LOANS HELD FOR INVESTMENT AND ALLOWANCE FOR CREDIT LOSSES (Tables)

12 Months Ended

Dec. 31, 2020

Loans, net [Abstract]

Schedule of composition of the loan portfolio

(Dollars in Thousands)

2020

2019

Commercial, Financial and Agricultural

$

393,930

$

255,365

Real Estate – Construction

135,831

115,018

Real Estate – Commercial Mortgage

648,393

625,556

Real Estate – Residential

(1)

352,543

361,450

Real Estate – Home Equity

205,479

197,360

Consumer

(2)

270,250

281,180

Loans Held for Investment, Net of Unearned Income

$

2,006,426

$

1,835,929

(1)

 Includes loans in process with outstanding balances of $

(2)

 Includes overdraft balances of $

0.7

 million and $

1.6

 million for December 31, 2020 and 2019, respectively.

Net deferred fees, which include premiums on purchased loans, included in loans were $

0.1

 million at December 31, 2020 and net

deferred costs were $

1.8

 million at December 31, 2019. Net deferred fees at December 31, 2020 included $

3.2

 million in net fees

for SBA PPP loans.

Accrued interest receivable on loans which is excluded from amortized cost totaled $

6.9

 million at December 31, 2020 and $

5.5

million at December 31, 2019, and is reported separately in Other Assets. 

The Company has pledged a blanket floating lien on all 1-4 family residential mortgage loans, commercial real estate mortgage

loans, and home equity loans to support available borrowing capacity at the FHLB of Atlanta and has pledged a blanket floating

lien on all consumer loans, commercial loans, and construction loans to support available borrowing capacity at the Federal

Reserve Bank of Atlanta. 

Loan Purchases

. The Company will periodically purchase newly originated 1-4 family real estate secured adjustable rate loans

from CCHL, a related party effective on March 1, 2020 (see Note 1 – Significant Accounting Policies). Loan purchases totaled

$

48.4

 million and $

25.2

 million for the years ended December 31, 2020 and December 31, 2019, respectively, and were not credit

impaired.

Schedule of activity in the allowance for loan losses by portfolio class

`

Commercial

,

Real Estate

Financial, 

Real Estate

Commercial 

Real Estate

Real Estate

(Dollars in Thousands)

Agricultural

Construction

Mortgage

Residential

Home Equity

Consumer

Total

2020

Beginning Balance

$

1,675

$

370

$

3,416

$

3,128

$

2,224

$

3,092

$

13,905

Impact of Adopting ASC

326

488

302

1,458

1,243

374

(596)

3,269

Provision for Credit Losses

578

1,757

1,865

940

486

3,409

9,035

Charge-Offs

(789)

-

(28)

(150)

(151)

(5,042)

(6,160)

Recoveries 

252

50

318

279

178

2,690

3,767

Net Charge-Offs

(537)

50

290

129

27

(2,352)

(2,393)

Ending Balance

$

2,204

$

2,479

$

7,029

$

5,440

$

3,111

$

3,553

$

23,816

2019

Beginning Balance

$

1,434

$

280

$

4,181

$

3,400

$

2,301

$

2,614

$

14,210

Provision for Credit Losses

664

371

(1,129)

(301)

178

2,244

2,027

Charge-Offs

(768)

(281)

(214)

(400)

(430)

(2,878)

(4,971)

Recoveries

345

-

578

429

175

1,112

2,639

Net Charge-Offs

(423)

(281)

364

29

(255)

(1,766)

(2,332)

Ending Balance

$

1,675

$

370

$

3,416

$

3,128

$

2,224

$

3,092

$

13,905

2018

Beginning Balance

$

1,191

$

122

$

4,346

$

3,206

$

2,506

$

1,936

$

13,307

Provision for Credit Losses

428

139

(223)

331

137

2,109

2,921

Charge-Offs

(644)

(7)

(315)

(780)

(533)

(2,395)

(4,674)

Recoveries

459

26

373

643

191

964

2,656

Net Charge-Offs

(185)

19

58

(137)

(342)

(1,431)

(2,018)

Ending Balance

$

1,434

$

280

$

4,181

$

3,400

$

2,301

$

2,614

$

14,210

Schedule of aging of the recorded investment in accruing past due loans by class of loans

30-59 

60-89 

90 + 

Total

Total

Nonaccrual

Total

(Dollars in Thousands)

DPD

DPD

DPD

Past Due

Current

Loans

Loans

2020

Commercial, Financial and Agricultural

$

194

$

124

$

-

$

318

$

393,451

$

161

$

393,930

Real Estate – Construction

-

717

-

717

134,935

179

135,831

Real Estate – Commercial Mortgage

293

-

-

293

646,688

1,412

648,393

Real Estate – Residential

375

530

-

905

348,508

3,130

352,543

Real Estate – Home Equity

325

138

-

463

204,321

695

205,479

Consumer

1,556

342

-

1,898

268,058

294

270,250

Total Past Due Loans

$

2,743

$

1,851

$

-

$

4,594

$

1,995,961

$

5,871

$

2,006,426

2019

Commercial, Financial and Agricultural

$

489

$

191

$

-

$

680

$

254,239

$

446

$

255,365

Real Estate – Construction

300

10

-

310

114,708

-

115,018

Real Estate – Commercial Mortgage

148

84

-

232

623,890

1,434

625,556

Real Estate – Residential

629

196

-

825

359,233

1,392

361,450

Real Estate – Home Equity

155

20

-

175

196,388

797

197,360

Consumer

2,000

649

-

2,649

278,128

403

281,180

Total Past Due Loans

$

3,721

$

1,150

$

-

$

4,871

$

1,826,586

$

4,472

$

1,835,929

Schedule of recorded investment in nonaccrual loans and loans past due over 90 days and still on accrual by class of loans

2020

2019

Nonaccrual

Nonaccrual

90 + Days

Nonaccrual

Nonaccrual

90 + Days

With No

With

Still

With No

With

Still

(Dollars in Thousands)

ACL

ACL

Accruing

ACL

ACL

Accruing

Commercial, Financial and Agricultural

$

-

$

161

$

-

$

-

$

446

$

-

Real Estate – Construction

-

179

-

-

-

-

Real Estate – Commercial Mortgage

1,075

337

-

958

476

-

Real Estate – Residential

1,513

1,617

-

227

1,165

-

Real Estate – Home Equity

-

695

-

-

797

-

Consumer

-

294

-

-

403

-

Total Nonaccrual Loans

$

2,588

$

3,283

$

-

$

1,185

$

3,287

$

-

Amortized cost basis of collateral-dependent loans

2020

Real Estate

Non Real Estate

(Dollars in Thousands)

Secured

Secured

Real Estate – Commercial Mortgage

3,900

-

Real Estate – Residential

3,022

-

Real Estate – Home Equity

219

-

Consumer

-

29

Total

$

7,141

$

29

Summary of gross loans held for investment by years of origination

Term Loans by Origination Year

Revolving

(Dollars in Thousands)

2020

2019

2018

2017

2016

Prior

Loans

Total

Commercial, Financial,

Agricultural:

Pass

$

231,805

$

45,651

$

35,866

$

15,212

$

13,321

$

10,051

$

41,214

$

393,120

Special Mention

-

4

28

-

-

58

-

90

Substandard

12

195

289

145

50

20

9

720

Total

$

231,817

$

45,850

$

36,183

$

15,357

$

13,371

$

10,129

$

41,223

$

393,930

Real Estate -

Construction:

Pass

$

71,173

$

51,634

$

7,369

$

1,592

$

-

$

-

$

2,635

$

134,403

Substandard

-

1,428

-

-

-

-

-

1,428

Total

$

71,173

$

53,062

$

7,369

$

1,592

$

-

$

-

$

2,635

$

135,831

Real Estate - Commercial

Mortgage:

Pass

$

156,011

$

93,424

$

131,180

$

78,474

$

45,507

$

88,397

$

19,933

$

612,926

Special Mention

4,165

8,932

9,249

244

379

6,172

397

29,538

Substandard

570

130

137

2,687

28

1,883

494

5,929

Total

$

160,746

$

102,486

$

140,566

$

81,405

$

45,914

$

96,452

$

20,824

$

648,393

Real Estate - Residential:

Pass

$

100,704

$

66,893

$

42,884

$

40,205

$

19,231

$

66,119

$

6,706

$

342,742

Special Mention

141

24

126

175

236

446

-

1,148

Substandard

1,257

1,800

1,377

837

890

2,492

-

8,653

Total 

$

102,102

$

68,717

$

44,387

$

41,217

$

20,357

$

69,057

$

6,706

$

352,543

Real Estate - Home

Equity:

Performing

$

1,385

$

313

$

244

$

830

$

183

$

2,238

$

199,591

$

204,784

Nonperforming

-

-

-

-

-

-

695

695

Total 

$

1,385

313

244

830

183

2,238

200,286

205,479

Consumer:

Performing

$

105,551

$

69,941

$

51,513

$

24,613

$

10,639

$

2,472

$

5,227

$

269,956

Nonperforming

61

109

49

-

8

67

-

294

Total 

$

105,612

70,050

51,562

24,613

10,647

2,539

5,227

270,250