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Fair Value Accounting (Tables)
 3 Months Ended
Dec. 31, 2016
Fair Value Disclosures [Abstract]  
Assets Measured on a Recurring Basis
The following tables present the financial instruments measured at fair value on a recurring basis as of December 31, 2016 and September 30, 2016:
 
Fair
Value
 
Quoted Prices in
Active Markets
for Identical
Instruments
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
December 31, 2016
 
 
 
 
 
 
 
Investment securities:
 
 
 
 
 
 
 
U.S. government agency obligations
$
15,079

 
$
—

 
$
15,079

 
$
—

Obligations of states and political subdivisions
32,147

 
—

 
32,147

 
—

Mortgage-backed securities
33,416

 
—

 
33,416

 
—

Federal Agricultural Mortgage Corporation
116

 
—

 
116

 
—

Trust preferred securities
378

 
—

 
—

 
378

Total
$
81,136

 
$
—

 
$
80,758

 
$
378

September 30, 2016
 
 
 
 
 
 
 
Investment securities:
 
 
 
 
 
 
 
U.S. government agency obligations
$
16,407

 
$
—

 
$
16,407

 
$
—

Obligations of states and political subdivisions
34,012

 
—

 
34,012

 
—

Mortgage-backed securities
29,247

 
—

 
29,247

 
—

Federal Agricultural Mortgage Corporation
81

 
—

 
81

 
—

Trust preferred securities
376

 
—

 
—

 
376

Total
$
80,123

 
$
—

 
$
79,747

 
$
376
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
The following table presents additional information about the security available for sale measured at fair value on a recurring basis and for which the Company utilized significant unobservable inputs (Level 3 inputs) to determine fair value for the three months ended December 31, 2016 and year ended September 30, 2016:
 
 
 Fair value measurements using significant unobservable inputs (Level 3)
Securities available for sale
 
Three months ended December 31, 2016
 
Year ended September 30, 2016
Balance, beginning of period
 
$
376

 
$
—

Payments received
 
—

 
—

Total gains or losses (realized/unrealized)
 
 
 
 
Included in earnings
 
2

 
—

Included in other comprehensive income
 
—

 
—

Transfers in and/or out of Level 3
 
—

 
376

Balance, end of period
 
$
378

 
$
376
Assets Measured on a Nonrecurring Basis
The following tables present the financial instruments measured at fair value on a nonrecurring basis as of December 31, 2016 and September 30, 2016:
 
Fair
Value
 
Quoted Prices in
Active Markets
for Identical
Instruments
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level  3)
December 31, 2016
 
 
 
 
 
 
 
Foreclosed and repossessed assets, net
$
784

 
$
—

 
$
—

 
$
784

Impaired loans with allocated allowances
2,287

 
—

 
—

 
2,287

Total
$
3,071

 
$
—

 
$
—

 
$
3,071

September 30, 2016
 
 
 
 
 
 
 
Foreclosed and repossessed assets, net
$
776

 
$
—

 
$
—

 
$
776

Impaired loans with allocated allowances
2,412

 
—

 
—

 
2,412

Total
$
3,188

 
$
—

 
$
—

 
$
3,188
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
The following table represents additional quantitative information about assets measured at fair value on a
recurring and nonrecurring basis and for which we have utilized Level 3 inputs to determine their fair value at
December 31, 2016.
 
Fair
Value
 
Valuation Techniques (1)
 
Significant Unobservable Inputs (2)
 
Range
December 31, 2016
 
 
 
 
 
 
 
Foreclosed and repossessed assets, net
$
784

 
Appraisal value
 
Estimated costs to sell
 
10 - 15%
Impaired loans with allocated allowances
$
2,287

 
Appraisal value
 
Estimated costs to sell
 
10 - 15%
September 30, 2016
 
 
 
 
 
 
 
Foreclosed and repossessed assets, net
$
776

 
Appraisal value
 
Estimated costs to sell
 
10 - 15%
Impaired loans with allocated allowances
$
2,412

 
Appraisal value
 
Estimated costs to sell
 
10 - 15%
(1)     Fair value is generally determined through independent third-party appraisals of the underlying
collateral, which generally includes various level 3 inputs which are not observable.
(2)     The fair value basis of impaired loans and real estate owned may be adjusted to reflect management
estimates of disposal costs including, but not limited to, real estate brokerage commissions, legal fees,
and delinquent property taxes.
Carrying amount and estimated fair value of financial instruments
The carrying amount and estimated fair value of the Company's financial instruments as of the dates indicated below were as follows:
 
 
December 31, 2016
 
September 30, 2016
 
Valuation Method Used
Carrying
Amount
 
Estimated
Fair
Value
 
Carrying
Amount
 
Estimated
Fair
Value
Financial assets:
 
 
 
 
 
 
 
 
Cash and cash equivalents
(Level 1)
$
20,444

 
$
20,444

 
$
10,046

 
$
10,046

Interest-bearing deposits
(Level 1)
745

 
750

 
745

 
760

Securities available for sale "AFS"
See above
81,136

 
81,136

 
80,123

 
80,123

Securities held to maturity "HTM"
(Level II)
6,235

 
6,343

 
6,669

 
6,944

Non-marketable equity securities, at cost
(Level II)
5,365

 
5,365

 
5,034

 
5,034

Loans receivable, net
(Level III)
542,987

 
555,321

 
568,371

 
585,679

Accrued interest receivable
(Level 1)
2,073

 
2,073

 
2,032

 
2,032

Financial liabilities:
 
 
 
 
 
 
 
 
Deposits
(Level III)
$
535,112

 
$
539,073

 
$
557,677

 
$
561,919

FHLB advances
(Level III)
73,491

 
73,305

 
59,291

 
59,557

Other borrowings
(Level 1)
11,000

 
11,000

 
11,000

 
11,000

Other liabilities
(Level 1)
2,830

 
2,830

 
3,353

 
3,353

Accrued interest payable
(Level 1)
155

 
155

 
122

 
122