied Homes [Member] | |
Loan to value ratio | 89.90% |
Non Owner Occupied Homes [Member] | |
Loan to value ratio | 80.00% |
Commercial Real Estate [Member] | |
Loan to value ratio | 85.00% |
Multi Family Real Estate [Member] | |
Loan to value ratio | 85.00% |
Construction Real Estate [Member] | |
Loan to value ratio | 85.00% |
Cullman Bancorp, Inc. [Member] | |
Minority interest ownership percentage held by noncontrolling owners | 43.00% |
Cullman Savings Bank, MHC [Member] | |
Majority interest ownership percentage by parent | 57.00% |
Shares issued | 1,403,731 |
Charitable Foundation [Member] | |
Shares issued | 50,255 |
Charitable Foundation [Member] | Cullman Bancorp, Inc. [Member] | |
Minority interest ownership percentage held by noncontrolling owners | 2.00% |
Securities Available for Sale -
Securities Available for Sale - Summary of Fair Value of Available for Sale Securities and Related Gross Unrealized Gains and Losses (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | $ 20,364 | $ 18,189 |
Gross Unrealized Gains | 445 | 702 |
Gross Unrealized Losses | (136) | (16) |
Estimated Fair Value | 20,673 | 18,875 |
US Government Sponsored Entities and Agencies | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 3,000 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 0 | |
Estimated Fair Value | 3,000 | |
Municipal- Taxable | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 11,077 | 11,086 |
Gross Unrealized Gains | 331 | 542 |
Gross Unrealized Losses | (134) | (16) |
Estimated Fair Value | 11,274 | 11,612 |
Municipal- Tax Exempt | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 2,443 | 2,809 |
Gross Unrealized Gains | 28 | 41 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 2,471 | 2,850 |
Residential MB, GSE | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 2,577 | 2,823 |
Gross Unrealized Gains | 51 | 67 |
Gross Unrealized Losses | (2) | 0 |
Estimated Fair Value | 2,626 | 2,890 |
SBA Guaranteed Debenture | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 1,267 | 1,471 |
Gross Unrealized Gains | 35 | 52 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | $ 1,302 | $ 1,523 |
Securities Available for Sale_2
Securities Available for Sale - Summary of Proceeds from Maturities and Calls of Securities and Associated Gains and Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Available For Sale Securities [Abstract] | ||
Proceeds | $ 0 | $ 8,675 |
Gross gains | 0 | 0 |
Gross losses | $ 0 | $ 0 |
Securities Available for Sale_3
Securities Available for Sale - Schedule of Amortized Cost and Fair Value of Investment Securities Portfolio by Expected Maturities (Details) $ in Thousands | Mar. 31, 2021USD ($) |
Schedule Of Available For Sale Securities [Line Items] | |
Due one year or less, amorized cost | $ 0 |
Due from one to five years, amortized cost | 2,177 |
Due from five to ten years, amortized cost | 2,825 |
Due after ten years, amortized cost | 11,518 |
Total amortized cost | 20,364 |
Due one year or less, estimated fair value | 0 |
Due from one to five years, estimated fair value | 2,218 |
Due from five to ten years, estimated fair value | 2,961 |
Due after ten years, estimated fair value | 11,566 |
Debt securities, available-for-sale, maturity, allocated and single maturity date, estimated fair value | 2,626 |
Total estimated fair value | 20,673 |
SBA Guaranteed Debenture | |
Schedule Of Available For Sale Securities [Line Items] | |
Debt securities, available-for-sale, maturity, allocated and single maturity date, estimated fair value | 1,302 |
Residential Mortgage Backed | |
Schedule Of Available For Sale Securities [Line Items] | |
Debt securities, available-for-sale, maturity, allocated and single maturity date, amortized cost | 2,577 |
SBA Guaranteed Debenture | |
Schedule Of Available For Sale Securities [Line Items] | |
Debt securities, available-for-sale, maturity, allocated and single maturity date, amortized cost | $ 1,267 |
Securities Available for Sale_4
Securities Available for Sale - Additional Information (Details) | 3 Months Ended | |
Mar. 31, 2021USD ($)Security | Dec. 31, 2020USD ($)Security | |
Schedule Of Available For Sale Securities [Line Items] | ||
Carrying amounts of securities pledged to secure public deposits | $ | $ 8,772,000 | $ 9,169,000 |
Number of security holdings greater than 10% percent of equity | 0 | 0 |
Unrealized loss recognized in net income | $ | $ 0 | |
Municipal- Taxable | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, available-for-sale, unrealized loss position, number of positions | 6 | |
Residential MB, GSE | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, available-for-sale, unrealized loss position, number of positions | 1 |
Securities Available for Sale_5
Securities Available for Sale - Summary of Unrealized Loss on Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Municipal- Taxable | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | $ 1,762 | $ 1,816 |
Less than 12 months, Unrealized loss | (73) | (16) |
12 months or more, Fair value | 1,766 | 0 |
12 months or more, Unrealized loss | (61) | 0 |
Total fair value | 3,528 | 1,816 |
Total unrealized loss | (134) | (16) |
12 months or more | 61 | 0 |
Residential MB, GSE | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 969 | |
Less than 12 months, Unrealized loss | (2) | |
12 months or more, Fair value | 0 | |
12 months or more, Unrealized loss | 0 | |
Total fair value | 969 | |
Total unrealized loss | (2) | |
12 months or more | 0 | |
Total Temporarily Impaired | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Less than 12 months, Fair value | 2,731 | 1,816 |
Less than 12 months, Unrealized loss | (75) | (16) |
12 months or more, Fair value | 1,766 | 0 |
12 months or more, Unrealized loss | (61) | 0 |
Total fair value | 4,497 | 1,816 |
Total unrealized loss | (136) | (16) |
12 months or more | $ 61 | $ 0 |
Loans - Summary of Major Classi
Loans - Summary of Major Classification of Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | $ 238,813 | $ 234,330 |
Net deferred loans fees | 183 | 170 |
Allowance for loan losses | (2,359) | (2,361) |
Loans, net | 236,271 | 231,799 |
Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 208,267 | 202,978 |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 116,233 | 114,766 |
Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 4,764 | 4,867 |
Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 77,914 | 77,841 |
Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 9,356 | 5,504 |
Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 24,536 | 25,485 |
Consumer Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 6,010 | 5,867 |
Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 3,743 | 3,520 |
Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | $ 2,267 | $ 2,347 |
Loans - Recorded investment in
Loans - Recorded investment in loans based on impairment method (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Beginning balance | $ 2,361 | $ 2,218 | $ 2,218 |
Charge offs | (2) | 0 | (20) |
Recoveries | 0 | 0 | 11 |
Provisions | 0 | 110 | 152 |
Ending balance | 2,359 | 2,328 | 2,361 |
Individually evaluated for impairment | 0 | 0 | 0 |
Collectively evaluated for impairment | 2,359 | 2,328 | 2,361 |
Loans individually evaluated for impairment | 7,627 | 8,191 | |
Loans collectively evaluated for impairment | 231,186 | 226,139 | |
Total ending loans balance | 238,813 | 234,330 | |
Commercial Loans [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Beginning balance | 187 | 223 | 223 |
Charge offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Provisions | (6) | 8 | (36) |
Ending balance | 181 | 231 | 187 |
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 181 | 231 | 187 |
Loans individually evaluated for impairment | 1,071 | 1,191 | |
Loans collectively evaluated for impairment | 23,465 | 24,294 | |
Total ending loans balance | 24,536 | 25,485 | |
Consumer Loans [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Beginning balance | 64 | 76 | 76 |
Charge offs | (2) | 0 | (20) |
Recoveries | 0 | 0 | 6 |
Provisions | 4 | (5) | 2 |
Ending balance | 66 | 71 | 64 |
Individually evaluated for impairment | 0 | 0 | 0 |
Collectively evaluated for impairment | 66 | 71 | 64 |
Loans individually evaluated for impairment | 0 | 0 | |
Loans collectively evaluated for impairment | 6,010 | 5,867 | |
Total ending loans balance | 6,010 | 5,867 | |
One To Four Family [Member] | Real estate loans [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Beginning balance | 1,300 | 1,200 | 1,200 |
Charge offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 5 |
Provisions | (21) | 80 | 95 |
Ending balance | 1,279 | 1,280 | 1,300 |
Individually evaluated for impairment | 0 | 0 | 0 |
Collectively evaluated for impairment | 1,279 | 1,280 | 1,300 |
Loans individually evaluated for impairment | 439 | 439 | |
Loans collectively evaluated for impairment | 115,794 | 114,327 | |
Total ending loans balance | 116,233 | 114,766 | |
Multifamily [Member] | Real estate loans [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Beginning balance | 27 | 21 | 21 |
Charge offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Provisions | (1) | 1 | 6 |
Ending balance | 26 | 22 | 27 |
Individually evaluated for impairment | 0 | 0 | 0 |
Collectively evaluated for impairment | 26 | 22 | 27 |
Loans individually evaluated for impairment | 0 | 0 | |
Loans collectively evaluated for impairment | 4,764 | 4,867 | |
Total ending loans balance | 4,764 | 4,867 | |
Commercial [Member] | Real estate loans [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Beginning balance | 746 | 632 | 632 |
Charge offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Provisions | (7) | 21 | 114 |
Ending balance | 739 | 653 | 746 |
Individually evaluated for impairment | 0 | 0 | 0 |
Collectively evaluated for impairment | 739 | 653 | 746 |
Loans individually evaluated for impairment | 6,117 | 6,561 | |
Loans collectively evaluated for impairment | 71,797 | 71,280 | |
Total ending loans balance | 77,914 | 77,841 | |
Commercial [Member] | Commercial Loans [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Individually evaluated for impairment | 0 | ||
Construction [Member] | Real estate loans [Member] | |||
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Beginning balance | 37 | 66 | 66 |
Charge offs | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Provisions | 31 | 5 | (29) |
Ending balance | 68 | 71 | 37 |
Individually evaluated for impairment | 0 | 0 | 0 |
Collectively evaluated for impairment | 68 | $ 71 | 37 |
Loans individually evaluated for impairment | 0 | 0 | |
Loans collectively evaluated for impairment | 9,356 | 5,504 | |
Total ending loans balance | $ 9,356 | $ 5,504 |
Loans - Loans individually eval
Loans - Loans individually evaluated for impairment by portfolio class (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | $ 7,655 | $ 8,220 | |
Recorded Investment | 7,627 | 8,191 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 7,874 | $ 3,724 | |
Interest Income Recognized | 117 | 58 | |
Construction [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 0 | 0 | |
Recorded Investment | 0 | 0 | |
Related Allowance | 0 | 0 | |
Real estate loans [Member] | One To Four Family [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 467 | 468 | |
Recorded Investment | 439 | 439 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 439 | 423 | |
Interest Income Recognized | 5 | 3 | |
Real estate loans [Member] | Multifamily [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 0 | 0 | |
Recorded Investment | 0 | 0 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 0 | 0 | |
Interest Income Recognized | 0 | 0 | |
Real estate loans [Member] | Commercial [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 6,117 | 6,561 | |
Recorded Investment | 6,117 | 6,561 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 6,339 | 2,556 | |
Interest Income Recognized | 94 | 46 | |
Commercial Loans [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 1,071 | 1,191 | |
Recorded Investment | 1,071 | 1,191 | |
Related Allowance | 0 | 0 | |
Average Recorded Investment | 1,096 | 745 | |
Interest Income Recognized | 18 | 9 | |
Consumer Loans [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Unpaid principal balance | 0 | 0 | |
Recorded Investment | 0 | 0 | |
Related Allowance | 0 | $ 0 | |
Average Recorded Investment | 0 | 0 | |
Interest Income Recognized | $ 0 | $ 0 |
Loans - Schedule of Analysis of
Loans - Schedule of Analysis of Past due Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | $ 238,813 | $ 234,330 |
Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 208,267 | 202,978 |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 116,233 | 114,766 |
Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 4,764 | 4,867 |
Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 77,914 | 77,841 |
Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 9,356 | 5,504 |
Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 24,536 | 25,485 |
Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 3,743 | 3,520 |
Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 2,267 | 2,347 |
30-59 Days Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 2,631 | 2,170 |
30-59 Days Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 2,581 | 2,160 |
30-59 Days Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 2,581 | 1,723 |
30-59 Days Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
30-59 Days Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 437 |
30-59 Days Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
30-59 Days Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 49 | 8 |
30-59 Days Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
30-59 Days Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 1 | 2 |
60-89 Days Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 236 | 403 |
60-89 Days Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 216 | 370 |
60-89 Days Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 216 | 370 |
60-89 Days Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
60-89 Days Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
60-89 Days Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
60-89 Days Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 20 | 0 |
60-89 Days Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 33 |
60-89 Days Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
90 Days or More Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 104 |
90 Days or More Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 104 |
90 Days or More Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 104 |
90 Days or More Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
90 Days or More Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
90 Days or More Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
90 Days or More Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
90 Days or More Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
90 Days or More Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
Financing Receivable Total Past Due [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 2,867 | 2,677 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 2,797 | 2,634 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 2,797 | 2,197 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 437 |
Financing Receivable Total Past Due [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
Financing Receivable Total Past Due [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 69 | 8 |
Financing Receivable Total Past Due [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 33 |
Financing Receivable Total Past Due [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 1 | 2 |
Financing Receivable Current [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 235,946 | 231,653 |
Financing Receivable Current [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 205,470 | 200,344 |
Financing Receivable Current [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 113,436 | 112,569 |
Financing Receivable Current [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 4,764 | 4,867 |
Financing Receivable Current [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 77,914 | 77,404 |
Financing Receivable Current [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 9,356 | 5,504 |
Financing Receivable Current [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 24,467 | 25,477 |
Financing Receivable Current [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 3,743 | 3,487 |
Financing Receivable Current [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | $ 2,266 | $ 2,345 |
Loans - Summary of Information
Loans - Summary of Information Regarding Non-accrual Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | $ 17 | $ 18 |
Real estate loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 17 | 18 |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 17 | 18 |
Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
Commercial Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
Consumer Loans [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | 0 | 0 |
Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Total loans | $ 0 | $ 0 |
Loans - Additional Information
Loans - Additional Information (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2021USD ($)Loan | Dec. 31, 2020USD ($)Loan | |
Accounts Notes And Loans Receivable [Line Items] | ||
Troubled debt restructurings | $ 5,814 | $ 2,336 |
Troubled debt restructurings modified | 0 | 0 |
Troubled debt restructurings additional amount | $ 0 | $ 0 |
Financing receivable, modifications, number of contracts | Loan | 1 | 0 |
Troubled debt restructurings charge-offs | $ 0 | $ 0 |
Number of troubled debt restructured loans | Loan | 0 | 0 |
Loan modification description | A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. | |
Loans and leases receivable net reported amount | $ 236,271 | $ 231,799 |
Total loans | 238,813 | 234,330 |
Outstanding loan balance | 0 | 0 |
COVID-19 [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Troubled debt restructurings modified | $ 2,684 | $ 17,732 |
Number of loan modified | Loan | 1 | 61 |
Outstanding loan balance | $ 2,684 | $ 17,732 |
Number of remaining loan modified | Loan | 1 | 1 |
Paycheck Protection Program [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Loans and leases receivable net reported amount | $ 2,800 | $ 9,800 |
Interest rate during period | 1.00% | |
Total loans | $ 3,300 | $ 5,100 |
Paycheck Protection Program [Member] | Minimum | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Term of loans approved by SBA | 2 years | |
Paycheck Protection Program [Member] | Maximum | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Term of loans approved by SBA | 5 years |
Loans - Summary of Internal Ris
Loans - Summary of Internal Risk Ratings of Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | $ 238,813 | $ 234,330 |
Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 208,267 | 202,978 |
Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 116,233 | 114,766 |
Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 4,764 | 4,867 |
Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 77,914 | 77,841 |
Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 9,356 | 5,504 |
Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 24,536 | 25,485 |
Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,743 | 3,520 |
Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,267 | 2,347 |
Pass [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 230,758 | 225,779 |
Pass [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 201,450 | 195,790 |
Pass [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 115,533 | 114,139 |
Pass [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 4,764 | 4,867 |
Pass [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 71,797 | 71,280 |
Pass [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 9,356 | 5,504 |
Pass [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 23,298 | 24,122 |
Pass [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,743 | 3,520 |
Pass [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,267 | 2,347 |
Special Mention [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 110 | 112 |
Special Mention [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Special Mention [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Special Mention [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Special Mention [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Special Mention [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Special Mention [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 110 | 112 |
Special Mention [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Special Mention [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Substandard [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 7,945 | 8,439 |
Substandard [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 6,817 | 7,188 |
Substandard [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 700 | 627 |
Substandard [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Substandard [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 6,117 | 6,561 |
Substandard [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Substandard [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 1,128 | 1,251 |
Substandard [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Substandard [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Real estate loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Real estate loans [Member] | One To Four Family [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Real estate loans [Member] | Multifamily [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Real estate loans [Member] | Commercial [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Real estate loans [Member] | Construction [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Commercial Loans [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Consumer Loans [Member] | Home Equity Loans And Lines Of Credit [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Doubtful [Member] | Consumer Loans [Member] | Other Consumer [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | $ 0 | $ 0 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Property Plant And Equipment [Abstract] | ||
Land | $ 1,365 | $ 1,365 |
Buildings and improvements | 13,651 | 13,624 |
Furniture, fixtures and equipment | 2,202 | 2,160 |
Premises and equipment, gross | 17,218 | 17,149 |
Less: Accumulated depreciation | (8,678) | (8,573) |
Premises and equipment, net | $ 8,540 | $ 8,576 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Dec. 31, 2020 | |
Property Plant And Equipment [Abstract] | ||
Depreciation expense | $ 105 | $ 419 |
Deposits - Additional Informati
Deposits - Additional Information (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Deposits [Abstract] | ||
FDIC insurance limit | $ 250 | $ 250 |
Time deposits that meet or exceed the FDIC Insurance limit | 36,658 | 35,110 |
Demand account reclassification to loans | $ 50 | $ 156 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Time Deposits (Details) $ in Thousands | Mar. 31, 2021USD ($) |
Deposits [Abstract] | |
2022 | $ 49,723 |
2023 | 21,507 |
2024 | 3,362 |
2025 | 8,776 |
2026 | $ 3,204 |
Federal Home Loan Bank Advanc_3
Federal Home Loan Bank Advances and Other Debt - Summary of Advances from the Federal Home Loan Bank (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Federal Home Loan Bank Advances [Line Items] | ||
Federal Home Loan Bank advances | $ 43,500 | $ 53,500 |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.73% [Member] | ||
Federal Home Loan Bank Advances [Line Items] | ||
Federal Home Loan Bank advances | 43,500 | 0 |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.74% [Member] | ||
Federal Home Loan Bank Advances [Line Items] | ||
Federal Home Loan Bank advances | $ 0 | $ 53,500 |
Federal Home Loan Bank Advanc_4
Federal Home Loan Bank Advances and Other Debt - Summary of Advances from the Federal Home Loan Bank (Parenthetical) (Details) | Mar. 31, 2021 | Dec. 31, 2020 |
Federal Home Loan Bank Advances [Line Items] | ||
FHLB average interest rate | 1.73% | |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.73% [Member] | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB average interest rate | 1.73% | 1.73% |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.73% [Member] | Minimum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 1.385% | 1.385% |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.73% [Member] | Maximum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 2.2025% | 2.2025% |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.74% [Member] | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB average interest rate | 1.74% | 1.74% |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.74% [Member] | Minimum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 1.385% | 1.385% |
Fixed Rate Maturities March 2024 Through March 2030 Averaging 1.74% [Member] | Maximum | ||
Federal Home Loan Bank Advances [Line Items] | ||
FHLB advances, interest rate | 2.2025% | 2.2025% |
Federal Home Loan Bank Advanc_5
Federal Home Loan Bank Advances and Other Debt - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Dec. 31, 2020 | |
Federal Home Loan Banks [Abstract] | ||
FHLB average interest rate | 1.73% | |
Payments for FHLB advance | $ 46,500 | |
Bank prepaid amount | 10,000 | |
Recognized gain loss | 104 | |
Collateralized agreements | 94,630 | $ 89,780 |
Maximum borrowing capacity | 66,202 | |
Long-term line of credit | 10,000 | 10,000 |
Line of credit facility, average outstanding amount | $ 0 | $ 0 |
Federal Home Loan Bank Advanc_6
Federal Home Loan Bank Advances and Other Debt - Summary of Payments over next Five Years (Details) $ in Thousands | Mar. 31, 2021USD ($) |
Federal Home Loan Banks [Abstract] | |
2022 | $ 0 |
2023 | 0 |
2024 | 5,000 |
2025 | 8,500 |
2026 | 15,000 |
Thereafter | $ 15,000 |
Employee Stock Ownership Plan -
Employee Stock Ownership Plan - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | ||
Oct. 31, 2009 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2017 | |
Compensation Related Costs [Abstract] | ||||
ESOP shares earned (in shares) | 98,500 | |||
Purchase price | $ 10 | |||
Employee stock ownership plan number of allocated shares | 140,972 | |||
Employee stock ownership plan ESOP compensation expense including mark to market adjustment amount | $ 37 | $ 85 | ||
Number of shares not yet released | 5,652 | |||
Annual ESOP valuation | $ 158 |
Stock Based Compensation - Addi
Stock Based Compensation - Additional Information (Details) - USD ($) $ in Thousands | Aug. 18, 2020 | Jan. 18, 2011 | Mar. 31, 2021 | Dec. 31, 2020 | May 31, 2020 | Dec. 31, 2010 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 20,000,000 | 20,000,000 | 200,000 | |||
Options vested | 0 | |||||
Options awarded | 120,000 | |||||
Unrecognized compensation cost | $ 468 | |||||
Unrecognized compensation cost recognition period | 4 years 3 months 29 days | |||||
2010 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 172,373 | |||||
Number of shares available for future grants | 0 | |||||
2020 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Restricted stock awards granted, (in shares) | 80,000 | |||||
Vesting period | 5 years | |||||
Expiration period | 10 years | |||||
Number of shares available for future grants | 0 | |||||
Restricted Stock | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Unrecognized compensation cost | $ 1,941 | |||||
Unrecognized compensation cost recognition period | 4 years 3 months 29 days | |||||
Restricted Stock | Maximum | 2010 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 49,249 | |||||
Restricted Stock | Maximum | 2020 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 80,000 | |||||
Stock Options | 2010 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 123,124 | |||||
Stock Options | 2020 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Common Stock, Shares Authorized | 120,000 | |||||
Issuance of common stock | 120,000 | |||||
2010 Equity Incentive Plan | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Issuance of common stock | 123,124 | |||||
Restricted stock awards granted, (in shares) | 49,249 | |||||
Vesting period | 5 years | |||||
Expiration period | 10 years |
Stock Based Compensation - Summ
Stock Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2020 | ||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Beginning balance of stock option | 122,290 | ||
stock option exercise | 2,290 | ||
Ending balance of stock option | 120,000 | 122,290 | |
Beginning balance of weighted avg exercise price per share | $ 27.67 | ||
Weighted avg exercise price per share | 10.30 | ||
Ending balance of weighted avg exercise price per share | $ 28 | $ 27.67 | |
Beginning balance of weighted avg remaining contractual life | 9 years 4 months 17 days | 9 years 9 months 21 days | |
Ending balance of aggregate intrinsic value | [1] | $ 210 | |
[1] | Based on last trade of $ 22.00 per share as of December 31, 2020 and $ 29.75 per share as of March 31, 2021. Intrinsic value for stock options is defined as the difference between the current market value and the exercise price multiplied by the number of in-the-money options. |
Stock Based Compensation - Su_2
Stock Based Compensation - Summary of Stock Option Activity (Parenthetical) (Details) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||
Share Price | $ 29.75 | $ 22 |
Stock Based Compensation - Su_3
Stock Based Compensation - Summary of Nonvested Restricted Stock Activity (Details) | 3 Months Ended |
Mar. 31, 2021shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Options vested | 0 |
Restricted Stock | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Balance – beginning of period | 80,000 |
Balance – end of period | 80,000 |
Stock Based Compensation - Su_4
Stock Based Compensation - Summary of Restricted Stock Fair Value (Details) - Restricted Stock - August 2020 $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($)shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares issued | shares | 80,000 |
Vesting period | 5 years |
Fair Value | $ | $ 28 |
Regulatory Capital Matters - Ad
Regulatory Capital Matters - Additional information (Details) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020USD ($) | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||||
Community bank leverage ratio minimum requirement | 0.1568 | 0.1549 | ||
Banking regulation, tier one leverage capital ratio | 0.07 | |||
Dividends declared | $ 5,442 | |||
Minimum | ||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||||
Community bank leverage ratio minimum requirement | 0.08 | |||
Percentage of assets be maintianed | 65.00% | |||
Forecast | ||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||||
Banking regulation, tier one leverage capital ratio | 0.08 | 0.075 | ||
Forecast | Minimum | ||||
Compliance With Regulatory Capital Requirements Under Banking Regulations [Line Items] | ||||
Community bank leverage ratio minimum requirement | 0.09 | 0.085 |
Regulatory Capital Matters - Sc
Regulatory Capital Matters - Schedule of actual and required capital amounts for the bank and ratios (Details) $ in Thousands | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Tier I capital (to average assets), Amount [Abstract] | ||
Actual Amount | $ 51,916 | $ 50,690 |
To be well Capitalized Under Prompt Corrective Action Regulations (CBLR Framework) Amount | $ 28,146 | $ 26,180 |
Tier I capital (to average assets), Ratio [Abstract] | ||
Actual Ratio | 0.1568 | 0.1549 |
To be well Capitalized Under Prompt Corrective Action Regulations (CBLR Framework) Ratio | 0.0850 | 0.0800 |
Fair Values of Financial Inst_3
Fair Values of Financial Instruments - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Dec. 31, 2020 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Other real estate owned assets value | $ 100,000 | |
Fair Value, Assets, Level 1 to Level 2 Transfers, Amount | 0 | $ 0 |
Fair Value, Assets, Level 2 to Level 1 Transfers, Amount | 0 | 0 |
Fair Value, Recurring [Member] | Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value | $ 0 | $ 0 |
Minimum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Duration of real estate assets hold | 2 years | |
Significant Unobservable Input Appraisal Discounts and Weighted Average Input Used | 15.00% | 15.00% |
Maximum [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Significant Unobservable Input Appraisal Discounts and Weighted Average Input Used | 20.00% | 20.00% |
Fair Values of Financial Inst_4
Fair Values of Financial Instruments - Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | $ 20,673 | $ 18,875 |
Fair Value Inputs Level 3 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 0 | 0 |
US Government Sponsored Entities and Agencies | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 3,000 | |
Municipal- Taxable [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 11,274 | 11,612 |
Municipal- Tax Exempt [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 2,471 | 2,850 |
Residential MB, GSE [Member] | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | 2,626 | 2,890 |
SBA Guaranteed Debenture | Fair Value Inputs Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total AFS | $ 1,302 | $ 1,523 |
Fair Values of Financial Inst_5
Fair Values of Financial Instruments - Reconciliation of Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Details) - Municipal- Taxable [Member] - Fair Value Inputs Level 3 [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |
Beginning Balance of recurring Level 3 assets | $ 1,734 |
Redemption | 1,734 |
Unrealized gain | 0 |
Ending Balance of recurring Level 3 assets | $ 0 |
Fair Values of Financial Inst_6
Fair Values of Financial Instruments - Schedule of Assets and Liabilities Measured at Fair Value on Non Recurring Basis (Details) - Fair Value Inputs Level 3 [Member] - Fair Value Measurements Non Recurring [Member] - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Real Estate Loan [Member] | One-To Four Family [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | $ 439 | $ 439 |
Foreclosed Real Esate [Member] | One-To Four Family [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | 108 | |
Foreclosed Real Esate [Member] | Commercial Real Estate | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | $ 326 | $ 326 |
Fair Values of Financial Inst_7
Fair Values of Financial Instruments - Schedule of Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financial assets: | ||
Securities available for sale | $ 20,673 | |
Restricted equity securities | 1,796 | $ 2,541 |
Accrued interest receivable | 771 | 1,001 |
Financial liabilities: | ||
Deposits | 229,791 | 216,963 |
Federal Home Loan Bank advances | 43,500 | |
Accrued interest payable | 73 | $ 100 |
Fair Value [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 57,174 | |
Securities available for sale | 20,673 | |
Loans held for sale | 0 | |
Loan, net | 240,921 | |
Accrued interest receivable | 771 | |
Financial liabilities: | ||
Deposits | 232,554 | |
Federal Home Loan Bank advances | 44,103 | |
Accrued interest payable | 73 | |
Fair Value [Member] | Fair Value Inputs Level 1 [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 57,174 | |
Securities available for sale | 0 | |
Loans held for sale | 0 | |
Loan, net | 0 | |
Accrued interest receivable | 0 | |
Financial liabilities: | ||
Deposits | 156,224 | |
Federal Home Loan Bank advances | 0 | |
Accrued interest payable | 3 | |
Fair Value [Member] | Fair Value Inputs Level 2 [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 0 | |
Securities available for sale | 20,673 | |
Loans held for sale | 0 | |
Loan, net | 0 | |
Accrued interest receivable | 104 | |
Financial liabilities: | ||
Deposits | 76,330 | |
Federal Home Loan Bank advances | 44,103 | |
Accrued interest payable | 70 | |
Fair Value [Member] | Fair Value Inputs Level 3 [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 0 | |
Loans held for sale | 0 | |
Loan, net | 240,921 | |
Accrued interest receivable | 667 | |
Financial liabilities: | ||
Deposits | 0 | |
Federal Home Loan Bank advances | 0 | |
Accrued interest payable | 0 | |
Carrying Amount [Member] | ||
Financial assets: | ||
Securities available for sale | 20,673 | |
Cash and cash equivalents | 57,174 | |
Loans held for sale | 0 | |
Loan, net | 236,271 | |
Accrued interest receivable | $ 771 |
Earnings Per Common Share - Cal
Earnings Per Common Share - Calculation of Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Earnings per share: | ||
Net Income | $ 785 | $ 798 |
Less: Distributed earning allocated to participating securities | ||
Less: Earnings allocated to participating securities | 2 | |
Net earnings allocated to common stock | $ 787 | $ 798 |
Weighted common shares outstanding including participating securities | 2,370,408 | 2,370,578 |
Less: Participating securities | (80,000) | (856) |
Less: Average unearned ESOP shares | (5,653) | (11,305) |
Weighted average shares | 2,284,755 | 2,358,417 |
Basic earnings per share | $ 0.34 | $ 0.34 |
Net earnings allocated to common stock | $ 787 | $ 798 |
Weighted average shares | 2,284,755 | 2,358,417 |
Add: dilutive effects of assumed exercises of stock options | 8,311 | 2,355 |
Average shares and dilutive potential common shares | 2,293,066 | 2,360,772 |
Dilutive earnings per share | $ 0.34 | $ 0.34 |
Earning Per Common Share - Addi
Earning Per Common Share - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2021shares | |
Stock Options | |
Diluted earnings per common share | 120,000 |