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SECURITIES (Tables)
 3 Months Ended
Mar. 31, 2021
Investments, Debt and Equity Securities [Abstract]  
Schedule of Available for Sale Securities
The amortized cost, gross unrealized gains and losses, and estimated fair values of debt securities available for sale and equity securities with a readily determinable fair value that are carried at fair value as of March 31, 2021, and December 31, 2020, are summarized in the table below, in thousands:
Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
March 31, 2021    
U.S. treasuries$995 $24 $— $1,019 
U.S. agencies212,805 1,222 (1,735)212,292 
Obligations of states and political subdivisions1,737,638 41,460 (41,109)1,737,989 
Mortgage-backed securities - agency1,442,422 19,675 (29,168)1,432,929 
Mortgage-backed securities - non-agency1,490,868 14,957 (2,109)1,503,716 
Commercial mortgage-backed securities - agency123,797 2,150 (3,717)122,230 
Commercial mortgage-backed securities - non-agency307,744 272 (242)307,774 
Asset-backed securities1,017,016 12,837 (1,640)1,028,213 
Corporate bonds3,754 64 (28)3,790 
Total debt securities6,337,039 92,661 (79,748)6,349,952 
Equity securities with a readily determinable fair value20,543 — — 20,543 
Total$6,357,582 $92,661 $(79,748)$6,370,495 
December 31, 2020
U.S. treasuries$1,995 $31 $— $2,026 
U.S. agencies167,048 657 (926)166,779 
Obligations of states and political subdivisions1,562,631 75,555 (2,959)1,635,227 
Mortgage-backed securities - agency1,351,964 16,029 (12,723)1,355,270 
Mortgage-backed securities - non-agency1,428,068 22,688 (1,640)1,449,116 
Commercial mortgage-backed securities - agency171,451 3,440 (738)174,153 
Commercial mortgage-backed securities - non-agency253,421 37 (691)252,767 
Asset-backed securities1,064,255 9,421 (4,410)1,069,266 
Corporate bonds3,763 8 (29)3,742 
Total debt securities6,004,596 127,866 (24,116)6,108,346 
Equity securities with a readily determinable fair value19,629 — — 19,629 
Total$6,024,225 $127,866 $(24,116)$6,127,975 
Schedule of Held to Maturity Securities
The amortized cost, gross unrealized gains and losses and estimated fair values of held to maturity securities as of March 31, 2021, and December 31, 2020, are summarized in the table below, in thousands:
Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value		Allowance for Credit Losses
March 31, 2021    
Obligations of states and political subdivisions$85,341 $9,741 $— $95,082 $(48)
Total$85,341 $9,741 $— $95,082 $(48)
December 31, 2020
Obligations of states and political subdivisions$88,890 $11,151 $— $100,041 $(51)
Total$88,890 $11,151 $— $100,041 $(51)
Investments Classified by Contractual Maturity Date
The amortized cost and estimated fair value of investment securities carried at fair value at March 31, 2021, by contractual maturity, are as follows, in thousands. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without penalties.
March 31, 2021
Amortized CostEstimated Fair Value
Due in 1 year or less$2,839 $2,873 
Due in 1 to 5 years30,793 31,575 
Due in 5 to 10 years250,514 250,981 
Due after 10 years1,671,046 1,669,661 
Total debt securities1,955,192 1,955,090 
Mortgage and asset-backed securities4,381,847 4,394,862 
Equity securities with a readily determinable fair value 20,543 20,543 
Total investment securities$6,357,582 $6,370,495 

The amortized cost and estimated fair value of debt securities held to maturity at March 31, 2021, by contractual maturity, are as follows, in thousands. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without penalties.
March 31, 2021
Amortized CostEstimated Fair Value
Due in 1 year or less$2,008 $2,028 
Due in 1 to 5 years23,461 25,067 
Due in 5 to 10 years51,288 56,258 
Due after 10 years8,584 11,729 
Total debt securities85,341 95,082 
Allowance for credit losses(48)— 
Total investment securities$85,293 $95,082 
Schedule of Realized Gross Gains (Losses)
Gross gains and losses realized related to the sales of securities carried at fair value for the three months ended March 31, 2021 and 2020, are summarized as follows, in thousands:
Three Months Ended
March 31,
20212020
Proceeds from sales$207,067 $328,890 
Gross security gains445 2,904 
Gross security losses475 1,246 
Schedule of Debt Securities Available-for-sale The following table summarizes, in thousands, the amount of unrealized losses, defined as the amount by which cost or amortized cost exceeds fair value, and the related fair value of investments with unrealized losses in the securities portfolio as of March 31, 2021, and December 31, 2020. The investments were segregated into two categories: those that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for
12 months or more. The reference point for determining how long an investment was in an unrealized loss position was March 31, 2020, and December 31, 2019, respectively.
Debt securities available for saleLess than 12 months12 months or longerTotal
 Fair
Value		Unrealized
Losses		CountFair
Value		Unrealized
Losses		CountFair
Value		Unrealized
Losses		Count
March 31, 2021
U.S. treasuries$— $— — $— $— — $— $— — 
U.S. agencies23,581 (997)2 95,757 (738)73 119,338 (1,735)75 
Obligations of states and political subdivisions1,000,647 (40,997)169 13,126 (112)2 1,013,773 (41,109)171 
Mortgage-backed securities - agency774,060 (28,762)51 27,063 (406)2 801,123 (29,168)53 
Mortgage-backed securities - non-agency568,107 (1,801)18 30,172 (308)5 598,279 (2,109)23 
Commercial mortgage-backed securities - agency72,262 (3,717)11 — — — 72,262 (3,717)11 
Commercial mortgage-backed securities - non-agency57,789 (6)1 34,659 (236)4 92,448 (242)5 
Asset-backed securities128,354 (533)6 88,892 (1,107)12 217,246 (1,640)18 
Corporate bonds1,714 (28)4 — — — 1,714 (28)4 
Total temporarily impaired securities$2,626,514 $(76,841)262 $289,669 $(2,907)98 $2,916,183 $(79,748)360 
December 31, 2020
U.S. treasuries$— $— — $— $— — $— $— — 
U.S. agencies2,981 (8)5 99,922 (918)72 102,903 (926)77 
Obligations of states and political subdivisions346,598 (2,959)49 — — — 346,598 (2,959)49 
Mortgage-backed securities - agency653,793 (12,342)35 31,012 (381)3 684,805 (12,723)38 
Mortgage-backed securities - non-agency378,843 (1,639)17 1,622 (1)1 380,465 (1,640)18 
Commercial mortgage-backed securities - agency46,541 (738)6 — — — 46,541 (738)6 
Commercial mortgage-backed securities - non-agency100,042 (15)2 35,428 (676)3 135,470 (691)5 
Asset-backed securities141,824 (643)9 340,452 (3,767)24 482,276 (4,410)33 
Corporate bonds1,908 (29)4 — — — 1,908 (29)4 
Total temporarily impaired securities$1,672,530 $(18,373)127 $508,436 $(5,743)103 $2,180,966 $(24,116)230 
Schedule of Debt Securities, Held-to-maturity, Allowance for Credit Loss The following table presents, in thousands, the activity in the allowance for credit losses for securities held to maturity by obligations of states and political subdivisions securities for the three months ended March 31, 2021 and 2020:
Three Months Ended
March 31,
20212020
Beginning balance$51 $— 
Impact of ASU 2016-13 adoption— 158 
Adjusted balance51 158 
Provision (benefit) for credit losses(3)39 
Balance at period end$48 $197 
Schedule of Financing Receivable Credit Quality Indicators
The following table summarizes, in thousands, the carrying amount of HTLF's held to maturity debt securities by investment rating as of March 31, 2021 and 2020, which are updated quarterly and used to monitor the credit quality of the securities:
March 31, 2021December 31, 2020
Rating
AAA$3,178 $— 
AA, AA+, AA-61,816 64,385 
A+, A, A-15,150 18,353 
BBB4,729 4,208 
Not Rated468 1,944 
Total $85,341 $88,890 
The following tables show the risk category of loans by loan category and year of origination as of March 31, 2021, and December 31, 2020, in thousands:
As of March 31, 2021Amortized Cost Basis of Term Loans by Year of Origination
202120202019201820172016 and PriorRevolvingTotal
Commercial and industrial
Pass$85,059 $523,968 $305,803 $142,927 $206,293 $386,530 $481,837 $2,132,417 
Watch 1,213 31,058 23,144 19,494 15,308 21,877 78,657 190,751 
Substandard 825 24,203 10,191 8,278 11,890 26,002 16,703 98,092 
Commercial and industrial total$87,097 $579,229 $339,138 $170,699 $233,491 $434,409 $577,197 $2,421,260 
PPP
Pass$400,126 $671,099 $— $— $— $— $— $1,071,225 
Watch9,625 20,344 — — — — — 29,969 
Substandard5,750 48,384 — — — — — 54,134 
PPP total $415,501 $739,827 $— $— $— $— $— $1,155,328 
Owner occupied commercial real estate
Pass$97,898 $415,729 $387,953 $271,720 $152,313 $289,744 $36,676 $1,652,033 
Watch768 16,775 22,063 22,059 20,427 19,212 7,131 108,435 
Substandard1,907 14,332 7,797 10,340 12,830 28,937 948 77,091 
Owner occupied commercial real estate total$100,573 $446,836 $417,813 $304,119 $185,570 $337,893 $44,755 $1,837,559 
Non-owner occupied commercial real estate
Pass$94,856 $334,303 $379,230 $297,195 $181,937 $307,473 $20,154 $1,615,148 
Watch— 20,932 91,095 31,107 20,494 67,914 5,013 236,555 
Substandard2,140 30,469 14,010 23,383 14,853 30,625 — 115,480 
Non-owner occupied commercial real estate total$96,996 $385,704 $484,335 $351,685 $217,284 $406,012 $25,167 $1,967,183 
Real estate construction
Pass$66,643 $342,374 $229,345 $54,006 $10,730 $9,485 $18,588 $731,171 
Watch — 2,832 11,164 47,532 317 25 414 62,284 
Substandard158 — 28 1,995 — 391 — 2,572 
Real estate construction total$66,801 $345,206 $240,537 $103,533 $11,047 $9,901 $19,002 $796,027 
Agricultural and agricultural real estate
Pass$56,474 $149,863 $81,301 $49,483 $32,928 $49,165 $132,606 $551,820 
Watch1,268 17,561 12,753 6,863 1,636 6,667 10,136 56,884 
Substandard6,686 13,163 6,943 22,012 5,855 12,370 8,236 75,265 
Agricultural and agricultural real estate total$64,428 $180,587 $100,997 $78,358 $40,419 $68,202 $150,978 $683,969 
Residential real estate
Pass$46,700 $125,274 $80,624 $95,884 $64,961 $312,167 $26,634 $752,244 
Watch1,188 1,989 1,676 2,067 1,620 8,062 — 16,602 
Substandard4,324 947 201 2,073 1,410 8,393 800 18,148 
Residential real estate total $52,212 $128,210 $82,501 $100,024 $67,991 $328,622 $27,434 $786,994 
Consumer
Pass$17,483 $32,613 $23,111 $16,259 $13,336 $22,480 $266,620 $391,902 
Watch29 104 361 840 324 708 1,455 3,821 
Substandard— 546 739 1,423 386 2,499 820 6,413 
Consumer total$17,512 $33,263 $24,211 $18,522 $14,046 $25,687 $268,895 $402,136 
Total Pass$865,239 $2,595,223 $1,487,367 $927,474 $662,498 $1,377,044 $983,115 $8,897,960 
Total Watch14,091 111,595 162,256 129,962 60,126 124,465 102,806 705,301 
Total Substandard 21,790 132,044 39,909 69,504 47,224 109,217 27,507 447,195 
Total Loans$901,120 $2,838,862 $1,689,532 $1,126,940 $769,848 $1,610,726 $1,113,428 $10,050,456 
As of December 31, 2020Amortized Cost Basis of Term Loans by Year of Origination
202020192018201720162015 and PriorRevolvingTotal
Commercial and industrial
Pass$557,853 $340,809 $168,873 $215,696 $101,010 $337,834 $541,627 $2,263,702 
Watch 41,574 24,676 19,672 14,262 8,072 2,474 49,432 160,162 
Substandard 23,024 16,274 8,897 15,717 9,098 19,537 18,388 110,935 
Commercial and industrial total$622,451 $381,759 $197,442 $245,675 $118,180 $359,845 $609,447 $2,534,799 
PPP
Pass$880,709 $— $— $— $— $— $— $880,709 
Watch22,533 — — — — — — 22,533 
Substandard54,543 — — — — — — 54,543 
PPP total $957,785 $— $— $— $— $— $— $957,785 
Owner occupied commercial real estate
Pass$400,662 $369,401 $300,242 $167,470 $107,234 $213,780 $33,759 $1,592,548 
Watch15,345 13,764 22,488 20,811 8,717 15,282 4,311 100,718 
Substandard15,914 9,522 12,164 14,147 8,580 21,708 1,105 83,140 
Owner occupied commercial real estate total$431,921 $392,687 $334,894 $202,428 $124,531 $250,770 $39,175 $1,776,406 
Non-owner occupied commercial real estate
Pass$334,722 $411,301 $305,456 $194,101 $108,070 $233,153 $24,466 $1,611,269 
Watch22,826 55,225 24,718 18,724 20,954 45,672 5,114 193,233 
Substandard30,899 15,035 23,290 17,046 9,147 21,060 502 116,979 
Non-owner occupied commercial real estate total$388,447 $481,561 $353,464 $229,871 $138,171 $299,885 $30,082 $1,921,481 
Real estate construction
Pass$311,625 $309,678 $157,171 $12,625 $6,954 $5,110 $21,431 $824,594 
Watch 2,105 26,659 2,403 332 55 388 1,295 33,237 
Substandard196 2,760 2,036 — 39 358 — 5,389 
Real estate construction total$313,926 $339,097 $161,610 $12,957 $7,048 $5,856 $22,726 $863,220 
Agricultural and agricultural real estate
Pass$171,578 $90,944 $62,349 $39,252 $17,626 $37,696 $148,456 $567,901 
Watch20,500 16,202 8,854 2,448 3,515 3,157 12,282 66,958 
Substandard17,403 7,044 23,519 6,758 3,917 9,952 11,074 79,667 
Agricultural and agricultural real estate total$209,481 $114,190 $94,722 $48,458 $25,058 $50,805 $171,812 $714,526 
Residential real estate
Pass$153,017 $99,440 $118,854 $83,534 $63,477 $244,852 $33,467 $796,641 
Watch3,986 4,507 2,188 1,896 3,117 8,525 — 24,219 
Substandard980 442 2,507 1,528 884 12,141 1,100 19,582 
Residential real estate total $157,983 $104,389 $123,549 $86,958 $67,478 $265,518 $34,567 $840,442 
Consumer
Pass$37,037 $27,646 $18,811 $15,034 $4,009 $19,483 $280,996 $403,016 
Watch168 352 647 340 82 646 1,622 3,857 
Substandard481 959 1,884 500 897 1,976 822 7,519 
Consumer total$37,686 $28,957 $21,342 $15,874 $4,988 $22,105 $283,440 $414,392 
Total Pass$2,847,203 $1,649,219 $1,131,756 $727,712 $408,380 $1,091,908 $1,084,202 $8,940,380 
Total Watch129,037 141,385 80,970 58,813 44,512 76,144 74,056 604,917 
Total Substandard 143,440 52,036 74,297 55,696 32,562 86,732 32,991 477,754 
Total Loans$3,119,680 $1,842,640 $1,287,023 $842,221 $485,454 $1,254,784 $1,191,249 $10,023,051