DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2022

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Summary of Interest Rate Swaps Designated as Cash Flow Hedges

	September 30, 2022								December 31, 2021
	Weighted average Maturity in years		Weighted average pay rate			Weighted average rate received			Weighted average Maturity in years		Weighted average pay rate			Weighted average rate received
Subordinated note hedges		13.0		2.81	%		1.80	%		13.7		2.81	%		1.92	%
Fixed rate loan hedges		1.5		5.50	%		5.60	%		—		—			—
Total cash flow hedges		2.1		5.37	%		5.42	%		13.7		2.81	%		1.92	%

Summary of Notional Balance and Fair Values of Derivatives Outstanding

The following table shows the notional balances and fair values (including net accrued interest) of the derivatives outstanding by derivative type at September 30, 2022, and December 31, 2021.

	September 30, 2022								December 31, 2021
	Notional Amount		Derivative Assets			Derivative Liabilities			Notional Amount		Derivative Assets		Derivative Liabilities
Derivatives designated as hedging instruments:
Interest rate swaps	$	21,777	$	2,482		$	—		$	26,663	$	—	$	369
Derivatives designated as cash flow hedges:
Interest rate swaps		157,500		2,131			4,172			7,500		602		—
Total derivatives designated as hedging relationships		179,277		4,613			4,172			34,163		602		369
Derivatives not designated as hedging instruments:
Interest rate swaps		110,411		4,221			3,446			150,780		4,419		5,184
Total derivatives not designated as hedging    instruments		110,411		4,221			3,446			150,780		4,419		5,184
Total	$	289,688		8,834			7,618		$	184,943		5,021		5,553
Cash collateral				—			1,613					—		(8,441	)
Netting adjustments				(5,769	)		(5,769	)				2,994		2,994
Net amount presented in Balance Sheet			$	3,065		$	3,462				$	8,015	$	106

Summary of Designated and Qualifying Hedged Items in Fair Value Hedges

The table below lists designated and qualifying hedged items in fair value hedges at September 30, 2022, and December 31, 2021.

	September 30, 2022							December 31, 2021
	Carrying Amount		Hedging Fair Value Adjustment			Fair Value Adjustments on Discontinued Hedges		Carrying Amount		Hedging Fair Value Adjustment		Fair Value Adjustments on Discontinued Hedges
Commercial real estate loans	$	17,305	$	(2,479	)	$	—	$	26,661	$	213	$	—
Total	$	17,305	$	(2,479	)	$	—	$	26,661	$	213	$	—

Summary of Net Gains/ (Losses) on Derivatives and Hedging Activities

For the three and nine month periods ended September 30, 2022, and 2021, the Company recorded net gains (losses) on derivatives and hedging activities as shown in the table below.

	Three Months Ended September 30,					Nine Months Ended September 30,
	2022		2021			2022		2021
Derivatives designated as hedging instruments:
Interest rate swaps	$	46	$	—		$	148	$	—
Total net gain (loss) related to derivatives designated as hedging instruments		46		—			148		—
Derivatives designated as cash flow hedges:
Interest rate swaps		—		—			—		—
Total net gain (loss) related to derivatives designated as cash flow hedges		—		—			—		—
Total net gains (losses) related to hedging relationships		46		—			148		—
Derivatives not designated as hedging instruments:
Economic hedges:
Interest rate swaps		402		(49	)		1,544		196
Total net gains (losses) related to derivatives not    designated as hedging instruments		402		(49	)		1,544		196
Net gains (losses) on derivatives and hedging activities	$	448	$	(49	)	$	1,692	$	196

Summary of Recorded Net Gains (Losses) on Derivatives and Related Hedged Items in Fair Value Hedging Relationships

The following table shows the recorded net gains (losses) on derivatives and the related hedged items in fair value hedging relationships and the impact of those derivatives on the Company’s net interest income for the three month periods ended September 30, 2022 and 2021.

	September 30, 2022
	Gain/(Loss) on Derivatives		Gain/(Loss) on Hedged Items			Net Fair Value Hedge Gain/(Loss)		Effect of Derivatives on Net Interest Income
Commercial real estate loans	$	761	$	(715	)	$	46	$	(154	)
Total	$	761	$	(715	)	$	46	$	(154	)

	September 30, 2021
	Gain/(Loss) on Derivatives			Gain/(Loss) on Hedged Items		Net Fair Value Hedge Gain/(Loss)		Effect of Derivatives on Net Interest Income
Commercial real estate loans	$	(20	)	$	20	$	—	$	(25	)
Total	$	(20	)	$	20	$	—	$	(25	)

The following table shows the recorded net gains (losses) on derivatives and the related hedged items in fair value hedging relationships and the impact of those derivatives on the Company’s net interest income for the nine month periods ended September 30, 2022 and 2021.

	September 30, 2022
	Gain/(Loss) on Derivatives		Gain/(Loss) on Hedged Items			Net Fair Value Hedge Gain/(Loss)		Effect of Derivatives on Net Interest Income
Commercial real estate loans	$	2,840	$	(2,692	)	$	148	$	(626	)
Total	$	2,840	$	(2,692	)	$	148	$	(626	)

	September 30, 2021
	Gain/(Loss) on Derivatives			Gain/(Loss) on Hedged Items		Net Fair Value Hedge Gain/(Loss)		Effect of Derivatives on Net Interest Income
Commercial real estate loans	$	(191	)	$	191	$	—	$	(81	)
Total	$	(191	)	$	191	$	—	$	(81	)