Fair Value of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair value measurements, recurring basis

Assets measured at fair value on a recurring basis were as follows at the dates indicated:

	March 31, 2023						December 31, 2022
	Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
Student Loan Pools	$	—	$	55,833,826	$	—	$	—	$	59,156,982	$	—
SBA Bonds	—		91,696,061		—		—		99,629,967		—
Tax Exempt Municipal Bonds	—		20,919,512		—		—		21,310,328		—
Taxable Municipal Bonds	—		52,935,070		—		—		50,769,739		—
MBS	—		319,685,604		—		—		319,281,268		—
Total	$	—	$	541,070,073	$	—	$	—	$	550,148,284	$	—

Fair value measurements, nonrecurring basis

The Company may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis. These include assets that are measured at the lower of cost or market that were recognized at fair value below cost at the end of the period. The tables below present assets measured at fair value on a nonrecurring basis at the dates indicated, aggregated by the level in the fair value hierarchy within which those measurements fall. 

	March 31, 2023
Assets:	Level 1		Level 2		Level 3		Total
Mortgage Loans Held For Sale	$	—	$	240,841	$	—	$	240,841
Collateral Dependent Loans (1)	—		—		5,579,551		5,579,551
Other Real Estate Owned	—		—		119,700		119,700
Land Held for Sale	—		—		1,096,614		1,096,614
Total	$	—	$	240,841	$	6,795,865	$	7,036,706

	December 31, 2022
Assets:	Level 1		Level 2		Level 3		Total
Mortgage Loans Held For Sale	$	—	$	913,258	$	—	$	913,258
Collateral Dependent Loans (1)	—		—		5,565,878		5,565,878
Other Real Estate Owned	—		—		119,700		119,700
Land Held for Sale	—		—		1,096,614		1,096,614
Total	$	—	$	913,258	$	6,782,192	$	7,695,450

(1) Reported net of specific reserves. There were no specific reserves at March 31, 2023 and December 31, 2022.

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 the dates indicated, the significant unobservable inputs used in the fair value measurements were as follows:

			Range of Inputs
Level 3 Assets	Valuation Technique	Significant Unobservable Inputs	March 31, 2023	December 31, 2022
Land Held for Sale	Appraised Value/Comparable Sales	Discounts to appraised values for estimated holding or selling costs	10%	10%
Collateral Dependent Loans	Appraised Value	Discounts to appraised values 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	30%	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 the dates indicated presented in accordance with the applicable accounting guidance.

March 31, 2023	Carrying		Fair Value
	Amount		Level 1		Level 2		Level 3
Financial Assets:	Dollars in thousands
Cash and Cash Equivalents	$	24,719	$	24,719	$	—	$	—
Certificates of Deposits with Other Banks	1,100		—		1,100		—
Investment Securities AFS	541,070		—		541,070		—
Investment Securities HTM	180,179		—		175,853		—
Loans Receivable, Net	574,190		—		—		557,843
FHLB Stock	659		659		—		—
Land Held for Sale	1,097		—		—		1,097
Financial Liabilities:
Deposits:
Checking, Savings & Money Market Accounts	$	925,902	$	925,902	$	—	$	—
Certificates of Deposits	182,771		—		179,810		—
Borrowings from FRB	61,375		61,191		—		—
Other Borrowed Money	27,818		27,818		—		—
Subordinated Debentures	26,500		—		24,135		—
Junior Subordinated Debentures	5,155		—		5,155		—

December 31, 2022	Carrying		Fair Value
	Amount		Level 1		Level 2		Level 3
Financial Assets:	Dollars in thousands
Cash and Cash Equivalents	$	28,502	$	28,502	$	—	$	—
Certificates of Deposits with Other Banks	1,100		—		1,100		—
Investment Securities AFS	550,148		—		550,148		—
Investment Securities HTM	167,438		—		161,464		—
Loans Receivable, Net	549,917		—		—		528,174
FHLB Stock	651		651		—		—
Land Held for Sale	1,097		—		—		1,097
Financial Liabilities:
Deposits:
Checking, Savings & Money Market Accounts	$	968,054	$	968,054	$	—	$	—
Certificates of Deposits	142,031		—		138,382		—
Borrowings from FRB	44,080		44,071		—		—
Other Borrowed Money	27,588		27,588		—		—
Subordinated Debentures	26,500		—		24,435		—
Junior Subordinated Debentures	5,155		—		5,155		—