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LOAN SERVICING RIGHTS (Tables)
 12 Months Ended
Dec. 31, 2022
Transfers and Servicing [Abstract]  
Schedule of Servicing Assets at Fair Value
The carrying value of the loan servicing rights assets is shown in the table below:
(dollars in thousands)December 31, 2022December 31, 2021
Loan Servicing Rights
Residential mortgage$147,014 $206,944 
SBA3,443 5,556 
Total loan servicing rights$150,457 $212,500 
The table below is an analysis of the activity in the Company’s MSRs and impairment:
Years Ended December 31,
(dollars in thousands)202220212020
Residential mortgage servicing rights
Beginning carrying value, net$206,944 $130,630 $94,902 
Additions64,020 93,229 98,182 
Amortization(24,995)(30,540)(23,151)
(Impairment)/recoveries21,824 13,625 (39,303)
Disposals(120,779)— — 
Ending carrying value, net$147,014 $206,944 $130,630 
Years Ended December 31,
(dollars in thousands)202220212020
Residential mortgage servicing impairment
Beginning balance$25,782 $39,407 $104 
Additions— 1,398 39,303 
Recoveries(21,824)(15,023)— 
Reduction due to disposal(3,958)— — 
Ending balance$— $25,782 $39,407 
The table below is an analysis of the activity in the Company’s SBA loan servicing rights and impairment:
Years Ended December 31,
(dollars in thousands)202220212020
SBA servicing rights
Beginning carrying value, net$5,556 $5,839 $7,886 
Additions889 954 1,571 
Purchase accounting adjustment— — (1,214)
Amortization(3,002)(2,142)(1,640)
(Impairment)/recovery— 905 (764)
Ending carrying value, net$3,443 $5,556 $5,839 
Years Ended December 31,
(dollars in thousands)202220212020
SBA servicing impairment
Beginning balance$— $905 $141 
Additions— — 1,645 
Recoveries— (905)(881)
Ending balance$— $— $905 
The table below is an analysis of the activity in the Company’s indirect automobile servicing rights:
Years Ended December 31,
(dollars in thousands)202220212020
Indirect automobile servicing rights
Beginning carrying value, net$— $73 $247 
Addition due to acquisition— — — 
Amortization— (73)(174)
Impairment— — — 
Ending carrying value, net$— $— $73 
Schedule of Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets
The key metrics and the sensitivity of the residential mortgage servicing rights fair value to adverse changes in model inputs and/or assumptions are summarized below:
(dollars in thousands)December 31, 2022December 31, 2021
Residential mortgage servicing rights
Unpaid principal balance of loans serviced for others$10,046,052 $16,786,442 
Composition of residential loans serviced for others:
FHLMC16.80 %21.88 %
FNMA50.09 %60.26 %
GNMA33.11 %17.86 %
Total100.00 %100.00 %
Weighted average term (months)353341
Weighted average age (months)2220
Modeled prepayment speed8.22 %12.96 %
Decline in fair value due to a 10% adverse change(5,800)(8,368)
Decline in fair value due to a 20% adverse change(11,184)(16,157)
Weighted average discount rate10.00 %8.77 %
Decline in fair value due to a 10% adverse change(6,413)(6,984)
Decline in fair value due to a 20% adverse change(12,330)(13,504)
The key metrics and the sensitivity of the SBA servicing rights fair value to adverse changes in model inputs and/or assumptions are summarized below:
(dollars in thousands)December 31, 2022December 31, 2021
SBA servicing rights
Unpaid principal balance of loans serviced for others$326,418 $410,167 
Weighted average life (in years)3.693.65
Modeled prepayment speed18.24 %17.68 %
Decline in fair value due to a 10% adverse change(177)(291)
Decline in fair value due to a 20% adverse change(340)(557)
Weighted average discount rate19.57 %11.92 %
Decline in fair value due to a 100 basis point adverse change(83)(144)
Decline in fair value due to a 200 basis point adverse change(163)(282)