Carrying Amounts and Fair Value of Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2022

Fair Value Disclosures [Abstract]

Fair value measurements, recurring basis

Assets measured at fair value on a recurring basis were as follows at September 30, 2022 and December 31, 2021:

	September 30, 2022						December 31, 2021
	Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
Student Loan Pools	$	—	$	63,221,349	$	—	$	—	$	72,011,561	$	—
SBA Bonds	—		107,456,359		—		—		139,793,077		—
Tax Exempt Municipal Bonds	—		41,711,954		—		—		49,984,355		—
Taxable Municipal Bonds	—		51,420,078		—		—		65,969,151		—
MBS	—		327,740,721		—		—		355,090,914		—
Total	$	—	$	591,550,461	$	—	$	—	$	682,849,058	$	—

Fair value measurements, nonrecurring basis

The tables below present assets measured at fair value on a nonrecurring basis at September 30, 2022 and December 31, 2021, aggregated by the level in the fair value hierarchy within which those measurements fall. 

	September 30, 2022
Assets:	Level 1		Level 2		Level 3		Total
Mortgage Loans Held For Sale	$	—	$	2,141,011	$	—	$	2,141,011
Collateral Dependent Impaired Loans (1)	—		—		2,047,178		2,047,178
Other Real Estate Owned	—		—		119,700		119,700
Land Held for Sale	—		—		1,096,614		1,096,614
Total	$	—	$	2,141,011	$	3,263,492	$	5,404,503

	December 31, 2021
Assets:	Level 1		Level 2		Level 3		Total
Mortgage Loans Held For Sale	$	—	$	4,038,414	$	—	$	4,038,414
Collateral Dependent Impaired Loans (1)	—		—		2,323,307		2,323,307
Other Real Estate Owned	—		—		129,700		129,700
Land Held for Sale	—		—		1,529,691		1,529,691
Total	$	—	$	4,038,414	$	3,982,698	$	8,021,112

(1) Reported net of specific reserves. There were no specific reserves at September 30, 2022 and December 31, 2021.

Significant unobservable inputs used in the fair value measurements

For Level 3 assets measured at fair value on a recurring or non-recurring basis at September 30, 2022 and December 31, 2021, the significant unobservable inputs used in the fair value measurements were as follows:

			Range of Inputs
Level 3 Assets	Valuation Technique	Significant Unobservable Inputs	September 30, 2022	December 31, 2021
Land Held for Sale	Appraised Value/Comparable Sales	Discounts to appraised values for estimated holding or selling costs	10%	10%
Collateral Dependent Impaired Loans	Appraised Value/ Discounted Cash Flows	Discounts to appraised values or cash flows for estimated holding and/or selling costs or age of appraisal	8% - 13%	8% - 13%
Other Real Estate Owned	Appraised Value/Comparable Sales	Discounts to appraised values for estimated holding or selling costs	36%	30%

Summary of the carrying value and estimated fair value of financial instruments

The following tables provide a summary of the carrying value and estimated fair value of the Company’s financial instruments at September 30, 2022 and December 31, 2021 presented in accordance with the applicable accounting guidance.

September 30, 2022	Carrying		Fair Value
	Amount		Total		Level 1		Level 2		Level 3
Financial Assets:	Dollars in thousands
Cash and Cash Equivalents	$	20,068	$	20,068	$	20,068	$	—	$	—
Certificates of Deposits with Other Banks	1,100		1,100		—		1,100		—
Investment Securities, Available for Sale	591,550		591,550		—		591,550		—
Investment Securities, Held to Maturity	137,969		131,616		—		131,616		—
Loans Receivable, Net	520,953		501,910		—		—		501,910
Loans Held for Sale	2,141		2,141		—		—		2,141
FHLB Stock	651		651		651		—		—
Land Held for Sale	1,097		1,097		—		—		1,097
Financial Liabilities:
Deposits:
Checking, Savings & Money Market Accounts	$	982,692	$	982,692	$	982,692	$	—	$	—
Certificates of Deposits	136,125		132,569		—		132,569		—
Borrowings from FRB	1,000		1,000		1,000		—		—
Other Borrowed Money	38,809		38,809		38,809		—		—
Subordinated Debentures	29,000		27,049		—		27,049		—
Junior Subordinated Debentures	5,155		5,155		—		5,155		—

December 31, 2021	Carrying		Fair Value
	Amount		Total		Level 1		Level 2		Level 3
Financial Assets:	Dollars in thousands
Cash and Cash Equivalents	$	27,623	$	27,623	$	27,623	$	—	$	—
Certificates of Deposits with Other Banks	1,100		1,100		—		1,100		—
Investment Securities, Available for Sale	682,849		682,849		—		682,849		—
Investment Securities, Held to Maturity	23,507		23,720		—		23,720		—
Loans Receivable, Net	495,458		503,986		—		—		503,986
Loans Held for Sale	4,038		4,038		—		—		4,038
FHLB Stock	586		586		586		—		—
Land Held for Sale	1,530		1,530		—		—		1,530
Financial Liabilities:
Deposits:
Checking, Savings & Money Market Accounts	$	958,601	$	958,601	$	958,601	$	—	$	—
Certificates of Deposits	157,362		157,201		—		157,201		—
Other Borrowed Money	26,785		26,785		26,785		—		—
Subordinated Debentures	30,000		30,154		—		30,154		—
Junior Subordinated Debentures	5,155		5,155		—		5,155		—