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SERVICING RIGHTS
 3 Months Ended
Mar. 31, 2013
Servicing Rights [Abstract]  
SERVICING RIGHTS
SERVICING RIGHTS
Mortgage Banking Activities. At March 31, 2013 and December 31, 2012, First Bank serviced mortgage loans for others totaling $1.30 billion and $1.27 billion, respectively. Changes in mortgage servicing rights for the three months ended March 31, 2013 and 2012 were as follows:
 
Three Months Ended
 
March 31,
 
2013
 
2012
 
(dollars expressed in thousands)
Balance, beginning of period
$
9,152

 
9,077

Originated mortgage servicing rights
1,229

 
799

Change in fair value resulting from changes in valuation inputs or assumptions used in valuation model (1)
854

 
517

Other changes in fair value (2)
(583
)
 
(680
)
Balance, end of period
$
10,652

 
9,713

____________________
(1)
The change in fair value resulting from changes in valuation inputs or assumptions used in valuation model primarily reflects the change in discount rates and prepayment speed assumptions, primarily due to changes in interest rates.
(2)
Other changes in fair value reflect changes due to the collection/realization of expected cash flows over time.
Other Servicing Activities. At March 31, 2013 and December 31, 2012, First Bank serviced United States Small Business Administration (SBA) loans for others totaling $153.3 million and $159.6 million, respectively. Changes in SBA servicing rights for the three months ended March 31, 2013 and 2012 were as follows:
 
Three Months Ended
 
March 31,
 
2013
 
2012
 
(dollars expressed in thousands)
Balance, beginning of period
$
5,640

 
6,303

Originated SBA servicing rights
—

 
—

Change in fair value resulting from changes in valuation inputs or assumptions used in valuation model (1)
22

 
147

Other changes in fair value (2)
(139
)
 
(194
)
Balance, end of period
$
5,523

 
6,256

____________________
(1)
The change in fair value resulting from changes in valuation inputs or assumptions used in valuation model primarily reflects the change in discount rates and prepayment speed assumptions, primarily due to changes in interest rates.
(2)
Other changes in fair value reflect changes due to the collection/realization of expected cash flows over time.