Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amount and Fair Value of Derivative Financial Instruments

The following tables disclose the derivative instruments’ location on the Company’s Consolidated Balance Sheets and the notional amount and fair value of those instruments at September 30, 2022 and December 31, 2021.


	Asset Derivatives
	September 30, 2022						December 31, 2021
	Balance Sheet Location		Notional Amount		Fair Value		Balance Sheet Location		Notional Amount		Fair Value
Derivatives designated as hedging instruments
Fair Value Hedges:
Interest rate swap contracts (hedging commercial loans)		Other assets	$	56,166	$	4,246		Other assets	$	0	$	0

Total Fair Value Hedges			$	56,166	$	4,246			$	0	$	0
Cash Flow Hedges:
Interest rate swap contracts (hedging FHLB borrowings)		Other assets	$	500,000	$	0		Other assets	$	500,000	$	0

Total Cash Flow Hedges			$	500,000	$	0			$	500,000	$	0

Total derivatives designated as hedging instruments			$	556,166	$	4,246			$	500,000	$	0

Derivatives not designated as hedging instruments
Forward loan sales commitments		Other assets	$	0	$	0		Other assets	$	33,349	$	430
TBA mortgage-backed securities		Other assets		152,339		5,010		Other assets		133,747		127
Interest rate lock commitments		Other assets		98,687		1,585		Other assets		467,472		10,380

Total derivatives not designated as hedging instruments			$	251,026	$	6,595			$	634,568	$	10,937

Total asset derivatives			$	807,192	$	10,841			$	1,134,568	$	10,937


	Liability Derivatives
	September 30, 2022						December 31, 2021
	Balance Sheet Location		Notional Amount		Fair Value		Balance Sheet Location		Notional Amount		Fair Value
Derivatives designated as hedging instruments
Fair Value Hedges:
Interest rate swap contracts (hedging commercial loans)		Other liabilities	$	0	$	0		Other liabilities	$	72,447	$	3,197

Total Fair Value Hedges			$	0	$	0			$	72,447	$	3,197


	Liability Derivatives
	September 30, 2022						December 31, 2021
	Balance Sheet Location		Notional Amount		Fair Value		Balance Sheet Location		Notional Amount		Fair Value
Total derivatives designated as hedging instruments			$	0	$	0			$	72,447	$	3,197

Derivatives not designated as hedging instruments
Forward loan sales commitments		Other liabilities	$	13,724	$	276		Other liabilities	$	15,005	$	36
TBA mortgage-backed securities		Other liabilities		0		0		Other liabilities		550,000		470
Interest rate lock commitments		Other liabilities		125,838		2,787		Other liabilities		24,743		25

Total derivatives not designated as hedging instruments			$	139,562	$	3,063			$	589,748	$	531

Total liability derivatives			$	139,562	$	3,063			$	662,195	$	3,728

Summary of Carrying Amount Hedged Assets/(Liabilities)

The following table represents the carrying amount of the hedged assets/(liabilities) and the cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged assets/(liabilities) that are designated as a fair value accounting relationship as of September 30, 2022 and December 31, 2021.

Derivatives in Fair Value

Hedging Relationships

Location in the Statement

of Condition

September 30, 2022

Carrying Amount of

the Hedged

Assets/(Liabilities)

Cumulative Amount

of Fair Value Hedging

Adjustment Included

in the Carrying

Amount of the Hedged

Assets/(Liabilities)

Cumulative Amount of

Fair Value Hedging

Adjustment Remaining for

any Hedged Assets/

(Liabilities) for which

Hedge Accounting has

been Discontinued

Interest rate swaps

Loans, net of unearned income

56,876

(3,260

)

Derivatives in Fair Value

Hedging Relationships

Location in the Statement

of Condition

December 31, 2021

Carrying Amount of

the Hedged

Assets/(Liabilities)

Cumulative Amount

of Fair Value Hedging
Adjustment Included
in the Carrying
Amount of the Hedged
Assets/(Liabilities)

Cumulative Amount of
Fair Value Hedging
Adjustment Remaining for
any Hedged Assets/
(Liabilities) for which
Hedge Accounting has
been Discontinued

Interest rate swaps

Loans, net of unearned income

73,232

3,795

Schedule of Derivative Financial Instruments on Statement of Income

The effect of United’s derivative financial instruments on its unaudited Consolidated Statements of Income for the three and nine months ended September 30, 2022 and 2021 are presented as follows:


		Three Months Ended
	Location of Gain (Loss) Recognized in the Consolidated Statements of Income	September 30, 2022		September 30, 2021
Derivatives in hedging relationships
Fair Value Hedges:
Interest rate swap contracts	Interest and fees on loans	$	40	$	(447	)


		Three Months Ended
	Location of Gain (Loss) Recognized in the Consolidated Statements of Income	September 30, 2022			September 30, 2021
Cash flow Hedges:
Interest rate swap contracts	Interest on long-term borrowings	$	2,422		$	(382	)

Total derivatives in hedging relationships		$	2,462		$	(829	)

Derivatives not designated as hedging instruments
Forward loan sales commitments	Income from Mortgage Banking Activities	$	(345	)	$	(257	)
TBA mortgage-backed securities	Income from Mortgage Banking Activities		4,245			5,766
Interest rate lock commitments	Income from Mortgage Banking Activities		(2,838	)		(1,305	)

Total derivatives not designated as hedging instruments		$	1,062		$	4,204

Total derivatives		$	3,524		$	3,375


		Nine Months Ended
	Location of Gain (Loss) Recognized in the Consolidated Statements of Income	September 30, 2022			September 30, 2021
Derivatives in hedging relationships
Fair Value Hedges:
Interest rate swap contracts	Interest and fees on loans	$	(997	)	$	(1,240	)
Cash flow Hedges:
Interest rate swap contracts	Interest on long-term borrowings	$	2,343		$	(968	)

Total derivatives in hedging relationships		$	1,346		$	(2,208	)

Derivatives not designated as hedging instruments
Forward loan sales commitments	Income from Mortgage Banking Activities	$	(670	)	$	(1,541	)
TBA mortgage-backed securities	Income from Mortgage Banking Activities		5,352			10,470
Interest rate lock commitments	Income from Mortgage Banking Activities		(8,175	)		(17,292	)

Total derivatives not designated as hedging instruments		$	(3,493	)	$	(8,363	)

Total derivatives		$	(2,147	)	$	(10,571	)