FAIR VALUE (Tables)

9 Months Ended

Sep. 30, 2020

Fair Value Disclosures [Abstract]

Schedule of Financial Assets (Liabilities) Measured at Fair Value

The following tables summarize quantitative disclosures about the fair value measurements for each category of financial assets (liabilities) carried at fair value:

As of September 30, 2020	Fair Value			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Other Unobservable Inputs (Level 3)
Assets (liabilities) at fair value on a recurring basis:
Available for sale securities:
Mortgage-backed securities	$	98,371		$	—	$	98,371		$	—
Collateralized mortgage obligations		75,329			—		75,329			—
Municipal securities		175,308			—		175,308			—
Corporate bonds		19,879			—		19,879			—
Loans held for sale		9,148			—		—			9,148
Cash surrender value of life insurance		35,304			—		35,304			—
SBA servicing assets		746			—		—			746
Derivative instrument assets		689			—		689			—
Derivative instrument liabilities		(1,256	)		—		(1,256	)		—

As of December 31, 2019	Fair Value			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Other Unobservable Inputs (Level 3)
Assets (liabilities) at fair value on a recurring basis:
Available for sale securities:
Mortgage-backed securities	$	84,182		$	—	$	84,182		$	—
Collateralized mortgage obligations		90,927			—		90,927			—
Municipal securities		17,348			—		17,348			—
Corporate bonds		20,259			—		20,259			—
Loans held for sale		2,368			—		—			2,368
Cash surrender value of life insurance		34,495			—		34,495			—
SBA servicing assets		672			—		—			672
Derivative instrument assets		526			—		526			—
Derivative instrument liabilities		(526	)		—		(526	)		—
Assets at fair value on a nonrecurring basis:
Impaired loans		20,028			—		—			20,028

Schedule of Foreclosed Assets Measured at Fair Value

The following table presents foreclosed assets that were remeasured and recorded at fair value as of:

	September 30, 2020			December 31, 2019			September 30, 2019
Other real estate owned remeasured at initial recognition:
Carrying value of other real estate owned prior to remeasurement	$	—		$	147		$	137
Charge-offs recognized in the allowance for credit losses		—			(11	)		(9	)
Fair value of other real estate owned remeasured at initial recognition	$	—		$	136		$	128
Other real estate owned remeasured subsequent to initial recognition:
Carrying value of other real estate owned prior to remeasurement	$	62		$	35		$	—
Write-downs included in collection and other real estate owned expense		(1	)		(10	)		—
Fair value of other real estate owned remeasured subsequent to initial recognition	$	61		$	25		$	—

Schedule of Quantitative Information About Nonrecurring Level 3 Fair Value Measurements

The following table presents quantitative information about nonrecurring Level 3 fair value measurements as of:

	Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range (Weighted Average)
September 30, 2020
Other real estate owned	$	310	Appraisal value of collateral	Selling costs or other normal adjustments	10%-20% (16%)

	Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range (Weighted Average)
December 31, 2019
Impaired loans	$	20,028	Fair value of collateral - sales comparison approach	Selling costs or other normal adjustments: Real estate Equipment	10%-20% (16%) 10%-20% (12%)
Other real estate owned	$	603	Appraisal value of collateral	Selling costs or other normal adjustments	10%-20% (16%)

Schedule of Individually Evaluated Collateral Dependent Loans at Fair Value

The following table presents information on individually evaluated collateral dependent loans as of September 30, 2020:

	Fair Value Measurements Using
	Level 1		Level 2		Level 3		Total Fair Value
Commercial and industrial	$	—	$	—	$	92	$	92
Real estate:
Construction and development		—		—		435		435
Commercial real estate		—		—		7,997		7,997
Farmland		—		—		—		—
1-4 family residential		—		—		—		—
Multi-family residential		—		—		—		—
Consumer		—		—		—		—
Agricultural		—		—		—		—
Overdrafts
Total	$	—	$	—	$	8,524	$	8,524

Schedule of Carrying Amounts And Estimated Fair Values of Financial Instruments

The carrying amounts and estimated fair values of financial instruments not previously discussed in this note, as of September 30, 2020 and December 31, 2019, are as follows:

	Fair value measurements as of September 30, 2020 using:
	Carrying Amount		Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value
Financial assets:
Cash, due from banks, federal funds sold and interest-bearing deposits	$	193,371	$	193,371	$	—	$	—	$	193,371
Loans, net		1,921,234		—		—		1,932,813		1,932,813
Accrued interest receivable		8,361		—		8,361		—		8,361
Nonmarketable equity securities		13,493		—		13,493		—		13,493
Financial liabilities:
Deposits	$	2,223,082	$	1,834,047	$	391,237	$	—	$	2,225,284
Securities sold under repurchase agreements		20,520		—		20,520		—		20,520
Accrued interest payable		945		—		945		—		945
Federal Home Loan Bank advances		99,105		—		99,144		—		99,144
Subordinated debentures		20,310		—		17,891		—		17,891

	Fair value measurements as of December 31, 2019 using:
	Carrying Amount		Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value
Financial assets:
Cash, due from banks, federal funds sold and interest-bearing deposits	$	90,714	$	90,714	$	—	$	—	$	90,714
Marketable securities held to maturity		155,458		—		160,460		—		160,460
Loans, net		1,690,794		—		—		1,705,155		1,705,155
Accrued interest receivable		9,151		—		9,151		—		9,151
Nonmarketable equity securities		12,301		—		12,301		—		12,301
Financial liabilities:
Deposits	$	1,956,804	$	1,438,509	$	520,469	$	—	$	1,958,978
Securities sold under repurchase agreements		11,100		—		11,100		—		11,100
Accrued interest payable		1,642		—		1,642		—		1,642
Federal Home Loan Bank advances		55,118		—		55,125		—		55,125
Subordinated debentures		10,810		—		8,677		—		8,677