Note 14 Notes Payable

There were $110.0 million and $135.5 million of advances outstanding from the FHLB at December 31, 2025 and 2024, respectively. From time to time the Bank utilized short-term FHLB advances to fund liquidity during these years. The advances, rate, and maturities of FHLB advances as of December 31 were as follows:

  ​ ​ ​

Maturity

  ​ ​ ​

Rate

  ​ ​ ​

2025

  ​ ​ ​

2024

(dollars in thousands)

Fixed rate, fixed term

 

06/30/2025

 

5.16

%  

 

 

25,000

Fixed rate, fixed term

03/23/2026

4.02

%  

10,000

10,000

Fixed rate, fixed term

05/26/2026

1.95

%  

5,000

5,000

Fixed rate, fixed term

06/29/2026

4.77

%  

15,000

15,000

Fixed rate, fixed term

03/23/2027

3.91

%  

10,000

10,000

Fixed rate, fixed term

06/28/2027

4.57

%  

15,000

15,000

Fixed rate, fixed term

03/23/2028

3.85

%  

10,000

10,000

Fixed rate, fixed term

07/05/2028

4.41

%  

20,000

20,000

Fixed rate, fixed term

07/09/2029

4.31

%  

25,000

25,000

Fixed rate, fixed term

 

04/22/2030

 

0.00

%  

 

 

508

110,000

135,508

Purchase accounting adjustment

(34)

(136)

Total notes payable

$

109,966

$

135,372

Future maturities of borrowings were as follows (dollars in thousands):

December 31,

December 31,

2025

2024

1 year or less

  ​ ​ ​

$

30,000

$

25,000

1 to 2 years

25,000

 

30,000

2 to 3 years

30,000

 

25,000

3 to 4 years

25,000

 

30,000

4 to 5 years

 

25,000

Over 5 years

508

$

110,000

$

135,508

At December 31, 2025 and 2024, respectively, total loans available to be pledged as collateral on FHLB borrowings were approximately $1.10 billion and $1.47 billion and, of that total, $590.2 million and $818.2 million qualified as eligible collateral. The Bank owned $6.3 million of FHLB stock at December 31, 2025 and 2024. At December 31, 2025 and 2024, the Bank had available liquidity of $480.1 million and $682.6 million for future draws, respectively. FHLB stock is included in other investments at December 31, 2025 and 2024. This stock is recorded at cost, which approximates fair value.

Historical Timeline

Fiscal YearFiled
2025Feb 27, 2026Showing above
2024Feb 28, 2025
2023Feb 29, 2024
2022Mar 10, 2023
2021Mar 16, 2022
2020Mar 12, 2021
2019Mar 11, 2020

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.