(3) SECURITIES

The carrying amount of securities and their estimated fair values at March 31, 2018 and December 31, 2017 were as follows:


	March 31, 2018
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
	(Dollars in Thousands)
Restricted:
FHLB stock	$	4,428		—		—			4,428

Available for sale:
U.S. Agency securities	$	81,263		241		(1,358	)		80,146
Taxable municipal bonds		1,277		1		(5	)		1,273
Tax free municipal bonds		26,412		441		(185	)		26,668
Trust preferred securities		1,655		325		—			1,980
Mortgage backed securities		71,772		113		(1,740	)		70,145

	$	182,379		1,121		(3,288	)		180,212


	December 31, 2017
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
	(Dollars in Thousands)
Restricted:
FHLB stock	$	4,428		—		—			4,428

Available for sale:
U.S. Agency securities		84,210		536		(653	)		84,093
Taxable municipal bonds		1,279		5		(1	)		1,283
Tax free municipal bonds		26,412		637		(83	)		26,966
Trust preferred securities		1,650		35		—			1,685
Mortgage-backed securities		71,389		201		(826	)		70,764

	$	184,940		1,414		(1,563	)		184,791

The scheduled maturities of debt securities available for sale at March 31, 2018 were as follows:


	Amortized Cost		Estimated Fair Value
	(Dollars in Thousands)
Due within one year	$	3,103	$	3,123
Due in one to five years		29,802		29,394
Due in five to ten years		16,013		15,885
Due after ten years		7,226		7,643

		56,144		56,045
Amortizing agency bonds		54,463		54,022
Mortgage-backed securities		71,772		70,145

Total securities available for sale	$	182,379	$	180,212

The estimated fair value and unrealized loss amounts of temporarily impaired investments as of March 31, 2018 were as follows:


	Less than 12 months					12 months or longer					Total
	Estimated Fair Value		Unrealized Losses			Estimated Fair Value		Unrealized Losses			Estimated Fair Value		Unrealized Losses
	(Dollars in Thousands)
Available for sale
U.S. Agency securities	$	50,671		(1,046	)		10,343		(312	)		61,014		(1,358	)
Taxable municipal bonds		515		(5	)		—		—			515		(5	)
Tax free municipal bonds		6,810		(140	)		900		(45	)		7,710		(185	)
Mortgage-backed securities		43,853		(976	)		20,975		(764	)		64,828		(1,740	)

Total available for sale	$	101,849		(2,167	)		32,218		(1,121	)		134,067		(3,288	)

The estimated fair value and unrealized loss amounts of temporarily impaired investments as of December 31, 2017 were as follows:


	Less than 12 months					12 months or longer					Total
	Estimated		Unrealized			Estimated		Unrealized			Estimated		Unrealized
	Fair Value		Losses			Fair Value		Losses			Fair Value		Losses
	(Dollars in Thousands)
Available for sale
U.S. Agency securities	$	41,501		(431	)		9,846		(222	)		51,347		(653	)
Taxable municipal bonds		521		(1	)		—		—			521		(1	)
Tax free municipal bonds		4,860		(51	)		913		(32	)		5,773		(83	)
Mortgage-backed securities		40,441		(289	)		21,566		(537	)		62,007		(826	)

Total available for sale	$	87,323		(772	)		32,325		(791	)		119,648		(1,563	)

Management evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluations. Consideration is given to (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value.

At March 31, 2018, the Company has 98 securities with unrealized losses. The losses for all securities are considered to be a direct result of the effect that the prevailing interest rate environment had on the value of debt securities and are not related to the credit worthiness of the issuers. Furthermore, the Company has the intent and ability to retain its investments in the issuers for a period of time that management believes to be sufficient to allow for any anticipated recovery in fair value. Therefore, the Company did not recognize any other-than-temporary impairments as of March 31, 2018.

At March 31, 2018 and December 31, 2017, securities with a book value of approximately $113.3 million and $119.8 million and a market value of approximately $113.8 million and $118.0 million, respectively, were pledged to various municipalities for deposits in excess of FDIC limits as required by law. At March 31, 2018 and December 31, 2017, securities with a market value of $41.8 million and $38.4 million, respectively, were sold to customers as part of overnight repurchase agreements.