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Loans
 3 Months Ended
Mar. 31, 2019
Receivables [Abstract]  
Loans
Loans
 
Loans were comprised of the following classifications at March 31, 2019 and December 31, 2018: 
 
 
March 31,
2019
 
December 31,
2018
Commercial:
 
 

 
 

Commercial and Industrial Loans and Leases
 
$
555,967

 
$
543,761

Commercial Real Estate Loans
 
1,212,090

 
1,208,646

Agricultural Loans
 
347,999

 
365,208

Retail:
 
 

 
 

Home Equity Loans
 
203,611

 
207,987

Consumer Loans
 
78,113

 
77,547

Residential Mortgage Loans
 
314,634

 
328,592

Subtotal
 
2,712,414

 
2,731,741

Less: Unearned Income
 
(3,582
)
 
(3,682
)
Allowance for Loan Losses
 
(16,243
)
 
(15,823
)
Loans, Net
 
$
2,692,589

 
$
2,712,236




The following tables present the activity in the allowance for loan losses by portfolio class for the three months ended March 31, 2019 and 2018:
March 31, 2019
 
Commercial and Industrial
Loans and Leases
 
Commercial Real Estate Loans
 
Agricultural
Loans
 
Home Equity Loans
 
Consumer Loans
 
Residential Mortgage Loans
 
Unallocated
 
Total
Beginning Balance
 
$
2,953

 
$
5,291

 
$
5,776

 
$
229

 
$
420

 
$
472

 
$
682

 
$
15,823

Provision for Loan Losses
 
347

 
565

 
(323
)
 
(15
)
 
209

 
(32
)
 
(76
)
 
675

Recoveries
 
17

 
5

 
—

 
—

 
121

 
3

 
—

 
146

Loans Charged-off
 
—

 
(120
)
 
—

 
—

 
(267
)
 
(14
)
 
—

 
(401
)
Ending Balance
 
$
3,317

 
$
5,741

 
$
5,453

 
$
214

 
$
483

 
$
429

 
$
606

 
$
16,243


March 31, 2018
 
Commercial and Industrial
Loans and Leases
 
Commercial Real Estate Loans
 
Agricultural
Loans
 
Home Equity Loans
 
Consumer Loans
 
Residential Mortgage Loans
 
Unallocated
 
Total
Beginning Balance
 
$
4,735

 
$
4,591

 
$
4,894

 
$
330

 
$
298

 
$
343

 
$
503

 
$
15,694

Provision for Loan Losses
 
367

 
25

 
(69
)
 
(44
)
 
97

 
(18
)
 
(8
)
 
350

Recoveries
 
1

 
6

 
—

 
2

 
89

 
2

 
—

 
100

Loans Charged-off
 
(1,500
)
 
—

 
—

 
(16
)
 
(168
)
 
—

 
—

 
(1,684
)
Ending Balance
 
$
3,603

 
$
4,622

 
$
4,825

 
$
272

 
$
316

 
$
327

 
$
495

 
$
14,460


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
In determining the adequacy of the allowance for loan loss, general allocations are made for pools of loans, including non-classified loans, homogeneous portfolios of consumer and residential real estate loans, and loans within certain industry categories believed to present unique risk of loss. General allocations of the allowance are primarily made based on historical averages for loan losses for these portfolios, judgmentally adjusted for current economic factors and portfolio trends.

Loan impairment is reported when full repayment under the terms of the loan is not expected. This methodology is used for all loans, including loans acquired with deteriorated credit quality if such loans perform worse than what was expected at the time of acquisition. For purchased loans, the assessment is made at the time of acquisition as well as over the life of the loan. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported net, at the present value of estimated future cash flows using the loan’s existing rate, or at the fair value of collateral if repayment is expected solely from the collateral. Commercial and industrial loans, commercial real estate loans, and agricultural loans are evaluated individually for impairment. Smaller balance homogeneous loans are evaluated for impairment in total. Such loans include real estate loans secured by one-to-four family residences and loans to individuals for household, family and other personal expenditures. Individually evaluated loans on non-accrual are generally considered impaired. Impaired loans, or portions thereof, are charged off when deemed uncollectible.

Specific allocations on impaired loans are determined by comparing the loan balance to the present value of expected cash flows or expected collateral proceeds. Allocations are also applied to categories of loans not considered individually impaired but for which the rate of loss is expected to be greater than historical averages, including non-performing consumer or residential real estate loans. Such allocations are based on past loss experience and information about specific borrower situations and estimated collateral values.

The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio class and based on impairment method as of March 31, 2019 and December 31, 2018:
March 31, 2019
 
Total
 
Commercial and Industrial
Loans and Leases
 
Commercial Real Estate Loans
 
Agricultural Loans
 
Home Equity Loans
 
Consumer Loans
 
Residential Mortgage Loans
 
Unallocated
Allowance for Loan Losses:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending Allowance Balance Attributable to Loans:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Individually Evaluated for Impairment
 
$
1,427

 
$
104

 
$
1,323

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Collectively Evaluated for Impairment
 
14,534

 
3,213

 
4,141

 
5,453

 
214

 
483

 
424

 
606

Acquired with Deteriorated Credit Quality
 
282

 
—

 
277

 
—

 
—

 
—

 
5

 
—

Total Ending Allowance Balance
 
$
16,243

 
$
3,317

 
$
5,741

 
$
5,453

 
$
214

 
$
483

 
$
429

 
$
606


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Loans Individually Evaluated for Impairment
 
$
6,815

 
$
2,410

 
$
4,405

 
$
—

 
$
—

 
$
—

 
$
—

 
n/m(2)

Loans Collectively Evaluated for Impairment
 
2,707,925

 
554,348

 
1,205,000

 
351,808

 
204,258

 
78,356

 
314,155

 
n/m(2)

Loans Acquired with Deteriorated Credit Quality
 
10,472

 
902

 
6,127

 
1,798

 
368

 
—

 
1,277

 
n/m(2)

Total Ending Loans Balance(1)
 
$
2,725,212

 
$
557,660

 
$
1,215,532

 
$
353,606

 
$
204,626

 
$
78,356

 
$
315,432

 
n/m(2)

 
 
(1)Total recorded investment in loans includes $12,798 in accrued interest.
(2)n/m = not meaningful
December 31, 2018
 
Total
 
Commercial and Industrial
Loans and Leases
 
Commercial Real Estate Loans
 
Agricultural Loans
 
Home Equity Loans
 
Consumer Loans
 
Residential Mortgage Loans
 
Unallocated
Allowance for Loan Losses:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending Allowance Balance Attributable to Loans:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Individually Evaluated for Impairment
 
$
1,823

 
$
143

 
$
1,680

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Collectively Evaluated for Impairment
 
13,992

 
2,810

 
3,608

 
5,776

 
229

 
420

 
467

 
682

Acquired with Deteriorated Credit Quality
 
8

 
—

 
3

 
—

 
—

 
—

 
5

 
—

Total Ending Allowance Balance
 
$
15,823

 
$
2,953

 
$
5,291

 
$
5,776

 
$
229

 
$
420

 
$
472

 
$
682


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Loans Individually Evaluated for Impairment
 
$
9,619

 
$
3,536

 
$
6,083

 
$
—

 
$
—

 
$
—

 
$
—

 
n/m(2)

Loans Collectively Evaluated for Impairment
 
2,722,867

 
540,768

 
1,198,806

 
368,817

 
208,644

 
77,761

 
328,071

 
n/m(2)

Loans Acquired with Deteriorated Credit Quality
 
11,556

 
1,038

 
6,993

 
1,877

 
365

 
—

 
1,283

 
n/m(2)

Total Ending Loans Balance(1)
 
$
2,744,042

 
$
545,342

 
$
1,211,882

 
$
370,694

 
$
209,009

 
$
77,761

 
$
329,354

 
n/m(2)

 
(1)Total recorded investment in loans includes $12,301 in accrued interest.
(2)n/m = not meaningful 

The following tables present loans individually evaluated for impairment by class of loans as of March 31, 2019 and December 31, 2018:
March 31, 2019
 
Unpaid Principal Balance(1)
 
 Recorded Investment
 
Allowance for Loan Losses Allocated
With No Related Allowance Recorded:
 
 

 
 

 
 

Commercial and Industrial Loans and Leases
 
$
2,410

 
$
186

 
$
—

Commercial Real Estate Loans
 
4,519

 
3,261

 
—

Agricultural Loans
 
1,669

 
1,399

 
—

Subtotal
 
8,598

 
4,846

 
—

With An Allowance Recorded:
 
 

 
 

 


Commercial and Industrial Loans and Leases
 
2,223

 
2,223

 
104

Commercial Real Estate Loans
 
4,549

 
4,108

 
1,600

Agricultural Loans
 
—

 
—

 
—

Subtotal
 
6,772

 
6,331

 
1,704

Total
 
$
15,370

 
$
11,177

 
$
1,704

 
 
 
 
 
 
 
Loans Acquired With Deteriorated Credit Quality With No Related Allowance Recorded (Included in the Total Above)
 
$
7,151

 
$
3,525

 
$
—

Loans Acquired With Deteriorated Credit Quality With An Additional Allowance Recorded (Included in the Total Above)
 
$
1,159

 
$
837

 
$
277

   
(1) Unpaid Principal Balance is the remaining contractual principal payments gross of partial charge-offs and discounts.

December 31, 2018
 
Unpaid Principal Balance(1)
 
 Recorded Investment
 
Allowance for Loan Losses Allocated
With No Related Allowance Recorded:
 
 

 
 

 
 

Commercial and Industrial Loans and Leases
 
$
3,721

 
$
1,183

 
$
—

Commercial Real Estate Loans
 
5,828

 
4,383

 
—

Agricultural Loans
 
1,726

 
1,450

 
—

Subtotal
 
11,275

 
7,016

 
—

With An Allowance Recorded:
 
 

 
 

 
 

Commercial and Industrial Loans and Leases
 
2,353

 
2,353

 
143

Commercial Real Estate Loans
 
4,404

 
4,212

 
1,683

Agricultural Loans
 
—

 
—

 
—

Subtotal
 
6,757

 
6,565

 
1,826

Total
 
$
18,032

 
$
13,581

 
$
1,826

 
 
 
 
 
 
 
Loans Acquired With Deteriorated Credit Quality With No Related Allowance Recorded (Included in the Total Above)
 
$
8,060

 
$
3,958

 
$
—

Loans Acquired With Deteriorated Credit Quality With An Additional Allowance Recorded (Included in the Total Above)
 
$
196

 
$
4

 
$
3

    
(1) Unpaid Principal Balance is the remaining contractual payments gross of partial charge-offs and discounts.
 
The following tables present the average balance and related interest income of loans individually evaluated for impairment by class of loans for the three month period ended March 31, 2019 and 2018:
March 31, 2019
 
Average Recorded
Investment
 
Interest Income Recognized
 
Cash Basis
Recognized
With No Related Allowance Recorded:
 
 

 
 

 
 

Commercial and Industrial Loans and Leases
 
$
438

 
$
2

 
$
2

Commercial Real Estate Loans
 
3,601

 
19

 
9

Agricultural Loans
 
1,405

 
—

 
—

Subtotal
 
5,444

 
21

 
11

With An Allowance Recorded:
 
 

 
 

 
 

Commercial and Industrial Loans and Leases
 
2,286

 
—

 
—

Commercial Real Estate Loans
 
4,691

 
—

 
—

Agricultural Loans
 
—

 
—

 
—

Subtotal
 
6,977

 
—

 
—

Total
 
$
12,421

 
$
21

 
$
11

 
 
 
 
 
 
 
Loans Acquired With Deteriorated Credit Quality With No Related Allowance Recorded (Included in the Total Above)
 
$
3,547

 
$
8

 
$
—

Loans Acquired With Deteriorated Credit Quality With An Additional Allowance Recorded (Included in the Total Above)
 
$
762

 
$
—

 
$
—


March 31, 2018
 
Average Recorded
Investment
 
Interest Income Recognized
 
Cash Basis
Recognized
With No Related Allowance Recorded:
 
 

 
 

 
 

Commercial and Industrial Loans and Leases
 
$
1,183

 
$
13

 
$
1

Commercial Real Estate Loans
 
1,407

 
13

 
6

Agricultural Loans
 
700

 
—

 
—

Subtotal
 
3,290

 
26

 
7

With An Allowance Recorded:
 
 

 
 

 
 

Commercial and Industrial Loans and Leases
 
4,284

 
1

 
—

Commercial Real Estate Loans
 
4,623

 
3

 
—

Agricultural Loans
 
—

 
—

 
—

Subtotal
 
8,907

 
4

 
—

Total
 
$
12,197

 
$
30

 
$
7

 
 
 
 
 
 
 
Loans Acquired With Deteriorated Credit Quality With No Related Allowance Recorded (Included in the Total Above)
 
$
563

 
$
—

 
$
—

Loans Acquired With Deteriorated Credit Quality With An Additional Allowance Recorded (Included in the Total Above)
 
$
412

 
$
4

 
$
—


 
 
 
 
 
 
 
 
 
 
 
 
 
 
All classes of loans, including loans acquired with deteriorated credit quality, are generally placed on non-accrual status when scheduled principal or interest payments are past due for 90 days or more or when the borrower’s ability to repay becomes doubtful. For purchased loans, the determination is made at the time of acquisition as well as over the life of the loan. Uncollected accrued interest for each class of loans is reversed against income at the time a loan is placed on non-accrual. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. All classes of loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Loans are typically charged-off at 180 days past due, or earlier if deemed uncollectible. Exceptions to the non-accrual and charge-off policies are made when the loan is well secured and in the process of collection.

The following tables present the recorded investment in non-accrual loans and loans past due 90 days or more still on accrual by class of loans as of March 31, 2019 and December 31, 2018:
 
 
Non-Accrual Loans
 
Loans Past Due 90 Days
or More & Still Accruing
 
 
March 31,
 
December 31,
 
March 31,
 
December 31,
 
 
2019
 
2018
 
2019
 
2018
Commercial and Industrial Loans and Leases
 
$
2,290

 
$
2,430

 
$
—

 
$
—

Commercial Real Estate Loans
 
6,446

 
6,833

 
408

 
368

Agricultural Loans
 
1,398

 
1,449

 
—

 
274

Home Equity Loans
 
118

 
88

 
—

 
—

Consumer Loans
 
228

 
162

 
—

 
—

Residential Mortgage Loans
 
1,556

 
1,617

 
—

 
—

Total
 
$
12,036

 
$
12,579

 
$
408

 
$
642

Loans Acquired With Deteriorated Credit Quality (Included in the Total Above)
 
$
4,624

 
$
4,162

 
$
278

 
$
141

Loans Acquired in Current Year (Included in the Total Above)
 
$
—

 
$
4,603

 
$
—

 
$
96



The following tables present the aging of the recorded investment in past due loans by class of loans as of March 31, 2019 and December 31, 2018:
March 31, 2019
 
Total
 
30-59 Days Past Due
 
60-89 Days Past Due
 
90 Days or More Past Due
 
Total
Past Due
 
Loans Not Past Due
Commercial and Industrial Loans and Leases
 
$
557,660

 
$
4,447

 
$
218

 
$
51

 
$
4,716

 
$
552,944

Commercial Real Estate Loans
 
1,215,532

 
896

 
68

 
2,322

 
3,286

 
1,212,246

Agricultural Loans
 
353,606

 
16

 
365

 
871

 
1,252

 
352,354

Home Equity Loans
 
204,626

 
546

 
3

 
117

 
666

 
203,960

Consumer Loans
 
78,356

 
216

 
213

 
223

 
652

 
77,704

Residential Mortgage Loans
 
315,432

 
5,222

 
157

 
1,412

 
6,791

 
308,641

Total(1)
 
$
2,725,212

 
$
11,343

 
$
1,024

 
$
4,996

 
$
17,363

 
$
2,707,849

Loans Acquired With Deteriorated Credit Quality (Included in the Total Above)
 
$
10,472

 
$
—

 
$
68

 
$
2,222

 
$
2,290

 
$
8,182

 
(1)Total recorded investment in loans includes $12,798 in accrued interest.

December 31, 2018
 
Total
 
30-59 Days Past Due
 
60-89 Days Past Due
 
90 Days or More Past Due
 
Total
Past Due
 
Loans Not Past Due
Commercial and Industrial Loans and Leases
 
$
545,342

 
$
5,414

 
$
183

 
$
72

 
$
5,669

 
$
539,673

Commercial Real Estate Loans
 
1,211,882

 
768

 
705

 
3,032

 
4,505

 
1,207,377

Agricultural Loans
 
370,694

 
563

 
805

 
274

 
1,642

 
369,052

Home Equity Loans
 
209,009

 
471

 
125

 
60

 
656

 
208,353

Consumer Loans
 
77,761

 
971

 
94

 
149

 
1,214

 
76,547

Residential Mortgage Loans
 
329,354

 
4,771

 
1,520

 
1,387

 
7,678

 
321,676

Total(1)
 
$
2,744,042

 
$
12,958

 
$
3,432

 
$
4,974

 
$
21,364

 
$
2,722,678

Loans Acquired With Deteriorated Credit Quality (Included in the Total Above)
 
$
11,556

 
$
448

 
$
885

 
$
1,259

 
$
2,592

 
$
8,964

Loans Acquired in Current Year
      (Included in the Total Above)
 
$
481,901

 
$
2,571

 
$
1,620

 
$
2,191

 
$
6,382

 
$
475,519

 
(1)Total recorded investment in loans includes $12,301 in accrued interest.

Troubled Debt Restructurings:
 
In certain instances, the Company may choose to restructure the contractual terms of loans. A troubled debt restructuring occurs when the Bank grants a concession to the borrower that it would not otherwise consider due to a borrower’s financial difficulty.   In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without modification. This evaluation is performed under the Company’s internal underwriting policy. The Company uses the same methodology for loans acquired with deteriorated credit quality as for all other loans when determining whether the loan is a troubled debt restructuring.
 
During the three months ended March 31, 2019 and 2018, there were no loans modified as a troubled debt restructuring.

The following tables present the recorded investment of troubled debt restructurings by class of loans as of March 31, 2019 and December 31, 2018:
March 31, 2019
 
Total
 
Performing
 
Non-Accrual(1)
Commercial and Industrial Loans and Leases
 
$
120

 
$
120

 
$
—

Commercial Real Estate Loans
 
—

 
—

 
—

Total
 
$
120

 
$
120

 
$
—

December 31, 2018
 
Total
 
Performing
 
Non-Accrual(1)
Commercial and Industrial Loans and Leases
 
$
121

 
$
121

 
$
—

Commercial Real Estate Loans
 
—

 
—

 
—

Total
 
$
121

 
$
121

 
$
—

 
 
(1)The non-accrual troubled debt restructurings are included in the Non-Accrual Loan table presented on a previous page.
 
The Company had not committed to lending any additional amounts as of March 31, 2019 and December 31, 2018 to customers with outstanding loans that are classified as troubled debt restructurings.

For the three months ended March 31, 2019 and 2018, the Company had no loans modified as troubled debt restructurings. Additionally, there were no loans modified as troubled debt restructurings for which there was a payment default within twelve months following the modification during the three months ended March 31, 2019 and 2018.

A loan is considered to be in payment default once it is 30 days contractually past due under the modified terms.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Credit Quality Indicators:

The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company classifies loans as to credit risk by individually analyzing loans. This analysis includes commercial and industrial loans, commercial real estate loans, and agricultural loans with an outstanding balance greater than $250. This analysis is typically performed on at least an annual basis. The Company uses the following definitions for risk ratings:
 
Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date.
 
Substandard. Loans classified as substandard 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 liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.
 
Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with 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.
 
Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. Based on the most recent analysis performed, the risk category of loans by class of loans is as follows:
March 31, 2019
 
Pass
 
Special Mention
 
Substandard
 
Doubtful
 
Total
Commercial and Industrial Loans and Leases
 
$
529,641

 
$
8,155

 
$
19,864

 
$
—

 
$
557,660

Commercial Real Estate Loans
 
1,174,789

 
24,998

 
15,745

 
—

 
1,215,532

Agricultural Loans
 
301,273

 
37,468

 
14,865

 
—

 
353,606

Total
 
$
2,005,703

 
$
70,621

 
$
50,474

 
$
—

 
$
2,126,798

Loans Acquired With Deteriorated Credit Quality
      (Included in the Total Above)
 
$
289

 
$
1,438

 
$
7,100

 
$
—

 
$
8,827


December 31, 2018
 
Pass
 
Special Mention
 
Substandard
 
Doubtful
 
Total
Commercial and Industrial Loans and Leases
 
$
517,497

 
$
7,541

 
$
20,304

 
$
—

 
$
545,342

Commercial Real Estate Loans
 
1,165,937

 
26,723

 
19,222

 
—

 
1,211,882

Agricultural Loans
 
313,309

 
40,983

 
16,402

 
—

 
370,694

Total
 
$
1,996,743

 
$
75,247

 
$
55,928

 
$
—

 
$
2,127,918

Loans Acquired With Deteriorated Credit Quality
      (Included in the Total Above)
 
$
—

 
$
1,436

 
$
8,472

 
$
—

 
$
9,908

Loans Acquired in Current Year
      (Included in the Total Above)
 
$
250,415

 
$
14,972

 
$
11,521

 
$
—

 
$
276,908


    
The Company considers the performance of the loan portfolio and its impact on the allowance for loan losses. For home equity, consumer and residential mortgage loan classes, the Company also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity.  The following table presents the recorded investment in home equity, consumer and residential mortgage loans based on payment activity as of March 31, 2019 and December 31, 2018:
March 31, 2019
 
Home Equity Loans
 
Consumer Loans
 
Residential Mortgage Loans
Performing
 
$
204,508

 
$
78,128

 
$
313,876

Nonperforming
 
118

 
228

 
1,556

Total
 
$
204,626

 
$
78,356

 
$
315,432


December 31, 2018
 
Home Equity Loans
 
Consumer Loans
 
Residential Mortgage Loans
Performing
 
$
208,921

 
$
77,599

 
$
327,737

Nonperforming
 
88

 
162

 
1,617

Total
 
$
209,009

 
$
77,761

 
$
329,354

 

The Company has purchased loans, for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The recorded investment of those loans is as follows: 
 
 
March 31, 2019
 
December 31, 2018
 
 
 
 
 
Commercial and Industrial Loans
 
$
902

 
$
1,038

Commercial Real Estate Loans
 
6,127

 
6,993

Agricultural Loans
 
1,798

 
1,877

Home Equity Loans
 
368

 
365

Residential Mortgage Loans
 
1,277

 
1,283

Total
 
$
10,472

 
$
11,556

 
 
 

 
 

Carrying Amount, Net of Allowance
 
$
10,190

 
$
11,548


 
Accretable yield, or income expected to be collected, is as follows:
 
 
2019
 
2018
 
 
 
 
 
Balance at January 1
 
$
3,138

 
$
2,734

New Loans Purchased
 
—

 
—

Accretion of Income
 
(322
)
 
(81
)
Reclassifications from Non-accretable Difference
 
387

 
86

Charge-off of Accretable Yield
 
—

 
—

Balance at March 31
 
$
3,203

 
$
2,739

    
For those purchased loans disclosed above, the Company increased the allowance for loan losses by $277 and $30 during the three months ended March 31, 2019 and 2018. The Company reversed allowance for loan losses by $3 during the three months ended March 31, 2019. No allowance for loan losses were reversed during the three months ended March 31, 2018.
 
 
 
 
 

The carrying amount of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process according to local requirements of the applicable jurisdiction totaled $58 as of December 31, 2018. There were no such loans as of March 31, 2019.