XML 59 R62.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Loan Servicing, Mortgage Origination, and Loans Held for Sale (Tables)
12 Months Ended
Dec. 31, 2019
Loan Servicing, Mortgage Origination, and Loans Held for Sale  
Summary of changes in the fair value of MSRs and its offsetting hedge

    

Year Ended December 31,

 

(Dollars in thousands)

 

2019

2018

2017

 

Increase (decrease) in fair value of MSRs

$

(6,976)

$

1,861

$

(595)

Decay of MSRs

 

(4,589)

 

(4,215)

 

(3,762)

Gain (loss) related to derivatives

 

3,967

 

(953)

 

200

Net effect on statements of income

$

(7,598)

$

(3,307)

$

(4,157)

Schedule of characteristics and sensitivity analysis of the MSR

December 31,

(Dollars in thousands)

   

2019

   

2018

 

Composition of residential loans serviced for others

Fixed-rate mortgage loans

99.8

%  

99.8

%

Adjustable-rate mortgage loans

0.2

%  

0.2

%

Total

100.0

%  

100.0

%

Weighted average life

6.55

years  

7.88

years

Constant Prepayment rate (CPR)

10.3

%  

7.3

%

Weighted average discount rate

9.4

%  

9.4

%

Effect on fair value due to change in interest rates

25 basis point increase

$

2,477

$

1,504

50 basis point increase

4,452

 

2,740

25 basis point decrease

(2,938)

 

(1,981)

50 basis point decrease

(6,228)

 

(4,421)