
	December 31, 2020						December 31, 2019
(Dollars in thousands)	Amortized Cost		Unpaid Principal		Difference		Amortized Cost		Unpaid Principal		Difference
Commercial real estate	$	779,158	$	782,614	$	(3,456)	$	1,046,961	$	1,051,684	$	(4,723)
Construction, land development, land	219,647		220,021		(374)		160,569		162,335		(1,766)
1-4 family residential properties	157,147		157,731		(584)		179,425		180,340		(915)
Farmland	103,685		104,522		(837)		154,975		156,995		(2,020)
Commercial	1,562,957		1,579,841		(16,884)		1,342,683		1,346,444		(3,761)
Factored receivables	1,120,770		1,122,008		(1,238)		619,986		621,697		(1,711)
Consumer	15,838		15,863		(25)		21,925		21,994		(69)
Mortgage warehouse	1,037,574		1,037,574		—		667,988		667,988		—
Total	4,996,776		$	5,020,174	$	(23,398)	4,194,512		$	4,209,477	$	(14,965)
Allowance for credit losses	(95,739)						(29,092)
	$	4,901,037					$	4,165,420

The difference between the amortized cost and unpaid principal balance is primarily (1) premiums and discounts associated with acquired loans totaling $18,511,000 and $13,573,000 at December 31, 2020 and 2019, respectively, and (2) net deferred origination and factoring fees totaling $4,887,000 and $1,392,000 at December 31, 2020 and 2019, respectively.

As of December 31, 2020, most of the Company’s non-factoring business activity is with customers located within certain states. The states of Texas (22%), Colorado (17%), Illinois (12%), and Iowa (6%), make up 57% of the Company’s gross loans, excluding factored receivables. Therefore, the Company’s exposure to credit risk is affected by changes in the economies in these states. At December 31, 2019, the states of Texas (27%), Colorado (23%), Illinois (13%), and Iowa (7%) made up 70% of the Company’s gross loans, excluding factored receivables.

At December 31, 2020 and 2019, the Company had $145,892,000 and $66,754,000, respectively, of customer reserves associated with factored receivables which are held to settle any payment disputes or collection shortfalls, may be used to pay customers’ obligations to various third parties as directed by the customer and are periodically released to or withdrawn by customers. Customer reserves are reported as deposits in the consolidated balance sheets.

As of December 31, 2020 the Company carries a separate $19,600,000 receivable (the “Misdirected Payments”) payable by the United States Postal Service (“USPS”) arising from accounts factored to the largest Over-Formula Advance Portfolio carrier. This amount is included in factored receivables and is separate from the aforementioned Over-Formula Advance Portfolio. The amounts represented by this receivable were paid by the USPS directly to such customer in contravention of notices of assignment delivered to, and previously honored by, the USPS, which amount was then not remitted back to the Company by such customer as required. The USPS disputes their obligation to make such payment, citing purported deficiencies in the notices delivered to them. In addition to commencing litigation against such customer, the Company has also filed a declaratory judgment action in Federal District Court for the Southern District of Florida seeking a ruling that the USPS was obligated to make the payments represented by this receivable directly to the Company. Based on our legal analysis and discussions with our counsel advising us on this matter, the Company believes it is probable that it will prevail in such action and that the USPS will have the capacity to make payment on such receivable. Consequently, the Company has not reserved for such balance as of December 31, 2020.

During the year ended December 31, 2020, loans with carrying amounts of $185,823,000 were transferred from loans held for investment to loans held for sale at fair value concurrently with management’s change in intent and decision to sell the loans. During the year ended December 31, 2020, certain loans transferred to held for sale were sold resulting in proceeds of $165,877,000, and the Company recognized net losses on transfers and sales of loans, which were recorded as other noninterest income in the consolidated statements of income, of $770,000.

During the year ended December 31, 2019, loans with carrying amounts of $46,163,000 were transferred from loans held for investment to loans held for sale at fair value concurrently with management’s change in intent and decision to sell the loans. During the year ended December 31, 2019, certain loans transferred to held for sale were sold resulting in proceeds of $47,832,000 and net gains on transfers and sales of loans, which were recorded as other noninterest income in the Consolidated Statements of Income, of $1,669,000.

During the year ended December 31, 2018, a related party loan with a carrying amount of $9,781,000 was transferred to loans held for sale as the Company made the decision to sell the loan. The loan was subsequently sold at its par value for no gain or loss. See Note 18 – Related Party Transactions for further information regarding the sale of the related party loan.

The Company’s estimate of the ACL reflects losses expected over the remaining contractual life of the assets. The contractual term does not consider extensions, renewals or modifications unless the Company has identified an expected troubled debt restructuring. The activity in the allowance for credit losses (“ACL”) related to loans held for investment is as follows:


(Dollars in thousands)	Beginning Balance		Impact of Adopting ASC 326		Initial ACL on Loans Purchased with Credit Deterioration		Credit Loss Expense		Charge-offs		Recoveries		Reclassification To Held For Sale		Ending Balance
Year ended December 31, 2020
Commercial real estate	$	5,353	$	1,372	$	—	$	3,607	$	(320)	$	170	$	—	$	10,182
Construction, land development, land	1,382		(187)		—		2,005		(23)		241		—		3,418
1-4 family residential properties	308		513		—		378		(27)		53		—		1,225
Farmland	670		437		—		(355)		—		80		—		832
Commercial	12,566		(184)		—		11,336		(2,344)		1,115		(449)		22,040
Factored receivables	7,657		(1,630)		37,415		16,079		(3,201)		143		—		56,463
Consumer	488		(52)		—		562		(573)		117		—		542
Mortgage warehouse	668		—		—		369		—		—		—		1,037
	$	29,092	$	269	$	37,415	$	33,981	$	(6,488)	$	1,919	$	(449)	$	95,739


(Dollars in thousands)	Beginning Balance		Provision		Charge-offs		Recoveries		Ending Balance
Year ended December 31, 2019
Commercial real estate	$	4,493	$	1,163	$	(304)	$	1	$	5,353
Construction, land development, land	1,134		234		(78)		92		1,382
1-4 family residential properties	317		71		(141)		61		308
Farmland	535		400		(265)		—		670
Commercial	12,865		2,580		(3,326)		447		12,566
Factored receivables	7,299		2,556		(2,494)		296		7,657
Consumer	615		583		(876)		166		488
Mortgage warehouse	313		355		—		—		668
	$	27,571	$	7,942	$	(7,484)	$	1,063	$	29,092


(Dollars in thousands)	Beginning Balance		Provision		Charge-offs		Recoveries		Ending Balance
Year ended December 31, 2018
Commercial real estate	$	3,435	$	1,044	$	(90)	$	104	$	4,493
Construction, land development, land	883		293		(59)		17		1,134
1-4 family residential properties	293		23		(17)		18		317
Farmland	310		425		(200)		—		535
Commercial	8,150		10,052		(5,855)		518		12,865
Factored receivables	4,597		3,857		(1,224)		69		7,299
Consumer	783		457		(989)		364		615
Mortgage warehouse	297		16		—		—		313
	$	18,748	$	16,167	$	(8,434)	$	1,090	$	27,571

The ACL as of December 31, 2020 was estimated using the current expected credit loss model. Management determined that the $62,200,000 in Over-Formula Advances and some smaller immaterial factored receivables obtained through the TFS Acquisition had experienced more than insignificant credit deterioration since origination and thus deemed those Over-Formula Advances to be purchased credit deteriorated ("PCD"). This resulted in recording a $37,415,000 ACL on the PCD assets through purchase accounting during the year ended December 31, 2020. There was no initial impact to credit loss expense resulting from the PCD determination. At December 31, 2020, the ACL on the Over-Formula Advance PCD assets increased by $11,548,000 and the total ACL on all acquired PCD assets was $48,963,000. The change in ACL on PCD assets subsequent to acquisition was charged to credit loss expense. The primary reasons for the increase in required ACL during the year ended December 31, 2020 are the $48,963,000 PCD ACL and significant projected deterioration of the loss drivers that the Company forecasts to calculate expected losses during the period.

The Company uses the discounted cash flow (DCF) method to estimate ACL for the commercial real estate, construction, land development, land, 1-4 family residential, commercial (excluding liquid credit), and consumer loan pools. For all loan pools utilizing the DCF method, the Company utilizes and forecasts national unemployment as a loss driver. The Company also utilizes and forecasts either one-year percentage change in national retail sales (commercial real estate – non multifamily, commercial general, commercial agriculture, commercial asset-based lending, commercial equipment finance, consumer), one-year percentage change in the national home price index (1-4 family residential and construction, land development, land), or one-year percentage change in national gross domestic product (commercial real estate – multifamily) as a second loss driver depending on the nature of the underlying loan pool and how well that loss driver correlates to expected future losses. Consistent forecasts of the loss drivers are used across the loan segments.

For all DCF models at December 31, 2020, the Company has determined that four quarters represents a reasonable and supportable forecast period and reverts back to a historical loss rate over eight quarters on a straight-line basis. The Company leverages economic projections from a reputable and independent third-party to inform its loss driver forecasts over the four-quarter forecast period. Other internal and external indicators of economic forecasts are also considered by the Company when developing the forecast metrics. At December 31, 2020, as compared to January 1, 2020, the Company forecasted a significantly higher national unemployment rate, a lower one-year percentage change in national retail sales, a lower one-year percentage change in the national home price index, and a somewhat higher one-year percentage change in national gross domestic product over the reasonable and supportable forecast period. Specifically regarding the forecasts used to calculate the December 31, 2020 ACL, management expects unemployment to remain persistently above pre-pandemic levels over the forecast period. Percentage change in retail sales is assumed to return to pre-pandemic levels given additional federal stimulus and the expected broad distribution of a COVID-19 vaccine. A gradual decline in the percentage change in national home price index is expected over the forecasted period as the effects of the pandemic on home prices are expected to lag behind other loss drivers. Percentage change in GDP growth is forecasted to increase over the projected period as the national economy comes back on line over the next four quarters.

The Company uses a loss-rate method to estimate expected credit losses for the farmland, liquid credit, premium finance, factored receivable, and mortgage warehouse loan pools. For each of these loan segments, the Company applies an expected loss ratio based on internal and peer historical losses adjusted as appropriate for qualitative factors. Qualitative loss factors are based on the Company's judgment of company, market, industry or business specific data, changes in underlying loan composition of specific portfolios, trends relating to credit quality, delinquency, non-performing and adversely rated loans, and reasonable and supportable forecasts of economic conditions. Loss factors used to calculate the required ACL on pools that use the loss-rate method reflect the forecasted economic conditions described above.

For the year ended December 31, 2020, the Company carried a PCD ACL of $48,963,000 previously discussed. The projected economic impact of COVID-19 on the Company’s loss drivers and assumptions over the reasonable and supportable forecast period created the need for $16,700,000 of additional ACL. The increase in required ACL was also driven by net charge-offs of $4,569,000 (which carried reserves of $1,000,000 at the time of charge-off), and net new specific allowances recorded on non-PCD individual loans of $5,100,000. The increase was partially offset by changes in mix in the underlying portfolio eligible to receive an ACL.


(Dollars in thousands)	Real Estate		Accounts Receivable		Equipment		Other		Total		ACL Allocation
December 31, 2020
Commercial real estate	$	12,454	$	—	$	—	$	162	$	12,616	$	1,334
Construction, land development, land	2,317		—		—		—		2,317		271
1-4 family residential	1,948		—		—		248		2,196		34
Farmland	2,189		—		143		198		2,530		—
Commercial	1,813		—		5,842		9,352		17,007		5,163
Factored receivables	—		92,437		—		—		92,437		51,371
Consumer	—		—		—		253		253		37
Mortgage warehouse	—		—		—		—		—		—
Total	$	20,721	$	92,437	$	5,985	$	10,213	$	129,356	$	58,210


(Dollars in thousands)	Loan Evaluation								ALLL Allocations
December 31, 2019	Individually		Collectively		PCI		Total loans		Individually		Collectively		PCI		Total ALLL
Commercial real estate	$	7,455	$	1,030,439	$	9,067	$	1,046,961	$	344	$	5,009	$	—	$	5,353
Construction, land development, land	2,138		155,985		2,446		160,569		271		1,111		—		1,382
1-4 family residential properties	1,728		177,189		508		179,425		33		275		—		308
Farmland	6,638		148,233		104		154,975		—		670		—		670
Commercial	15,618		1,326,515		550		1,342,683		1,278		11,284		4		12,566
Factored receivables	15,947		604,039		—		619,986		3,178		4,479		—		7,657
Consumer	327		21,598		—		21,925		9		479		—		488
Mortgage warehouse	—		667,988		—		667,988		—		668		—		668
	$	49,851	$	4,131,986	$	12,675	$	4,194,512	$	5,113	$	23,975	$	4	$	29,092


	Impaired Loans and PCI Impaired Loans With a Valuation Allowance						Impaired Loans Without a Valuation Allowance
(Dollars in thousands)	Recorded Investment		Unpaid Principal		Related Allowance		Recorded Investment		Unpaid Principal
December 31, 2019
Commercial real estate	$	878	$	907	$	344	$	6,577	$	6,643
Construction, land development, land	935		935		271		1,203		1,305
1-4 family residential properties	35		22		33		1,693		1,799
Farmland	—		—		—		6,638		6,819
Commercial	6,032		6,053		1,278		9,586		9,751
Factored receivables	15,940		15,940		3,178		7		7
Consumer	17		16		9		310		311
Mortgage warehouse	—		—		—		—		—
PCI	71		55		4		—		—
	$	23,908	$	23,928	$	5,117	$	26,014	$	26,635


	Years Ended
	December 31, 2019				December 31, 2018
(Dollars in thousands)	Average Impaired Loans		Interest Recognized		Average Impaired Loans		Interest Recognized
Commercial real estate	$	7,276	$	117	$	4,055	$	86
Construction, land development, land	1,114		35		113		—
1-4 family residential properties	2,031		47		2,486		77
Farmland	7,031		107		5,612		197
Commercial	16,386		605		21,885		870
Factored receivables	11,353		—		5,742		—
Consumer	341		7		369		14
Mortgage warehouse	—		—		—		—
PCI	71		—		35		—
	$	45,603	$	918	$	40,297	$	1,244


(Dollars in thousands)	Past Due 30-59 Days		Past Due 60-90 Days		Past Due 90 Days or More		Total Past Due		Current		Total		Past Due 90 Days or More Still Accruing
December 31, 2020
Commercial real estate	$	1,512	$	147	$	7,623	$	9,282	$	769,876	$	779,158	$	—
Construction, land development, land	185		1,001		323		1,509		218,138		219,647		22
1-4 family residential properties	1,978		448		952		3,378		153,769		157,147		—
Farmland	407		1,000		300		1,707		101,978		103,685		—
Commercial	2,084		1,765		5,770		9,619		1,553,338		1,562,957		35
Factored receivables	33,377		28,506		72,717		134,600		986,170		1,120,770		72,717
Consumer	385		116		81		582		15,256		15,838		—
Mortgage warehouse	—		—		—		—		1,037,574		1,037,574		—
	$	39,928	$	32,983	$	87,766	$	160,677	$	4,836,099	$	4,996,776	$	72,774


(Dollars in thousands)	Past Due 30-59 Days		Past Due 60-90 Days		Past Due 90 Days or More		Total Past Due		Current		Total		Past Due 90 Days or More Still Accruing
December 31, 2019
Commercial real estate	$	1,752	$	1,328	$	1,759	$	4,839	$	1,042,122	$	1,046,961	$	—
Construction, land development, land	1,785		842		361		2,988		157,581		160,569		—
1-4 family residential properties	1,396		723		554		2,673		176,752		179,425		—
Farmland	52		132		2,376		2,560		152,415		154,975		—
Commercial	4,444		4,154		9,555		18,153		1,324,530		1,342,683		—
Factored receivables	29,118		7,182		4,226		40,526		579,460		619,986		4,226
Consumer	508		429		183		1,120		20,805		21,925		—
Mortgage warehouse	—		—		—		—		667,988		667,988		—
	$	39,055	$	14,790	$	19,014	$	72,859	$	4,121,653	$	4,194,512	$	4,226

At December 31, 2020, total past due Over-Formula Advances recorded in factored receivables was $62,100,000. Substantially all of the Over-Formula Advance balance is considered past due 90 days or more. Aging of the Over-Formula Advances is based upon the service month on which the advances were made by TFS prior to acquisition. Additionally, the entire $19,600,000 Misdirected Payments amount recorded in factored receivables was past due at December 31, 2020. Of this amount, approximately $6,000,000 was considered past due 90 days or more. Given the nature of factored receivables, these assets are disclosed as past due 90 days or more still accruing; however, the Company is not recognizing income on the assets at December 31, 2020. Historically, any income recognized on factored receivables that are past due 90 days or more has not been material.


	December 31, 2020				December 31, 2019
(Dollars in thousands)	Nonaccrual		Nonaccrual With No ACL		Nonaccrual		Nonaccrual With No ACL
Commercial real estate	$	9,945	$	3,461	$	7,501	$	6,623
Construction, land development, land	2,294		1,199		3,922		2,987
1-4 family residential	1,848		1,651		1,730		1,694
Farmland	2,531		2,531		6,494		6,494
Commercial	17,202		4,891		16,080		9,977
Factored receivables	—		—		—		—
Consumer	253		188		327		310
Mortgage warehouse	—		—		—		—
	$	34,073	$	13,921	$	36,054	$	28,085

The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt, including: current collateral and financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk on a regular basis. Large groups of smaller balance homogeneous loans, such as consumer loans, are analyzed primarily based on payment status. The Company uses the following definitions for risk ratings:

Classified – Classified loans are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Certain classified loans have the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable.

PCI (Prior to the Adoption of ASU 2016-13) – At acquisition, PCI loans had the characteristics of classified loans and it was probable, at acquisition, that all contractually required principal and interest payments would not be collected. The Company evaluates these loans on a projected cash flow basis with this evaluation performed quarterly.

Management considers the guidance in ASC 310-20 when determining whether a modification, extension, or renewal of loan constitutes a current period origination. Generally, current period renewals of credit are re-underwritten at the point of renewal and considered current period originations for purposes of the table below. As of December 31, 2020 and 2019, based on the most recent analysis performed, the risk category of loans is as follows:


													Revolving Loans		Revolving Loans Converted To Term Loans		Total
(Dollars in thousands)
December 31, 2020	2020		2019		2018		2017		2016		Prior
Commercial real estate
Pass	$	271,406	$	94,085	$	62,075	$	49,115	$	27,921	$	230,731	$	27,666	$	908	$	763,907
Classified	10,298		2,239		133		1,367		664		550		—		—		15,251
Total commercial real estate	$	281,704	$	96,324	$	62,208	$	50,482	$	28,585	$	231,281	$	27,666	$	908	$	779,158

Construction, land development, land
Pass	$	72,149	$	12,490	$	11,829	$	5,820	$	8,946	$	105,584	$	12	$	500	$	217,330
Classified	2,031		34		—		—		—		252		—		—		2,317
Total construction, land development, land	$	74,180	$	12,524	$	11,829	$	5,820	$	8,946	$	105,836	$	12	$	500	$	219,647

1-4 family residential
Pass	$	58,300	$	11,280	$	11,425	$	8,982	$	4,400	$	20,167	$	35,326	$	5,320	$	155,200
Classified	1,473		149		137		23		11		49		105		—		1,947
Total 1-4 family residential	$	59,773	$	11,429	$	11,562	$	9,005	$	4,411	$	20,216	$	35,431	$	5,320	$	157,147

Farmland
Pass	$	37,212	$	10,095	$	7,388	$	15,262	$	7,908	$	20,572	$	1,421	$	486	$	100,344
Classified	994		407		403		—		22		590		925		—		3,341
Total farmland	$	38,206	$	10,502	$	7,791	$	15,262	$	7,930	$	21,162	$	2,346	$	486	$	103,685

Commercial
Pass	$	470,477	$	162,203	$	127,569	$	94,154	$	70,405	$	181,312	$	416,197	$	11,396	$	1,533,713


Classified	8,128		2,390		983		190		4,470		2,787		10,296		—		29,244
Total commercial	$	478,605	$	164,593	$	128,552	$	94,344	$	74,875	$	184,099	$	426,493	$	11,396	$	1,562,957

Factored receivables
Pass	$	1,081,316	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	1,081,316
Classified	39,454		—		—		—		—		—		—		—		39,454
Total factored receivables	$	1,120,770	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	1,120,770

Consumer
Pass	$	8,382	$	2,251	$	1,336	$	1,258	$	688	$	1,594	$	74	$	—	$	15,583
Classified	146		28		18		36		11		16		—		—		255
Total consumer	$	8,528	$	2,279	$	1,354	$	1,294	$	699	$	1,610	$	74	$	—	$	15,838

Mortgage warehouse
Pass	$	1,037,574	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	1,037,574
Classified	—		—		—		—		—		—		—		—		—
Total mortgage warehouse	$	1,037,574	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	1,037,574

Total loans
Pass	$	3,036,816	$	292,404	$	221,622	$	174,591	$	120,268	$	559,960	$	480,696	$	18,610	$	4,904,967
Classified	62,524		5,247		1,674		1,616		5,178		4,244		11,326		—		91,809
Total loans	$	3,099,340	$	297,651	$	223,296	$	176,207	$	125,446	$	564,204	$	492,022	$	18,610	$	4,996,776


(Dollars in thousands)	Pass		Classified		PCI		Total
December 31, 2019
Commercial real estate	$	1,030,358	$	7,536	$	9,067	$	1,046,961
Construction, land development, land	155,985		2,138		2,446		160,569
1-4 family residential	177,177		1,740		508		179,425
Farmland	144,777		10,094		104		154,975
Commercial	1,313,042		29,091		550		1,342,683
Factored receivables	604,774		15,212		—		619,986
Consumer	21,594		331		—		21,925
Mortgage warehouse	667,988		—		—		667,988
	$	4,115,695	$	66,142	$	12,675	$	4,194,512

The Company had a recorded investment in troubled debt restructurings of $13,324,000 and $5,221,000 as of December 31, 2020 and 2019, respectively. The Company had allocated specific allowances for these loans of $2,469,000 and $718,000 at December 31, 2020 and 2019, respectively, and had not committed to lend additional amounts.


(Dollars in thousands)	Extended Amortization Period		Payment Deferrals		AB Note Restructure		Extended Maturity and Reduced Interest Rate		Total Modifications		Number of Loans
December 31, 2020
Commercial real estate	$	—	$	727	$	—	$	—	$	727	3
Construction, land development, land	8		981		—		—		989		2
1-4 family residential properties	—		171		—		—		171		1
Farmland	3,486		—		—		—		3,486		1
Commercial	4,714		9,877		—		—		14,591		22
	$	8,208	$	11,756	$	—	$	—	$	19,964	29

December 31, 2019
Commercial real estate	$	—	$	—	$	4,597	$	—	$	4,597	1
1-4 family residential properties	—		38		—		—		38		2
Commercial	1,762		115		—		593		2,470		11
	$	1,762	$	153	$	4,597	$	593	$	7,105	14

December 31, 2018
Commercial real estate	$	—	$	589	$	—	$	—	$	589	2
1-4 family residential properties	103		—		—		—		103		2
Farmland	263		—		—		—		263		1
Commercial	875		—		—		—		875		10
	$	1,241	$	589	$	—	$	—	$	1,830	15

During the year ended December 31, 2020, the Company had one loan modified as a troubled debt restructuring with a recorded investment of $5,741,000 for which there was a payment default within twelve months following the modification. The payment defaults did not result in incremental allowance allocations or charge-offs. During the year ended December 31, 2019, the Company had three loans modified as troubled debt restructurings with a recorded investment of $680,000 for which there were payment defaults within twelve months following the modification. There were no loans modified as troubled debt restructurings during the year ended December 31, 2018 for which there was a payment default during the year then ended. Default is determined at 90 or more days past due, charge-off, or foreclosure.

During the year ended December 31, 2020, the Company modified $628,022,000 in loans for borrowers impacted by the COVID-19 pandemic. These modifications primarily consisted of payment deferrals to assist customers. As these modifications related to the COVID-19 pandemic and qualify under the provisions of either Section 4013 of the CARES act or Interagency Guidance, they are not considered troubled debt restructurings. The following table summarized the amortized cost of loans with payments currently in deferral and the accrued interest related to the loans with payments currently in deferral at December 31, 2020:


(Dollars in thousands)	Total Loans		Balance of Loans Currently in Deferral		Percentage of Portfolio		Accrued Interest Receivable
December 31, 2020
Commercial real estate	$	779,158	$	69,980	9	%	$	357
Construction, land development, land	219,647		18,821		9	%	183
1-4 family residential	157,147		1,129		1	%	15
Farmland	103,685		—		—	%	—
Commercial	1,562,957		14,561		1	%	166
Factored receivables	1,120,770		—		—	%	—
Consumer	15,838		106		1	%	5
Mortgage warehouse	1,037,574		—		—	%	—
Total	$	4,996,776	$	104,597	2	%	$	726