META FINANCIAL GROUP INC, 10-Q filed on 2/7/2018
Quarterly Report
v3.8.0.1
Document and Entity Information - shares
 3 Months Ended
Dec. 31, 2017
Feb. 05, 2018
Document Information [Line Items]    
Entity Registrant Name META FINANCIAL GROUP INC  
Entity Central Index Key 0000907471  
Current Fiscal Year End Date --09-30  
Entity Current Reporting Status Yes  
Entity Filer Category Large Accelerated Filer  
Document Fiscal Year Focus 2018  
Document Fiscal Period Focus Q1  
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Dec. 31, 2017  
Common Class A [Member]    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   9,683,841
Nonvoting Common Stock [Member]    
Document Information [Line Items]    
Entity Common Stock, Shares Outstanding   0
v3.8.0.1
Condensed Consolidated Statements of Financial Condition - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
ASSETS    
Cash and cash equivalents $ 1,300,409 $ 1,267,586
Investment securities available for sale 1,392,240 1,106,977
Mortgage-backed securities available for sale 600,112 586,454
Investment securities held to maturity 235,024 449,840
Mortgage-backed securities held to maturity 8,468 113,689
Loans receivable 1,509,140 1,325,371
Allowance for loan losses (8,862) (7,534)
Federal Home Loan Bank Stock, at cost 57,443 61,123
Accrued interest receivable 21,089 19,380
Premises, furniture, and equipment, net 20,571 19,320
Bank-owned life insurance 85,371 84,702
Foreclosed real estate and repossessed assets 128 292
Goodwill 98,723 98,723
Intangible assets 50,521 52,178
Prepaid assets 29,758 28,392
Deferred taxes 5,379 9,101
Other assets 12,449 12,738
Total assets 5,417,963 5,228,332
LIABILITIES    
Non-interest-bearing checking 2,779,645 2,454,057
Interest-bearing checking 84,390 67,294
Savings deposits 53,535 53,505
Money market deposits 47,451 48,758
Time certificates of deposit 128,220 123,637
Wholesale deposits 420,404 476,173
Total deposits 3,513,645 3,223,424
Short-term debt 1,313,401 1,404,534
Long-term debt 85,552 85,533
Accrued interest payable 4,065 2,280
Accrued expenses and other liabilities 63,595 78,065
Total liabilities 4,980,258 4,793,836
STOCKHOLDERS’ EQUITY    
Preferred stock, 3,000,000 shares authorized, no shares issued or outstanding at December 31, 2017 and September 30, 2017, respectively 0 0
Additional paid-in capital 262,872 258,336
Retained earnings 170,578 167,164
Accumulated other comprehensive income 5,782 9,166
Treasury stock, at cost, 20,552 and 3,836 common shares at December 31, 2017 and September 30, 2017, respectively (1,623) (266)
Total stockholders’ equity 437,705 434,496
Total liabilities and stockholders’ equity 5,417,963 5,228,332
Common Stock [Member]    
STOCKHOLDERS’ EQUITY    
Common stock 96 96
Nonvoting Common Stock [Member]    
STOCKHOLDERS’ EQUITY    
Common stock $ 0 $ 0
v3.8.0.1
Condensed Consolidated Statements of Financial Condition (Unaudited) (Parenthetical) - $ / shares
Dec. 31, 2017
Sep. 30, 2017
STOCKHOLDERS’ EQUITY    
Preferred stock, shares authorized (in shares) 3,000,000 3,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common Stock [Member]    
STOCKHOLDERS’ EQUITY    
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 15,000,000 15,000,000
Common stock, shares issued (in shares) 9,685,398 9,626,431
Common stock, shares outstanding (in shares) 9,664,846 9,622,595
Common Stock, Nonvoting [Member]    
STOCKHOLDERS’ EQUITY    
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 3,000,000 3,000,000
Common stock, shares issued (in shares) 0 0
Common stock, shares outstanding (in shares) 0 0
Treasury stock (in shares) 20,552 3,836
v3.8.0.1
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Interest and dividend income:    
Loans receivable, including fees $ 16,443 $ 10,678
Mortgage-backed securities 3,758 3,320
Other investments 10,656 8,577
Total interest and dividend income 30,857 22,575
Interest expense:    
Deposits 1,885 938
FHLB advances and other borrowings 2,776 1,804
Total interest expense 4,661 2,742
Net interest income 26,196 19,833
Provision for loan losses 1,068 843 [1]
Net interest income after provision for loan losses 25,128 18,990
Non-interest income:    
Refund transfer product fees 192 176
Tax advance product fees 1,947 449
Card fees 25,247 18,414
Loan fees 1,292 870
Bank-owned life insurance 669 448
Deposit fees 848 150
Loss on sale of securities available-for-sale, net (Includes ($1,010) and ($1,234) reclassified from accumulated other comprehensive income (loss) for net gains (losses) on available for sale securities for the three months ended December 31, 2017 and 2016, respectively) (1,010) (1,234) [1]
Loss on foreclosed real estate (19) 0 [1]
Other income 102 76
Total non-interest income 29,268 19,349
Non-interest expense:    
Compensation and benefits 22,340 17,850
Refund transfer product expense 101 51
Tax advance product expense 280 27
Card processing 6,540 5,579
Occupancy and equipment 4,890 3,977
Legal and consulting 2,416 2,723
Marketing 553 470
Data processing 414 363
Intangible amortization expense 1,681 1,525
Other expense 4,827 4,188
Total non-interest expense 44,042 36,753
Income before income tax expense 10,354 1,586
Income tax expense (Includes ($380), and ($463) reclassified from accumulated other comprehensive income (loss) for the three months ended December 31, 2017 and 2016, respectively) 5,684 342
Net income $ 4,670 $ 1,244 [1]
Earnings per common share    
Basic (in dollars per share) $ 0.48 $ 0.14
Diluted (in dollars per share) $ 0.48 $ 0.14
[1] See Note 1. Basis of Presentation for further discussion on the current presentation.
v3.8.0.1
Condensed Consolidated Statements of Operations (Unaudited) (Parenthetical) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Non-interest income:    
Net gain (losses) on available for sale securities reclassified from accumulated other comprehensive income (loss) $ (1,010) $ (1,234)
Income tax expense (benefit) reclassified from accumulated other comprehensive income (loss) $ (380) $ (463)
v3.8.0.1
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Statement of Comprehensive Income [Abstract]    
Net income $ 4,670 $ 1,244 [1]
Other comprehensive income (loss):    
Change in net unrealized loss on securities (7,480) (45,268)
Losses realized in net income 1,010 1,234
Total available for sale adjustment (6,470) (44,034)
LESS: Deferred income tax effect (3,086) (16,092)
Total other comprehensive loss (3,384) (27,942)
Total comprehensive income (loss) $ 1,286 $ (26,698)
[1] See Note 1. Basis of Presentation for further discussion on the current presentation.
v3.8.0.1
Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($)
$ in Thousands
Total
Common Stock [Member]
Additional Paid-in Capital [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Treasury Stock [Member]
Balance at Sep. 30, 2016 $ 334,975 $ 85 $ 184,780 $ 127,190 $ 22,920 $ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Cash dividends declared on common stock (1,195)     (1,195)    
Issuance of common shares due to issuance of stock options, restricted stock and ESOP 3,248 3 3,245      
Issuance of common shares due to acquisition 37,296 5 37,291      
Contingent consideration equity earnout due to SCS acquisition 24,091   24,091      
Stock compensation 69   69      
Net change in unrealized gains (losses) on securities, net of income taxes (27,942)       (27,942)  
Net income 1,244 [1]     1,244    
Balance at Dec. 31, 2016 371,786 93 249,476 127,239 (5,022) 0
Balance at Sep. 30, 2017 434,496 96 258,336 167,164 9,166 (266)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Cash dividends declared on common stock (1,256)     (1,256)    
Stock Issued During Period, Value, Employee Stock Ownership Plan 1,606   1,606      
Stock compensation 3,244   3,244      
Adjustments Related to Tax Withholding for Share-based Compensation (1,671)   (314)     (1,357)
Net change in unrealized gains (losses) on securities, net of income taxes (3,384)       (3,384)  
Net income 4,670     4,670    
Balance at Dec. 31, 2017 $ 437,705 $ 96 $ 262,872 $ 170,578 $ 5,782 $ (1,623)
[1] See Note 1. Basis of Presentation for further discussion on the current presentation.
v3.8.0.1
Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Statement of Stockholders' Equity [Abstract]    
Cash dividends declared on common stock (in dollars per share) $ 0.13 $ 0.13
v3.8.0.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Cash flows from operating activities:    
Net income $ 4,670 $ 1,244 [1]
Adjustments to reconcile net income to net cash provided (used in) by operating activities:    
Depreciation, amortization and accretion, net 9,561 9,479 [1]
Stock-based compensation expense 3,244 69 [1]
Net excess tax benefit from stock-based compensation 1,068 843 [1]
Provision (recovery) for deferred taxes 6,807 (927) [1]
(Gain) on other assets (8) (6) [1]
Loss on sale of foreclosed real estate 19 0 [1]
Loss on sale of securities available for sale, net 1,010 1,234 [1]
Net change in accrued interest receivable (1,709) (4,176) [1]
Fair value adjustment of foreclosed real estate 23 0 [1]
Originations of loans held for sale 0 (27,191) [1]
Proceeds from sales of loans held for sale 0 25,968 [1]
Change in bank-owned life insurance value (669) (448) [1]
Net change in other assets (1,102) (27,164) [1]
Net change in accrued interest payable 1,785 1,379 [1]
Net change in accrued expenses and other liabilities (14,462) 14,255 [1]
Net cash provided by (used in) operating activities 10,237 (5,441) [1]
Cash flows from investing activities:    
Purchase of securities available-for-sale (105,327) (144,024) [1]
Proceeds from sales of securities available-for-sale 65,941 60,623 [1]
Proceeds from maturities and principal repayments of securities available for sale 35,065 30,849 [1]
Proceeds from maturities and principal repayments of securities held to maturity 12,021 13,301 [1]
Loans purchased (75,163) (136,172) [1]
Loans sold 5,916 6,525 [1]
Net change in loans receivable (114,827) (59,008) [1]
Proceeds from sales of foreclosed real estate or other assets 122 0 [1]
Net cash paid for acquisitions 0 (29,425) [1]
Federal Home Loan Bank stock purchases (249,920) (140,680) [1]
Federal Home Loan Bank stock redemptions 253,600 184,360 [1]
Proceeds from the sale of premises and equipment 0 58 [1]
Purchase of premises and equipment (2,593) (2,899) [1]
Net cash used in investing activities (175,165) (216,492) [1]
Cash flows from financing activities:    
Net change in checking, savings, and money market deposits 341,407 309,726 [1]
Net change in time deposits 4,583 (3,658) [1]
Net change in wholesale deposits (55,769) 926,987 [1]
Net change in FHLB and other borrowings (205,000) (100,000) [1]
Net change in federal funds 113,000 (992,000) [1]
Net change in securities sold under agreements to repurchase 867 744 [1]
Principal payments on capital lease obligations (16) (18) [1]
Cash dividends paid (1,256) (1,195) [1]
Purchase of shares by ESOP 1,606 0 [1]
Proceeds from exercise of stock options and issuance of common stock 0 3,248 [1]
Shares repurchased for tax withholdings on stock compensation (1,671) 0 [1]
Net cash provided by financing activities 197,751 143,834 [1]
Net change in cash and cash equivalents 32,823 (78,099) [1]
Cash and cash equivalents at beginning of period 1,267,586 773,830 [1]
Cash and cash equivalents at end of period 1,300,409 695,731 [1]
Cash paid during the period for:    
Interest 6,446 1,362 [1]
Income taxes 218 2,110 [1]
Franchise taxes 31 20 [1]
Other taxes 1 1 [1]
Supplemental schedule of non-cash investing activities:    
Securities transferred from held to maturity to available for sale (306,000) 0 [1]
Contingent consideration - cash [1]   17,259
Contingent consideration - equity 0 (24,091) [1]
Stock issued for acquisition $ 0 $ (37,296) [1]
[1] See Note 1. Basis of Presentation for further discussion on the current presentation.
v3.8.0.1
BASIS OF PRESENTATION
 3 Months Ended
Dec. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
BASIS OF PRESENTATION
BASIS OF PRESENTATION

The interim unaudited Condensed Consolidated Financial Statements contained herein should be read in conjunction with the audited consolidated financial statements and accompanying notes to the consolidated financial statements for the fiscal year ended September 30, 2017 included in Meta Financial Group, Inc.’s (“Meta Financial” or the “Company”) Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on November 29, 2017.  Accordingly, footnote disclosures which would substantially duplicate the disclosures contained in the audited consolidated financial statements have been omitted.

The financial information of the Company included herein has been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial reporting and has been prepared pursuant to the rules and regulations for reporting on Form 10-Q and Rule 10-01 of Regulation S-X.  Such information reflects all adjustments (consisting of normal recurring adjustments), that are, in the opinion of management, necessary for a fair presentation of the financial position and results of operations for the periods presented. The results of the three month period ended December 31, 2017 are not necessarily indicative of the results expected for the fiscal year ending September 30, 2018.

In fiscal 2017, the Company early adopted Accounting Standards Update ("ASU") 2016-09, "Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting." The requirement to report the excess tax benefit related to settlements of share-based payment awards in earnings as an increase or (decrease) to income tax expense has been applied utilizing the prospective method. While the adoption of ASU 2016-09 requires retrospective application to all fiscal year periods presented, the Company elected to not recast previously reported financial statements as the impact was considered insignificant. However, the Company reclassified stock compensation from financing to operating activities on the Consolidated Statement of Cash Flows as of December 31, 2017 and December 31, 2016.
v3.8.0.1
CREDIT DISCLOSURES
 3 Months Ended
Dec. 31, 2017
Loans and Leases Receivable Disclosure [Abstract]  
CREDIT DISCLOSURES
CREDIT DISCLOSURES

The allowance for loan losses represents management’s estimate of probable loan losses which have been incurred as of the date of the consolidated financial statements.  The allowance for loan losses is increased by a provision for loan losses charged to expense and decreased by charge-offs (net of recoveries).  Estimating the risk of loss and the amount of loss on any loan is necessarily subjective.  Management’s periodic evaluation of the appropriateness of the allowance is based on the Company’s past loan loss experience, known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, and current economic conditions.  While management may periodically allocate portions of the allowance for specific problem loan situations, the entire allowance is available for any loan charge-offs that occur.

Loans are considered impaired if full principal or interest payments are not probable in accordance with the contractual loan terms.  Impaired loans are carried at the present value of expected future cash flows discounted at the loan’s effective interest rate or at the fair value of the collateral if the loan is collateral dependent.  A portion of the allowance for loan losses is allocated to impaired loans if the value of such loans is deemed to be less than the unpaid balance.

The allowance consists of specific, general and unallocated components.  The specific component relates to impaired loans.  For such loans, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan.  The general component covers loans not considered impaired and is based on historical loss experience adjusted for qualitative factors.  An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses.  The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio.

Homogeneous loan populations are collectively evaluated for impairment.  These loan populations may include commercial insurance premium finance loans, residential first mortgage loans secured by one-to-four family residences, residential construction loans, home equity and second mortgage loans, and tax product loans.  Commercial and agricultural loans as well as mortgage loans secured by other properties are monitored regularly by the Bank given the larger balances. When analysis of the borrower operating results and financial condition indicates that underlying cash flows of the borrower’s business is not adequate to meet its debt service requirements, the individual loan or loan relationship is evaluated for impairment. Often this is associated with a delay or shortfall in payments of 210 days or more for commercial insurance premium finance, 180 days or more for tax and other national lending loans and 90 days or more for other loans. Non-accrual loans and all troubled debt restructurings are considered impaired.  Impaired loans, or portions thereof, are charged off when deemed uncollectible.

Loans receivable at December 31, 2017 and September 30, 2017 were as follows:
 
December 31, 2017
 
September 30, 2017
 
(Dollars in Thousands)
1-4 Family Real Estate
$
203,967

 
$
196,706

Commercial and Multi-Family Real Estate
654,029

 
585,510

Agricultural Real Estate
61,303

 
61,800

Consumer
274,981

 
163,004

Commercial Operating
56,516

 
35,759

Agricultural Operating
24,696

 
33,594

Commercial Insurance Premium Finance
235,671

 
250,459

Total Loans Receivable
1,511,163

 
1,326,832

 
 
 
 
Allowance for Loan Losses
(8,862
)
 
(7,534
)
Net Deferred Loan Origination Fees
(2,023
)
 
(1,461
)
Total Loans Receivable, Net
$
1,500,278

 
$
1,317,837

Activity in the allowance for loan losses and balances of loans receivable by portfolio segment for the three months ended December 31, 2017 and 2016 was as follows:

 
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
CML Insurance
Premium
Finance
 
Unallocated
 
Total
 
(Dollars in Thousands)
Three Months Ended December 31, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
803

 
$
2,670

 
$
1,390

 
$
6

 
$
158

 
$
1,184

 
$
796

 
$
527

 
$
7,534

Provision (recovery) for loan losses
(118
)
 
364

 
(210
)
 
297

 
690

 
(380
)
 
51

 
374

 
1,068

Charge offs
(31
)
 
—

 
—

 
—

 
—

 
—

 
(129
)
 
—

 
(160
)
Recoveries
—

 
—

 
—

 
367

 
46

 
—

 
7

 
—

 
420

Ending balance
$
654

 
$
3,034

 
$
1,180

 
$
670

 
$
894

 
$
804

 
$
725

 
$
901

 
$
8,862

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance: individually evaluated for impairment
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Ending balance: collectively evaluated for impairment
654

 
3,034

 
1,180

 
670

 
894

 
804

 
725

 
901

 
8,862

Total
$
654

 
$
3,034

 
$
1,180

 
$
670

 
$
894

 
$
804

 
$
725

 
$
901

 
$
8,862

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance: individually
evaluated for impairment
95

 
707

 
—

 
61

 
—

 
1,052

 
—

 
—

 
1,915

Ending balance: collectively
evaluated for impairment
203,872

 
653,322

 
61,303

 
274,920

 
56,516

 
23,644

 
235,671

 
—

 
1,509,248

Total
$
203,967

 
$
654,029

 
$
61,303

 
$
274,981

 
$
56,516

 
$
24,696

 
$
235,671

 
$
—

 
$
1,511,163

 
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
CML Insurance
Premium
Finance
 
Unallocated
 
Total
 
(Dollars in Thousands)
Three Months Ended December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
654

 
$
2,198

 
$
142

 
$
51

 
$
117

 
$
1,332

 
$
588

 
$
553

 
$
5,635

Provision (recovery) for loan losses
—

 
(286
)
 
334

 
(28
)
 
691

 
(3
)
 
110

 
25

 
843

Charge offs
—

 
—

 
—

 
—

 
—

 
—

 
(118
)
 
—

 
(118
)
Recoveries
—

 
—

 
—

 
24

 
5

 
12

 
14

 
—

 
55

Ending balance
$
654

 
$
1,912

 
$
476

 
$
47

 
$
813

 
$
1,341

 
$
594

 
$
578

 
$
6,415

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance: individually
evaluated for impairment
11

 
—

 
—

 
—

 
339

 
—

 
—

 
—

 
350

Ending balance: collectively
evaluated for impairment
643

 
1,912

 
476

 
47

 
474

 
1,341

 
594

 
578

 
6,065

Total
$
654

 
$
1,912

 
$
476

 
$
47

 
$
813

 
$
1,341

 
$
594

 
$
578

 
$
6,415

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance: individually
evaluated for impairment
190

 
429

 
—

 
—

 
505

 
—

 
—

 
—

 
1,124

Ending balance: collectively
evaluated for impairment
172,687

 
440,083

 
64,014

 
173,164

 
50,319

 
33,617

 
179,508

 
—

 
1,113,392

Total
$
172,877

 
$
440,512

 
$
64,014

 
$
173,164

 
$
50,824

 
$
33,617

 
$
179,508

 
$
—

 
$
1,114,516

Federal regulations promulgated by the Bank's primary federal regulator, the Office of the Comptroller of the Currency (the "OCC"), provide for the classification of loans and other assets such as debt and equity securities. The loan classification and risk rating definitions for the Company and its wholly-owned subsidiary, MetaBank (the "Bank"), are generally as follows:

Pass- A pass asset is of sufficient quality in terms of repayment, collateral and management to preclude a special mention or an adverse rating.

Watch- A watch asset is generally credit performing well under current terms and conditions but with identifiable weakness meriting additional scrutiny and corrective measures.  Watch is not a regulatory classification but can be used to designate assets that are exhibiting one or more weaknesses that deserve management’s attention.  These assets are of better quality than special mention assets.

Special Mention- Special mention assets are credits with potential weaknesses deserving management’s close attention and if left uncorrected, may result in deterioration of the repayment prospects for the asset.  Special mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification.  Special mention is a temporary status with aggressive credit management required to garner adequate progress and move to watch or higher.

Substandard- A substandard asset is inadequately protected by the net worth and/or repayment ability or by a weak collateral position.  Assets so classified have well-defined weaknesses creating a distinct possibility that the Bank will sustain some loss if the weaknesses are not corrected.  Loss potential does not have to exist for an asset to be classified as substandard.

Doubtful- A doubtful asset has weaknesses similar to those classified substandard, with the degree of weakness causing the likely loss of some principal in any reasonable collection effort.  Due to pending factors the asset’s classification as loss is not yet appropriate.

Loss- A loss asset is considered uncollectible and of such little value that the asset’s continuance on the Company's balance sheet is no longer warranted.  This classification does not necessarily mean an asset has no recovery or salvage value leaving room for future collection efforts.

General allowances represent loss allowances which have been established to recognize the inherent risk associated with lending activities, but which, unlike specific allowances, have not been allocated to particular problem assets.  When assets are classified as “loss,” the Company is required either to establish a specific allowance for losses equal to 100% of that portion of the asset so classified or to charge-off such amount.  The Company's determinations as to the classification of its assets and the amount of its valuation allowances are subject to review by its regulatory authorities, which may order the establishment of additional general or specific loss allowances.
 
The Company recognizes that concentrations of credit may naturally occur and may take the form of a large volume of related loans to an individual, a specific industry, or a geographic location.  Credit concentration is a direct, indirect, or contingent obligation that has a common bond where the aggregate exposure equals or exceeds a certain percentage of the Company’s Tier 1 Capital plus the Allowance for Loan Losses.
 
The asset classification of loans at December 31, 2017 and September 30, 2017 were as follows:

December 31, 2017
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
CML Insurance
Premium
Finance
 
Total
 
(Dollars in Thousands)
Pass
$
203,035

 
$
643,393

 
$
28,794

 
$
274,783

 
$
56,245

 
$
14,304

 
$
235,671

 
$
1,456,225

Watch
608

 
10,145

 
—

 
102

 
271

 
13

 
—

 
11,139

Special Mention
245

 
199

 
2,939

 
—

 
—

 
—

 
—

 
3,383

Substandard
79

 
292

 
29,570

 
96

 
—

 
10,379

 
—

 
40,416

Doubtful
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
$
203,967

 
$
654,029

 
$
61,303

 
$
274,981

 
$
56,516

 
$
24,696

 
$
235,671

 
$
1,511,163


September 30, 2017
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
Premium
Finance
 
Total
 
(Dollars in Thousands)
Pass
$
195,838

 
$
574,730

 
$
27,376

 
$
163,004

 
$
35,759

 
$
18,394

 
$
250,459

 
$
1,265,560

Watch
525

 
10,200

 
2,006

 
—

 
—

 
4,541

 
—

 
17,272

Special Mention
247

 
201

 
2,939

 
—

 
—

 
—

 
—

 
3,387

Substandard
96

 
379

 
29,479

 
—

 
—

 
10,659

 
—

 
40,613

Doubtful
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
$
196,706

 
$
585,510

 
$
61,800

 
$
163,004

 
$
35,759

 
$
33,594

 
$
250,459

 
$
1,326,832



One-to-Four Family Residential Mortgage Lending.  One-to-four family residential mortgage loan originations are generated by the Company’s marketing efforts, its present customers, walk-in customers and referrals. The Company offers fixed-rate and adjustable rate mortgage (“ARM”) loans for both permanent structures and those under construction.  The Company’s one-to-four family residential mortgage originations are secured primarily by properties located in its primary market area and surrounding areas.

The Company originates one-to-four family residential mortgage loans with terms up to a maximum of 30 years and with loan-to-value ratios up to 100% of the lesser of the appraised value of the security property or the contract price.  The Company generally requires that private mortgage insurance be obtained in an amount sufficient to reduce the Company’s exposure to at or below the 80% loan‑to‑value level. Residential loans generally do not include prepayment penalties. Due to consumer demand, the Company offers fixed-rate mortgage loans with terms up to 30 years, most of which conform to secondary market standards, such as Fannie Mae, Ginnie Mae, and Freddie Mac standards.  The Company typically holds all fixed-rate mortgage loans and does not engage in secondary market sales.  Interest rates charged on these fixed-rate loans are competitively priced according to market conditions.

The Company also currently offers five- and ten-year ARM loans.  These loans have a fixed-rate for the stated period and, thereafter, adjust annually.  These loans generally provide for an annual cap of up to 200 basis points and a lifetime cap of 600 basis points over the initial rate.  As a consequence of using an initial fixed-rate and caps, the interest rates on these loans may not be as rate sensitive as the Company’s cost of funds.  The Company’s ARMs do not permit negative amortization of principal and are not convertible into fixed-rate loans.  The Company’s delinquency experience on its ARM loans has generally been similar to its experience on fixed-rate residential loans.  The current low mortgage interest rate environment makes ARM loans relatively unattractive and very few are currently being originated.



In underwriting one-to-four family residential real estate loans, the Company evaluates both the borrower’s ability to make monthly payments and the value of the property securing the loan.  Properties securing real estate loans made by the Company are appraised by independent appraisers approved by the Board of Directors of the Company.  The Company generally requires borrowers to obtain an attorney’s title opinion or title insurance, and fire and property insurance (including flood insurance, if necessary) in an amount not less than the amount of the loan.  Real estate loans originated by the Company generally contain a “due on sale” clause allowing the Company to declare the unpaid principal balance due and payable upon the sale of the security property.  The Company has not engaged in sub-prime residential mortgage originations.

Commercial and Multi-Family Real Estate Lending.  The Company engages in commercial and multi-family real estate lending in its primary market area and surrounding areas and, in order to supplement its loan portfolio, has purchased whole loan and participation interests in loans from other financial institutions.  The purchased loans and loan participation interests are generally secured by properties primarily located in the Midwest.

The Company’s commercial and multi-family real estate loan portfolio is secured primarily by apartment buildings, office buildings and hotels.  Commercial and multi-family real estate loans generally are underwritten with terms not exceeding 20 years, have loan-to-value ratios of up to 80% of the appraised value of the security property, and are typically secured by guarantees of the borrowers.  The Company has a variety of rate adjustment features and other terms in its commercial and multi-family real estate loan portfolio.  Commercial and multi-family real estate loans provide for a margin over a number of different indices.  In underwriting these loans, the Company analyzes the financial condition of the borrower, the borrower’s credit history, and the reliability and predictability of the cash flow generated by the property securing the loan.  Appraisals on properties securing commercial real estate loans originated by the Company are performed by independent appraisers.

Commercial and multi-family real estate loans generally present a higher level of risk than loans secured by one-to-four family residences.  This greater risk is due to several factors, including the concentration of principal in a limited number of loans and borrowers, the effect of general economic conditions on income producing properties and the increased difficulty of evaluating and monitoring these types of loans.  Furthermore, the repayment of loans secured by commercial and multi-family real estate is typically dependent upon the successful operation of the related real estate project.  If the cash flow from the project is reduced (for example, if leases are not obtained or renewed, or a bankruptcy court modifies a lease term, or a major tenant is unable to fulfill its lease obligations), the borrower’s ability to repay the loan may be impaired.

Agricultural Lending.  The Company originates loans to finance the purchase of farmland, livestock, farm machinery and equipment, seed, fertilizer and other farm-related products.  Agricultural operating loans are originated at either an adjustable or fixed rate of interest for up to a one year term or, in the case of livestock, upon sale.  Such loans provide for payments of principal and interest at least annually or a lump sum payment upon maturity if the original term is less than one year.  Loans secured by agricultural machinery are generally originated as fixed-rate loans with terms of up to seven years.

Agricultural real estate loans are frequently originated with adjustable rates of interest.  Generally, such loans provide for a fixed rate of interest for the first five to ten years, after which the loan will balloon or the interest rate will adjust annually.  These loans generally amortize over a period of 20 to 25 years.  Fixed-rate agricultural real estate loans generally have terms up to ten years.  Agricultural real estate loans are generally limited to 75% of the value of the property securing the loan.

Agricultural lending affords the Company the opportunity to earn yields higher than those obtainable on one-to-four family residential lending, but involves a greater degree of risk than one-to-four family residential mortgage loans because of the typically larger loan amount.  In addition, payments on loans are dependent on the successful operation or management of the farm property securing the loan or for which an operating loan is utilized.  The success of the loan may also be affected by many factors outside the control of the borrower.
Weather presents one of the greatest risks as hail, drought, floods, or other conditions can severely limit crop yields and thus impair loan repayments and the value of the underlying collateral.  This risk can be reduced by the farmer with a variety of insurance coverages which can help to ensure loan repayment.  Government support programs and the Company generally require that farmers procure crop insurance coverage.  Grain and livestock prices also present a risk as prices may decline prior to sale, resulting in a failure to cover production costs.  These risks may be reduced by the farmer with the use of futures contracts or options to mitigate price risk.  The Company frequently requires borrowers to use futures contracts or options to reduce price risk and help ensure loan repayment.  Another risk is the uncertainty of government programs and other regulations.  During periods of low commodity prices, the income from government programs can be a significant source of cash for the borrower to make loan payments, and if these programs are discontinued or significantly changed, cash flow problems or defaults could result.  Finally, many farms are dependent on a limited number of key individuals whose injury or death may result in an inability to successfully operate the farm.

Consumer Lending.  The Bank originates a variety of secured consumer loans, including home equity, home improvement, automobile and boat loans and loans secured by savings deposits.  In addition, the Bank offers other secured and unsecured consumer loans and currently originates most of its community banking consumer loans in its primary market areas and surrounding areas. In addition, the Bank’s consumer lending portfolio includes two purchased student loan portfolios, the most recent purchased on October 11, 2017, along with consumer lending products offered through its payments segment.

The Bank's community banking consumer loan portfolio consists primarily of home equity loans and lines of credit.  Substantially all of the Bank's home equity loans and lines of credit are secured by second mortgages on principal residences.  The Bank will lend amounts which, together with all prior liens, may be up to 90% of the appraised value of the property securing the loan.  Home equity loans and lines of credit generally have maximum terms of five years.

The Bank primarily originates automobile loans on a direct basis to the borrower, as opposed to indirect loans, which are made when the Bank purchases loan contracts, often at a discount, from automobile dealers which have extended credit to their customers.  The Bank’s automobile loans typically are originated at fixed interest rates with terms of up to 60 months for new and used vehicles.  Loans secured by automobiles are generally originated for up to 80% of the N.A.D.A. book value of the automobile securing the loan.

Consumer loan terms vary according to the type and value of collateral, length of contract and creditworthiness of the borrower.  The underwriting standards employed by the Bank for consumer loans include an application, a determination of the applicant’s payment history on other debts and an assessment of ability to meet existing obligations and payments on the proposed loan.  Although creditworthiness of the applicant is a primary consideration, the underwriting process also may include a comparison of the value of the security, if any, in relation to the proposed loan amount.

Consumer loans may entail greater credit risk than residential mortgage loans, particularly in the case of consumer loans which are unsecured or are secured by rapidly depreciable assets, such as automobiles or recreational equipment.  In such cases, any repossessed collateral for a defaulted consumer loan may not provide an adequate source of repayment of the outstanding loan balance as a result of the greater likelihood of damage, loss or depreciation.  In addition, consumer loan collections are dependent on the borrower’s continuing financial stability, and thus more likely to be affected by adverse personal circumstances.  Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the amount which can be recovered on such loans.

On October 11, 2017, the Company completed the purchase of a $73.0 million, seasoned, floating rate, private student loan portfolio. All loans are indexed to one-month LIBOR. The portfolio is serviced by ReliaMax Lending Services LLC and insured by ReliaMax Surety Company. This portfolio purchase builds on the Company's existing student loan platform.

The Bank’s student loan portfolio that was purchased during the first quarter of fiscal year 2017 is a seasoned portfolio that is also serviced by ReliaMax Lending Services, LLC and insured by ReliaMax Surety Company. All loans in this portfolio are floating rate and indexed to the three-month LIBOR plus various margins.
Through its Payments segment, the Bank strives to offer consumers innovative payment products, including credit products. Most credit products have fallen into the category of portfolio lending. The Payments segment, including Specialty Consumer Services ("SCS"), continues its development of new alternative portfolio lending products primarily to serve its customer base and to provide innovative lending solutions to the unbanked and under-banked segment.

The Payments segment also provides short-term consumer refund advance loans. Taxpayers are underwritten to determine eligibility for the unsecured loans, which are, by design, interest and fee-free to the consumer. Due to the nature of consumer advance loans, it typically takes no more than three e-file cycles (the period of time between scheduled IRS payments) from when the return is accepted by the IRS to collect from the borrower. In the event of default, the Bank has no recourse against the tax consumer. Generally, when the refund advance loan becomes delinquent for 180 days or more, or when collection of principal becomes doubtful, the Company will charge off the loan balance.

Commercial Operating Lending.  The Company also originates commercial operating loans.  Most of the Company’s commercial operating loans have been extended to finance local and regional businesses and include short-term loans to finance machinery and equipment purchases, inventory and accounts receivable. Commercial loans also may involve the extension of revolving credit for a combination of equipment acquisitions and working capital in expanding companies. The Company also extends short-term commercial Electronic Return Originator ("ERO") advance loans through its Payments segment as described in more detail below.

The maximum term for loans extended on machinery and equipment is based on the projected useful life of such machinery and equipment.  Generally, the maximum term on non-mortgage lines of credit is one year.  The loan-to-value ratio on such loans and lines of credit generally may not exceed 80% of the value of the collateral securing the loan. ERO loans are not collateralized.  The Company’s commercial operating lending policy includes credit file documentation and analysis of the borrower’s character, capacity to repay the loan, the adequacy of the borrower’s capital and collateral as well as an evaluation of conditions affecting the borrower.  Analysis of the borrower’s past, present and future cash flows is also an important aspect of the Company’s credit analysis.  As described further below, such loans are believed to carry higher credit risk than more traditional lending activities.

Unlike residential mortgage loans, which generally are made on the basis of the borrower’s ability to make repayment from his or her employment and other income and which are secured by real property whose value tends to be more easily ascertainable, commercial operating loans typically are made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business.  As a result, the availability of funds for the repayment of commercial operating loans may be substantially dependent on the success of the business itself (which, in turn, is likely to be dependent upon the general economic environment).  The Company’s commercial operating loans are usually, but not always, secured by business assets and personal guarantees.  However, the collateral securing the loans may depreciate over time, may be difficult to appraise and may fluctuate in value based on the success of the business.

Through its Payments segment, the Company also provides short-term ERO advance loans on a nation-wide basis. These loans are typically utilized to purchase tax preparation software and to prepare tax offices for the upcoming tax season. EROs go through an underwriting process to determine eligibility for the unsecured advances. Collection on ERO advances begins once the ERO begins to process refund transfers. Generally, when the ERO advance loan becomes delinquent for 120 days or more, or when collection of principal becomes doubtful, the Company will charge off the loan balance.

Commercial Insurance Premium Finance Lending.  Through its AFS/IBEX division, the Bank provides short-term and primarily collateralized financing to facilitate the commercial customers’ purchase of insurance for various forms of risk otherwise known as commercial insurance premium financing.  This includes, but is not limited to, policies for commercial property, casualty and liability risk.  The AFS/IBEX division markets itself to the insurance community as a competitive option based on service, reputation, competitive terms, cost and ease of operation.

Commercial insurance premium financing is the business of extending credit to a policyholder to pay for insurance premiums when the insurance carrier requires payment in full at inception of coverage.  Premiums are advanced either directly to the insurance carrier or through an intermediary/broker and repaid by the policyholder with interest during the policy term.  The policyholder generally makes a 20% to 25% down payment to the insurance broker and finances the remainder over nine to ten months on average.  The down payment is set such that if the policy is canceled, the unearned premium is typically sufficient to cover the loan balance and accrued interest.

Due to the nature of collateral for commercial insurance premium finance receivables, it customarily takes 60-210 days to convert the collateral into cash.  In the event of default, AFS/IBEX, by statute and contract, has the power to cancel the insurance policy and establish a first position lien on the unearned portion of the premium from the insurance carrier. In the event of cancellation, the cash returned in payment of the unearned premium by the insurer has typically been sufficient to cover the receivable balance, the interest and other charges due. Due to notification requirements and processing time by most insurance carriers, many receivables will become delinquent beyond 90 days while the insurer is processing the return of the unearned premium.  Generally, when a loan becomes delinquent for 210 days or more, or when collection of principal or interest becomes doubtful, the Company will charge off the loan balance and any remaining interest and fees after applying any collection from the insurance company.

Past due loans at December 31, 2017 and September 30, 2017 were as follows:
 
Accruing and Non-accruing Loans
 
Nonperforming Loans
December 31, 2017
30-59 Days
Past Due
 
60-89 Days
Past Due
 
> 89 Days Past Due
 
Total Past
Due
 
Current
 
Total Loans
Receivable
 
> 89 Days Past Due and Accruing
 
Non-accrual balance
 
Total
 
(Dollars in Thousands)
1-4 Family Real Estate
$
106

 
$
—

 
$
234

 
$
340

 
$
203,627

 
203,967

 
234

 
$
—

 
$
234

Commercial and Multi-Family Real Estate
—

 
284

 
—

 
284

 
653,745

 
654,029

 
—

 
284

 
284

Agricultural Real Estate
—

 
—

 
27,818

 
27,818

 
33,485

 
61,303

 
27,818

 
—

 
27,818

Consumer
4,192

 
2,015

 
1,624

 
7,831

 
267,150

 
274,981

 
1,624

 
—

 
1,624

Commercial Operating
—

 
—

 
—

 
—

 
56,516

 
56,516

 
—

 
—

 
—

Agricultural Operating
—

 
—

 
—

 
—

 
24,696

 
24,696

 
—

 
—

 
—

CML Insurance Premium Finance
1,594

 
592

 
3,194

 
5,380

 
230,291

 
235,671

 
3,194

 
—

 
3,194

   Total
$
5,892

 
$
2,891

 
$
32,870

 
$
41,653

 
$
1,469,510

 
1,511,163

 
32,870

 
$
284

 
$
33,154

 
Accruing and Non-accruing Loans
 
Nonperforming Loans
September 30, 2017
30-59 Days
Past Due
 
60-89 Days
Past Due
 
> 89 Days Past Due
 
Total Past
Due
 
Current
 
Total Loans
Receivable
 
> 89 Days Past Due and Accruing
 
Non-accrual balance
 
Total
 
(Dollars in Thousands)
1-4 Family Real Estate
$
370

 
$
79

 
$
—

 
$
449

 
$
196,257

 
$
196,706

 
—

 
$
—

 
$
—

Commercial and Multi-Family Real Estate
295

 
—

 
390

 
685

 
584,825

 
585,510

 
—

 
685

 
685

Agricultural Real Estate
—

 
—

 
34,198

 
34,198

 
27,602

 
61,800

 
34,198

 
—

 
34,198

Consumer
2,512

 
558

 
1,406

 
4,476

 
158,528

 
163,004

 
1,406

 
—

 
1,406

Commercial Operating
—

 
—

 
—

 
—

 
35,759

 
35,759

 
—

 
—

 
—

Agricultural Operating
—

 
—

 
97

 
97

 
33,497

 
33,594

 
97

 
—

 
97

CML Insurance Premium Finance
1,509

 
2,442

 
1,205

 
5,156

 
245,303

 
250,459

 
1,205

 
—

 
1,205

Total
$
4,686

 
$
3,079

 
$
37,296

 
$
45,061

 
$
1,281,771

 
$
1,326,832

 
36,906

 
$
685

 
$
37,591



When analysis of borrower operating results and financial condition indicates that underlying cash flows of the borrower’s business are not adequate to meet its debt service requirements, the loan is evaluated for impairment.  Often this is associated with a delay or shortfall in payments of 210 days or more for commercial insurance premium finance loans, 180 days or more for refund advance loans, 120 days or more for ERO advance loans and 90 days or more for other loan categories.  As of December 31, 2017, there were no commercial insurance premium finance loans greater than 210 days past due.
Total loans past due decreased $3.4 million to $41.7 million at December 31, 2017 from $45.1 million at September 30, 2017. This decrease was due to a $4.4 million decrease in loans greater than 90 days past due. The primary driver of the decrease in loans greater than 90 days past due included the payoff of a large nonperforming agricultural loan relationship during the first quarter of fiscal 2018.

Impaired loans at December 31, 2017 and September 30, 2017 were as follows:
 
Recorded
Balance
 
Unpaid Principal
Balance
 
Specific
Allowance
December 31, 2017
(Dollars in Thousands)
Loans without a specific valuation allowance
 
 
 
 
 
1-4 Family Real Estate
$
95

 
$
95

 
$
—

Commercial and Multi-Family Real Estate
707

 
707

 
—

   Consumer
61

 
61

 
—

   Agricultural Operating
1,052

 
1,052

 
—

Total
$
1,915

 
$
1,915

 
$
—

 
Recorded
Balance
 
Unpaid Principal
Balance
 
Specific
Allowance
September 30, 2017
(Dollars in Thousands)
Loans without a specific valuation allowance
 
 
 
 
 
1-4 Family Real Estate
$
72

 
$
72

 
$
—

Commercial and Multi-Family Real Estate
1,109

 
1,109

 
—

Total
$
1,181

 
$
1,181

 
$
—


The following table provides the average recorded investment in impaired loans for the three month periods ended December 31, 2017 and 2016.
 
Three Months Ended December 31,
 
2017
 
2016
 
Average
Recorded
Investment
 
Average
Recorded
Investment
 
(Dollars in Thousands)
1-4 Family Real Estate
$
80

 
$
172

Commercial and Multi-Family Real Estate
975

 
432

Consumer
20

 
—

Commercial Operating
—

 
168

Agricultural Operating
351

 
—

Total
$
1,426

 
$
772



The Company’s troubled debt restructurings (“TDR”) typically involve forgiving a portion of interest or principal on existing loans or making loans at a rate materially less than current market rates. There were $1.1 million of loans modified in a TDR during the three month period ended December 31, 2017 and no loans modified in a TDR during the three month period ended December 31, 2016. Additionally, there were no TDR loans for which there was a payment default during the three month periods ended December 31, 2017 or 2016 that had been modified during the 12-month period prior to the default.
v3.8.0.1
ALLOWANCE FOR LOAN LOSSES
 3 Months Ended
Dec. 31, 2017
Receivables [Abstract]  
ALLOWANCE FOR LOAN LOSSES
ALLOWANCE FOR LOAN LOSSES

At December 31, 2017, the Company’s allowance for loan losses increased to $8.9 million from $7.5 million at September 30, 2017. This increase was primarily due to the additional provision expense related to tax advance loans. During the three months ended December 31, 2017, the Company recorded a provision for loan losses of $1.1 million compared to $0.8 million for the same period of the prior year. The Company had $0.3 million of net recoveries for the three months ended December 31, 2017, compared to $0.1 million of net charge-offs for the three months ended December 31, 2016.

The allowance for loan losses is established through the provision for loan losses based on management’s evaluation of the risk inherent in its loan portfolio and changes in the nature and volume of its loan activity, including those loans which are being specifically monitored by management.  Such evaluation, which includes a review of loans for which full collectability may not be reasonably assured, considers, among other matters, the estimated fair value of the underlying collateral, economic conditions, historical loan loss experience and other factors that warrant recognition in providing for an appropriate loan loss allowance.

Management closely monitors economic developments both regionally and nationwide, and considers these factors when assessing the appropriateness of its allowance for loan losses. The current economic environment continues to show signs of improvement in the Bank’s markets.  The Bank’s average loss rates over the past three years for community banking loans were relatively low compared to peers, but was offset with a higher agricultural loss rate in fiscal year 2016 driven by the charge off of one relationship. Although the Bank’s four market areas have indirectly benefited from a stable agricultural market, the market has become slightly stressed as commodity prices have generally remained lower than a few years ago. Management believes the low commodity prices and adverse weather conditions have the potential to negatively impact the economies of our agricultural markets. The improving economic conditions have also kept the loss rates on the national lending loans as well as the tax service loans relatively low.

Management believes that, based on a detailed review of the loan portfolio, historic loan losses, current economic conditions, the size of the loan portfolio and other factors, the current level of the allowance for loan losses at December 31, 2017, reflects an appropriate allowance against probable losses from the loan portfolio.  Although the Company maintains its allowance for loan losses at a level it considers to be appropriate, investors and others are cautioned that there can be no assurance that future losses will not exceed estimated amounts, or that additional provisions for loan losses will not be required in future periods.  In addition, the Company’s determination of the allowance for loan losses is subject to review by the OCC, which can require the establishment of additional general or specific allowances.

Real estate properties acquired through foreclosure are recorded at the lesser of fair value or the recorded investment.  If fair value at the date of foreclosure is lower than the balance of the related loan, the difference will be charged to the allowance for loan losses at the time of transfer.  Valuations are periodically updated by management and, if the value declines, a specific provision for losses on such property is established by a charge to operations.
v3.8.0.1
EARNINGS PER COMMON SHARE
 3 Months Ended
Dec. 31, 2017
Earnings Per Share [Abstract]  
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE

Earnings per share is computed after deducting dividends. The Company has granted restricted share awards with dividend rights that are considered to be participating securities. Accordingly, a portion of the Company’s earnings is allocated to those participating securities in the earnings per share calculation. Basic earnings per share is computed by dividing income available to common stockholders after the allocation of dividends and undistributed earnings to the participating securities by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised, and is computed after giving consideration to the weighted average dilutive effect of the Company’s stock options and after the allocation of earnings to the participating securities. Antidilutive options are disregarded in the earnings per share calculations.

A reconciliation of net income and common stock share amounts used in the computation of basic and diluted earnings per share for the three months ended December 31, 2017 and 2016 is presented below.
Three Months Ended December 31,
2017
 
2016
(Dollars in Thousands, Except Share and Per Share Data)
 
 
 
Basic income per common share:
 
 
 
     Net income attributable to Meta Financial Group, Inc.
$
4,670

 
$
1,244

Weighted average common shares outstanding
9,656,778

 
8,938,339

     Basic income per common share
0.48

 
0.14

 
 
 
 
Diluted income per common share:
 
 
 
     Net income attributable to Meta Financial Group, Inc.
$
4,670

 
$
1,244

Weighted average common shares outstanding
9,656,778

 
8,938,339

     Outstanding options - based upon the two-class method
56,063

 
63,061

Weighted average diluted common shares outstanding
9,712,841

 
9,001,400

     Diluted income per common share
0.48

 
0.14

 
 
 
 
v3.8.0.1
SECURITIES
 3 Months Ended
Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]  
SECURITIES
SECURITIES

During the first quarter of fiscal 2018, the Company early adopted Accounting Standard Update ("ASU") 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." Due to the early adoption of the ASU, the Company transferred $204.7 million of investment securities and $101.3 million of MBS from HTM to AFS during the first quarter of fiscal 2018. This change allows for enhanced balance sheet management and provides the opportunity for more liquidity, should it be needed.
The amortized cost, gross unrealized gains and losses and estimated fair values of available for sale and held to maturity securities at December 31, 2017 and September 30, 2017 are presented below.
Available For Sale
 
 
 
 
 
 
 
At December 31, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Small business administration securities
56,602

 
349

 
(3
)
 
56,948

Obligations of states and political subdivisions
14,513

 
123

 
(26
)
 
14,610

Non-bank qualified obligations of states and political subdivisions
1,212,661

 
16,079

 
(5,710
)
 
1,223,030

Asset-backed securities
93,486

 
2,337

 
—

 
95,823

Mortgage-backed securities
606,338

 
198

 
(6,424
)
 
600,112

Total debt securities
1,983,600

 
19,086

 
(12,163
)
 
1,990,523

Common equities and mutual funds
1,298

 
532

 
(1
)
 
1,829

Total available for sale securities
$
1,984,898

 
$
19,618

 
$
(12,164
)
 
$
1,992,352

At September 30, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Small business administration securities
57,046

 
825

 
—

 
57,871

Non-bank qualified obligations of states and political subdivisions
938,883

 
14,983

 
(3,037
)
 
950,829

Asset-backed securities
94,451

 
2,381

 
—

 
96,832

Mortgage-backed securities
588,918

 
1,259

 
(3,723
)
 
586,454

Total debt securities
1,679,298

 
19,448

 
(6,760
)
 
1,691,986

Common equities and mutual funds
1,009

 
436

 
—

 
1,445

Total available for sale securities
$
1,680,307

 
$
19,884

 
$
(6,760
)
 
$
1,693,431



Held to Maturity
 
 
 
 
 
 
 
At December 31, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
4,341

 
$
26

 
$
(25
)
 
$
4,342

Non-bank qualified obligations of states and political subdivisions
230,683

 
336

 
(3,537
)
 
227,482

Mortgage-backed securities
8,468

 
—

 
(148
)
 
8,320

Total held to maturity securities
$
243,492

 
$
362

 
$
(3,710
)
 
$
240,144


At September 30, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
19,247

 
$
157

 
$
(36
)
 
$
19,368

Non-bank qualified obligations of states and political subdivisions
430,593

 
4,744

 
(2,976
)
 
432,361

Mortgage-backed securities
113,689

 
—

 
(1,233
)
 
112,456

Total held to maturity securities
$
563,529

 
$
4,901

 
$
(4,245
)
 
$
564,185



Management has implemented a process to identify securities with potential credit impairment that are other-than-temporary.  This process involves evaluation of the length of time and extent to which the fair value has been less than the amortized cost basis, review of available information regarding the financial position of the issuer, monitoring the rating, watch, and outlook of the security, monitoring changes in value, cash flow projections, and the Company’s intent to sell a security or whether it is more likely than not the Company will be required to sell the security before the recovery of its amortized cost which, in some cases, may extend to maturity.  To the extent the Company determines that a security is deemed to be other-than-temporarily impaired, an impairment loss is recognized.

For all securities considered temporarily impaired, the Company does not intend to sell these securities and it is not more likely than not that the Company will be required to sell the security before recovery of its amortized cost, which may occur at maturity.  The Company believes it will collect all principal and interest due on all investments with amortized cost in excess of fair value and considered only temporarily impaired.

GAAP requires that, at acquisition, an enterprise classify debt securities into one of three categories: Available for Sale (“AFS”), Held to Maturity (“HTM”) or trading. AFS securities are carried at fair value on the consolidated statements of financial condition, and unrealized holding gains and losses are excluded from earnings and recognized as a separate component of equity in accumulated other comprehensive income (“AOCI”). HTM debt securities are measured at amortized cost. Both AFS and HTM are subject to review for other-than-temporary impairment. The Company did not have any trading securities at December 31, 2017 or September 30, 2017.

Gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2017 and September 30, 2017, were as follows:

Available For Sale
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At December 31, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Small business administration securities
$
14,236

 
$
(3
)
 
$
—

 
$
—

 
$
14,236

 
$
(3
)
Obligations of states and political subdivisions
3,139

 
(26
)
 
—

 
—

 
3,139

 
(26
)
Non-bank qualified obligations of states and political subdivisions
553,626

 
(4,945
)
 
16,045

 
(765
)
 
569,671

 
(5,710
)
Mortgage-backed securities
234,672

 
(1,275
)
 
296,252

 
(5,149
)
 
530,924

 
(6,424
)
Total debt securities
805,673

 
(6,249
)
 
312,297

 
(5,914
)
 
1,117,970

 
(12,163
)
Common equities and mutual funds
1,829

 
(1
)
 
—

 
—

 
1,829

 
(1
)
Total available for sale securities
$
807,502

 
$
(6,250
)
 
$
312,297

 
$
(5,914
)
 
$
1,119,799

 
$
(12,164
)

 
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At September 30, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Non-bank qualified obligations of states and political subdivisions
280,900

 
(2,887
)
 
5,853

 
(150
)
 
286,753

 
(3,037
)
Mortgage-backed securities
237,897

 
(1,625
)
 
100,287

 
(2,098
)
 
338,184

 
(3,723
)
Total debt securities
518,797

 
(4,512
)
 
106,140

 
(2,248
)
 
624,937

 
(6,760
)
Total available for sale securities
$
518,797

 
$
(4,512
)
 
$
106,140

 
$
(2,248
)
 
$
624,937

 
$
(6,760
)


Held To Maturity
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At December 31, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
1,261

 
$
(3
)
 
$
2,147

 
$
(22
)
 
$
3,408

 
$
(25
)
Non-bank qualified obligations of states and political subdivisions
114,999

 
(1,789
)
 
80,813

 
(1,748
)
 
195,812

 
(3,537
)
Mortgage-backed securities
—

 
—

 
8,320

 
(148
)
 
8,320

 
(148
)
Total held to maturity securities
$
116,260

 
$
(1,792
)
 
$
91,280

 
$
(1,918
)
 
$
207,540

 
$
(3,710
)
 
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At September 30, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
1,364

 
$
(6
)
 
$
4,089

 
$
(30
)
 
$
5,453

 
$
(36
)
Non-bank qualified obligations of states and political subdivisions
202,018

 
(2,783
)
 
6,206

 
(193
)
 
208,224

 
(2,976
)
Mortgage-backed securities
112,456

 
(1,233
)
 
—

 
—

 
112,456

 
(1,233
)
Total held to maturity securities
$
315,838

 
$
(4,022
)
 
$
10,295

 
$
(223
)
 
$
326,133

 
$
(4,245
)


At December 31, 2017, the investment portfolio included securities with current unrealized losses which have existed for longer than one year.  All of these securities are considered to be acceptable credit risks.  Because the declines in fair value were due to changes in market interest rates, not in estimated cash flows, and because the Company does not intend to sell these securities (has not made a decision to sell) and it is not more likely than not that the Company will be required to sell the securities before recovery of their amortized cost basis, which may occur at maturity, no other-than-temporary impairment was recorded at December 31, 2017.

The amortized cost and fair value of debt securities by contractual maturity as of the dates set forth below are shown below.  Certain securities have call features which allow the issuer to call the security prior to maturity.  Expected maturities may differ from contractual maturities in mortgage-backed securities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.  Therefore, mortgage-backed securities are not included in the maturity categories in the following maturity summary.  The expected maturities of certain housing related municipal securities, Small Business Administration and asset-backed securities may differ from contractual maturities because the borrowers may have the right to prepay the obligation. However, certain prepayment penalties may apply.
Available For Sale
AMORTIZED
COST

 
FAIR
VALUE

 
At December 31, 2017
(Dollars in Thousands)
 
 
 
 
Due in one year or less
$
100

 
$
100

Due after one year through five years
55,485

 
56,375

Due after five years through ten years
452,422

 
462,903

Due after ten years
869,255

 
871,033

 
1,377,262

 
1,390,411

Mortgage-backed securities
606,338

 
600,112

Common equities and mutual funds
1,298

 
1,829

Total available for sale securities
$
1,984,898

 
$
1,992,352

 
AMORTIZED
COST

 
FAIR
VALUE

At September 30, 2017
(Dollars in Thousands)
 
 
 
 
Due in one year or less
$
—

 
$
—

Due after one year through five years
36,586

 
37,674

Due after five years through ten years
347,831

 
358,198

Due after ten years
705,963

 
709,660

 
1,090,380

 
1,105,532

Mortgage-backed securities
588,918

 
586,454

Common equities and mutual funds
1,009

 
1,445

Total available for sale securities
$
1,680,307

 
$
1,693,431

Held To Maturity
AMORTIZED
COST

 
FAIR
VALUE

 
At December 31, 2017
(Dollars in Thousands)
 
 
 
 
Due in one year or less
$
2,674

 
$
2,662

Due after one year through five years
11,864

 
11,895

Due after five years through ten years
27,919

 
28,206

Due after ten years
192,567

 
189,061

 
235,024

 
231,824

Mortgage-backed securities
8,468

 
8,320

Total held to maturity securities
$
243,492

 
$
240,144

 
AMORTIZED
COST

 
FAIR
VALUE

At September 30, 2017
(Dollars in Thousands)
Due in one year or less
$
1,483

 
$
1,480

Due after one year through five years
17,926

 
18,160

Due after five years through ten years
144,996

 
147,832

Due after ten years
285,435

 
284,257

 
449,840

 
451,729

Mortgage-backed securities
113,689

 
112,456

Total held to maturity securities
$
563,529

 
$
564,185
v3.8.0.1
COMMITMENTS AND CONTINGENCIES
 3 Months Ended
Dec. 31, 2017
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES

In the normal course of business, the Bank makes various commitments to extend credit which are not reflected in the accompanying consolidated financial statements.

At December 31, 2017 and September 30, 2017, unfunded loan commitments approximated $349.5 million and $233.2 million, respectively, excluding undisbursed portions of loans in process. Commitments, which are disbursed subject to certain limitations, extend over various periods of time.  Generally, unused commitments are canceled upon expiration of the commitment term as outlined in each individual contract.

The Company had no commitments to purchase or sell securities at December 31, 2017 or September 30, 2017.

The exposure to credit loss in the event of non-performance by other parties to financial instruments for commitments to extend credit is represented by the contractual amount of those instruments.  The same credit policies and collateral requirements are used in making commitments and conditional obligations as are used for on-balance-sheet instruments.

Since certain commitments to make loans and to fund lines of credit and loans in process expire without being used, the amount does not necessarily represent future cash commitments.  In addition, commitments used to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract.

Legal Proceedings
The Bank was served on April 15, 2013, with a lawsuit captioned Inter National Bank v. NetSpend Corporation, MetaBank, BDO USA, LLP d/b/a BDO Seidman, Cause No. C-2084-12-I filed in the District Court of Hidalgo County, Texas. The Plaintiff’s Second Amended Original Petition and Application for Temporary Restraining Order and Temporary Injunction adds both MetaBank and BDO Seidman to the original causes of action against NetSpend. NetSpend acts as a prepaid card program manager and processor for both Inter National Bank ("INB") and MetaBank. According to the Petition, NetSpend has informed INB that the depository accounts at INB for the NetSpend program supposedly contained $10.5 million less than they should. INB alleges that NetSpend has breached its fiduciary duty by making affirmative misrepresentations to INB about the safety and stability of the program, and by failing to timely disclose the nature and extent of any alleged shortfall in settlement of funds related to cardholder activity and the nature and extent of NetSpend’s systemic deficiencies in its accounting and settlement processing procedures. To the extent that an accounting reveals that there is an actual shortfall, INB alleges that MetaBank may be liable for portions or all of said sum due to the fact that funds have been transferred from INB to MetaBank, and thus MetaBank would have been unjustly enriched. The Bank is vigorously contesting this matter. In January 2014, NetSpend was granted summary judgment in this matter which is under appeal. Because the theory of liability against both NetSpend and the Bank is the same, the Bank views the NetSpend summary judgment as a positive in support of our position. An estimate of a range of reasonably possible loss cannot be made at this stage of the litigation because discovery is still being conducted.
The Bank was served, on October 14, 2016, with a lawsuit captioned Card Limited, LLC v. MetaBank dba Meta Payment Systems, Civil No. 2:16-cv-00980 in the United States District Court for the District of Utah. This action was initiated by a former prepaid program manager of the Bank, which was terminated by the Bank in fiscal year 2016. Card Limited alleges that after all of the programs were wound down, there were two accounts with a positive balance to which they are entitled. The Bank’s position is that Card Limited is not entitled to the funds contained in said accounts. The total amount to which Card Limited claims it is entitled is $4,001,025. The Bank intends to vigorously defend this claim. An estimate of a range of reasonably possible loss cannot be made at this stage of the litigation because discovery is still being conducted.
From time to time, the Company or its subsidiaries are subject to certain legal proceedings and claims in the ordinary course of business. Accruals have been recorded when the outcome is probable and can be reasonably estimated. While management currently believes that the ultimate outcome of these proceedings will not have a material adverse effect on the Company’s financial position or its results of operations, legal proceedings are inherently uncertain and unfavorable resolution of some or all of these matters could, individually or in the aggregate, have a material adverse effect on the Company’s and its subsidiaries’ respective businesses, financial condition or results of operations.
v3.8.0.1
STOCK COMPENSATION
 3 Months Ended
Dec. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
STOCK COMPENSATION
STOCK COMPENSATION

The Company maintains the amended and restated Meta Financial Group, Inc. 2002 Omnibus Incentive Plan, as amended (the "2002 Omnibus Incentive Plan"), which, among other things, provides for the awarding of stock options and nonvested (restricted) shares to certain officers and directors of the Company.  Awards are granted by the Compensation Committee of the Board of Directors based on the performance of the award recipients or other relevant factors.

Compensation expense for share-based awards is recorded over the vesting period at the fair value of the award at the time of the grant. The exercise price of options or fair value of non-vested (restricted) shares granted under the Company’s incentive plan is equal to the fair market value of the underlying stock at the grant date. The Company has elected, with the adoption of ASU 2016-09, to record forfeitures as they occur.

The following tables show the activity of options and nonvested (restricted) shares granted, exercised, or forfeited under the 2002 Omnibus Incentive Plan for the three months ended December 31, 2017:

 
Number
of
Shares

 
Weighted
Average
Exercise
Price

 
Weighted
Average
Remaining
Contractual
Term (Yrs)

 
Aggregate
 Intrinsic
Value

 
(Dollars in Thousands, Except Per Share Data)
Options outstanding, September 30, 2017
75,757

 
$
22.62

 
2.28

 
$
4,225

Granted
—

 
—

 
—

 
—

Exercised
—

 
—

 
—

 
—

Forfeited or expired
—

 
—

 
—

 
—

Options outstanding, December 31, 2017
75,757

 
$
22.62

 
2.03

 
$
5,305

 
 
 
 
 
 
 
 
Options exercisable, December 31, 2017
75,757

 
$
22.62

 
2.03

 
$
5,305


 
Number
of
Shares

 
Weighted
Average
Fair Value
at Grant

(Dollars in Thousands, Except Per Share Data)
Nonvested (restricted) shares outstanding, September 30, 2017
304,526

 
$
86.96

Granted
42,181

 
85.03

Vested
(61,161
)
 
83.55

Forfeited or expired
—

 
—

Nonvested (restricted) shares outstanding, December 31, 2017
285,546

 
$
87.40



During the first and second quarters of fiscal 2017, stock awards were granted to the Company's three highest paid executive officers in connection with their signing of employment agreements with the Company. These stock awards vest over eight years.

At December 31, 2017, stock-based compensation expense not yet recognized in income totaled $17.2 million, which is expected to be recognized over a weighted average remaining period of 3.68 years.
v3.8.0.1
SEGMENT INFORMATION
 3 Months Ended
Dec. 31, 2017
Segment Reporting [Abstract]  
SEGMENT INFORMATION
SEGMENT INFORMATION

An operating segment is generally defined as a component of a business for which discrete financial information is available and whose results are reviewed by the chief operating decision-maker. Operating segments are aggregated into reportable segments if certain criteria are met.

The Company reports its results of operations through the following three business segments: Payments, Banking, and Corporate Services/Other. Certain shared services, including the investment portfolio, wholesale deposits and borrowings, are included in Corporate Services/Other. National Lending and Community Banking are reported in the Banking segment. MPS, Refund Advantage, EPS Financial ("EPS"), SCS, and other tax businesses are reported in the Payments segment.

The Company reclassified goodwill, intangibles, and related amortization expenses during fiscal year 2017 from the
Corporate Services / Other segment to Payments and Banking based on how annual impairment testing is performed. Prior period amounts have also been reclassified to conform to the current year presentation.

The following tables present segment data for the Company for the three months ended December 31, 2017 and 2016, respectively.
 
Payments
 
Banking
 
Corporate
Services/Other
 
Total
Three Months Ended December 31, 2017
 
 
 
 
 
 
 
Interest income
$
4,669

 
$
16,478

 
$
9,710

 
$
30,857

Interest expense
—

 
881

 
3,780

 
4,661

Net interest income
4,669

 
15,597

 
5,930

 
26,196

Provision for loan losses
1,017

 
51

 
—

 
1,068

Non-interest income
28,101

 
1,485

 
(318
)
 
29,268

Non-interest expense
26,934

 
6,568

 
10,540

 
44,042

Income (loss) before income tax expense (benefit)
4,819

 
10,463

 
(4,928
)
 
10,354

 
 
 
 
 
 
 
 
Total goodwill
87,145

 
11,578

 
—

 
98,723

Total assets
380,442

 
1,478,693

 
3,558,828

 
5,417,963

Total deposits
2,768,736

 
236,494

 
508,415

 
3,513,645

 
 
 
 
 
 
 
 
 
Payments
 
Banking
 
Corporate
Services/Other
 
Total
Three Months Ended December 31, 2016
 
 
 
 
 
 
 
Interest income
$
2,912

 
$
10,754

 
$
8,909

 
$
22,575

Interest expense
—

 
544

 
2,198

 
2,742

Net interest income
2,912

 
10,210

 
6,711

 
19,833

Provision for loan losses
331

 
512

 
—

 
843

Non-interest income
19,024

 
1,072

 
(747
)
 
19,349

Non-interest expense
22,080

 
5,845

 
8,828

 
36,753

Income (loss) before income tax expense (benefit)
(475
)
 
4,925

 
(2,864
)
 
1,586

 
 
 
 
 
 
 
 
Total goodwill
87,320

 
11,578

 
—

 
98,898

Total assets
239,804

 
1,118,429

 
2,855,096

 
4,213,329

Total deposits
2,435,530

 
225,182

 
1,002,425

 
3,663,137

 
 
 
 
 
 
 
 
v3.8.0.1
NEW ACCOUNTING PRONOUNCEMENTS
 3 Months Ended
Dec. 31, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]  
NEW ACCOUNTING PRONOUNCEMENTS
NEW ACCOUNTING PRONOUNCEMENTS

Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments

This ASU requires organizations to replace the incurred loss impairment methodology with a methodology reflecting expected credit losses with considerations for a broader range of reasonable and supportable information to substantiate credit loss estimates. This ASU is effective for annual reporting periods beginning after December 15, 2019. The Company is currently undertaking a data analysis and is taking measures so that its systems capture data applicable to the standard. In addition, the Company is undergoing a readiness assessment with an external consultant that began in the first quarter of fiscal 2018.

ASU No. 2016-04, Extinguishment of Liabilities (Subtopic 405-20): Recognition of Breakage for Certain Prepaid Stored-Value Products

This ASU requires organizations to derecognize the deposit liabilities for unredeemed prepaid stored-value products (i.e. – breakage) consistent with breakage guidance in Topic 606, Revenue from Contracts with Customers. This ASU is effective for annual reporting periods beginning after December 15, 2017, and the Company expects the impact to the consolidated financial statements to be minimal.

ASU No. 2016-02, Leases (Topic 842): Amendments to the Leases Analysis

This ASU requires organizations to recognize lease assets and lease liabilities on the balance sheet, along with disclosing key information about leasing arrangements.  This update is effective for annual reporting periods beginning after December 15, 2018, including interim periods within that reporting period, and the Company has finalized its initial assessment of the ASU and expects that the standard will be immaterial to the consolidated financial statements with the Company's current leases.

ASU No. 2014-09, Revenue Recognition – Revenue from Contracts with Customers (Topic 606)

This ASU provides guidance on when to recognize revenue from contracts with customers.  The objective of this ASU is to eliminate diversity in practice related to this topic and to provide guidance that would streamline and enhance revenue recognition requirements.  The ASU defines five steps to recognize revenue, including identify the contract with a customer, identify the performance obligations in the contract, determine a transaction price, allocate the transaction price to the performance obligations and then recognize the revenue when or as the entity satisfies a performance obligation.  This update is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, and the Company is currently assessing all income streams, including different prepaid card programs so as to ascertain how breakage will be recognized under the standard.

ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes

This ASU requires entities with a classified balance sheet to present all deferred tax assets and liabilities as noncurrent. This update was effective for annual and interim periods in fiscal years beginning after December 15, 2016, and did not have an impact on the consolidated financial statements.

ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments

This ASU addresses eight classification issues related to the statement of cash flows including: debt prepayment or debt extinguishment costs, settlement of zero-coupon bonds, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies, distributions received from equity method investees, beneficial interests in securitization transactions, and separately identifiable cash flows and application of the predominance principle. This update is effective for annual and interim periods in fiscal years beginning after December 15, 2017, and the Company expects the impact to the consolidated financial statements to be minimal.

ASU 2017-08, Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities

This ASU requires entities to shorten the amortization period for certain callable debt securities held at a premium. Specifically, the amendments in this update require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The amendments in this update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018, and is not expected to have a material impact on the consolidated financial statements.

ASU 2017-12, Receivables - Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities
This ASU targets improving the accounting treatment for hedging activities and provides more flexibility in defining what can be hedged, while reducing earnings volatility due to ineffective hedges, and minimizing documentation requirements. The ASU also offers the ability to reclassify prepayable debt securities from HTM to AFS and subsequently sell the securities, as long as the securities are eligible to be hedged. This update is effective for annual periods and interim periods in fiscal years beginning after December 15, 2018, with early adoption permitted in any interim period or fiscal year before the effective date. The Company early adopted ASU 2017-12 as of October 1, 2017. The Company reclassified certain prepayable debt securities from HTM to AFS during the first quarter of fiscal 2018. See Note 5 to the Notes to Condensed Consolidated Financial Statements for additional information on the securities reclassed.

ASU 2016-01, Financial Instruments (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities

This ASU allows equity investments that do not have a readily determinable fair value to be remeasured at fair value either upon the occurrence of an observable price change or upon identification of an impairment. The ASU also requires enhanced disclosure about those investments. The ASU simplifies the impairment assessment of equity investments without readily determinable fair values by requiring assessment for impairment qualitatively at each reporting period. Entities that are required to disclose the fair value of financial instruments measured at amortized cost on the balance sheet are required to use the exit price notion consistent with Topic 820, Fair Value Measurement. This update will be effective for annual and interim periods in fiscal years beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the potential impact of ASU 2016-01 on its consolidated financial statements.
v3.8.0.1
FAIR VALUE MEASUREMENTS
 3 Months Ended
Dec. 31, 2017
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS

Accounting Standards Codification (“ASC”) 820, Fair Value Measurements defines fair value, establishes a framework for measuring the fair value of assets and liabilities using a hierarchy system and requires disclosures about fair value measurement.  It clarifies that fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the market in which the reporting entity transacts.

The fair value hierarchy is as follows:

Level 1 Inputs – Valuation is based upon quoted prices for identical instruments traded in active markets that the Company has the ability to access at measurement date.

Level 2 Inputs – Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which significant assumptions are observable in the market.

Level 3 Inputs – Valuation is generated from model-based techniques that use significant assumptions not observable in the market and are used only to the extent that observable inputs are not available.  These unobservable assumptions reflect the Company’s own estimates of assumptions that market participants would use in pricing the asset or liability.  Valuation techniques include use of option pricing models, discounted cash flow models and similar techniques.

Securities Available for Sale and Held to Maturity.  Securities available for sale are recorded at fair value on a recurring basis and securities held to maturity are carried at amortized cost.  Fair value measurement is based upon quoted prices, if available.  If quoted prices are not available, fair values are measured using an independent pricing service.  For both Level 1 and Level 2 securities, management uses various methods and techniques to corroborate prices obtained from the pricing service, including but not limited to reference to dealer or other market quotes, and by reviewing valuations of comparable instruments.  The Company’s Level 1 securities include equity securities and mutual funds.  Level 2 securities include U.S. Government agency and instrumentality securities, U.S. Government agency and instrumentality mortgage-backed securities, municipal bonds and corporate debt securities.  The Company had no Level 3 securities at December 31, 2017 or September 30, 2017.

The fair values of securities are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs), or valuation based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model based valuation techniques for which significant assumptions are observable in the market (Level 2 inputs).  The Company considers these valuations supplied by a third party provider which utilizes several sources for valuing fixed-income securities.  These sources include Interactive Data Corporation, Reuters, Standard and Poor’s, Bloomberg Financial Markets, Street Software Technology, and the third party provider’s own matrix and desk pricing.  The Company, no less than annually, reviews the third party’s methods and source’s methodology for reasonableness and to ensure an understanding of inputs utilized in determining fair value.  Sources utilized by the third party provider include but are not limited to pricing models that vary based by asset class and include available trade, bid, and other market information.  This methodology includes but is not limited to broker quotes, proprietary models, descriptive terms and conditions databases, as well as extensive quality control programs. Monthly, the Company receives and compares prices provided by multiple securities dealers and pricing providers to validate the accuracy and reasonableness of prices received from the third party provider. On a monthly basis, the Investment Committee reviews mark-to-market changes in the securities portfolio for reasonableness.
 
The following table summarizes the fair values of securities available for sale and held to maturity at December 31, 2017 and September 30, 2017.  Securities available for sale are measured at fair value on a recurring basis, while securities held to maturity are carried at amortized cost in the consolidated statements of financial condition.
 
Fair Value At December 31, 2017
 
Available For Sale
 
Held to Maturity
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
Debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Small business administration securities
56,948

 
—

 
56,948

 
—

 
—

 
—

 
—

 
—

Obligations of states and political subdivisions
14,610

 
—

 
14,610

 
—

 
4,342

 
—

 
4,342

 
—

Non-bank qualified obligations of states and political subdivisions
1,223,030

 
—

 
1,223,030

 
—

 
227,482

 
—

 
227,482

 
—

Asset-backed securities
95,823

 
—

 
95,823

 
—

 
—

 
—

 
—

 
—

Mortgage-backed securities
600,112

 
—

 
600,112

 
—

 
8,320

 
—

 
8,320

 
—

Total debt securities
1,990,523

 
—

 
1,990,523

 
—

 
240,144

 
—

 
240,144

 
—

Common equities and mutual funds
1,829

 
1,829

 
—

 
—

 
—

 
—

 
—

 
—

Total securities
$
1,992,352

 
$
1,829

 
$
1,990,523

 
$
—

 
$
240,144

 
$
—

 
$
240,144

 
$
—

 
Fair Value At September 30, 2017
 
Available For Sale
 
Held to Maturity
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
Debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Small business administration securities
57,871

 
—

 
57,871

 
—

 
—

 
—

 
—

 
—

Obligations of states and political subdivisions
—

 
—

 
—

 
—

 
19,368

 
—

 
19,368

 
—

Non-bank qualified obligations of states and political subdivisions
950,829

 
—

 
950,829

 
—

 
432,361

 
—

 
432,361

 
—

Asset-backed securities
96,832

 
—

 
96,832

 
—

 
—

 
—

 
—

 
—

Mortgage-backed securities
586,454

 
—

 
586,454

 
—

 
112,456

 
—

 
112,456

 
—

Total debt securities
1,691,986

 
—

 
1,691,986

 
—

 
564,185

 
—

 
564,185

 
—

Common equities and mutual funds
1,445

 
1,445

 
—

 
—

 
—

 
—

 
—

 
—

Total securities
$
1,693,431

 
$
1,445

 
$
1,691,986

 
$
—

 
$
564,185

 
$
—

 
$
564,185

 
$
—



Loans.  The Company does not record loans at fair value on a recurring basis.  However, if a loan is considered impaired, an allowance for loan losses is established.  Once a loan is identified as individually impaired, management measures impairment in accordance with ASC 310, Receivables.

The following table summarizes the assets of the Company that were measured at fair value in the consolidated statements of financial condition on a non-recurring basis as of December 31, 2017 and September 30, 2017.
 
Fair Value At December 31, 2017
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
Foreclosed Assets, net
128

 
—

 
—

 
128

Total
$
128

 
$
—

 
$
—

 
$
128

 
Fair Value At September 30, 2017
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
Foreclosed Assets, net
292

 
 
 
 
 
292

Total
$
292

 
$
—

 
$
—

 
$
292


 
Quantitative Information About Level 3 Fair Value Measurements
(Dollars in Thousands)
Fair Value at
December 31, 2017
 
Fair Value at
September 30, 2017
 
Valuation
Technique
 
Unobservable Input
 
Range of Inputs
Foreclosed Assets, net
$
128

 
292

 
Market approach
 
Appraised values (1)
 
4.00 - 10.00%
(1) 
The Company generally relies on external appraisers to develop this information. Management reduced the appraised value by estimating selling costs in a range of 4% to 10%.

The following table discloses the Company’s estimated fair value amounts of its financial instruments as of the dates set forth below.  It is management’s belief that the fair values presented below are reasonable based on the valuation techniques and data available to the Company as of December 31, 2017 and September 30, 2017, as more fully described below.  The operations of the Company are managed from a going concern basis and not a liquidation basis.  As a result, the ultimate value realized for the financial instruments presented could be substantially different when actually recognized over time through the normal course of operations.  Additionally, a substantial portion of the Company’s inherent value is the Bank’s capitalization and franchise value.  Neither of these components have been given consideration in the presentation of fair values below.

The following presents the carrying amount and estimated fair value of the financial instruments held by the Company at December 31, 2017 and September 30, 2017.
 
 
December 31, 2017
 
Carrying
Amount
 
Estimated
Fair Value
 
Level 1
 
Level 2
 
Level 3
 
(Dollars in Thousands)
Financial assets
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
1,300,409

 
$
1,300,409

 
$
1,300,409

 
$
—

 
$
—

 
 
 
 
 
 
 
 
 
 
Securities available for sale
1,992,352

 
1,992,352

 
1,829

 
1,990,523

 
—

Securities held to maturity
243,492

 
240,144

 
—

 
240,144

 
—

Total securities
2,235,844

 
2,232,496

 
1,829

 
2,230,667

 
—

 
 
 
 
 
 
 
 
 
 
Loans receivable:
 

 
 

 
 

 
 

 
 

One to four family residential mortgage loans
203,967

 
205,413

 
—

 
—

 
205,413

Commercial and multi-family real estate loans
654,029

 
655,777

 
—

 
—

 
655,777

Agricultural real estate loans
61,303

 
61,257

 
—

 
—

 
61,257

Consumer loans
274,981

 
293,832

 
—

 
—

 
293,832

Commercial operating loans
56,516

 
56,520

 
—

 
—

 
56,520

Agricultural operating loans
24,696

 
24,506

 
—

 
—

 
24,506

CML insurance premium finance loans
235,671

 
235,530

 
—

 
—

 
235,530

Total loans receivable
1,511,163

 
1,532,835

 
—

 
—

 
1,532,835

 
 
 
 
 
 
 
 
 
 
Federal Home Loan Bank stock
57,443

 
57,443

 
—

 
57,443

 
—

Accrued interest receivable
21,089

 
21,089

 
21,089

 
—

 
—

 
 
 
 
 
 
 
 
 
 
Financial liabilities
 

 
 

 
 

 
 

 
 

Noninterest bearing demand deposits
2,779,645

 
2,779,645

 
2,779,645

 
—

 
—

Interest bearing demand deposits, savings, and money markets
185,376

 
185,376

 
185,376

 
—

 
—

Certificates of deposit
128,220

 
127,451

 
—

 
127,451

 
—

Wholesale non-maturing deposits
40,928

 
40,928

 
40,928

 
—

 
—

Wholesale certificates of deposit
379,476

 
379,101

 
—

 
379,101

 
—

Total deposits
3,513,645

 
3,512,501

 
3,005,949

 
506,552

 
—

 
 
 
 
 
 
 
 
 
 
Advances from Federal Home Loan Bank
210,000

 
210,002

 
—

 
210,002

 
—

Federal funds purchased
1,100,000

 
1,100,000

 
1,100,000

 
—

 
—

Securities sold under agreements to repurchase
3,339

 
3,339

 
—

 
3,339

 
—

Capital lease
1,922

 
1,922

 
—

 
1,922

 
—

Trust preferred securities
10,310

 
10,445

 
—

 
10,445

 
—

Subordinated debentures
73,382

 
75,750

 
—

 
75,750

 
—

Accrued interest payable
4,065

 
4,065

 
4,065

 
—

 
—

 
September 30, 2017
 
Carrying
Amount
 
Estimated
Fair Value
 
Level 1
 
Level 2
 
Level 3
 
(Dollars in Thousands)
Financial assets
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
1,267,586

 
$
1,267,586

 
$
1,267,586

 
$
—

 
$
—

 
 
 
 
 
 
 
 
 
 
Securities available for sale
1,693,431

 
1,693,431

 
1,445

 
1,691,986

 
—

Securities held to maturity
563,529

 
564,185

 
—

 
564,185

 
—

Total securities
2,256,960

 
2,257,616

 
1,445

 
2,256,171

 
—

 
 
 
 
 
 
 
 
 
 
Loans receivable:
 

 
 

 
 

 
 

 
 

One to four family residential mortgage loans
196,706

 
196,970

 
—

 
—

 
196,970

Commercial and multi-family real estate loans
585,510

 
576,330

 
—

 
—

 
576,330

Agricultural real estate loans
61,800

 
61,584

 
—

 
—

 
61,584

Consumer loans
163,004

 
163,961

 
—

 
—

 
163,961

Commercial operating loans
35,759

 
35,723

 
—

 
—

 
35,723

Agricultural operating loans
33,594

 
32,870

 
—

 
—

 
32,870

CML insurance premium finance loans
250,459

 
250,964

 
—

 
—

 
250,964

Total loans receivable
1,326,832

 
1,318,402

 
—

 
—

 
1,318,402

 
 
 
 
 
 
 
 
 
 
Federal Home Loan Bank stock
61,123

 
61,123

 
—

 
61,123

 
—

Accrued interest receivable
19,380

 
19,380

 
19,380

 
—

 
—

 
 
 
 
 
 
 
 
 
 
Financial liabilities
 

 
 

 
 

 
 

 
 

Noninterest bearing demand deposits
2,454,057

 
2,454,057

 
2,454,057

 
—

 
—

Interest bearing demand deposits, savings, and money markets
169,557

 
169,557

 
169,557

 
—

 
—

Certificates of deposit
123,637

 
123,094

 
—

 
123,094

 
—

Wholesale non-maturing deposits
18,245

 
18,245

 
18,245

 
—

 
—

Wholesale certificates of deposits
457,928

 
457,509

 
—

 
457,509

 
—

Total deposits
3,223,424

 
3,222,462

 
2,641,859

 
580,603

 
—

 
 
 
 
 
 
 
 
 
 
Advances from Federal Home Loan Bank
415,000

 
415,003

 
—

 
415,003

 
—

Federal funds purchased
987,000

 
987,000

 
987,000

 
—

 
—

Securities sold under agreements to repurchase
2,472

 
2,472

 
—

 
2,472

 
—

Capital lease
1,938

 
1,938

 
—

 
1,938

 
—

Trust preferred securities
10,310

 
10,447

 
—

 
10,447

 
—

Subordinated debentures
73,347

 
76,500

 
—

 
76,500

 
—

Accrued interest payable
2,280

 
2,280

 
2,280

 
—

 
—



The following sets forth the methods and assumptions used in determining the fair value estimates for the Company’s financial instruments at December 31, 2017 and September 30, 2017.
 
CASH AND CASH EQUIVALENTS
The carrying amount of cash and short-term investments is assumed to approximate the fair value.
 
SECURITIES AVAILABLE FOR SALE AND HELD TO MATURITY
Securities available for sale are recorded at fair value on a recurring basis and securities held to maturity are carried at amortized cost.  Fair values for investment securities are based on obtaining quoted prices on nationally recognized securities exchanges, or matrix pricing, which is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the securities’ relationship to other benchmark quoted securities.
LOANS RECEIVABLE, NET
The fair value of loans is estimated using a historical or replacement cost basis concept (i.e., an entrance price concept).  The fair value of loans was estimated by discounting the future cash flows using the current rates at which similar loans would be made to borrowers and for similar remaining maturities.  When using the discounting method to determine fair value, homogeneous loans with similar terms and conditions were grouped together and discounted at a target rate at which similar loans would be made to borrowers at December 31, 2017 or September 30, 2017.  In addition, when computing the estimated fair value for all loans, allowances for loan losses have been subtracted from the calculated fair value as a result of the discounted cash flow which approximates the fair value adjustment for the credit quality component.
 
FEDERAL HOME LOAN BANK (“FHLB”) STOCK
The fair value of FHLB stock is assumed to approximate book value since the Company is only able to redeem this stock at par value.
 
ACCRUED INTEREST RECEIVABLE
The carrying amount of accrued interest receivable is assumed to approximate the fair value.
 
DEPOSITS
The carrying values of non-interest bearing checking deposits, interest bearing checking deposits, savings, money markets, and wholesale non-maturing deposits are assumed to approximate fair value, since such deposits are immediately withdrawable without penalty.  The fair value of time certificates of deposit and wholesale certificates of deposit were estimated by discounting expected future cash flows by the current rates offered on certificates of deposit with similar remaining maturities.
 
In accordance with ASC 825, Financial Instruments, no value has been assigned to the Company’s long-term relationships with its deposit customers (core value of deposits intangible) since such intangibles are not financial instruments as defined under ASC 825.
 
ADVANCES FROM FHLB
The fair value of such advances was estimated by discounting the expected future cash flows using current interest rates for advances with similar terms and remaining maturities.
 
FEDERAL FUNDS PURCHASED
The carrying amount of federal funds purchased is assumed to approximate the fair value.
 
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND SUBORDINATED DEBENTURES
The fair value of these instruments was estimated by discounting the expected future cash flows using derived interest rates approximating market over the contractual maturity of such borrowings.
 
ACCRUED INTEREST PAYABLE
The carrying amount of accrued interest payable is assumed to approximate the fair value.
 
LIMITATIONS
Fair value estimates are made at a specific point in time and are based on relevant market information about the financial instrument.  Additionally, fair value estimates are based on existing on- and off-balance sheet financial instruments without attempting to estimate the value of anticipated future business, customer relationships and the value of assets and liabilities that are not considered financial instruments.  These estimates do not reflect any premium or discount that could result from offering the Company’s entire holdings of a particular financial instrument for sale at one time.  Furthermore, since no market exists for certain of the Company’s financial instruments, fair value estimates may be based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments and other factors.  These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with a high level of precision.  Changes in assumptions as well as tax considerations could significantly affect the estimates.  Accordingly, based on the limitations described above, the aggregate fair value estimates are not intended to represent the underlying value of the Company, on either a going concern or a liquidation basis.
v3.8.0.1
GOODWILL AND INTANGIBLE ASSETS
 3 Months Ended
Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS

The Company held a total of $98.7 million of goodwill as of December 31, 2017. The recorded goodwill was due to two separate business combinations during fiscal 2015 and two separate business combinations during the first quarter of fiscal 2017. The fiscal 2015 business combinations included $11.6 million of goodwill in connection with the purchase of substantially all of the commercial loan portfolio and related assets of AFS/IBEX on December 2, 2014 and $25.4 million of goodwill in connection with the purchase of substantially all of the assets and liabilities of Refund Advantage on September 8, 2015. The fiscal 2017 business combinations included $30.4 million of goodwill in connection with the purchase of substantially all of the assets of EPS Financial, LLC on November 1, 2016; and $31.4 million of goodwill in connection with the purchase of substantially all of the assets and specified liabilities of Specialty Consumer Services LP on December 14, 2016. The goodwill associated with these transactions is deductible for tax purposes.
 
The changes in the carrying amount of the Company’s goodwill and intangible assets for the three months ended December 31, 2017 and 2016 were as follows:
 
 
2017
 
2016
 
(Dollars in Thousands)
Goodwill
 
 
 
Balance as of September 30,
$
98,723

 
$
36,928

Acquisitions during the period
—

 
61,970

Write-offs during the period
—

 
—

Balance as of December 31,
$
98,723

 
$
98,898


 
Trademark(1)
 
Non-Compete(2)
 
Customer
Relationships(3)
 
All Others(4)
 
Total
Intangibles
 
Balance as of September 30, 2017
$
10,051

 
$
1,782

 
$
31,707

 
$
8,638

 
$
52,178

Acquisitions during the period
—

 
—

 
—

 
38

 
38

Amortization during the period
(159
)
 
(132
)
 
(1,160
)
 
(230
)
 
(1,681
)
Write-offs during the period
—

 
—

 
—

 
(14
)
 
(14
)
Balance as of December 31, 2017
$
9,892

 
$
1,650

 
$
30,547

 
$
8,432

 
$
50,521

 
 
 
 
 
 
 
 
 
 
Gross carrying amount
$
10,990

 
$
2,480

 
$
57,810

 
$
10,540

 
$
81,820

Accumulated amortization
(1,098
)
 
(830
)
 
(17,015
)
 
(1,565
)
 
(20,508
)
Accumulated impairment
—

 
—

 
(10,248
)
 
(543
)
 
(10,791
)
Balance as of December 31, 2017
$
9,892

 
$
1,650

 
$
30,547

 
$
8,432

 
$
50,521

(1) Book amortization period of 5-15 years. Amortized using the straight line and accelerated methods.
(2) Book amortization period of 3-5 years. Amortized using the straight line method.
(3) Book amortization period of 10-30 years. Amortized using the accelerated method.
(4) Book amortization period of 3-20 years. Amortized using the straight line method.

 
Trademark(1)
 
Non-Compete(2)
 
Customer
Relationships(3)
 
All Others(4)
 
Total
Intangibles
 
Balance as of September 30, 2016
$
5,149

 
$
127

 
$
20,590

 
$
3,055

 
$
28,921

Acquisitions during the period
5,480

 
2,210

 
32,230

 
6,156

 
46,076

Amortization during the period
(120
)
 
(86
)
 
(1,193
)
 
(126
)
 
(1,525
)
Write-offs during the period
—

 
—

 
—

 
—

 
—

Balance as of December 31, 2016
$
10,509

 
$
2,251

 
$
51,627

 
$
9,085

 
$
73,472

 
 
 
 
 
 
 
 
 
 
Gross carrying amount
$
10,970

 
$
2,510

 
$
58,270

 
$
9,711

 
$
81,461

Accumulated amortization
(461
)
 
(259
)
 
(6,643
)
 
(626
)
 
(7,989
)
Balance as of December 31, 2016
$
10,509

 
$
2,251

 
$
51,627

 
$
9,085

 
$
73,472


(1) Book amortization period of 15 years. Amortized using the straight line and accelerated methods.
(2) Book amortization period of 3 years. Amortized using the straight line method.
(3) Book amortization period of 10-30 years. Amortized using the accelerated method.
(4) Book amortization period of 3-20 years. Amortized using the straight line method.

The estimated amortization expense of intangible assets assumes no activities, such as acquisitions, which would result in additional amortizable intangible assets. Estimated amortization expense of intangible assets in the remaining nine months of fiscal 2018 and subsequent fiscal years is as follows:
 
(Dollars in Thousands)
Remaining in 2018
$
6,028

2019
7,151

2020
5,753

2021
5,184

2022
4,262

2023
3,625

Thereafter
18,518

Total anticipated intangible amortization
$
50,521



The Company tests intangible assets for impairment at least annually or more often if conditions indicate a possible impairment.  There were no impairments to intangible assets during the three months ended December 31, 2017 or 2016.  The annual goodwill impairment test for fiscal 2018 will be conducted at September 30, 2018.
v3.8.0.1
INCOME TAXES
 3 Months Ended
Dec. 31, 2017
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES

Income tax expense for the fiscal 2018 first quarter was $5.7 million, resulting in an effective tax rate of 54.9%, compared to $0.3 million, or an effective tax rate of 21.6%, for the fiscal 2017 first quarter.

The Tax Cuts and Jobs Act (the "Tax Act") was signed into law on December 22, 2017. The Tax Act has a significant impact on the U.S. corporate income tax regime by lowering the U.S. corporate tax rate from 35 percent to 21 percent effective for taxable years beginning on or after January 1, 2018 in addition to implementing numerous other changes. U.S. GAAP requires that the impact of tax legislation be recognized in the period in which the law was enacted.
 
As a result of the Tax Act, the Company remeasured its deferred tax assets and deferred tax liabilities during its fiscal 2018 first quarter, resulting in additional income tax expense of $3.6 million. As the Company’s fiscal year end ends on September 30, the statutory corporate rate for fiscal 2018 will be prorated to 24.53 percent.

In December 2017, the Securities and Exchange Commission staff issued Staff Accounting Bulletin No. 118 (SAB 118), which provides guidance regarding how a company is to reflect provisional amounts when necessary information is not yet available, prepared or analyzed sufficiently to complete its accounting for the effect of the changes in the Tax Act. The income tax expense of $3.6 million recorded during the fiscal 2018 first quarter represents all known and estimable impacts of the Tax Act and is a provisional amount based on the Company’s current best estimate. This provisional amount incorporates assumptions made based upon the Company’s current interpretations of the Tax Act and may change as the Company receives additional clarification and implementation guidance, and as data becomes available allowing for a more accurate scheduling of the deferred tax assets and liabilities, including those related to items potentially impacted by the Tax Act such as fixed assets and employee compensation. Adjustments to this provisional amount through December 22, 2018 will be included in income from operations as an adjustment to tax expense in future periods.
v3.8.0.1
REGULATORY MATTERS
 3 Months Ended
Dec. 31, 2017
Banking and Thrift [Abstract]  
REGULATORY MATTERS
REGULATORY MATTERS

On January 5, 2015, the Federal Deposit Insurance Corporation (“FDIC”) published industry guidance in the form of Frequently Asked Questions (“FAQs”) with respect to the categorization of deposit liabilities as “brokered” deposits. On November 13, 2015, the FDIC issued for comment updated and annotated FAQs, and on June 30, 2016, the FDIC finalized the FAQs. The Company believes that the final FAQs do not materially impact the processes that it uses to identify, accept and report brokered deposits. On April 26, 2016, the FDIC issued a final rule to amend how small banks (less than $10 billion in assets that have been FDIC insured for at least five years) are assessed for deposit insurance (the "Final Rule"). The Final Rule imposes higher assessments for banks that the FDIC believes present higher risk profiles. The Final Rule became effective with the Bank's December 2016 assessment invoice, which the Company received in March 2017.

Due to the Bank’s status as a "well-capitalized" institution under the FDIC's prompt corrective action regulations, and further with respect to the Bank’s financial condition in general, the Company does not at this time anticipate that either the FAQs or the Final Rule will have a material adverse impact on the Company’s business operations.  However, should the Bank ever fail to be well-capitalized in the future, as a result of failing to meet the well-capitalized requirements, or the imposition of an individual minimum capital requirement or similar formal requirements, then, notwithstanding that the Bank has capital in excess of the well-capitalized minimum requirements, the Bank would be prohibited, absent waiver from the FDIC, from utilizing brokered deposits (i.e., may not accept, renew or rollover brokered deposits), which could produce serious adverse effects on the Company’s liquidity, and financial condition and results of operations.  Similarly, should the Bank’s financial condition in general deteriorate, future FDIC assessments could have a material adverse effect on the Company.
v3.8.0.1
SUBSEQUENT EVENTS
 3 Months Ended
Dec. 31, 2017
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS
On January 2, 2018, a deed in lieu of foreclosure was executed on the collateral for a large, well-collateralized loan relationship. Upon execution of the deed in lieu, the Company took ownership of the properties serving as collateral and transferred the loans to foreclosed real estate and repossessed assets. If, as expected, the properties are sold prior to the end of the agreed-upon receivership period set forth in the settlement agreement, the Company will be entitled to all principal, note interest, legal and other fees and expenses. After the receivership period ends, if the properties are not sold, the Company will be entitled to the fair value of the properties.
On January 9, 2018, the Company announced that it entered into a definitive merger agreement with Crestmark Bancorp, Inc. (“Crestmark”), the holding company of Crestmark Bank, whereby the Company will acquire Crestmark in an all-stock transaction.
Pursuant to the terms of the merger agreement, at the effective time of the merger, Crestmark will merge with and into the Company, and Crestmark Bank will merge with and into MetaBank (the "Bank"). 
Under the terms of the merger agreement, Crestmark shareholders will receive 2.65 shares of the Company's common stock for each share of Crestmark common stock. The aggregate value of the acquisition consideration, based on the closing price of Meta Financial shares on January 8, 2018 of $91.35, would have been $320.6 million. Giving effect to the transaction, existing shareholders of the Company are expected to own approximately 75%, and Crestmark shareholders are expected to own approximately 25%, of the outstanding shares of the Company.
On January 25, 2018, the Company announced that the Bank entered into a three-year program agreement with Liberty Lending, LCC ("Liberty"), whereby the Bank will provide personal loans to Liberty customers. Under the agreement, the Bank expects to originate between $500 million and $1 billion in personal loans during the term of the program. The loan products contemplated under this agreement will be closed-end installment loans ranging from $3,500 to $45,000 in principal amount with lengths of between 13 and 60 months. The Bank expects to begin providing such loans as early as the third quarter of fiscal 2018. The Bank has the contractual right to sell these loans or interests in the loans. The agreement marks the entry point for the Company into a direct-to-consumer credit business.
v3.8.0.1
NEW ACCOUNTING PRONOUNCEMENTS (Policies)
 3 Months Ended
Dec. 31, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]  
New Accounting Pronouncements
Accounting Standards Update (“ASU”) No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments

This ASU requires organizations to replace the incurred loss impairment methodology with a methodology reflecting expected credit losses with considerations for a broader range of reasonable and supportable information to substantiate credit loss estimates. This ASU is effective for annual reporting periods beginning after December 15, 2019. The Company is currently undertaking a data analysis and is taking measures so that its systems capture data applicable to the standard. In addition, the Company is undergoing a readiness assessment with an external consultant that began in the first quarter of fiscal 2018.

ASU No. 2016-04, Extinguishment of Liabilities (Subtopic 405-20): Recognition of Breakage for Certain Prepaid Stored-Value Products

This ASU requires organizations to derecognize the deposit liabilities for unredeemed prepaid stored-value products (i.e. – breakage) consistent with breakage guidance in Topic 606, Revenue from Contracts with Customers. This ASU is effective for annual reporting periods beginning after December 15, 2017, and the Company expects the impact to the consolidated financial statements to be minimal.

ASU No. 2016-02, Leases (Topic 842): Amendments to the Leases Analysis

This ASU requires organizations to recognize lease assets and lease liabilities on the balance sheet, along with disclosing key information about leasing arrangements.  This update is effective for annual reporting periods beginning after December 15, 2018, including interim periods within that reporting period, and the Company has finalized its initial assessment of the ASU and expects that the standard will be immaterial to the consolidated financial statements with the Company's current leases.

ASU No. 2014-09, Revenue Recognition – Revenue from Contracts with Customers (Topic 606)

This ASU provides guidance on when to recognize revenue from contracts with customers.  The objective of this ASU is to eliminate diversity in practice related to this topic and to provide guidance that would streamline and enhance revenue recognition requirements.  The ASU defines five steps to recognize revenue, including identify the contract with a customer, identify the performance obligations in the contract, determine a transaction price, allocate the transaction price to the performance obligations and then recognize the revenue when or as the entity satisfies a performance obligation.  This update is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, and the Company is currently assessing all income streams, including different prepaid card programs so as to ascertain how breakage will be recognized under the standard.

ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes

This ASU requires entities with a classified balance sheet to present all deferred tax assets and liabilities as noncurrent. This update was effective for annual and interim periods in fiscal years beginning after December 15, 2016, and did not have an impact on the consolidated financial statements.

ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments

This ASU addresses eight classification issues related to the statement of cash flows including: debt prepayment or debt extinguishment costs, settlement of zero-coupon bonds, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies, distributions received from equity method investees, beneficial interests in securitization transactions, and separately identifiable cash flows and application of the predominance principle. This update is effective for annual and interim periods in fiscal years beginning after December 15, 2017, and the Company expects the impact to the consolidated financial statements to be minimal.

ASU 2017-08, Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities

This ASU requires entities to shorten the amortization period for certain callable debt securities held at a premium. Specifically, the amendments in this update require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The amendments in this update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018, and is not expected to have a material impact on the consolidated financial statements.

ASU 2017-12, Receivables - Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities
This ASU targets improving the accounting treatment for hedging activities and provides more flexibility in defining what can be hedged, while reducing earnings volatility due to ineffective hedges, and minimizing documentation requirements. The ASU also offers the ability to reclassify prepayable debt securities from HTM to AFS and subsequently sell the securities, as long as the securities are eligible to be hedged. This update is effective for annual periods and interim periods in fiscal years beginning after December 15, 2018, with early adoption permitted in any interim period or fiscal year before the effective date. The Company early adopted ASU 2017-12 as of October 1, 2017. The Company reclassified certain prepayable debt securities from HTM to AFS during the first quarter of fiscal 2018. See Note 5 to the Notes to Condensed Consolidated Financial Statements for additional information on the securities reclassed.

ASU 2016-01, Financial Instruments (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities

This ASU allows equity investments that do not have a readily determinable fair value to be remeasured at fair value either upon the occurrence of an observable price change or upon identification of an impairment. The ASU also requires enhanced disclosure about those investments. The ASU simplifies the impairment assessment of equity investments without readily determinable fair values by requiring assessment for impairment qualitatively at each reporting period. Entities that are required to disclose the fair value of financial instruments measured at amortized cost on the balance sheet are required to use the exit price notion consistent with Topic 820, Fair Value Measurement. This update will be effective for annual and interim periods in fiscal years beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the potential impact of ASU 2016-01 on its consolidated financial statements.
v3.8.0.1
CREDIT DISCLOSURES (Tables)
 3 Months Ended
Dec. 31, 2017
Loans and Leases Receivable Disclosure [Abstract]  
Schedule of Loans Receivable
Loans receivable at December 31, 2017 and September 30, 2017 were as follows:
 
December 31, 2017
 
September 30, 2017
 
(Dollars in Thousands)
1-4 Family Real Estate
$
203,967

 
$
196,706

Commercial and Multi-Family Real Estate
654,029

 
585,510

Agricultural Real Estate
61,303

 
61,800

Consumer
274,981

 
163,004

Commercial Operating
56,516

 
35,759

Agricultural Operating
24,696

 
33,594

Commercial Insurance Premium Finance
235,671

 
250,459

Total Loans Receivable
1,511,163

 
1,326,832

 
 
 
 
Allowance for Loan Losses
(8,862
)
 
(7,534
)
Net Deferred Loan Origination Fees
(2,023
)
 
(1,461
)
Total Loans Receivable, Net
$
1,500,278

 
$
1,317,837
Annual Activity in Allowance for Loan Losses, Allowance for Loan Losses and Recorded Investment in Loans
Activity in the allowance for loan losses and balances of loans receivable by portfolio segment for the three months ended December 31, 2017 and 2016 was as follows:

 
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
CML Insurance
Premium
Finance
 
Unallocated
 
Total
 
(Dollars in Thousands)
Three Months Ended December 31, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
803

 
$
2,670

 
$
1,390

 
$
6

 
$
158

 
$
1,184

 
$
796

 
$
527

 
$
7,534

Provision (recovery) for loan losses
(118
)
 
364

 
(210
)
 
297

 
690

 
(380
)
 
51

 
374

 
1,068

Charge offs
(31
)
 
—

 
—

 
—

 
—

 
—

 
(129
)
 
—

 
(160
)
Recoveries
—

 
—

 
—

 
367

 
46

 
—

 
7

 
—

 
420

Ending balance
$
654

 
$
3,034

 
$
1,180

 
$
670

 
$
894

 
$
804

 
$
725

 
$
901

 
$
8,862

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance: individually evaluated for impairment
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Ending balance: collectively evaluated for impairment
654

 
3,034

 
1,180

 
670

 
894

 
804

 
725

 
901

 
8,862

Total
$
654

 
$
3,034

 
$
1,180

 
$
670

 
$
894

 
$
804

 
$
725

 
$
901

 
$
8,862

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance: individually
evaluated for impairment
95

 
707

 
—

 
61

 
—

 
1,052

 
—

 
—

 
1,915

Ending balance: collectively
evaluated for impairment
203,872

 
653,322

 
61,303

 
274,920

 
56,516

 
23,644

 
235,671

 
—

 
1,509,248

Total
$
203,967

 
$
654,029

 
$
61,303

 
$
274,981

 
$
56,516

 
$
24,696

 
$
235,671

 
$
—

 
$
1,511,163

 
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
CML Insurance
Premium
Finance
 
Unallocated
 
Total
 
(Dollars in Thousands)
Three Months Ended December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
654

 
$
2,198

 
$
142

 
$
51

 
$
117

 
$
1,332

 
$
588

 
$
553

 
$
5,635

Provision (recovery) for loan losses
—

 
(286
)
 
334

 
(28
)
 
691

 
(3
)
 
110

 
25

 
843

Charge offs
—

 
—

 
—

 
—

 
—

 
—

 
(118
)
 
—

 
(118
)
Recoveries
—

 
—

 
—

 
24

 
5

 
12

 
14

 
—

 
55

Ending balance
$
654

 
$
1,912

 
$
476

 
$
47

 
$
813

 
$
1,341

 
$
594

 
$
578

 
$
6,415

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ending balance: individually
evaluated for impairment
11

 
—

 
—

 
—

 
339

 
—

 
—

 
—

 
350

Ending balance: collectively
evaluated for impairment
643

 
1,912

 
476

 
47

 
474

 
1,341

 
594

 
578

 
6,065

Total
$
654

 
$
1,912

 
$
476

 
$
47

 
$
813

 
$
1,341

 
$
594

 
$
578

 
$
6,415

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans:
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Ending balance: individually
evaluated for impairment
190

 
429

 
—

 
—

 
505

 
—

 
—

 
—

 
1,124

Ending balance: collectively
evaluated for impairment
172,687

 
440,083

 
64,014

 
173,164

 
50,319

 
33,617

 
179,508

 
—

 
1,113,392

Total
$
172,877

 
$
440,512

 
$
64,014

 
$
173,164

 
$
50,824

 
$
33,617

 
$
179,508

 
$
—

 
$
1,114,516
Asset Classification of Loans
The asset classification of loans at December 31, 2017 and September 30, 2017 were as follows:

December 31, 2017
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
CML Insurance
Premium
Finance
 
Total
 
(Dollars in Thousands)
Pass
$
203,035

 
$
643,393

 
$
28,794

 
$
274,783

 
$
56,245

 
$
14,304

 
$
235,671

 
$
1,456,225

Watch
608

 
10,145

 
—

 
102

 
271

 
13

 
—

 
11,139

Special Mention
245

 
199

 
2,939

 
—

 
—

 
—

 
—

 
3,383

Substandard
79

 
292

 
29,570

 
96

 
—

 
10,379

 
—

 
40,416

Doubtful
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
$
203,967

 
$
654,029

 
$
61,303

 
$
274,981

 
$
56,516

 
$
24,696

 
$
235,671

 
$
1,511,163


September 30, 2017
1-4 Family
Real Estate
 
Commercial and
Multi-Family
Real Estate
 
Agricultural
Real Estate
 
Consumer
 
Commercial
Operating
 
Agricultural
Operating
 
Premium
Finance
 
Total
 
(Dollars in Thousands)
Pass
$
195,838

 
$
574,730

 
$
27,376

 
$
163,004

 
$
35,759

 
$
18,394

 
$
250,459

 
$
1,265,560

Watch
525

 
10,200

 
2,006

 
—

 
—

 
4,541

 
—

 
17,272

Special Mention
247

 
201

 
2,939

 
—

 
—

 
—

 
—

 
3,387

Substandard
96

 
379

 
29,479

 
—

 
—

 
10,659

 
—

 
40,613

Doubtful
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
$
196,706

 
$
585,510

 
$
61,800

 
$
163,004

 
$
35,759

 
$
33,594

 
$
250,459

 
$
1,326,832
Past Due Loans
Past due loans at December 31, 2017 and September 30, 2017 were as follows:
 
Accruing and Non-accruing Loans
 
Nonperforming Loans
December 31, 2017
30-59 Days
Past Due
 
60-89 Days
Past Due
 
> 89 Days Past Due
 
Total Past
Due
 
Current
 
Total Loans
Receivable
 
> 89 Days Past Due and Accruing
 
Non-accrual balance
 
Total
 
(Dollars in Thousands)
1-4 Family Real Estate
$
106

 
$
—

 
$
234

 
$
340

 
$
203,627

 
203,967

 
234

 
$
—

 
$
234

Commercial and Multi-Family Real Estate
—

 
284

 
—

 
284

 
653,745

 
654,029

 
—

 
284

 
284

Agricultural Real Estate
—

 
—

 
27,818

 
27,818

 
33,485

 
61,303

 
27,818

 
—

 
27,818

Consumer
4,192

 
2,015

 
1,624

 
7,831

 
267,150

 
274,981

 
1,624

 
—

 
1,624

Commercial Operating
—

 
—

 
—

 
—

 
56,516

 
56,516

 
—

 
—

 
—

Agricultural Operating
—

 
—

 
—

 
—

 
24,696

 
24,696

 
—

 
—

 
—

CML Insurance Premium Finance
1,594

 
592

 
3,194

 
5,380

 
230,291

 
235,671

 
3,194

 
—

 
3,194

   Total
$
5,892

 
$
2,891

 
$
32,870

 
$
41,653

 
$
1,469,510

 
1,511,163

 
32,870

 
$
284

 
$
33,154

 
Accruing and Non-accruing Loans
 
Nonperforming Loans
September 30, 2017
30-59 Days
Past Due
 
60-89 Days
Past Due
 
> 89 Days Past Due
 
Total Past
Due
 
Current
 
Total Loans
Receivable
 
> 89 Days Past Due and Accruing
 
Non-accrual balance
 
Total
 
(Dollars in Thousands)
1-4 Family Real Estate
$
370

 
$
79

 
$
—

 
$
449

 
$
196,257

 
$
196,706

 
—

 
$
—

 
$
—

Commercial and Multi-Family Real Estate
295

 
—

 
390

 
685

 
584,825

 
585,510

 
—

 
685

 
685

Agricultural Real Estate
—

 
—

 
34,198

 
34,198

 
27,602

 
61,800

 
34,198

 
—

 
34,198

Consumer
2,512

 
558

 
1,406

 
4,476

 
158,528

 
163,004

 
1,406

 
—

 
1,406

Commercial Operating
—

 
—

 
—

 
—

 
35,759

 
35,759

 
—

 
—

 
—

Agricultural Operating
—

 
—

 
97

 
97

 
33,497

 
33,594

 
97

 
—

 
97

CML Insurance Premium Finance
1,509

 
2,442

 
1,205

 
5,156

 
245,303

 
250,459

 
1,205

 
—

 
1,205

Total
$
4,686

 
$
3,079

 
$
37,296

 
$
45,061

 
$
1,281,771

 
$
1,326,832

 
36,906

 
$
685

 
$
37,591
Impaired Loans
Impaired loans at December 31, 2017 and September 30, 2017 were as follows:
 
Recorded
Balance
 
Unpaid Principal
Balance
 
Specific
Allowance
December 31, 2017
(Dollars in Thousands)
Loans without a specific valuation allowance
 
 
 
 
 
1-4 Family Real Estate
$
95

 
$
95

 
$
—

Commercial and Multi-Family Real Estate
707

 
707

 
—

   Consumer
61

 
61

 
—

   Agricultural Operating
1,052

 
1,052

 
—

Total
$
1,915

 
$
1,915

 
$
—

 
Recorded
Balance
 
Unpaid Principal
Balance
 
Specific
Allowance
September 30, 2017
(Dollars in Thousands)
Loans without a specific valuation allowance
 
 
 
 
 
1-4 Family Real Estate
$
72

 
$
72

 
$
—

Commercial and Multi-Family Real Estate
1,109

 
1,109

 
—

Total
$
1,181

 
$
1,181

 
$
—


The following table provides the average recorded investment in impaired loans for the three month periods ended December 31, 2017 and 2016.
 
Three Months Ended December 31,
 
2017
 
2016
 
Average
Recorded
Investment
 
Average
Recorded
Investment
 
(Dollars in Thousands)
1-4 Family Real Estate
$
80

 
$
172

Commercial and Multi-Family Real Estate
975

 
432

Consumer
20

 
—

Commercial Operating
—

 
168

Agricultural Operating
351

 
—

Total
$
1,426

 
$
772
v3.8.0.1
EARNINGS PER COMMON SHARE (Tables)
 3 Months Ended
Dec. 31, 2017
Earnings Per Share [Abstract]  
Reconciliation of Net Income and Common Stock Share Amounts Used in Computation of Basic and Diluted EPS
A reconciliation of net income and common stock share amounts used in the computation of basic and diluted earnings per share for the three months ended December 31, 2017 and 2016 is presented below.
Three Months Ended December 31,
2017
 
2016
(Dollars in Thousands, Except Share and Per Share Data)
 
 
 
Basic income per common share:
 
 
 
     Net income attributable to Meta Financial Group, Inc.
$
4,670

 
$
1,244

Weighted average common shares outstanding
9,656,778

 
8,938,339

     Basic income per common share
0.48

 
0.14

 
 
 
 
Diluted income per common share:
 
 
 
     Net income attributable to Meta Financial Group, Inc.
$
4,670

 
$
1,244

Weighted average common shares outstanding
9,656,778

 
8,938,339

     Outstanding options - based upon the two-class method
56,063

 
63,061

Weighted average diluted common shares outstanding
9,712,841

 
9,001,400

     Diluted income per common share
0.48

 
0.14

 
 
 
 
v3.8.0.1
SECURITIES (Tables)
 3 Months Ended
Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]  
Securities Available for Sale
The amortized cost, gross unrealized gains and losses and estimated fair values of available for sale and held to maturity securities at December 31, 2017 and September 30, 2017 are presented below.
Available For Sale
 
 
 
 
 
 
 
At December 31, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Small business administration securities
56,602

 
349

 
(3
)
 
56,948

Obligations of states and political subdivisions
14,513

 
123

 
(26
)
 
14,610

Non-bank qualified obligations of states and political subdivisions
1,212,661

 
16,079

 
(5,710
)
 
1,223,030

Asset-backed securities
93,486

 
2,337

 
—

 
95,823

Mortgage-backed securities
606,338

 
198

 
(6,424
)
 
600,112

Total debt securities
1,983,600

 
19,086

 
(12,163
)
 
1,990,523

Common equities and mutual funds
1,298

 
532

 
(1
)
 
1,829

Total available for sale securities
$
1,984,898

 
$
19,618

 
$
(12,164
)
 
$
1,992,352

At September 30, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Small business administration securities
57,046

 
825

 
—

 
57,871

Non-bank qualified obligations of states and political subdivisions
938,883

 
14,983

 
(3,037
)
 
950,829

Asset-backed securities
94,451

 
2,381

 
—

 
96,832

Mortgage-backed securities
588,918

 
1,259

 
(3,723
)
 
586,454

Total debt securities
1,679,298

 
19,448

 
(6,760
)
 
1,691,986

Common equities and mutual funds
1,009

 
436

 
—

 
1,445

Total available for sale securities
$
1,680,307

 
$
19,884

 
$
(6,760
)
 
$
1,693,431
Securities Held to Maturity


Held to Maturity
 
 
 
 
 
 
 
At December 31, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
4,341

 
$
26

 
$
(25
)
 
$
4,342

Non-bank qualified obligations of states and political subdivisions
230,683

 
336

 
(3,537
)
 
227,482

Mortgage-backed securities
8,468

 
—

 
(148
)
 
8,320

Total held to maturity securities
$
243,492

 
$
362

 
$
(3,710
)
 
$
240,144


At September 30, 2017
AMORTIZED
COST

 
GROSS
UNREALIZED
GAINS

 
GROSS
UNREALIZED
(LOSSES)

 
FAIR
VALUE

 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
19,247

 
$
157

 
$
(36
)
 
$
19,368

Non-bank qualified obligations of states and political subdivisions
430,593

 
4,744

 
(2,976
)
 
432,361

Mortgage-backed securities
113,689

 
—

 
(1,233
)
 
112,456

Total held to maturity securities
$
563,529

 
$
4,901

 
$
(4,245
)
 
$
564,185
Gross Unrealized Losses and Fair Value of Securities Available for Sale in Continuous Unrealized Loss Position
Gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2017 and September 30, 2017, were as follows:

Available For Sale
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At December 31, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Small business administration securities
$
14,236

 
$
(3
)
 
$
—

 
$
—

 
$
14,236

 
$
(3
)
Obligations of states and political subdivisions
3,139

 
(26
)
 
—

 
—

 
3,139

 
(26
)
Non-bank qualified obligations of states and political subdivisions
553,626

 
(4,945
)
 
16,045

 
(765
)
 
569,671

 
(5,710
)
Mortgage-backed securities
234,672

 
(1,275
)
 
296,252

 
(5,149
)
 
530,924

 
(6,424
)
Total debt securities
805,673

 
(6,249
)
 
312,297

 
(5,914
)
 
1,117,970

 
(12,163
)
Common equities and mutual funds
1,829

 
(1
)
 
—

 
—

 
1,829

 
(1
)
Total available for sale securities
$
807,502

 
$
(6,250
)
 
$
312,297

 
$
(5,914
)
 
$
1,119,799

 
$
(12,164
)

 
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At September 30, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Non-bank qualified obligations of states and political subdivisions
280,900

 
(2,887
)
 
5,853

 
(150
)
 
286,753

 
(3,037
)
Mortgage-backed securities
237,897

 
(1,625
)
 
100,287

 
(2,098
)
 
338,184

 
(3,723
)
Total debt securities
518,797

 
(4,512
)
 
106,140

 
(2,248
)
 
624,937

 
(6,760
)
Total available for sale securities
$
518,797

 
$
(4,512
)
 
$
106,140

 
$
(2,248
)
 
$
624,937

 
$
(6,760
)
Gross Unrealized Losses and Fair Value of Securities Held to Maturity in Continuous Unrealized Loss Position
Held To Maturity
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At December 31, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
1,261

 
$
(3
)
 
$
2,147

 
$
(22
)
 
$
3,408

 
$
(25
)
Non-bank qualified obligations of states and political subdivisions
114,999

 
(1,789
)
 
80,813

 
(1,748
)
 
195,812

 
(3,537
)
Mortgage-backed securities
—

 
—

 
8,320

 
(148
)
 
8,320

 
(148
)
Total held to maturity securities
$
116,260

 
$
(1,792
)
 
$
91,280

 
$
(1,918
)
 
$
207,540

 
$
(3,710
)
 
LESS THAN 12 MONTHS
 
OVER 12 MONTHS
 
TOTAL
At September 30, 2017
Fair
Value
 
Unrealized
(Losses)
 
Fair
Value
 
Unrealized
(Losses)
 
Fair Value
 
Unrealized
(Losses)
 
(Dollars in Thousands)
Debt securities
 
 
 
 
 
 
 
 
 
 
 
Obligations of states and political subdivisions
$
1,364

 
$
(6
)
 
$
4,089

 
$
(30
)
 
$
5,453

 
$
(36
)
Non-bank qualified obligations of states and political subdivisions
202,018

 
(2,783
)
 
6,206

 
(193
)
 
208,224

 
(2,976
)
Mortgage-backed securities
112,456

 
(1,233
)
 
—

 
—

 
112,456

 
(1,233
)
Total held to maturity securities
$
315,838

 
$
(4,022
)
 
$
10,295

 
$
(223
)
 
$
326,133

 
$
(4,245
)
Amortized Cost and Fair Value of Debt Securities by Contractual Maturity
The amortized cost and fair value of debt securities by contractual maturity as of the dates set forth below are shown below.  Certain securities have call features which allow the issuer to call the security prior to maturity.  Expected maturities may differ from contractual maturities in mortgage-backed securities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.  Therefore, mortgage-backed securities are not included in the maturity categories in the following maturity summary.  The expected maturities of certain housing related municipal securities, Small Business Administration and asset-backed securities may differ from contractual maturities because the borrowers may have the right to prepay the obligation. However, certain prepayment penalties may apply.
Available For Sale
AMORTIZED
COST

 
FAIR
VALUE

 
At December 31, 2017
(Dollars in Thousands)
 
 
 
 
Due in one year or less
$
100

 
$
100

Due after one year through five years
55,485

 
56,375

Due after five years through ten years
452,422

 
462,903

Due after ten years
869,255

 
871,033

 
1,377,262

 
1,390,411

Mortgage-backed securities
606,338

 
600,112

Common equities and mutual funds
1,298

 
1,829

Total available for sale securities
$
1,984,898

 
$
1,992,352

 
AMORTIZED
COST

 
FAIR
VALUE

At September 30, 2017
(Dollars in Thousands)
 
 
 
 
Due in one year or less
$
—

 
$
—

Due after one year through five years
36,586

 
37,674

Due after five years through ten years
347,831

 
358,198

Due after ten years
705,963

 
709,660

 
1,090,380

 
1,105,532

Mortgage-backed securities
588,918

 
586,454

Common equities and mutual funds
1,009

 
1,445

Total available for sale securities
$
1,680,307

 
$
1,693,431

Held To Maturity
AMORTIZED
COST

 
FAIR
VALUE

 
At December 31, 2017
(Dollars in Thousands)
 
 
 
 
Due in one year or less
$
2,674

 
$
2,662

Due after one year through five years
11,864

 
11,895

Due after five years through ten years
27,919

 
28,206

Due after ten years
192,567

 
189,061

 
235,024

 
231,824

Mortgage-backed securities
8,468

 
8,320

Total held to maturity securities
$
243,492

 
$
240,144

 
AMORTIZED
COST

 
FAIR
VALUE

At September 30, 2017
(Dollars in Thousands)
Due in one year or less
$
1,483

 
$
1,480

Due after one year through five years
17,926

 
18,160

Due after five years through ten years
144,996

 
147,832

Due after ten years
285,435

 
284,257

 
449,840

 
451,729

Mortgage-backed securities
113,689

 
112,456

Total held to maturity securities
$
563,529

 
$
564,185
v3.8.0.1
STOCK COMPENSATION (Tables)
 3 Months Ended
Dec. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Activity of Options
The following tables show the activity of options and nonvested (restricted) shares granted, exercised, or forfeited under the 2002 Omnibus Incentive Plan for the three months ended December 31, 2017:

 
Number
of
Shares

 
Weighted
Average
Exercise
Price

 
Weighted
Average
Remaining
Contractual
Term (Yrs)

 
Aggregate
 Intrinsic
Value

 
(Dollars in Thousands, Except Per Share Data)
Options outstanding, September 30, 2017
75,757

 
$
22.62

 
2.28

 
$
4,225

Granted
—

 
—

 
—

 
—

Exercised
—

 
—

 
—

 
—

Forfeited or expired
—

 
—

 
—

 
—

Options outstanding, December 31, 2017
75,757

 
$
22.62

 
2.03

 
$
5,305

 
 
 
 
 
 
 
 
Options exercisable, December 31, 2017
75,757

 
$
22.62

 
2.03

 
$
5,305


 
Number
of
Shares

 
Weighted
Average
Fair Value
at Grant

(Dollars in Thousands, Except Per Share Data)
Nonvested (restricted) shares outstanding, September 30, 2017
304,526

 
$
86.96

Granted
42,181

 
85.03

Vested
(61,161
)
 
83.55

Forfeited or expired
—

 
—

Nonvested (restricted) shares outstanding, December 31, 2017
285,546

 
$
87.40
v3.8.0.1
SEGMENT INFORMATION (Tables)
 3 Months Ended
Dec. 31, 2017
Segment Reporting [Abstract]  
Segment Information of Entity
The following tables present segment data for the Company for the three months ended December 31, 2017 and 2016, respectively.
 
Payments
 
Banking
 
Corporate
Services/Other
 
Total
Three Months Ended December 31, 2017
 
 
 
 
 
 
 
Interest income
$
4,669

 
$
16,478

 
$
9,710

 
$
30,857

Interest expense
—

 
881

 
3,780

 
4,661

Net interest income
4,669

 
15,597

 
5,930

 
26,196

Provision for loan losses
1,017

 
51

 
—

 
1,068

Non-interest income
28,101

 
1,485

 
(318
)
 
29,268

Non-interest expense
26,934

 
6,568

 
10,540

 
44,042

Income (loss) before income tax expense (benefit)
4,819

 
10,463

 
(4,928
)
 
10,354

 
 
 
 
 
 
 
 
Total goodwill
87,145

 
11,578

 
—

 
98,723

Total assets
380,442

 
1,478,693

 
3,558,828

 
5,417,963

Total deposits
2,768,736

 
236,494

 
508,415

 
3,513,645

 
 
 
 
 
 
 
 
 
Payments
 
Banking
 
Corporate
Services/Other
 
Total
Three Months Ended December 31, 2016
 
 
 
 
 
 
 
Interest income
$
2,912

 
$
10,754

 
$
8,909

 
$
22,575

Interest expense
—

 
544

 
2,198

 
2,742

Net interest income
2,912

 
10,210

 
6,711

 
19,833

Provision for loan losses
331

 
512

 
—

 
843

Non-interest income
19,024

 
1,072

 
(747
)
 
19,349

Non-interest expense
22,080

 
5,845

 
8,828

 
36,753

Income (loss) before income tax expense (benefit)
(475
)
 
4,925

 
(2,864
)
 
1,586

 
 
 
 
 
 
 
 
Total goodwill
87,320

 
11,578

 
—

 
98,898

Total assets
239,804

 
1,118,429

 
2,855,096

 
4,213,329

Total deposits
2,435,530

 
225,182

 
1,002,425

 
3,663,137

 
 
 
 
 
 
 
 
v3.8.0.1
FAIR VALUE MEASUREMENTS (Tables)
 3 Months Ended
Dec. 31, 2017
Fair Value Disclosures [Abstract]  
Summary of Fair Values of Securities Available for Sale and Held to Maturity
The following table summarizes the fair values of securities available for sale and held to maturity at December 31, 2017 and September 30, 2017.  Securities available for sale are measured at fair value on a recurring basis, while securities held to maturity are carried at amortized cost in the consolidated statements of financial condition.
 
Fair Value At December 31, 2017
 
Available For Sale
 
Held to Maturity
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
Debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Small business administration securities
56,948

 
—

 
56,948

 
—

 
—

 
—

 
—

 
—

Obligations of states and political subdivisions
14,610

 
—

 
14,610

 
—

 
4,342

 
—

 
4,342

 
—

Non-bank qualified obligations of states and political subdivisions
1,223,030

 
—

 
1,223,030

 
—

 
227,482

 
—

 
227,482

 
—

Asset-backed securities
95,823

 
—

 
95,823

 
—

 
—

 
—

 
—

 
—

Mortgage-backed securities
600,112

 
—

 
600,112

 
—

 
8,320

 
—

 
8,320

 
—

Total debt securities
1,990,523

 
—

 
1,990,523

 
—

 
240,144

 
—

 
240,144

 
—

Common equities and mutual funds
1,829

 
1,829

 
—

 
—

 
—

 
—

 
—

 
—

Total securities
$
1,992,352

 
$
1,829

 
$
1,990,523

 
$
—

 
$
240,144

 
$
—

 
$
240,144

 
$
—

 
Fair Value At September 30, 2017
 
Available For Sale
 
Held to Maturity
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
Debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Small business administration securities
57,871

 
—

 
57,871

 
—

 
—

 
—

 
—

 
—

Obligations of states and political subdivisions
—

 
—

 
—

 
—

 
19,368

 
—

 
19,368

 
—

Non-bank qualified obligations of states and political subdivisions
950,829

 
—

 
950,829

 
—

 
432,361

 
—

 
432,361

 
—

Asset-backed securities
96,832

 
—

 
96,832

 
—

 
—

 
—

 
—

 
—

Mortgage-backed securities
586,454

 
—

 
586,454

 
—

 
112,456

 
—

 
112,456

 
—

Total debt securities
1,691,986

 
—

 
1,691,986

 
—

 
564,185

 
—

 
564,185

 
—

Common equities and mutual funds
1,445

 
1,445

 
—

 
—

 
—

 
—

 
—

 
—

Total securities
$
1,693,431

 
$
1,445

 
$
1,691,986

 
$
—

 
$
564,185

 
$
—

 
$
564,185

 
$
—
Assets Measured at Fair Value on Nonrecurring Basis
The following table summarizes the assets of the Company that were measured at fair value in the consolidated statements of financial condition on a non-recurring basis as of December 31, 2017 and September 30, 2017.
 
Fair Value At December 31, 2017
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
Foreclosed Assets, net
128

 
—

 
—

 
128

Total
$
128

 
$
—

 
$
—

 
$
128

 
Fair Value At September 30, 2017
(Dollars in Thousands)
Total
 
Level 1
 
Level 2
 
Level 3
Foreclosed Assets, net
292

 
 
 
 
 
292

Total
$
292

 
$
—

 
$
—

 
$
292
Quantitative Information about Level 3 Fair Value Measurements
 
Quantitative Information About Level 3 Fair Value Measurements
(Dollars in Thousands)
Fair Value at
December 31, 2017
 
Fair Value at
September 30, 2017
 
Valuation
Technique
 
Unobservable Input
 
Range of Inputs
Foreclosed Assets, net
$
128

 
292

 
Market approach
 
Appraised values (1)
 
4.00 - 10.00%
(1) 
The Company generally relies on external appraisers to develop this information. Management reduced the appraised value by estimating selling costs in a range of 4% to 10%.
Carrying Amount and Estimated Fair Value of Financial Instruments
The following presents the carrying amount and estimated fair value of the financial instruments held by the Company at December 31, 2017 and September 30, 2017.
 
 
December 31, 2017
 
Carrying
Amount
 
Estimated
Fair Value
 
Level 1
 
Level 2
 
Level 3
 
(Dollars in Thousands)
Financial assets
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
1,300,409

 
$
1,300,409

 
$
1,300,409

 
$
—

 
$
—

 
 
 
 
 
 
 
 
 
 
Securities available for sale
1,992,352

 
1,992,352

 
1,829

 
1,990,523

 
—

Securities held to maturity
243,492

 
240,144

 
—

 
240,144

 
—

Total securities
2,235,844

 
2,232,496

 
1,829

 
2,230,667

 
—

 
 
 
 
 
 
 
 
 
 
Loans receivable:
 

 
 

 
 

 
 

 
 

One to four family residential mortgage loans
203,967

 
205,413

 
—

 
—

 
205,413

Commercial and multi-family real estate loans
654,029

 
655,777

 
—

 
—

 
655,777

Agricultural real estate loans
61,303

 
61,257

 
—

 
—

 
61,257

Consumer loans
274,981

 
293,832

 
—

 
—

 
293,832

Commercial operating loans
56,516

 
56,520

 
—

 
—

 
56,520

Agricultural operating loans
24,696

 
24,506

 
—

 
—

 
24,506

CML insurance premium finance loans
235,671

 
235,530

 
—

 
—

 
235,530

Total loans receivable
1,511,163

 
1,532,835

 
—

 
—

 
1,532,835

 
 
 
 
 
 
 
 
 
 
Federal Home Loan Bank stock
57,443

 
57,443

 
—

 
57,443

 
—

Accrued interest receivable
21,089

 
21,089

 
21,089

 
—

 
—

 
 
 
 
 
 
 
 
 
 
Financial liabilities
 

 
 

 
 

 
 

 
 

Noninterest bearing demand deposits
2,779,645

 
2,779,645

 
2,779,645

 
—

 
—

Interest bearing demand deposits, savings, and money markets
185,376

 
185,376

 
185,376

 
—

 
—

Certificates of deposit
128,220

 
127,451

 
—

 
127,451

 
—

Wholesale non-maturing deposits
40,928

 
40,928

 
40,928

 
—

 
—

Wholesale certificates of deposit
379,476

 
379,101

 
—

 
379,101

 
—

Total deposits
3,513,645

 
3,512,501

 
3,005,949

 
506,552

 
—

 
 
 
 
 
 
 
 
 
 
Advances from Federal Home Loan Bank
210,000

 
210,002

 
—

 
210,002

 
—

Federal funds purchased
1,100,000

 
1,100,000

 
1,100,000

 
—

 
—

Securities sold under agreements to repurchase
3,339

 
3,339

 
—

 
3,339

 
—

Capital lease
1,922

 
1,922

 
—

 
1,922

 
—

Trust preferred securities
10,310

 
10,445

 
—

 
10,445

 
—

Subordinated debentures
73,382

 
75,750

 
—

 
75,750

 
—

Accrued interest payable
4,065

 
4,065

 
4,065

 
—

 
—

 
September 30, 2017
 
Carrying
Amount
 
Estimated
Fair Value
 
Level 1
 
Level 2
 
Level 3
 
(Dollars in Thousands)
Financial assets
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
1,267,586

 
$
1,267,586

 
$
1,267,586

 
$
—

 
$
—

 
 
 
 
 
 
 
 
 
 
Securities available for sale
1,693,431

 
1,693,431

 
1,445

 
1,691,986

 
—

Securities held to maturity
563,529

 
564,185

 
—

 
564,185

 
—

Total securities
2,256,960

 
2,257,616

 
1,445

 
2,256,171

 
—

 
 
 
 
 
 
 
 
 
 
Loans receivable:
 

 
 

 
 

 
 

 
 

One to four family residential mortgage loans
196,706

 
196,970

 
—

 
—

 
196,970

Commercial and multi-family real estate loans
585,510

 
576,330

 
—

 
—

 
576,330

Agricultural real estate loans
61,800

 
61,584

 
—

 
—

 
61,584

Consumer loans
163,004

 
163,961

 
—

 
—

 
163,961

Commercial operating loans
35,759

 
35,723

 
—

 
—

 
35,723

Agricultural operating loans
33,594

 
32,870

 
—

 
—

 
32,870

CML insurance premium finance loans
250,459

 
250,964

 
—

 
—

 
250,964

Total loans receivable
1,326,832

 
1,318,402

 
—

 
—

 
1,318,402

 
 
 
 
 
 
 
 
 
 
Federal Home Loan Bank stock
61,123

 
61,123

 
—

 
61,123

 
—

Accrued interest receivable
19,380

 
19,380

 
19,380

 
—

 
—

 
 
 
 
 
 
 
 
 
 
Financial liabilities
 

 
 

 
 

 
 

 
 

Noninterest bearing demand deposits
2,454,057

 
2,454,057

 
2,454,057

 
—

 
—

Interest bearing demand deposits, savings, and money markets
169,557

 
169,557

 
169,557

 
—

 
—

Certificates of deposit
123,637

 
123,094

 
—

 
123,094

 
—

Wholesale non-maturing deposits
18,245

 
18,245

 
18,245

 
—

 
—

Wholesale certificates of deposits
457,928

 
457,509

 
—

 
457,509

 
—

Total deposits
3,223,424

 
3,222,462

 
2,641,859

 
580,603

 
—

 
 
 
 
 
 
 
 
 
 
Advances from Federal Home Loan Bank
415,000

 
415,003

 
—

 
415,003

 
—

Federal funds purchased
987,000

 
987,000

 
987,000

 
—

 
—

Securities sold under agreements to repurchase
2,472

 
2,472

 
—

 
2,472

 
—

Capital lease
1,938

 
1,938

 
—

 
1,938

 
—

Trust preferred securities
10,310

 
10,447

 
—

 
10,447

 
—

Subordinated debentures
73,347

 
76,500

 
—

 
76,500

 
—

Accrued interest payable
2,280

 
2,280

 
2,280

 
—

 
—
v3.8.0.1
GOODWILL AND INTANGIBLE ASSETS (Tables)
 3 Months Ended
Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Intangible Assets and Goodwill
The changes in the carrying amount of the Company’s goodwill and intangible assets for the three months ended December 31, 2017 and 2016 were as follows:
 
 
2017
 
2016
 
(Dollars in Thousands)
Goodwill
 
 
 
Balance as of September 30,
$
98,723

 
$
36,928

Acquisitions during the period
—

 
61,970

Write-offs during the period
—

 
—

Balance as of December 31,
$
98,723

 
$
98,898


 
Trademark(1)
 
Non-Compete(2)
 
Customer
Relationships(3)
 
All Others(4)
 
Total
Intangibles
 
Balance as of September 30, 2017
$
10,051

 
$
1,782

 
$
31,707

 
$
8,638

 
$
52,178

Acquisitions during the period
—

 
—

 
—

 
38

 
38

Amortization during the period
(159
)
 
(132
)
 
(1,160
)
 
(230
)
 
(1,681
)
Write-offs during the period
—

 
—

 
—

 
(14
)
 
(14
)
Balance as of December 31, 2017
$
9,892

 
$
1,650

 
$
30,547

 
$
8,432

 
$
50,521

 
 
 
 
 
 
 
 
 
 
Gross carrying amount
$
10,990

 
$
2,480

 
$
57,810

 
$
10,540

 
$
81,820

Accumulated amortization
(1,098
)
 
(830
)
 
(17,015
)
 
(1,565
)
 
(20,508
)
Accumulated impairment
—

 
—

 
(10,248
)
 
(543
)
 
(10,791
)
Balance as of December 31, 2017
$
9,892

 
$
1,650

 
$
30,547

 
$
8,432

 
$
50,521

(1) Book amortization period of 5-15 years. Amortized using the straight line and accelerated methods.
(2) Book amortization period of 3-5 years. Amortized using the straight line method.
(3) Book amortization period of 10-30 years. Amortized using the accelerated method.
(4) Book amortization period of 3-20 years. Amortized using the straight line method.

 
Trademark(1)
 
Non-Compete(2)
 
Customer
Relationships(3)
 
All Others(4)
 
Total
Intangibles
 
Balance as of September 30, 2016
$
5,149

 
$
127

 
$
20,590

 
$
3,055

 
$
28,921

Acquisitions during the period
5,480

 
2,210

 
32,230

 
6,156

 
46,076

Amortization during the period
(120
)
 
(86
)
 
(1,193
)
 
(126
)
 
(1,525
)
Write-offs during the period
—

 
—

 
—

 
—

 
—

Balance as of December 31, 2016
$
10,509

 
$
2,251

 
$
51,627

 
$
9,085

 
$
73,472

 
 
 
 
 
 
 
 
 
 
Gross carrying amount
$
10,970

 
$
2,510

 
$
58,270

 
$
9,711

 
$
81,461

Accumulated amortization
(461
)
 
(259
)
 
(6,643
)
 
(626
)
 
(7,989
)
Balance as of December 31, 2016
$
10,509

 
$
2,251

 
$
51,627

 
$
9,085

 
$
73,472


(1) Book amortization period of 15 years. Amortized using the straight line and accelerated methods.
(2) Book amortization period of 3 years. Amortized using the straight line method.
(3) Book amortization period of 10-30 years. Amortized using the accelerated method.
(4) Book amortization period of 3-20 years. Amortized using the straight line method.
Schedule of Future Amortization Expense
The estimated amortization expense of intangible assets assumes no activities, such as acquisitions, which would result in additional amortizable intangible assets. Estimated amortization expense of intangible assets in the remaining nine months of fiscal 2018 and subsequent fiscal years is as follows:
 
(Dollars in Thousands)
Remaining in 2018
$
6,028

2019
7,151

2020
5,753

2021
5,184

2022
4,262

2023
3,625

Thereafter
18,518

Total anticipated intangible amortization
$
50,521
v3.8.0.1
CREDIT DISCLSOURES - Summary of Loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Dec. 31, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable $ 1,511,163 $ 1,326,832 $ 1,114,516
Total Loans Receivable 1,509,140 1,325,371  
Allowance for loan losses (8,862) (7,534)  
Net Deferred Loan Origination Fees (2,023) (1,461)  
Total Loans Receivable, Net 1,500,278 1,317,837  
1-4 Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable 203,967 196,706 172,877
Commercial and Multi-Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable 654,029 585,510 440,512
Agricultural Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable 61,303 61,800 64,014
Consumer [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable 274,981 163,004 173,164
Commercial Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable 56,516 35,759 50,824
Agricultural Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable 24,696 33,594 33,617
Commercial Insurance Premium Finance [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total Loans Receivable $ 235,671 $ 250,459 $ 179,508
v3.8.0.1
CREDIT DISCLSOURES - Allowance for Loan Losses and Recorded Investment in Loans (Details) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Dec. 31, 2017
Sep. 30, 2017
Dec. 31, 2016
Allowance for Credit Losses [Roll Forward]          
Beginning balance $ 7,534 $ 5,635      
Provision (recovery) for loan losses 1,068 843      
Charge offs (160) (118)      
Recoveries 420 55      
Ending balance 8,862 6,415      
Ending balance: individually evaluated for impairment     $ 0   $ 350
Ending balance: collectively evaluated for impairment     8,862   6,065
Total 7,534 5,635 8,862 $ 7,534 6,415
Loans:          
Ending balance: individually evaluated for impairment     1,915   1,124
Ending balance: collectively evaluated for impairment     1,509,248   1,113,392
Total Loans Receivable     1,511,163 1,326,832 1,114,516
1-4 Family Real Estate [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 803 654      
Provision (recovery) for loan losses (118) 0      
Charge offs (31) 0      
Recoveries 0 0      
Ending balance 654 654      
Ending balance: individually evaluated for impairment     0   11
Ending balance: collectively evaluated for impairment     654   643
Total 803 654 654 803 654
Loans:          
Ending balance: individually evaluated for impairment     95   190
Ending balance: collectively evaluated for impairment     203,872   172,687
Total Loans Receivable     203,967 196,706 172,877
Commercial and Multi-Family Real Estate [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 2,670 2,198      
Provision (recovery) for loan losses 364 (286)      
Charge offs 0 0      
Recoveries 0 0      
Ending balance 3,034 1,912      
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     3,034   1,912
Total 2,670 2,198 3,034 2,670 1,912
Loans:          
Ending balance: individually evaluated for impairment     707   429
Ending balance: collectively evaluated for impairment     653,322   440,083
Total Loans Receivable     654,029 585,510 440,512
Agricultural Real Estate [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 1,390 142      
Provision (recovery) for loan losses (210) 334      
Charge offs 0 0      
Recoveries 0 0      
Ending balance 1,180 476      
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     1,180   476
Total 1,390 142 1,180 1,390 476
Loans:          
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     61,303   64,014
Total Loans Receivable     61,303 61,800 64,014
Consumer [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 6 51      
Provision (recovery) for loan losses 297 (28)      
Charge offs 0 0      
Recoveries 367 24      
Ending balance 670 47      
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     670   47
Total 6 51 670 6 47
Loans:          
Ending balance: individually evaluated for impairment     61   0
Ending balance: collectively evaluated for impairment     274,920   173,164
Total Loans Receivable     274,981 163,004 173,164
Commercial Operating [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 158 117      
Provision (recovery) for loan losses 690 691      
Charge offs 0 0      
Recoveries 46 5      
Ending balance 894 813      
Ending balance: individually evaluated for impairment     0   339
Ending balance: collectively evaluated for impairment     894   474
Total 158 117 894 158 813
Loans:          
Ending balance: individually evaluated for impairment     0   505
Ending balance: collectively evaluated for impairment     56,516   50,319
Total Loans Receivable     56,516 35,759 50,824
Agricultural Operating [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 1,184 1,332      
Provision (recovery) for loan losses (380) (3)      
Charge offs 0 0      
Recoveries 0 12      
Ending balance 804 1,341      
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     804   1,341
Total 1,184 1,332 804 1,184 1,341
Loans:          
Ending balance: individually evaluated for impairment     1,052   0
Ending balance: collectively evaluated for impairment     23,644   33,617
Total Loans Receivable     24,696 33,594 33,617
Commercial Insurance Premium Finance [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 796 588      
Provision (recovery) for loan losses 51 110      
Charge offs (129) (118)      
Recoveries 7 14      
Ending balance 725 594      
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     725   594
Total 796 588 725 796 594
Loans:          
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     235,671   179,508
Total Loans Receivable     235,671 250,459 179,508
Unallocated [Member]          
Allowance for Credit Losses [Roll Forward]          
Beginning balance 527 553      
Provision (recovery) for loan losses 374 25      
Charge offs 0 0      
Recoveries 0 0      
Ending balance 901 578      
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     901   578
Total $ 527 $ 553 901 $ 527 578
Loans:          
Ending balance: individually evaluated for impairment     0   0
Ending balance: collectively evaluated for impairment     0   0
Total Loans Receivable     $ 0   $ 0
v3.8.0.1
CREDIT DISCLSOURES - Asset Classification of Loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Dec. 31, 2016
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable $ 1,511,163 $ 1,326,832 $ 1,114,516
Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 1,456,225 1,265,560  
Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 11,139 17,272  
Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 3,383 3,387  
Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 40,416 40,613  
Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
1-4 Family Real Estate [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 203,967 196,706 172,877
1-4 Family Real Estate [Member] | Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 203,035 195,838  
1-4 Family Real Estate [Member] | Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 608 525  
1-4 Family Real Estate [Member] | Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 245 247  
1-4 Family Real Estate [Member] | Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 79 96  
1-4 Family Real Estate [Member] | Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial and Multi-Family Real Estate [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 654,029 585,510 440,512
Commercial and Multi-Family Real Estate [Member] | Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 643,393 574,730  
Commercial and Multi-Family Real Estate [Member] | Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 10,145 10,200  
Commercial and Multi-Family Real Estate [Member] | Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 199 201  
Commercial and Multi-Family Real Estate [Member] | Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 292 379  
Commercial and Multi-Family Real Estate [Member] | Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Agricultural Real Estate [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 61,303 61,800 64,014
Agricultural Real Estate [Member] | Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 28,794 27,376  
Agricultural Real Estate [Member] | Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 2,006  
Agricultural Real Estate [Member] | Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 2,939 2,939  
Agricultural Real Estate [Member] | Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 29,570 29,479  
Agricultural Real Estate [Member] | Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Consumer [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 274,981 163,004 173,164
Consumer [Member] | Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 274,783 163,004  
Consumer [Member] | Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 102 0  
Consumer [Member] | Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Consumer [Member] | Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 96 0  
Consumer [Member] | Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial Operating [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 56,516 35,759 50,824
Commercial Operating [Member] | Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 56,245 35,759  
Commercial Operating [Member] | Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 271 0  
Commercial Operating [Member] | Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial Operating [Member] | Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial Operating [Member] | Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Agricultural Operating [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 24,696 33,594 33,617
Agricultural Operating [Member] | Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 14,304 18,394  
Agricultural Operating [Member] | Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 13 4,541  
Agricultural Operating [Member] | Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Agricultural Operating [Member] | Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 10,379 10,659  
Agricultural Operating [Member] | Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial Insurance Premium Finance [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 235,671 250,459 $ 179,508
Commercial Insurance Premium Finance [Member] | Pass [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 235,671 250,459  
Commercial Insurance Premium Finance [Member] | Watch [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial Insurance Premium Finance [Member] | Special Mention [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial Insurance Premium Finance [Member] | Substandard [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable 0 0  
Commercial Insurance Premium Finance [Member] | Doubtful [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Total Loans Receivable $ 0 $ 0  
v3.8.0.1
CREDIT DISCLSOURES - Past Due Loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Dec. 31, 2016
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due $ 41,653 $ 45,061  
Current 1,469,510 1,281,771  
Total Loans Receivable 1,511,163 1,326,832 $ 1,114,516
Total Loans Receivable 1,509,140 1,325,371  
89 Days Past Due and Accruing 32,870 36,906  
Non-accrual balance 284 685  
Total Nonperforming Loans 33,154 37,591  
30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 5,892 4,686  
60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 2,891 3,079  
Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 32,870 37,296  
1-4 Family Real Estate [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 340 449  
Current 203,627 196,257  
Total Loans Receivable 203,967 196,706 172,877
89 Days Past Due and Accruing 234 0  
Non-accrual balance 0 0  
Total Nonperforming Loans 234 0  
1-4 Family Real Estate [Member] | 30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 106 370  
1-4 Family Real Estate [Member] | 60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 79  
1-4 Family Real Estate [Member] | Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 234 0  
Commercial and Multi-Family Real Estate [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 284 685  
Current 653,745 584,825  
Total Loans Receivable 654,029 585,510 440,512
89 Days Past Due and Accruing 0 0  
Non-accrual balance 284 685  
Total Nonperforming Loans 284 685  
Commercial and Multi-Family Real Estate [Member] | 30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 295  
Commercial and Multi-Family Real Estate [Member] | 60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 284 0  
Commercial and Multi-Family Real Estate [Member] | Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 390  
Agricultural Real Estate [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 27,818 34,198  
Current 33,485 27,602  
Total Loans Receivable 61,303 61,800 64,014
89 Days Past Due and Accruing 27,818 34,198  
Non-accrual balance 0 0  
Total Nonperforming Loans 27,818 34,198  
Agricultural Real Estate [Member] | 30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Agricultural Real Estate [Member] | 60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Agricultural Real Estate [Member] | Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 27,818 34,198  
Consumer [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 7,831 4,476  
Current 267,150 158,528  
Total Loans Receivable 274,981 163,004 173,164
89 Days Past Due and Accruing 1,624 1,406  
Non-accrual balance 0 0  
Total Nonperforming Loans 1,624 1,406  
Consumer [Member] | 30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 4,192 2,512  
Consumer [Member] | 60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 2,015 558  
Consumer [Member] | Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 1,624 1,406  
Commercial Operating [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Current 56,516 35,759  
Total Loans Receivable 56,516 35,759 50,824
89 Days Past Due and Accruing 0 0  
Non-accrual balance 0 0  
Total Nonperforming Loans 0 0  
Commercial Operating [Member] | 30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Commercial Operating [Member] | 60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Commercial Operating [Member] | Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Agricultural Operating [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 97  
Current 24,696 33,497  
Total Loans Receivable 24,696 33,594 33,617
89 Days Past Due and Accruing 0 97  
Non-accrual balance 0 0  
Total Nonperforming Loans 0 97  
Agricultural Operating [Member] | 30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Agricultural Operating [Member] | 60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 0  
Agricultural Operating [Member] | Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 0 97  
Commercial Insurance Premium Finance [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 5,380 5,156  
Current 230,291 245,303  
Total Loans Receivable 235,671 250,459 $ 179,508
89 Days Past Due and Accruing 3,194 1,205  
Non-accrual balance 0 0  
Total Nonperforming Loans 3,194 1,205  
Commercial Insurance Premium Finance [Member] | 30-59 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 1,594 1,509  
Commercial Insurance Premium Finance [Member] | 60-89 Days Past Due [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due 592 2,442  
Commercial Insurance Premium Finance [Member] | Greater Than 90 Days [Member]      
Financing Receivable, Recorded Investment, Past Due [Line Items]      
Total past due $ 3,194 $ 1,205  
v3.8.0.1
CREDIT DISCLSOURES - Impaired Loans (Details) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Sep. 30, 2017
Loans without a specific valuation allowance      
Recorded Balance $ 1,915   $ 1,181
Unpaid Principal Balance 1,915   1,181
Average Recorded Investment 1,426 $ 772  
1-4 Family Real Estate [Member]      
Loans without a specific valuation allowance      
Recorded Balance 95   72
Unpaid Principal Balance 95   72
Average Recorded Investment 80 172  
Commercial and Multi-Family Real Estate [Member]      
Loans without a specific valuation allowance      
Recorded Balance 707   1,109
Unpaid Principal Balance 707   $ 1,109
Average Recorded Investment 975 432  
Consumer Loans [Member]      
Loans without a specific valuation allowance      
Recorded Balance 61    
Unpaid Principal Balance 61    
Average Recorded Investment 20 0  
Commercial Operating [Member]      
Loans without a specific valuation allowance      
Average Recorded Investment 0 168  
Agricultural Operating [Member]      
Loans without a specific valuation allowance      
Recorded Balance 1,052    
Unpaid Principal Balance 1,052    
Average Recorded Investment $ 351 $ 0  
v3.8.0.1
CREDIT DISCLSOURES - Narrative and Additional Information (Details) - USD ($)
 3 Months Ended
Dec. 31, 2017
Oct. 11, 2017
Sep. 30, 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Percentage of specific allowance for losses 100.00%    
Maturity period of fixed rate loans 30 years    
Annual cap of ARM loans 2.00%    
Lifetime cap of ARM loans 6.00%    
Purchased student loans   $ 73,000,000  
Increase finance receivables $ (3,400,000)    
Total past due $ 41,653,000   $ 45,061,000
1-4 Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of loans receivable 30 years    
Total past due $ 340,000   449,000
Commercial and Multi-Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loan to value ratio 80.00%    
Maturity period of fixed rate loans 20 years    
Total past due $ 284,000   685,000
Commercial Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due $ 0   0
Agricultural Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of loans receivable 1 year    
Total past due $ 0   97,000
Agricultural Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due $ 27,818,000   34,198,000
Consumer Loans [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of fixed rate loans 5 years    
Total past due $ 7,831,000   4,476,000
Commercial Insurance Premium Finance [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Period of delay or shortfall in payments after which a loan is evaluated for impairment 210 days    
Typical period of delinquency 210 days    
Total past due $ 5,380,000   5,156,000
Tax and Other National Lending [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Period of delay or shortfall in payments after which a loan is evaluated for impairment 180 days    
Refund Advance Loans [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Typical period of delinquency 180 days    
ERO Advance Loans [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Typical period of delinquency 120 days    
Non-Premium Finance Loans [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Period of delay or shortfall in payments after which a loan is evaluated for impairment 90 days    
Typical period of delinquency 90 days    
Maximum [Member] | 1-4 Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loan to value ratio 100.00%    
Exposure of the entity expressed in loan to value ratio 80.00%    
Maximum [Member] | Commercial and Multi-Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of loans receivable 1 year    
Percentage value for securing the loan 80.00%    
Maximum [Member] | Commercial Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of loans receivable 1 year    
Maximum [Member] | Agricultural Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of fixed rate loans 7 years    
Maximum [Member] | Agricultural Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of fixed rate loans 10 years    
Period of amortization, loans 25 years    
Percentage value for securing the loan 75.00%    
Maximum [Member] | Consumer Loans [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Percentage value for securing the loan 90.00%    
Maximum [Member] | Automobile Loan [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of loans receivable 60 months    
Percentage value for securing the loan 80.00%    
Maximum [Member] | Commercial Insurance Premium Finance [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Percentage of down payment 25.00%    
Period of finance 10 months    
Period of conversion of collateral into cash 210 days    
Minimum [Member] | Agricultural Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Maturity period of fixed rate loans 5 years    
Period of amortization, loans 20 years    
Minimum [Member] | Commercial Insurance Premium Finance [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Percentage of down payment 20.00%    
Period of finance 9 months    
Period of conversion of collateral into cash 60 days    
Typical period of delinquency 90 days    
Financing Receivables, Equal to Greater than 210 Days Past Due [Member] | Commercial Insurance Premium Finance [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due $ 0    
Financing Receivables, Equal to Greater than 90 Days Past Due [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Increase finance receivables (4,400,000)    
Total past due 32,870,000   37,296,000
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | 1-4 Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due 234,000   0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Commercial and Multi-Family Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due 0   390,000
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Commercial Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due 0   0
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Agricultural Operating [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due 0   97,000
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Agricultural Real Estate [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due 27,818,000   34,198,000
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Consumer Loans [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due 1,624,000   1,406,000
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Commercial Insurance Premium Finance [Member]      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Total past due $ 3,194,000   $ 1,205,000
v3.8.0.1
CREDIT DISCLSOURES - Troubled Debt Restructured Loans (Details)
$ in Millions
 3 Months Ended
Dec. 31, 2017
USD ($)
loan
Dec. 31, 2016
USD ($)
loan
Loans and Leases Receivable Disclosure [Abstract]    
Loans modified in TDR | $ $ 1.1 $ 0.0
Loans modified in TDR, subsequent default | loan 0 0
v3.8.0.1
ALLOWANCE FOR LOAN LOSSES (Details) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Sep. 30, 2017
Sep. 30, 2016
Receivables [Abstract]        
Allowance for loan losses $ 8,862 $ 6,415 $ 7,534 $ 5,635
Provision for loan losses 1,068 843 [1]    
Net charge offs (recoveries) $ (300) $ 100    
[1] See Note 1. Basis of Presentation for further discussion on the current presentation.
v3.8.0.1
EARNINGS PER COMMON SHARE (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Earnings Per Common Share, Basic and Diluted [Abstract]    
Net income attributable to Meta Financial Group, Inc. $ 4,670 $ 1,244 [1]
Weighted average common shares outstanding (in shares) 9,656,778 8,938,339
Basic (in dollars per share) $ 0.48 $ 0.14
Outstanding options - based upon the two-class method (in shares) 56,063 63,061
Weighted average common and dilutive potential common shares outstanding (in shares) 9,712,841 9,001,400
Diluted (in dollars per share) $ 0.48 $ 0.14
[1] See Note 1. Basis of Presentation for further discussion on the current presentation.
v3.8.0.1
SECURITIES - Narrative (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Item Effected [Line Items]    
Investment securities transferred from HTM to AFS $ (235,024) $ (449,840)
Mortgage-backed securities transferred from HTM to AFS (8,468) (113,689)
AFS Investment securities transferred from HTM 1,392,240 1,106,977
AFS Mortgage-backed securities transferred from HTM 600,112 $ 586,454
Accounting Standards Update 2017-12 [Member]    
Item Effected [Line Items]    
Investment securities transferred from HTM to AFS 204,700  
Mortgage-backed securities transferred from HTM to AFS 101,300  
AFS Investment securities transferred from HTM 204,700  
AFS Mortgage-backed securities transferred from HTM $ 101,300  
v3.8.0.1
SECURITIES - Available for Sale (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Available-for-sale debt securities [Abstract]    
Mortgage-backed securities available for sale $ 600,112 $ 586,454
Available-for-sale equity securities [Abstract]    
Investment securities available for sale 1,392,240 1,106,977
Available-for-sale securities [Abstract]    
Amortized cost 1,984,898 1,680,307
Gross unrealized gains 19,618 19,884
Gross unrealized (losses) (12,164) (6,760)
Total available for sale securities 1,992,352 1,693,431
Available-for-sale securities in a continuous unrealized loss position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 807,502 518,797
LESS THAN 12 MONTHS, Unrealized (Losses) (6,250) (4,512)
OVER 12 MONTHS, Fair Value 312,297 106,140
OVER 12 MONTHS, Unrealized (Losses) (5,914) (2,248)
TOTAL, Fair Value 1,119,799 624,937
TOTAL, Unrealized (Losses) (12,164) (6,760)
AMORTIZED COST    
Due in one year or less 100 0
Due after one year through five years 55,485 36,586
Due after five years through ten years 452,422 347,831
Due after ten years 869,255 705,963
Total 1,377,262 1,090,380
Mortgage-backed securities 606,338 588,918
Common equities and mutual funds 1,298 1,009
Amortized cost 1,984,898 1,680,307
FAIR VALUE    
Due in one year or less 100 0
Due after one year through five years 56,375 37,674
Due after five years through ten years 462,903 358,198
Due after ten years 871,033 709,660
Total 1,390,411 1,105,532
Mortgage-backed securities 600,112 586,454
Common equities and mutual funds 1,829 1,445
Total available for sale securities 1,992,352 1,693,431
Small Business Administration Securities [Member]    
Available-for-sale debt securities [Abstract]    
Amortized cost 56,602 57,046
Gross unrealized gains 349 825
Gross unrealized (losses) (3) 0
Mortgage-backed securities available for sale 56,948 57,871
Available-for-sale securities in a continuous unrealized loss position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 14,236  
LESS THAN 12 MONTHS, Unrealized (Losses) (3)  
OVER 12 MONTHS, Fair Value 0  
OVER 12 MONTHS, Unrealized (Losses) 0  
TOTAL, Fair Value 14,236  
TOTAL, Unrealized (Losses) (3)  
Obligations of States and Political Subdivisions [Member]    
Available-for-sale debt securities [Abstract]    
Amortized cost 14,513  
Gross unrealized gains 123  
Gross unrealized (losses) (26)  
Mortgage-backed securities available for sale 14,610  
Available-for-sale securities in a continuous unrealized loss position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 3,139  
LESS THAN 12 MONTHS, Unrealized (Losses) (26)  
OVER 12 MONTHS, Fair Value 0  
OVER 12 MONTHS, Unrealized (Losses) 0  
TOTAL, Fair Value 3,139  
TOTAL, Unrealized (Losses) (26)  
Non-bank Qualified Obligations of States and Political Subdivisions [Member]    
Available-for-sale debt securities [Abstract]    
Amortized cost 1,212,661 938,883
Gross unrealized gains 16,079 14,983
Gross unrealized (losses) (5,710) (3,037)
Mortgage-backed securities available for sale 1,223,030 950,829
Available-for-sale securities in a continuous unrealized loss position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 553,626 280,900
LESS THAN 12 MONTHS, Unrealized (Losses) (4,945) (2,887)
OVER 12 MONTHS, Fair Value 16,045 5,853
OVER 12 MONTHS, Unrealized (Losses) (765) (150)
TOTAL, Fair Value 569,671 286,753
TOTAL, Unrealized (Losses) (5,710) (3,037)
Asset-backed Securities [Member]    
Available-for-sale debt securities [Abstract]    
Amortized cost 93,486 94,451
Gross unrealized gains 2,337 2,381
Gross unrealized (losses) 0 0
Mortgage-backed securities available for sale 95,823 96,832
Mortgage-backed Securities [Member]    
Available-for-sale debt securities [Abstract]    
Amortized cost 606,338 588,918
Gross unrealized gains 198 1,259
Gross unrealized (losses) (6,424) (3,723)
Mortgage-backed securities available for sale 600,112 586,454
Available-for-sale securities in a continuous unrealized loss position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 234,672 237,897
LESS THAN 12 MONTHS, Unrealized (Losses) (1,275) (1,625)
OVER 12 MONTHS, Fair Value 296,252 100,287
OVER 12 MONTHS, Unrealized (Losses) (5,149) (2,098)
TOTAL, Fair Value 530,924 338,184
TOTAL, Unrealized (Losses) (6,424) (3,723)
Debt Securities [Member]    
Available-for-sale debt securities [Abstract]    
Amortized cost 1,983,600 1,679,298
Gross unrealized gains 19,086 19,448
Gross unrealized (losses) (12,163) (6,760)
Mortgage-backed securities available for sale 1,990,523 1,691,986
Available-for-sale securities in a continuous unrealized loss position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 805,673 518,797
LESS THAN 12 MONTHS, Unrealized (Losses) (6,249) (4,512)
OVER 12 MONTHS, Fair Value 312,297 106,140
OVER 12 MONTHS, Unrealized (Losses) (5,914) (2,248)
TOTAL, Fair Value 1,117,970 624,937
TOTAL, Unrealized (Losses) (12,163) (6,760)
Common Equities and Mutual Funds [Member]    
Available-for-sale equity securities [Abstract]    
Amortized cost 1,298 1,009
Gross unrealized gains 532 436
Gross unrealized (losses) (1) 0
Investment securities available for sale 1,829 $ 1,445
Available-for-sale securities in a continuous unrealized loss position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 1,829  
LESS THAN 12 MONTHS, Unrealized (Losses) (1)  
OVER 12 MONTHS, Fair Value 0  
OVER 12 MONTHS, Unrealized (Losses) 0  
TOTAL, Fair Value 1,829  
TOTAL, Unrealized (Losses) $ (1)  
v3.8.0.1
SECURITIES - Held to Maturity (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Held-to-maturity Securities [Abstract]    
Amortized cost $ 243,492 $ 563,529
Gross unrealized gains 362 4,901
Gross unrealized (losses) (3,710) (4,245)
Securities held to maturity 240,144 564,185
Held-to-maturity Securities, Continuous Unrealized Loss Position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 116,260 315,838
LESS THAN 12 MONTHS, Unrealized (Losses) (1,792) (4,022)
OVER 12 MONTHS, Fair Value 91,280 10,295
OVER 12 MONTHS, Unrealized (Losses) (1,918) (223)
TOTAL, Fair Value 207,540 326,133
TOTAL, Unrealized (Losses) (3,710) (4,245)
AMORTIZED COST    
Due in one year or less 2,674 1,483
Due after one year through five years 11,864 17,926
Due after five years through ten years 27,919 144,996
Due after ten years 192,567 285,435
Total 235,024 449,840
Mortgage-backed securities 8,468 113,689
Amortized cost 243,492 563,529
FAIR VALUE    
Due in one year or less 2,662 1,480
Due after one year through five years 11,895 18,160
Due after five years through ten years 28,206 147,832
Due after ten years 189,061 284,257
Total 231,824 451,729
Mortgage-backed securities 8,320 112,456
Total held to maturity securities 240,144 564,185
Non-bank Qualified Obligations of States and Political Subdivisions [Member]    
Held-to-maturity Securities [Abstract]    
Amortized cost 230,683 430,593
Gross unrealized gains 336 4,744
Gross unrealized (losses) (3,537) (2,976)
Securities held to maturity 227,482 432,361
Held-to-maturity Securities, Continuous Unrealized Loss Position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 114,999 202,018
LESS THAN 12 MONTHS, Unrealized (Losses) (1,789) (2,783)
OVER 12 MONTHS, Fair Value 80,813 6,206
OVER 12 MONTHS, Unrealized (Losses) (1,748) (193)
TOTAL, Fair Value 195,812 208,224
TOTAL, Unrealized (Losses) (3,537) (2,976)
AMORTIZED COST    
Amortized cost 230,683 430,593
FAIR VALUE    
Total held to maturity securities 227,482 432,361
Mortgage-backed Securities [Member]    
Held-to-maturity Securities [Abstract]    
Amortized cost 8,468 113,689
Gross unrealized gains 0 0
Gross unrealized (losses) (148) (1,233)
Securities held to maturity 8,320 112,456
Held-to-maturity Securities, Continuous Unrealized Loss Position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 0 112,456
LESS THAN 12 MONTHS, Unrealized (Losses) 0 (1,233)
OVER 12 MONTHS, Fair Value 8,320 0
OVER 12 MONTHS, Unrealized (Losses) (148) 0
TOTAL, Fair Value 8,320 112,456
TOTAL, Unrealized (Losses) (148) (1,233)
AMORTIZED COST    
Amortized cost 8,468 113,689
FAIR VALUE    
Total held to maturity securities 8,320 112,456
Obligations of States and Political Subdivisions [Member]    
Held-to-maturity Securities [Abstract]    
Amortized cost 4,341 19,247
Gross unrealized gains 26 157
Gross unrealized (losses) (25) (36)
Securities held to maturity 4,342 19,368
Held-to-maturity Securities, Continuous Unrealized Loss Position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 1,261 1,364
LESS THAN 12 MONTHS, Unrealized (Losses) (3) (6)
OVER 12 MONTHS, Fair Value 2,147 4,089
OVER 12 MONTHS, Unrealized (Losses) (22) (30)
TOTAL, Fair Value 3,408 5,453
TOTAL, Unrealized (Losses) (25) (36)
AMORTIZED COST    
Amortized cost 4,341 19,247
FAIR VALUE    
Total held to maturity securities $ 4,342 $ 19,368
v3.8.0.1
COMMITMENTS AND CONTINGENCIES (Details) - USD ($)
 3 Months Ended
Dec. 31, 2014
Dec. 31, 2017
Sep. 30, 2017
Oct. 14, 2016
Loss Contingencies [Line Items]        
Unfunded loan commitments   $ 349,500,000 $ 233,200,000  
Inter National Bank [Member]        
Loss Contingencies [Line Items]        
Amount of shortfall in depository account $ 10,500,000      
Card Limited, LLC v. MetaBank dba Meta Payment Systems [Member]        
Loss Contingencies [Line Items]        
Estimate of possible loss       $ 4,001,025
v3.8.0.1
STOCK COMPENSATION (Details)
$ / shares in Units, $ in Thousands
 3 Months Ended 6 Months Ended 12 Months Ended
Dec. 31, 2017
USD ($)
$ / shares
shares
Mar. 31, 2017
Officers
Sep. 30, 2016
Number of Shares      
Options outstanding, beginning of period (in shares) | shares 75,757    
Granted (in shares) | shares 0    
Exercised (in shares) | shares 0    
Forfeited or expired (in shares) | shares 0    
Options outstanding, end of period (in shares) | shares 75,757    
Options exercisable, end of period (in shares) | shares 75,757    
Weighted Average Exercise Price      
Options outstanding, beginning of period (in dollars per share) | $ / shares $ 22.62    
Granted (in dollars per share) | $ / shares 0.00    
Exercised (in dollars per share) | $ / shares 0.00    
Forfeited or expired (in dollars per share) | $ / shares 0.00    
Options outstanding, end of period (in dollars per share) | $ / shares 22.62    
Options exercisable, end of period (in dollars per share) | $ / shares $ 22.62    
Weighted Average Remaining Contractual Term      
Options outstanding 2 years 11 days   2 years 3 months 11 days
Options exercisable 2 years 11 days    
Aggregate Intrinsic Value      
Options outstanding, beginning of period | $ $ 4,225    
Granted | $ 0    
Exercised | $ 0    
Forfeited or expired | $ 0    
Options outstanding, end of period | $ 5,305    
Options exercisable, end of period | $ $ 5,305    
Number of Shares      
Nonvested shares outstanding, beginning of period (in shares) | shares 304,526    
Granted (in shares) | shares 42,181    
Vested (in shares) | shares (61,161)    
Forfeited or expired (in shares) | shares 0    
Nonvested shares outstanding, end of period (in shares) | shares 285,546    
Weighted Average Fair Value at Grant      
Nonvested shares outstanding, beginning of period (in dollars per share) | $ / shares $ 86.96    
Granted (in dollars per share) | $ / shares 85.03    
Vested (in dollars per share) | $ / shares 83.55    
Forfeited or expired (in dollars per share) | $ / shares 0.00    
Nonvested shares outstanding, end of period (in dollars per share) | $ / shares $ 87.40    
Number of Company's Named Executive Officers with stock awards | Officers   3  
Executive award vesting period 8 years    
Stock based compensation expense not yet recognized in income | $ $ 17,200    
Weighted average remaining period for unrecognized stock based compensation 3 years 8 months 5 days    
v3.8.0.1
SEGMENT INFORMATION (Details)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
USD ($)
segment
Dec. 31, 2016
USD ($)
Sep. 30, 2017
USD ($)
Sep. 30, 2016
USD ($)
Segment Reporting Information [Line Items]        
Number of reportable segments | segment 3      
Segment data [Abstract]        
Total interest and dividend income $ 30,857 $ 22,575    
Interest expense 4,661 2,742    
Net interest income (expense) 26,196 19,833    
Net excess tax benefit from stock-based compensation 1,068 843 [1]    
Non-interest income 29,268 19,349    
Non-interest expense 44,042 36,753    
Income before income tax expense 10,354 1,586    
Goodwill 98,723 98,898 $ 98,723 $ 36,928
Total assets 5,417,963 4,213,329 5,228,332  
Total deposits 3,513,645 3,663,137 $ 3,223,424  
Payments [Member]        
Segment data [Abstract]        
Total interest and dividend income 4,669 2,912    
Interest expense 0 0    
Net interest income (expense) 4,669 2,912    
Net excess tax benefit from stock-based compensation 1,017 331    
Non-interest income 28,101 19,024    
Non-interest expense 26,934 22,080    
Income before income tax expense 4,819 (475)    
Goodwill 87,145 87,320    
Total assets 380,442 239,804    
Total deposits 2,768,736 2,435,530    
Banking [Member]        
Segment data [Abstract]        
Total interest and dividend income 16,478 10,754    
Interest expense 881 544    
Net interest income (expense) 15,597 10,210    
Net excess tax benefit from stock-based compensation 51 512    
Non-interest income 1,485 1,072    
Non-interest expense 6,568 5,845    
Income before income tax expense 10,463 4,925    
Goodwill 11,578 11,578    
Total assets 1,478,693 1,118,429    
Total deposits 236,494 225,182    
Corporate and Other [Member]        
Segment data [Abstract]        
Total interest and dividend income 9,710 8,909    
Interest expense 3,780 2,198    
Net interest income (expense) 5,930 6,711    
Net excess tax benefit from stock-based compensation 0 0    
Non-interest income (318) (747)    
Non-interest expense 10,540 8,828    
Income before income tax expense (4,928) (2,864)    
Goodwill 0 0    
Total assets 3,558,828 2,855,096    
Total deposits $ 508,415 $ 1,002,425    
[1] See Note 1. Basis of Presentation for further discussion on the current presentation.
v3.8.0.1
FAIR VALUE MEASUREMENTS - Assets Measured at Fair Value on Recurring and Non-recurring Basis (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Available-for-sale Securities [Abstract]    
Total debt securities $ 600,112 $ 586,454
Total available for sale securities 1,992,352 1,693,431
Held-to-maturity Securities [Abstract]    
Total held to maturity securities 240,144 564,185
Level 1 [Member]    
Available-for-sale Securities [Abstract]    
Total available for sale securities 1,829 1,445
Held-to-maturity Securities [Abstract]    
Total held to maturity securities 0 0
Level 2 [Member]    
Available-for-sale Securities [Abstract]    
Total available for sale securities 1,990,523 1,691,986
Held-to-maturity Securities [Abstract]    
Total held to maturity securities 240,144 564,185
Level 3 [Member]    
Available-for-sale Securities [Abstract]    
Total available for sale securities 0 0
Held-to-maturity Securities [Abstract]    
Total held to maturity securities 0 0
Recurring [Member]    
Available-for-sale Securities [Abstract]    
Small business administration securities 56,948 57,871
Obligations of states and political subdivisions 14,610 0
Non-bank qualified obligations of states and political subdivisions 1,223,030 950,829
Asset-baked securities 95,823 96,832
Mortgage-backed securities 600,112 586,454
Total debt securities 1,990,523 1,691,986
Common equities and mutual funds 1,829 1,445
Total available for sale securities 1,992,352 1,693,431
Held-to-maturity Securities [Abstract]    
Small business administration securities 0 0
Obligations of states and political subdivisions 4,342 19,368
Non-bank qualified obligations of states and political subdivisions 227,482 432,361
Asset-backed securities 0 0
Mortgage-backed securities 8,320 112,456
Total debt securities 240,144 564,185
Common equities and mutual funds 0 0
Total held to maturity securities 240,144 564,185
Recurring [Member] | Level 1 [Member]    
Available-for-sale Securities [Abstract]    
Small business administration securities 0 0
Obligations of states and political subdivisions 0 0
Non-bank qualified obligations of states and political subdivisions 0 0
Asset-baked securities 0 0
Mortgage-backed securities 0 0
Total debt securities 0 0
Common equities and mutual funds 1,829 1,445
Total available for sale securities 1,829 1,445
Held-to-maturity Securities [Abstract]    
Small business administration securities 0 0
Obligations of states and political subdivisions 0 0
Non-bank qualified obligations of states and political subdivisions 0 0
Asset-backed securities 0 0
Mortgage-backed securities 0 0
Total debt securities 0 0
Common equities and mutual funds 0 0
Total held to maturity securities 0 0
Recurring [Member] | Level 2 [Member]    
Available-for-sale Securities [Abstract]    
Small business administration securities 56,948 57,871
Obligations of states and political subdivisions 14,610 0
Non-bank qualified obligations of states and political subdivisions 1,223,030 950,829
Asset-baked securities 95,823 96,832
Mortgage-backed securities 600,112 586,454
Total debt securities 1,990,523 1,691,986
Common equities and mutual funds 0 0
Total available for sale securities 1,990,523 1,691,986
Held-to-maturity Securities [Abstract]    
Small business administration securities 0 0
Obligations of states and political subdivisions 4,342 19,368
Non-bank qualified obligations of states and political subdivisions 227,482 432,361
Asset-backed securities 0 0
Mortgage-backed securities 8,320 112,456
Total debt securities 240,144 564,185
Common equities and mutual funds 0 0
Total held to maturity securities 240,144 564,185
Recurring [Member] | Level 3 [Member]    
Available-for-sale Securities [Abstract]    
Small business administration securities 0 0
Obligations of states and political subdivisions 0 0
Non-bank qualified obligations of states and political subdivisions 0 0
Asset-baked securities 0 0
Mortgage-backed securities 0 0
Total debt securities 0 0
Common equities and mutual funds 0 0
Total available for sale securities 0 0
Held-to-maturity Securities [Abstract]    
Small business administration securities 0 0
Obligations of states and political subdivisions 0 0
Non-bank qualified obligations of states and political subdivisions 0 0
Asset-backed securities 0 0
Mortgage-backed securities 0 0
Total debt securities 0 0
Common equities and mutual funds 0 0
Total held to maturity securities $ 0 $ 0
v3.8.0.1
FAIR VALUE MEASUREMENTS - Quantitative Information (Details) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Sep. 30, 2017
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed Assets, net $ 128 $ 292
Minimum [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Range of estimated selling cost 4.00%  
Maximum [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Range of estimated selling cost 10.00%  
Level 1 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value $ 0 0
Level 2 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Level 3 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 1,532,835 1,318,402
Foreclosed Assets [Member] | Level 3 [Member] | Market Approach Valuation Technique [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 128 292
Nonrecurring [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 128 292
Nonrecurring [Member] | Level 1 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring [Member] | Level 2 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring [Member] | Level 3 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 128 292
Nonrecurring [Member] | Foreclosed Assets [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed Assets, net 128 292
Nonrecurring [Member] | Foreclosed Assets [Member] | Level 1 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed Assets, net 0  
Nonrecurring [Member] | Foreclosed Assets [Member] | Level 2 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed Assets, net 0  
Nonrecurring [Member] | Foreclosed Assets [Member] | Level 3 [Member]    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed Assets, net $ 128 $ 292
v3.8.0.1
FAIR VALUE MEASUREMENTS - Balance Sheet Grouping (Details) - USD ($)
$ in Thousands
Dec. 31, 2017
Sep. 30, 2017
Financial assets [Abstract]    
Securities available for sale $ 1,992,352 $ 1,693,431
Securities held to maturity 240,144 564,185
Financial liabilities [Abstract]    
Long-term debt 85,552 85,533
Level 1 [Member]    
Financial assets [Abstract]    
Cash and cash equivalents 1,300,409 1,267,586
Securities available for sale 1,829 1,445
Securities held to maturity 0 0
Total securities 1,829 1,445
Loans receivable [Abstract]    
Total loans receivable 0 0
Federal Home Loan Bank stock 0 0
Accrued interest receivable 21,089 19,380
Financial liabilities [Abstract]    
Noninterest bearing demand deposits 2,779,645 2,454,057
Interest bearing demand deposits, savings, and money markets 185,376 169,557
Certificates of deposit 0 0
Deposits, Wholesale, Non-Maturing 40,928 18,245
Deposits, Wholesale, Certificates of Deposit 0 0
Total deposits 3,005,949 2,641,859
Advances from Federal Home Loan Bank 0 0
Federal Funds Purchased 1,100,000  
Federal fund purchased   987,000
Securities sold under agreements to repurchase 0 0
Long-term debt 0 0
Trust Preferred Securities 0 0
Subordinated debentures 0 0
Accrued interest payable 4,065 2,280
Level 2 [Member]    
Financial assets [Abstract]    
Cash and cash equivalents 0 0
Securities available for sale 1,990,523 1,691,986
Securities held to maturity 240,144 564,185
Total securities 2,230,667 2,256,171
Loans receivable [Abstract]    
Total loans receivable 0 0
Federal Home Loan Bank stock 57,443 61,123
Accrued interest receivable 0 0
Financial liabilities [Abstract]    
Noninterest bearing demand deposits 0 0
Interest bearing demand deposits, savings, and money markets 0 0
Certificates of deposit 127,451 123,094
Deposits, Wholesale, Non-Maturing 0 0
Deposits, Wholesale, Certificates of Deposit 379,101 457,509
Total deposits 506,552 580,603
Advances from Federal Home Loan Bank 210,002 415,003
Federal Funds Purchased 0  
Federal fund purchased   0
Securities sold under agreements to repurchase 3,339 2,472
Long-term debt 1,922 1,938
Trust Preferred Securities 10,445 10,447
Subordinated debentures 75,750 76,500
Accrued interest payable 0 0
Level 3 [Member]    
Financial assets [Abstract]    
Cash and cash equivalents 0 0
Securities available for sale 0 0
Securities held to maturity 0 0
Total securities 0 0
Loans receivable [Abstract]    
Total loans receivable 1,532,835 1,318,402
Federal Home Loan Bank stock 0 0
Accrued interest receivable 0 0
Financial liabilities [Abstract]    
Noninterest bearing demand deposits 0 0
Interest bearing demand deposits, savings, and money markets 0 0
Certificates of deposit 0 0
Deposits, Wholesale, Non-Maturing 0 0
Deposits, Wholesale, Certificates of Deposit 0 0
Total deposits 0 0
Advances from Federal Home Loan Bank 0 0
Federal Funds Purchased 0  
Federal fund purchased   0
Securities sold under agreements to repurchase 0 0
Long-term debt 0 0
Trust Preferred Securities 0 0
Subordinated debentures 0 0
Accrued interest payable 0 0
Carrying Amount [Member]    
Financial assets [Abstract]    
Cash and cash equivalents 1,300,409 1,267,586
Securities available for sale 1,992,352 1,693,431
Securities held to maturity 243,492 563,529
Total securities 2,235,844 2,256,960
Loans receivable [Abstract]    
Total loans receivable 1,511,163 1,326,832
Federal Home Loan Bank stock 57,443 61,123
Accrued interest receivable 21,089 19,380
Financial liabilities [Abstract]    
Noninterest bearing demand deposits 2,779,645 2,454,057
Interest bearing demand deposits, savings, and money markets 185,376 169,557
Certificates of deposit 128,220 123,637
Deposits, Wholesale, Non-Maturing 40,928 18,245
Deposits, Wholesale, Certificates of Deposit 379,476 457,928
Total deposits 3,513,645 3,223,424
Advances from Federal Home Loan Bank 210,000 415,000
Federal Funds Purchased 1,100,000  
Federal fund purchased   987,000
Securities sold under agreements to repurchase 3,339 2,472
Long-term debt 1,922 1,938
Trust Preferred Securities 10,310 10,310
Subordinated debentures 73,382 73,347
Accrued interest payable 4,065 2,280
Estimated Fair Value [Member]    
Financial assets [Abstract]    
Cash and cash equivalents 1,300,409 1,267,586
Securities available for sale 1,992,352 1,693,431
Securities held to maturity 240,144 564,185
Total securities 2,232,496 2,257,616
Loans receivable [Abstract]    
Total loans receivable 1,532,835 1,318,402
Federal Home Loan Bank stock 57,443 61,123
Accrued interest receivable 21,089 19,380
Financial liabilities [Abstract]    
Noninterest bearing demand deposits 2,779,645 2,454,057
Interest bearing demand deposits, savings, and money markets 185,376 169,557
Certificates of deposit 127,451 123,094
Deposits, Wholesale, Non-Maturing 40,928 18,245
Deposits, Wholesale, Certificates of Deposit 379,101 457,509
Total deposits 3,512,501 3,222,462
Advances from Federal Home Loan Bank 210,002 415,003
Federal Funds Purchased 1,100,000  
Federal fund purchased   987,000
Securities sold under agreements to repurchase 3,339 2,472
Long-term debt 1,922 1,938
Trust Preferred Securities 10,445 10,447
Subordinated debentures 75,750 76,500
Accrued interest payable 4,065 2,280
1-4 Family Real Estate [Member] | Level 1 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
1-4 Family Real Estate [Member] | Level 2 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
1-4 Family Real Estate [Member] | Level 3 [Member]    
Loans receivable [Abstract]    
Total loans receivable 205,413 196,970
1-4 Family Real Estate [Member] | Carrying Amount [Member]    
Loans receivable [Abstract]    
Total loans receivable 203,967 196,706
1-4 Family Real Estate [Member] | Estimated Fair Value [Member]    
Loans receivable [Abstract]    
Total loans receivable 205,413 196,970
Commercial and Multi-family Real Estate Loans [Member] | Level 1 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Commercial and Multi-family Real Estate Loans [Member] | Level 2 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Commercial and Multi-family Real Estate Loans [Member] | Level 3 [Member]    
Loans receivable [Abstract]    
Total loans receivable 655,777 576,330
Commercial and Multi-family Real Estate Loans [Member] | Carrying Amount [Member]    
Loans receivable [Abstract]    
Total loans receivable 654,029 585,510
Commercial and Multi-family Real Estate Loans [Member] | Estimated Fair Value [Member]    
Loans receivable [Abstract]    
Total loans receivable 655,777 576,330
Agricultural Real Estate [Member] | Level 1 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Agricultural Real Estate [Member] | Level 2 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Agricultural Real Estate [Member] | Level 3 [Member]    
Loans receivable [Abstract]    
Total loans receivable 61,257 61,584
Agricultural Real Estate [Member] | Carrying Amount [Member]    
Loans receivable [Abstract]    
Total loans receivable 61,303 61,800
Agricultural Real Estate [Member] | Estimated Fair Value [Member]    
Loans receivable [Abstract]    
Total loans receivable 61,257 61,584
Consumer Loans [Member] | Level 1 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Consumer Loans [Member] | Level 2 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Consumer Loans [Member] | Level 3 [Member]    
Loans receivable [Abstract]    
Total loans receivable 293,832 163,961
Consumer Loans [Member] | Carrying Amount [Member]    
Loans receivable [Abstract]    
Total loans receivable 274,981 163,004
Consumer Loans [Member] | Estimated Fair Value [Member]    
Loans receivable [Abstract]    
Total loans receivable 293,832 163,961
Commercial Operating Loans [Member] | Level 1 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Commercial Operating Loans [Member] | Level 2 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Commercial Operating Loans [Member] | Level 3 [Member]    
Loans receivable [Abstract]    
Total loans receivable 56,520 35,723
Commercial Operating Loans [Member] | Carrying Amount [Member]    
Loans receivable [Abstract]    
Total loans receivable 56,516 35,759
Commercial Operating Loans [Member] | Estimated Fair Value [Member]    
Loans receivable [Abstract]    
Total loans receivable 56,520 35,723
Agricultural Operating [Member] | Level 1 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Agricultural Operating [Member] | Level 2 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Agricultural Operating [Member] | Level 3 [Member]    
Loans receivable [Abstract]    
Total loans receivable 24,506 32,870
Agricultural Operating [Member] | Carrying Amount [Member]    
Loans receivable [Abstract]    
Total loans receivable 24,696 33,594
Agricultural Operating [Member] | Estimated Fair Value [Member]    
Loans receivable [Abstract]    
Total loans receivable 24,506 32,870
Premium Finance Loans [Member] | Level 1 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Premium Finance Loans [Member] | Level 2 [Member]    
Loans receivable [Abstract]    
Total loans receivable 0 0
Premium Finance Loans [Member] | Level 3 [Member]    
Loans receivable [Abstract]    
Total loans receivable 235,530 250,964
Premium Finance Loans [Member] | Carrying Amount [Member]    
Loans receivable [Abstract]    
Total loans receivable 235,671 250,459
Premium Finance Loans [Member] | Estimated Fair Value [Member]    
Loans receivable [Abstract]    
Total loans receivable $ 235,530 $ 250,964
v3.8.0.1
GOODWILL AND INTANGIBLE ASSETS (Details) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Dec. 31, 2017
Dec. 31, 2016
Dec. 14, 2016
Nov. 01, 2016
Sep. 08, 2015
Dec. 02, 2014
Finite-Lived Intangible Assets [Line Items]                
Goodwill $ 98,723 $ 36,928 $ 98,723 $ 98,898        
Goodwill [Roll Forward]                
Balance, beginning of period 98,723 36,928            
Acquisitions during the period 0 61,970            
Write-offs during the period 0 0            
Balance, end of period 98,723 98,898            
Intangible Assets [Roll Forward]                
Balance, beginning of period 52,178 28,921            
Acquisitions during the period 38 46,076            
Amortization of Intangible Assets (1,681) (1,525)            
Write-offs during the period (14) 0            
Balance, end of period 50,521 73,472            
Amortizable intangible assets [Abstract]                
Amount Upon Acquisition     81,820 81,461        
Accumulated amortization     (20,508) (7,989)        
Accumulated impairment     (10,791)          
Total anticipated intangible amortization 52,178 28,921 50,521 73,472        
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]                
Remaining in 2018     6,028          
2019     7,151          
2020     5,753          
2021     5,184          
2022     4,262          
2023     3,625          
Thereafter     18,518          
Total anticipated intangible amortization 52,178 28,921 50,521 73,472        
Impairment of intangible assets 0 0            
AFS/IBEX Financial Services Inc [Member]                
Finite-Lived Intangible Assets [Line Items]                
Goodwill               $ 11,600
Refund Advantage Financial Services Inc [Member]                
Finite-Lived Intangible Assets [Line Items]                
Goodwill         $ 31,400 $ 30,400 $ 25,400  
Trademark [Member]                
Intangible Assets [Roll Forward]                
Balance, beginning of period 10,051 5,149            
Acquisitions during the period 0 5,480            
Amortization of Intangible Assets (159) (120)            
Write-offs during the period 0 0            
Balance, end of period 9,892 10,509            
Amortizable intangible assets [Abstract]                
Amount Upon Acquisition     10,990 10,970        
Accumulated amortization     (1,098) (461)        
Accumulated impairment     0          
Total anticipated intangible amortization 10,051 5,149 9,892 10,509        
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]                
Total anticipated intangible amortization $ 10,051 5,149 9,892 10,509        
Trademark [Member] | Refund Advantage Financial Services Inc [Member] | Minimum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 5 years              
Trademark [Member] | Refund Advantage Financial Services Inc [Member] | Maximum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 15 years              
Non-Compete [Member]                
Intangible Assets [Roll Forward]                
Balance, beginning of period $ 1,782 127            
Acquisitions during the period 0 2,210            
Amortization of Intangible Assets (132) (86)            
Write-offs during the period 0 0            
Balance, end of period 1,650 2,251            
Amortizable intangible assets [Abstract]                
Amount Upon Acquisition     2,480 2,510        
Accumulated amortization     (830) (259)        
Accumulated impairment     0          
Total anticipated intangible amortization 1,782 127 1,650 2,251        
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]                
Total anticipated intangible amortization $ 1,782 127 1,650 2,251        
Non-Compete [Member] | Refund Advantage Financial Services Inc [Member] | Minimum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 3 years              
Non-Compete [Member] | Refund Advantage Financial Services Inc [Member] | Maximum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 5 years              
Customer Relationships [Member]                
Intangible Assets [Roll Forward]                
Balance, beginning of period $ 31,707 20,590            
Acquisitions during the period 0 32,230            
Amortization of Intangible Assets (1,160) (1,193)            
Write-offs during the period 0 0            
Balance, end of period 30,547 51,627            
Amortizable intangible assets [Abstract]                
Amount Upon Acquisition     57,810 58,270        
Accumulated amortization     (17,015) (6,643)        
Accumulated impairment     (10,248)          
Total anticipated intangible amortization 31,707 20,590 30,547 51,627        
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]                
Total anticipated intangible amortization $ 31,707 20,590 30,547 51,627        
Customer Relationships [Member] | Refund Advantage Financial Services Inc [Member] | Minimum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 10 years              
Customer Relationships [Member] | Refund Advantage Financial Services Inc [Member] | Maximum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 30 years              
Other [Member]                
Intangible Assets [Roll Forward]                
Balance, beginning of period $ 8,638 3,055            
Acquisitions during the period 38 6,156            
Amortization of Intangible Assets (230) (126)            
Write-offs during the period (14) 0            
Balance, end of period 8,432 9,085            
Amortizable intangible assets [Abstract]                
Amount Upon Acquisition     10,540 9,711        
Accumulated amortization     (1,565) (626)        
Accumulated impairment     (543)          
Total anticipated intangible amortization 8,638 3,055 8,432 9,085        
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]                
Total anticipated intangible amortization $ 8,638 $ 3,055 $ 8,432 $ 9,085        
Other [Member] | Refund Advantage Financial Services Inc [Member] | Minimum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 3 years              
Other [Member] | Refund Advantage Financial Services Inc [Member] | Maximum [Member]                
Finite-Lived Intangible Assets [Line Items]                
Useful life 20 years              
v3.8.0.1
INCOME TAXES (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Sep. 30, 2018
Income Tax Contingency [Line Items]      
Income tax expense $ 5,684 $ 342  
Effective tax rate, percent 54.90% 21.60%  
Tax Cuts and Jobs Act of 2017, change in tax rate, income tax expense (benefit) $ 3,600    
Forecast      
Income Tax Contingency [Line Items]      
Federal statutory prorated rate, percent     24.53%
v3.8.0.1
SUBSEQUENT EVENTS (Details) - Subsequent Event [Member] - USD ($)
Jan. 25, 2018
Jan. 09, 2018
Jan. 08, 2018
Liberty Lending, LCC [Member] | Loan Origination Commitments [Member]      
Subsequent Event [Line Items]      
Commitment to extend credit, term 3 years    
Liberty Lending, LCC [Member] | Minimum [Member] | Loan Origination Commitments [Member]      
Subsequent Event [Line Items]      
Commitments to extend credit to Liberty customers $ 500,000,000    
Closed-end installment loans $ 3,500.0    
Loan terms 13 months    
Liberty Lending, LCC [Member] | Maximum [Member] | Loan Origination Commitments [Member]      
Subsequent Event [Line Items]      
Commitments to extend credit to Liberty customers $ 1,000,000,000    
Closed-end installment loans $ 45,000    
Loan terms 60 months    
Crestmark Bancorp, Inc. [Member]      
Subsequent Event [Line Items]      
Business acquisition, share price (in dollars per share)     $ 91.35
Aggregate value of consideration     $ 320,600,000
Percentage of voting interest held by entity shareholders after merger   75.00%  
Percentage of voting interest held by acquiree shareholders after merger   25.00%  
Crestmark Bancorp, Inc. [Member] | Common Stock [Member]      
Subsequent Event [Line Items]      
Stock conversion, number of Meta shares per Crestmark shares   2.65