Advances from Federal Home Loan Bank

3 Months Ended

Sep. 30, 2021

Advances from Federal Home Loan Bank

Advances from Federal Home Loan Bank

Note 10 – Advances from Federal Home Loan Bank

The Bank is a member of the FHLB system, which consists of 11 regional Federal Home Loan Banks. The FHLB provides a central credit facility primarily for member institutions. The Bank had a maximum borrowing capacity with the FHLB of Pittsburgh of approximately $290.7 million and $280.8 million at September 30, 2021 and June 30, 2021, respectively. FHLB advances are secured by qualifying assets of the Bank, which include Federal Home Loan Bank stock and loans. The Bank had $420.9 million and $407.4 million of loans pledged as collateral as of September 30, 2021 and June 30, 2021, respectively. The Bank, as a member of the FHLB of Pittsburgh, is required to acquire and hold shares of capital stock in the FHLB of Pittsburgh. The Bank was in compliance with the requirements for the FHLB of Pittsburgh with an investment of $2.3 million and $2.7 million at September 30, 2021 and June 30, 2021, respectively. On July 20, 2021, the Bank paid off $7.0 million of advances from the FHLB of Pittsburgh due to the low interest rate environment and excess cash held on the Company’s Consolidated Statements of Financial Condition.

Advances from the FHLB of Pittsburgh consisted of the following as of September 30, 2021 and June 30, 2021:

(Dollars in thousands)	September 30, 2021		June 30, 2021
FHLB advances:
Convertible	$	20,000	$	20,000
Fixed		14,000		14,000
Mid-term		—		7,000
Total FHLB advances	$	34,000	$	41,000