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Allowance for Credit Losses (“ACL”) on Loans (Tables)
 9 Months Ended
Sep. 30, 2022
Credit Loss [Abstract]  
Schedule of Allowance for Credit Losses for Off-Balance Sheet credit Exposures
The table below summarizes the allowance for credit losses for off-balance sheet credit exposures as of, and for the three and nine months ended September 30, 2022, and September 30, 2021 (in thousands):

Three Months Ended September 30,Nine Months Ended September 30,
2022202120222021
Balance at beginning of period$2,480 $1,808 $1,852 $1,545 
(Benefit)/provision for credit losses(1,888)265 (1,260)528 
Balance at end of period$592 $2,073 $592 $2,073 
Allowance For Loan Losses And Loans Receivable By Portfolio Segment Table
The following tables set forth activity in our allowance for credit losses on loans, by loan type, as of, and for the three and nine months ended September 30, 2022, and September 30, 2021 (in thousands):

 
Three Months Ended September 30, 2022
 Real Estate     
 
Commercial (1)
One-to-Four FamilyHome Equity and Lines of CreditConstruction and LandCommercial and IndustrialOtherTotal Loans (excluding PCD)PCDTotal
Allowance for credit losses:
Beginning balance$28,065 $3,005 $802 $285 $2,705 $11 $34,873 $4,158 $39,031 
Charge-offs— — — — — — — (75)(75)
Recoveries4 7 19 — 12 4 46 178 224 
Provisions (credit)2,117 553 53 (10)238 (9)2,942 (239)2,703 
Ending balance$30,186 $3,565 $874 $275 $2,955 $6 $37,861 $4,022 $41,883 

 
Three Months Ended September 30, 2021
 Real Estate     
 
Commercial (1)
One-to-Four FamilyHome Equity and Lines of CreditConstruction and LandCommercial and IndustrialOtherTotal Loans (excluding PCD)PCDTotal
Allowance for credit losses:         
Beginning balance26,540 4,610 663 259 2,594 7 34,673 4,820 39,493 
Charge-offs— — — — (541)(3)(544)— (544)
Recoveries— 27 25 — 6 3 61 — 61 
Provisions (credit)(297)(230)(46)(69)542 (1)(101)(47)(148)
Ending balance$26,243 $4,407 $642 $190 $2,601 $6 $34,089 $4,773 $38,862 
(1) Commercial includes commercial real estate loans collateralized by owner-occupied, non-owner occupied, and multifamily properties.
 Nine Months Ended September 30, 2022
 Real Estate     
 
Commercial (1)
One-to-Four FamilyHome Equity and Lines of CreditConstruction and LandCommercial and IndustrialOtherTotal Loans (excluding PCD)PCDTotal
Allowance for credit losses:
Beginning balance$26,785 $3,545 $560 $169 $3,173 $9 $34,241 $4,732 $38,973 
Charge-offs— — — — (185)— (185)(600)(785)
Recoveries101 7 19 — 131 4 262 178 440 
Provisions (credit)3,300 13 295 106 (164)(7)3,543 (288)3,255 
Ending balance$30,186 $3,565 $874 $275 $2,955 $6 $37,861 $4,022 $41,883 
 Nine Months Ended September 30, 2021
 Real Estate     
 
Commercial (1)
One-to-Four FamilyHome Equity and Lines of CreditConstruction and LandCommercial and IndustrialOtherTotal Loans (excluding PCD)PCDTotal
Allowance for credit losses:         
Beginning balance$33,005 $207 $260 $1,214 $1,842 $198 $36,726 $881 $37,607 
Impact of CECL adoption(1,949)5,233 419 (921)947 (188)3,541 6,812 10,353 
Balance at January 1, 202131,056 5,440 679 293 2,789 10 40,267 7,693 47,960 
Charge-offs— (21)— — (553)(3)(577)(2,411)(2,988)
Recoveries19 29 26 — 34 5 113 — 113 
Provisions (credit)(4,832)(1,041)(63)(103)331 (6)(5,714)(509)(6,223)
Ending balance$26,243 $4,407 $642 $190 $2,601 $6 $34,089 $4,773 $38,862 
(1) Commercial includes commercial real estate loans collateralized by owner-occupied, non-owner occupied, and multifamily properties.

The allowance for credit losses on loans increased to $41.9 million at September 30, 2022, compared to $39.0 million as of December 31, 2021, primarily due to growth in the loan portfolio and a declining macroeconomic outlook.
The following tables detail the amount of loans receivable held-for-investment, net of deferred loan fees and costs, that are evaluated, individually and collectively, for impairment, and the related portion of the allowance for credit losses that is allocated to each loan portfolio segment, at September 30, 2022 and December 31, 2021 (in thousands):
 September 30, 2022
 Real Estate     
 
Commercial (1)
One-to-Four FamilyHome Equity and Lines of CreditConstruction and LandCommercial and IndustrialOtherTotal Loans (excluding PCD)PCDTotal
Allowance for credit losses:
Ending balance: individually evaluated for impairment$25 $— $3 $— $18 $— $46 $— $46 
Ending balance: collectively evaluated for impairment30,160 3,565 871 275 2,938 6 37,815 — 37,815 
Ending balance: PCD loans evaluated for impairment (2)
— — — — — — — 4,022 4,022 
Loans, net:         
Ending balance$3,745,712 $176,251 $146,546 $21,668 $141,873 $2,158 $4,234,208 $11,973 $4,246,181 
Ending balance: individually evaluated for impairment8,566 680 27 — 97 9,370 — 9,370 
Ending balance: collectively evaluated for impairment3,737,146 175,571 146,519 21,668 136,269 2,158 4,219,331 — 4,219,331 
Ending balance: PCD loans evaluated for impairment (2)
— — — — — — — 11,973 11,973 
PPP loans not evaluated for impairment (3)
— — — — 5,507 — 5,507 — 5,507 

 December 31, 2021
 Real Estate     
 
Commercial (1)
One-to-Four FamilyHome Equity and Lines of CreditConstruction and LandCommercial and IndustrialOtherTotal Loans (excluding PCD)PCDTotal
Allowance for credit losses:
Ending balance: individually evaluated for impairment$25 $2 $2 $— $1 $— $30 $— $30 
Ending balance: collectively evaluated for impairment26,760 3,543 558 169 3,172 9 34,211 — 34,211 
Ending balance: PCD loans evaluated for impairment (2)
— — — — — — — 4,732 4,732 
Loans, net:         
Ending balance$3,326,662 $183,665 $109,956 $27,495 $141,005 $2,015 $3,790,798 $15,819 $3,806,617 
Ending balance: individually evaluated for impairment8,352 1,562 38 — 34 — 9,986 — 9,986 
Ending balance: collectively evaluated for impairment3,318,310 182,103 109,918 27,495 100,454 2,015 3,740,295 — 3,740,295 
Ending balance: PCD loans evaluated for impairment (2)
— — — — — — — 15,819 15,819 
PPP loans not evaluated for impairment (3)
— — — — 40,517 — 40,517 — 40,517 
(1) Commercial includes commercial real estate loans collateralized by owner-occupied, non-owner occupied, and multifamily properties.
(2) Upon adoption of CECL, the Company elected to maintain pools of PCD loans that were previously accounted for under ASC 310-30, and will continue to evaluate PCD loans under this guidance.
(3) PPP loans are guaranteed by the SBA and therefore excluded from the allowance for credit losses.