Loans by Type

6 Months Ended

Jun. 30, 2022

Note 6 – Loans by Type

A summary of loans is as follows:


(In thousands)	June 30, 2022		December 31, 2021
Commercial and industrial	$	464,684	$	450,336
Real estate:
Commercial:
Mortgage	99,081		108,759
Construction	25,117		24,797
Faith-based:
Mortgage	355,073		355,582
Construction	14,508		14,664
Paycheck Protection Program (“PPP”)	996		6,299
Other	28		130
Total loans	$	959,487	$	960,567

The following table presents the aging of loans past due by category at June 30, 2022 and December 31, 2021:


	Performing						Nonperforming
(In thousands)	Current		30-59 Days		60-89 Days		90 Days and Over		Non- accrual		Total Loans
June 30, 2022
Commercial and industrial	$	464,684	$	—	$	—	$	—	$	—	$	464,684
Real estate
Commercial:
Mortgage	99,081		—		—		—		—		99,081
Construction	25,117		—		—		—		—		25,117
Faith-based:
Mortgage	355,073		—		—		—		—		355,073
Construction	14,508		—		—		—		—		14,508
PPP	996		—		—		—		—		996
Other	28		—		—		—		—		28
Total	$	959,487	$	—	$	—	$	—	$	—	$	959,487
December 31, 2021
Commercial and industrial	$	450,336	$	—	$	—	$	—	$	—	$	450,336
Real estate
Commercial:
Mortgage	108,759		—		—		—		—		108,759
Construction	24,797		—		—		—		—		24,797
Faith-based:
Mortgage	355,582		—		—		—		—		355,582
Construction	14,664		—		—		—		—		14,664
PPP	6,299		—		—		—		—		6,299
Other	130		—		—		—		—		130
Total	$	960,567	$	—	$	—	$	—	$	—	$	960,567

The following table presents the credit exposure of the loan portfolio by internally assigned credit grade as of June 30, 2022 and December 31, 2021:


(In thousands)	Loans Subject to Normal Monitoring1		Performing Loans Subject to Special Monitoring2		Nonperforming Loans Subject to Special Monitoring2		Total Loans
June 30, 2022
Commercial and industrial	$	461,304	$	3,380	$	—	$	464,684
Real estate
Commercial:
Mortgage	98,542		539		—		99,081
Construction	25,117		—		—		25,117
Faith-based:
Mortgage	354,105		968		—		355,073
Construction	14,508		—		—		14,508
PPP	996		—		—		996
Other	28		—		—		28
Total	$	954,600	$	4,887	$	—	$	959,487
December 31, 2021
Commercial and industrial	$	440,607	$	9,729	$	—	$	450,336
Real estate
Commercial:
Mortgage	108,759		—		—		108,759
Construction	24,797		—		—		24,797
Faith-based:
Mortgage	352,717		2,865		—		355,582
Construction	14,664		—		—		14,664
PPP	6,299		—		—		6,299
Other	130		—		—		130
Total	$	947,973	$	12,594	$	—	$	960,567


1 Loans subject to normal monitoring involve borrowers of acceptable-to-strong credit quality and risk, who have the apparent ability to satisfy their loan obligations.
2 Loans subject to special monitoring possess some credit deficiency or potential weakness which requires a high level of management attention.

The Company had no loans evaluated for expected credit losses on an individual basis as of June 30, 2022 or December 31, 2021. There were no foreclosed loans recorded as other real estate owned as of June 30, 2022 or December 31, 2021. There were no loans considered troubled debt restructurings as of June 30, 2022 or December 31, 2021.

A summary of the activity in allowance for credit losses (“ACL”) by category for the periods ended June 30, 2022 and December 31, 2021 is as follows:


(In thousands)	C&I		CRE		Faith-based CRE		Construction		Total
Balance at December 31, 2020	$	4,635	$	1,175	$	5,717	$	417	$	11,944
Provision for (release of) credit losses	387		(144)		(48)		(125)		70
Recoveries	12		—		15		—		27
Balance at December 31, 2021	$	5,034	$	1,031	$	5,684	$	292	$	12,041

Provision for credit losses	385		42		88		5		520
Recoveries	12		—		—		—		12
Balance at June 30, 2022	$	5,431	$	1,073	$	5,772	$	297	$	12,573

The provision for credit losses during the period ended June 30, 2022 was primarily driven by external economic factors, including the reduction in the forecast of Gross Domestic Product.