Annual report pursuant to Section 13 and 15(d)

Note 8 - Other Borrowings

v3.24.1
Note 8 - Other Borrowings
12 Months Ended
Dec. 31, 2023
Notes to Financial Statements  
Federal Home Loan Bank Advances, Disclosure [Text Block]

Note 8: Other Borrowings

 

During the year ended December 31, 2023, the Company borrowed $5.0 million from the FHLB Chicago at a rate of 4.78% for 24 months, payable on June 20, 2025. The advance is collateralized by loans pledged to the FHLB and is payable at maturity, with a prepayment penalty if repayment is made prior to the maturity date. 

 
Additionally, during the fourth quarter of 2023, the Company borrowed $10.0 million from the Federal Reserve Bank of Chicago as part of the Bank Term Funding Program, at a rate of 5.31% for 12 months, payable in November 2024. The borrowing was repaid in December 2023. The borrowing was collateralized by securities pledged to the FRB and was payable at maturity with no prepayment penalty. 
 
The following table shows certain information regarding our borrowings at or for the dates indicated:
   

At or For the Year Ended December 31,

 
   

2023

   

2022

 
   

(Dollars in thousands)

 

FHLB of Chicago advances and other borrowings:

               

Average balance outstanding

  $ 3,461     $ 1,945  

Maximum amount outstanding at any month-end during the period

    15,000       5,000  

Balance outstanding at end of period

    5,000        

Average interest rate during the period

    5.0 %     0.0 %

Weighted average interest rate at end of period

    4.8 %     0.0 %

 

The following table shows the outstanding advances, additional borrowing capacity and total borrowing capacity from the FHLB Chicago at the dates presented.

 

   

December 31, 2023

   

December 31, 2022

 
   

(Dollars in thousands)

 

Outstanding advances

  $ 5,000     $  

Additional borrowing capacity

    72,200       68,586  

Total borrowing capacity

  $ 77,200     $ 68,586  
 
The eligible borrowings are collateralized by  $102.6 million and  $86.6 million of first mortgage loans under a blanket lien arrangement at December 31, 2023 and 2022 , respectively. Additionally, at December 31, 2023 and 2022 we had a $10.0 million federal funds line of credit with the BMO Harris Bank, none of which was drawn at December 31, 2023 and 2022.