PCB BANCORP, 10-K filed on 3/4/2022
Annual Report
v3.22.0.1
Cover - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2021
Feb. 25, 2022
Jun. 30, 2021
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2021    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-38621    
Entity Registrant Name PCB Bancorp    
Entity Incorporation, State or Country Code CA    
Entity Tax Identification Number 20-8856755    
Entity Address, Address Line One 3701 Wilshire Boulevard    
Entity Address, Address Line Two Suite 900    
Entity Address, City or Town Los Angeles    
Entity Address, State or Province CA    
Entity Address, Postal Zip Code 90010    
City Area Code 213    
Local Phone Number 210-2000    
Title of 12(b) Security Common Stock, No Par Value    
Trading Symbol PCB    
Security Exchange Name NASDAQ    
Entity Well-known Seasoned Issuer No    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Accelerated Filer    
Entity Small Business true    
Entity Emerging Growth Company true    
Transition Period true    
ICFR Auditor Attestation Flag false    
Entity Shell Company false    
Entity Public Float     $ 184.8
Entity Common Stock, Shares Outstanding   14,913,660  
Documents Incorporated by Reference Documents Incorporated by Reference: The information required in Part III, Items 10 through 14 are incorporated herein by reference to the registrant’s definitive proxy statement for the 2022 annual meeting of shareholders which will be filed with the Securities and Exchange Commission within 120 days of the registrant’s fiscal year end.    
Amendment Flag false    
Entity Central Index Key 0001423869    
Document Fiscal Year Focus 2021    
Document Fiscal Period Focus FY    
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Audit Information
 12 Months Ended
Dec. 31, 2021
Audit Information [Abstract]  
Auditor Firm ID 173
Auditor Name Crowe LLP
Auditor Location Los Angeles, California
v3.22.0.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Assets    
Cash and due from banks $ 15,222 $ 19,605
Interest-bearing deposits in other financial institutions 188,063 174,493
Total cash and cash equivalents 203,285 194,098
Securities available-for-sale, at fair value 123,198 120,527
Loans held-for-sale 37,026 1,979
Loans held-for-investment, net of deferred loan costs (fees) 1,732,205 1,583,578
Allowance for loan losses (22,381) (26,510)
Net loans held-for-investment 1,709,824 1,557,068
Premises and equipment, net 3,098 4,048
Federal Home Loan Bank and other restricted stock, at cost 8,577 8,447
Other real estate owned, net 0 1,401
Bank-owned life insurance 29,358 0
Deferred tax assets, net 10,824 8,120
Servicing assets 7,269 6,400
Operating lease assets 6,786 7,616
Accrued interest receivable 5,368 9,334
Other assets 5,122 3,815
Total assets 2,149,735 1,922,853
Deposits:    
Noninterest-bearing demand 830,383 538,009
Savings, NOW and money market accounts 422,526 408,826
Time deposits of $250,000 or less 341,956 379,333
Time deposits of more than $250,000 272,269 268,683
Total deposits 1,867,134 1,594,851
Federal Home Loan Bank advances 10,000 80,000
Operating lease liabilities 7,444 8,455
Accrued interest payable and other liabilities 8,871 5,759
Total liabilities 1,893,449 1,689,065
Commitments and contingent liabilities
Preferred stock, 10,000,000 shares authorized, no par value, no issued and outstanding shares 0 0
Common stock, 60,000,000 shares authorized, no par value; issued and outstanding 14,865,825 and 15,385,878 shares, respectively, and included 55,284 and 30,300 shares of unvested restricted stock, respectively, at December 31, 2021 and 2020 154,992 164,140
Retained earnings 101,140 67,692
Accumulated other comprehensive income, net 154 1,956
Total shareholders’ equity 256,286 233,788
Total liabilities and shareholders’ equity $ 2,149,735 $ 1,922,853
v3.22.0.1
Consolidated Balance Sheets (Parenthetical) - shares
Dec. 31, 2021
Dec. 31, 2020
Preferred stock, authorized (in shares) 10,000,000 10,000,000
Preferred stock, issued (in shares) 0 0
Preferred stock, outstanding (in shares) 0 0
Common stock, authorized (in shares) 60,000,000 60,000,000
Common stock, issued (in shares) 14,865,825 15,385,878
Common stock, outstanding (in shares) 14,865,825 15,385,878
Unvested restricted stock (in shares) 107,099 121,199
Restricted Stock Units (RSUs)    
Unvested restricted stock (in shares) 55,284 30,300
v3.22.0.1
Consolidated Statements of Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Interest and dividend income:      
Loans, including fees $ 79,155 $ 76,546 $ 85,667
Tax-exempt investment securities 146 150 154
Taxable investment securities 1,467 1,977 3,802
Other interest-earning assets 704 1,088 3,322
Total interest income 81,472 79,761 92,945
Interest expense:      
Deposits 4,043 12,958 23,439
Other borrowings 292 614 472
Total interest expense 4,335 13,572 23,911
Net interest income 77,137 66,189 69,034
Provision (reversal) for loan losses (4,596) 13,219 4,237
Net interest income after provision (reversal) for loan losses 81,733 52,970 64,797
Noninterest income:      
Service charges and fees on deposits 2,369 2,231 2,551
Loan servicing income 2,770 2,710 2,309
Bank-owned life insurance income 108 0 0
Gain on sale of loans 12,932 6,527 5,996
Gain on sale of securities available-for-sale 0 0 786
Other income 1,429 1,247 1,234
Total noninterest income 18,434 11,740 11,869
Noninterest expense:      
Salaries and employee benefits 27,974 26,147 26,139
Occupancy and equipment 5,575 5,620 5,545
Professional fees 2,159 2,256 2,730
Marketing and business promotion 1,656 1,360 1,550
Data processing 1,572 1,472 1,365
Director fees and expenses 594 599 751
Regulatory assessments 537 978 551
Other expenses 3,141 3,267 3,684
Total noninterest expense 43,208 41,699 42,315
Income before income taxes 56,959 23,011 34,351
Income tax expense 16,856 6,836 10,243
Net income $ 40,103 $ 16,175 $ 24,108
Earnings per common share, basic (in dollars per share) $ 2.66 $ 1.05 $ 1.52
Earnings per common share, diluted (in dollars per share) $ 2.62 $ 1.04 $ 1.49
Weighted-average common shares outstanding, basic (in shares) 15,017,637 15,384,231 15,873,383
Weighted-average common shares outstanding, diluted (in shares) 15,253,820 15,448,892 16,172,282
Service charges and fees on deposits      
Noninterest income:      
Service charges and fees on deposits $ 1,195 $ 1,256 $ 1,544
v3.22.0.1
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Statement of Comprehensive Income [Abstract]      
Net income $ 40,103 $ 16,175 $ 24,108
Other comprehensive income (loss):      
Unrealized gain (loss) on securities available-for-sale arising during the year (2,553) 2,064 3,038
Reclassification adjustment for net gain included in net income 0 0 (786)
Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale 0 787 0
Income tax benefit (expense) related to items of other comprehensive income (loss) 751 (838) (662)
Total other comprehensive income (loss), net of tax (1,802) 2,013 1,590
Total comprehensive income $ 38,301 $ 18,188 $ 25,698
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Consolidated Statements of Changes in Shareholders' Equity - USD ($)
$ in Thousands
Total
Cumulative Effect, Period of Adoption, Adjustment
Cumulative Effect, Period of Adoption, Adjusted Balance
Common stock
Common stock
Cumulative Effect, Period of Adoption, Adjusted Balance
Retained Earnings
Retained Earnings
Cumulative Effect, Period of Adoption, Adjustment
Retained Earnings
Cumulative Effect, Period of Adoption, Adjusted Balance
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)
Cumulative Effect, Period of Adoption, Adjusted Balance
Beginning Balance at Dec. 31, 2018 $ 210,296 $ (53) $ 210,243 $ 174,366 $ 174,366 $ 37,577 $ (53) $ 37,524 $ (1,647) $ (1,647)
Beginning balance (in shares) at Dec. 31, 2018       15,977,754 15,977,754          
Comprehensive Income [Abstract]                    
Net income 24,108         24,108        
Other comprehensive income, net of tax 1,590               1,590  
Issuance of restricted stock (in shares)       37,700            
Stock repurchased and retired during period $ (6,480)     $ (6,480)            
Stock repurchased and retired during period (in shares) (396,715)     (396,715)            
Share-based compensation expense $ 709     $ 709            
Stock options exercised 626     $ 626            
Stock options exercised (in shares)       88,277            
Cash dividends declared on common stock (3,962)         (3,962)        
Ending Balance at Dec. 31, 2019 226,834     $ 169,221   57,670     (57)  
Ending balance (in shares) at Dec. 31, 2019       15,707,016            
Comprehensive Income [Abstract]                    
Net income 16,175         16,175        
Other comprehensive income, net of tax 2,013               2,013  
Issuance of restricted stock (in shares)       1,900            
Restricted stock surrendered due to employee tax liability (2)     $ (2)            
Restricted stock surrendered due to employee tax liability (in shares)       (165)            
Stock repurchased and retired during period (6,487)     $ (6,487)            
Stock repurchased and retired during period (in shares)       (428,474)            
Share-based compensation expense 715     $ 715            
Stock options exercised 693     $ 693            
Stock options exercised (in shares)       105,601            
Cash dividends declared on common stock (6,153)         (6,153)        
Ending Balance at Dec. 31, 2020 $ 233,788     $ 164,140   67,692     1,956  
Ending balance (in shares) at Dec. 31, 2020 15,385,878     15,385,878            
Comprehensive Income [Abstract]                    
Net income $ 40,103         40,103        
Other comprehensive income, net of tax (1,802)               (1,802)  
Issuance of restricted stock (in shares)       35,584            
Forfeiture of restricted stock (in shares)       (1,300)            
Restricted stock surrendered due to employee tax liability (4)     $ (4)            
Restricted stock surrendered due to employee tax liability (in shares)       (231)            
Stock repurchased and retired during period $ (10,876)     $ (10,876)            
Stock repurchased and retired during period (in shares) (680,269)     (680,269)            
Share-based compensation expense $ 453     $ 453            
Stock options exercised $ 1,279     $ 1,279            
Stock options exercised (in shares) 126,163     126,163            
Cash dividends declared on common stock $ (6,655)         (6,655)        
Ending Balance at Dec. 31, 2021 $ 256,286     $ 154,992   $ 101,140     $ 154  
Ending balance (in shares) at Dec. 31, 2021 14,865,825     14,865,825            
v3.22.0.1
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Statement of Stockholders' Equity [Abstract]      
Cash dividends declared (in dollars per share) $ 0.44 $ 0.40 $ 0.25
v3.22.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Cash flows from operating activities      
Net income $ 40,103 $ 16,175 $ 24,108
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Depreciation of premises and equipment 1,375 1,487 1,534
Net amortization of premiums on securities 1,004 938 883
Net accretion of discounts on loans (3,504) (3,292) (4,022)
Net accretion of deferred loan fees (6,096) (2,901) (452)
Amortization of servicing assets 2,009 1,948 2,382
Provision (reversal) for loan losses (4,596) 13,219 4,237
Bank-owned life insurance income (108) 0 0
Deferred tax benefit (1,953) (3,670) (2,573)
Share-based compensation 453 715 709
Gain on sale of securities available-for-sale 0 0 (786)
Gain on sale of loans (12,932) (6,527) (5,996)
Originations of loans held-for-sale (172,211) (141,215) (105,153)
Proceeds from sales of and principal collected on loans held-for-sale 150,236 149,388 116,544
Change in accrued interest receivable and other assets 2,660 (2,338) 801
Change in accrued interest payable and other liabilities 1,943 (6,834) (2,096)
Net cash provided by (used in) operating activities (1,617) 17,093 30,120
Cash flows from investing activities:      
Purchase of securities available-for-sale (47,306) (39,385) (11,961)
Proceeds from sale of securities available-for-sale 0 0 33,627
Proceeds from maturities, calls, and paydowns of securities available-for-sale 41,078 37,182 30,134
Purchase of securities held-to-maturity 0 0 (2,150)
Proceeds from maturities, calls, and paydowns of securities held-to-maturity 0 1,309 3,600
Proceeds from sale of loans held-for-sale previously classified as held-for-investment 8,757 664 826
Net increase in loans held-for-investment (149,237) (134,626) (113,139)
Purchase of loans held-for-investment (2,139) 0 (1,539)
Purchase of Federal Home Loan Bank and other restricted stock (130) (102) (912)
Proceeds from sale of other real estate owned 3,434 3,924 321
Purchases of premises and equipment (430) (1,784) (710)
Purchase of bank-owned life insurance (29,250) 0 0
Net cash used in investing activities (175,223) (132,818) (61,903)
Cash flows from financing activities:      
Net increase in deposits 272,283 115,544 35,554
Proceeds from long-term Federal Home Loan Bank advances 0 140,000 0
Repayment of long-term Federal Home Loan Bank advances (70,000) (80,000) (10,000)
Stock options exercised 1,279 693 626
Restricted stock surrendered due to employee tax liability (4) (2) 0
Repurchase of common stock (10,876) (6,487) (6,480)
Cash dividends paid on common stock (6,655) (6,153) (3,962)
Net cash provided by financing activities 186,027 163,595 15,738
Net increase (decrease) in cash and cash equivalents 9,187 47,870 (16,045)
Cash and cash equivalents at beginning of year 194,098 146,228 162,273
Cash and cash equivalents at end of year 203,285 194,098 146,228
Supplemental disclosures of cash flow information:      
Interest paid 5,790 17,350 24,130
Income taxes paid 14,982 10,051 13,379
Supplemental disclosures of non-cash investment activities:      
Loans transferred to loans held-for-sale 8,752 1,355 824
Loans transferred to other real estate owned 905 3,079 50
Right-of-use assets obtained in exchange for lease obligations 1,459 950 1,616
Reclassification of securities held-to-maturity to securities available-for-sale $ 0 $ 18,777 $ 0
v3.22.0.1
Basis of Presentation and Significant Accounting Policies
 12 Months Ended
Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation and Significant Accounting Policies Basis of Presentation and Significant Accounting Policies
Nature of Operations
PCB Bancorp is a bank holding company whose subsidiary is Pacific City Bank. On July 1, 2019, the Company changed its corporate name to “PCB Bancorp” from “Pacific City Financial Corporation.” The Bank is a single operating segment that operates 11 full-service branches in Los Angeles and Orange counties, California, one full-service branch in each of Englewood Cliffs, New Jersey and Bayside, New York, and 10 LPOs in Irvine, Artesia and Los Angeles, California; Annandale, Virginia; Atlanta, Georgia; Chicago, Illinois; Bellevue, Washington; Aurora, Colorado; Carrollton, Texas; and New York, New York. The Bank offers a broad range of loans, deposits, and other products and services predominantly to small and middle market businesses and individuals.
Basis of Presentation
The consolidated financial statements include the accounts of the Company and its wholly owned subsidiary as of December 31, 2021 and 2020 and for the years ended December 31, 2021, 2020 and 2019. Significant inter-company accounts and transactions have been eliminated in consolidation. Unless the context requires otherwise, all references to the Company include its wholly owned subsidiaries. The accounting and reporting polices of the Company are based upon GAAP and conform to predominant practices within the financial services industry. Significant accounting policies followed by the Company are presented below.
Certain prior period amounts have been reclassified to conform to the current year’s presentation. These reclassifications had no impact on the Company’s consolidated statements of financial condition or operations.
Use of Estimates in the Preparation of Financial Statements
The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. These estimates are subject to change and such change could have a material effect on the consolidated financial statements. Actual results may differ from those estimates.
Significant Accounting Policies
Cash and Cash Equivalents
Cash and cash equivalents include cash on hand, cash items in transit, cash due from the Federal Reserve Bank and other financial institutions, and federal funds sold with original maturities less than 90 days.
In response to the COVID-19 pandemic, on March 26, 2020, the Federal Reserve reduced reserve requirement ratios to 0%, eliminating the reserve requirement for all depository institutions, an action that provides liquidity in the banking system to support lending to households and businesses. There was no reserve and clearing requirement balance at December 31, 2021 and 2020.
Investment Securities
Investment securities are classified as held-to-maturity or available-for-sale at the time of purchase based upon the intent of management, liquidity and capital requirements, regulatory limitations and other relevant factors. Debt securities are classified as held-to-maturity when management has the positive intent and ability to hold to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities held-to-maturity are carried at amortized cost and securities available-for-sale are carried at fair value with unrealized gains and losses, net of taxes, recorded in other comprehensive income.
On June 30, 2020, the Company transferred securities held-to-maturity to securities available-for-sale as a part of the Company’s liquidity management plan in response to the COVID-19 pandemic. Management determined that its securities held-to-maturity no longer adhere to the Company’s current liquidity management plan and could be sold to potentially improve its liquidity position. Accordingly, the Company was no longer able to assert that it had the intent to hold these securities until maturity and the Company’s ability to assert that it has the intent and ability to hold to maturity debt securities will be limited for up to two years from the date of transfer. The Company transferred all securities held-to-maturity of $18.8 million to securities available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $787 thousand.
Gains and losses on sales of securities are determined using the specific identification method. Net realized gains or losses on available-for-sale securities are included in noninterest income and, when applicable, are reported as a reclassification adjustment, net of tax, in other comprehensive income. Amortization of premiums and accretion of discounts are included in interest income using the effective interest method.
Management evaluates securities for OTTI at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings.
For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: OTTI related to credit loss, which is recognized as a charge against earnings, and OTTI related to other factors, which is recognized in other comprehensive income, net of tax. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis.
Loans Held-For-Sale
The Company originates SBA loans, and certain residential property and commercial property loans with the intention for sale in the secondary market. The Company records the guaranteed portion of SBA loans and these residential property and commercial property loans held-for-sale at the lower of cost or fair value on an aggregate basis. Fair value is based on commitments on hand from investors or prevailing market prices. A valuation allowance is established if the fair value of such loans is lower than their cost, with a corresponding charge to noninterest income.
When the Company changes its intent to hold loans for investment, the loans are transferred to held-for-sale at lower of cost or fair value at the time of transfer, as determined on an individual loan level with charges made to allowance for loan losses when the fair value is lower than the cost. Deferred fees and cost on transferred loans are included in the determination of gains or losses on sale of the related loans. Subsequent decreases in fair value, if any, are recognized through a valuation allowance with charges made to noninterest income.
If a determination is made that a loan held-for-sale cannot be sold in the foreseeable future, it is transferred to loans held-for-investment at lower of cost or fair value on the transfer date with a charge made to noninterest income when the fair value is lower than the cost.
Realized gains and losses from sales of loans are included in noninterest income. For sales of guaranteed portion of SBA and certain residential property loans, the loan servicing rights are retained.
Loans Held-For-Investment
Loans held-for-investment that management has the intent and ability to hold for the foreseeable future are reported at their outstanding unpaid principal balances, net of any charge-offs, deferred fees or costs on originated loans, or unamortized premiums or discounts on purchased loans. Loan origination fees and certain direct origination costs are deferred and recognized in interest income using the effective interest method over the life of the loan. Interest is accrued and credited to income as earned only if deemed collectible.
Loans on which the accrual of interest has been discontinued are designated as nonaccrual loans. Accrual of interest on loans is discontinued when principal or interest payment is 90 days past due based on the contractual terms of the loan or when, in the opinion of management, there is reasonable doubt as to collectability. When loans are placed on nonaccrual status, all interest previously accrued but not collected is reversed against current period interest income. Past-due status is based on the contractual terms of the loan. Interest payments that are subsequently received are applied as a reduction to the remaining principal balance as long as concern exists as to the collectability of the principal. Interest accruals are resumed on such loans only when the loans are brought current with respect to interest and principal and when, in the judgment of management, all principal and interest on the loans are expected to be fully collectable.
Loan portfolio segments identified by the Company include: real estate (commercial property, residential property, SBA property and construction), commercial and industrial (commercial term, commercial lines of credit, and SBA commercial term), and other consumer loans.
Risks associated with the Company’s real estate loans include a decline in the economy and a reduction in real estate values in the Company’s primary markets, an increase in market interest rates, increased competition in pricing and loan structure, and environmental risks. Risks associated with the Company’s commercial and industrial loans include a decline in the economy in the primary markets, an increase in market interest rates, and deterioration of a borrower’s or guarantor’s financial capabilities. Risk associated with the Company’s other consumer loans include the same risks associated with the commercial and industrial loans, but also includes risks related to consumer bankruptcy laws which allow consumers to discharge certain debts.
The Company classifies loans into risk categories based on relevant information about the ability of borrowers to service their debt, such as current financial information, historical payment experience, collateral adequacy, credit documentation, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans in regards to credit risk. This analysis typically includes non-homogeneous loans, such as commercial property and commercial and industrial loans, and is performed on an ongoing basis as new information is obtained.
The Company uses the following definitions for risk ratings:
•Pass - Loans classified as pass include non-homogeneous loans not meeting the risk ratings defined below and smaller, homogeneous loans not assessed on an individual basis.
•Special Mention - Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in the deterioration of repayment prospects for the loan or of the institution’s credit position at some future date.
•Substandard - Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as substandard have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.
•Doubtful - Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.
Loan Modifications Related to the COVID-19 Pandemic: As a part of the CARES Act, the temporal relief from TDRs provided an option for financial institutions to suspend the GAAP requirements and regulatory determinations for loan modifications related to the COVID-19 pandemic that would otherwise be categorized as a TDR from March 1, 2020, through the earlier of 60 days after the date of the COVID-19 National Emergency comes to an end or December 31, 2020.
On April 7, 2020, the federal banking regulators also issued the Interagency Statement to encourage banks to work prudently with borrowers and describe the banking regulators’ interpretation of how accounting rules for TDR apply to certain modifications related to the COVID-19 pandemic.
On December 27, 2020, the Economic Aid Act was signed into law, which extended the applicable period of the temporary relief from TDRs under the CARES Act to the earlier of 60 days after the date of the COVID-19 National Emergency comes to an end or January 1, 2022.
As of December 31, 2021 and 2020, total loans under modified terms related to the COVID-19 pandemic, including payment deferments and interest only payments, were none and $36.1 million, respectively. All of these loans under modified terms related to the COVID-19 pandemic were accounted for under section 4013 of the CARES Act and not considered TDRs. All types of modifications have initial modification terms of 6-months or less and loans that were granted modifications related to the COVID-19 pandemic in excess of 6 months, on a cumulative basis, were classified as special mention or substandard. In addition, all loans under modified terms related to the COVID-19 pandemic were current and accrual status as of December 31, 2020; however, all of these loans were monitored on an ongoing basis in accordance with each loan’s covenants and conditions for potential downgrade or change in accrual status.
Small Business Administration Paycheck Protection Program: U.S. SBA launched the PPP to provide a direct incentive for small businesses to keep their workers on the payroll in response to the COVID-19 pandemic. The SBA guarantees 100% of the PPP loans made to eligible borrowers, and the loans are eligible to be forgiven if certain conditions are met, at which point the SBA will make payments to the Bank for the forgiven amounts. These loans are included in the C&I portfolio and have an interest rate of 1%. The substantial majority of the PPP loans funded during the year ended December 31, 2020 in the Company’s portfolio have a maturity of two years. On January 13, 2021, the SBA began accepting applications for second draw PPP loans. SBA PPP loans funded during the year ended December 31, 2021 have a maturity of five years.
As of December 31, 2021 and 2020, the Company had 354 and 1,585 SBA PPP loans totaling $65.3 million and $135.7 million, net of unamortized deferred fees and costs, respectively. As of December 31, 2021, the Company recognized $181.8 million in forgiveness. The Company amortizes these deferred fees and costs without prepayment assumption using the contractual lives of SBA PPP loans.
The SBA guarantee on PPP loans cannot be separated from the loan and therefore is not a separate unit of account. The Company considered the SBA guarantee in the allowance for loan losses evaluation and determined that it is not required to reserve an allowance on SBA PPP loans at December 31, 2021 and 2020.
Allowance for Loan Losses
Allowance for loan losses is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the loan is uncollectible. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off.
Amounts are charged-off when available information confirms that specific loans or portions thereof, are uncollectible. Generally, loans are charged off immediately when it is determined that advances to the borrower are in excess of the calculated current fair value of the collateral and if a borrower is deemed incapable of repayment of unsecured debt, there is little or no prospect for near term improvement and no realized strengthening action of significance pending. Other consumer loans are charged off based on delinquency, typically 120 days for closed loans and 180 days for open-end loans, or earlier when it is determined that the loan is uncollectible due to a triggering event, such as bankruptcy, fraud, or death. This methodology for determining charge-offs is consistently applied to each segment.
The allowance consists of general reserves (collectively evaluated for impairment) and specific reserves (individually evaluated for impairment). General reserves cover non-impaired loans and are based on historical loss rates over the most recent four years for each portfolio segment, adjusted for the effects of qualitative or environmental factors that are likely to cause estimated credit losses as of the evaluation date to differ from the portfolio segment’s historical loss experience.
The Company utilizes a migration analysis to measure actual historical loss experience, with the resulting historical loss rate adjusted for any applicable loss emergence period factors serving as the base loss rate to estimate the amount of appropriate loss reserve. Qualitative factors include consideration of the following: changes in lending policies and procedures; changes in economic conditions; changes in the nature and volume of the portfolio; changes in the experience, ability, and depth of lending management and other relevant staff; changes in the volume and severity of past due, nonaccrual, and other adversely graded loans; changes in the loan review system; changes in the value of the underlying collateral for collateral-dependent loans; concentrations of credit and the effect of other external factors such as competition and legal and regulatory requirements.
Specific reserves relate to loans that are individually classified as impaired. A loan is impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Factors considered in determining impairment include payment status, collateral value, and the probability of collecting all amounts when due. Measurement of impairment is based on the expected future cash flows of an impaired loan, which are to be discounted at the loan’s effective interest rate, or measured by reference to an observable market value, if one exists, or the fair value of the collateral for a collateral-dependent loan. The Company selects the measurement method on a loan-by-loan basis, with the exception of collateral-dependent loans for which the most viable source of repayment is the continued operation of the collateral or liquidation of the collateral. The impairment for these loans are measured at the fair value of the collateral, less estimated selling cost. If a loan is impaired, the loan is reported, net of the allocated allowance, at the present value of estimated future cash flows using the loan’s effective interest rate or at the fair value of collateral if repayment is expected solely from the collateral.
Interest payments received on impaired loans are first applied to principal, then recognized as income based on existing methods to recognize income on nonaccrual loans. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered TDRs and classified as impaired with measurement of impairment as described above.
Premises and Equipment
Premises and equipment are carried at cost less accumulated depreciation and amortization. Depreciation is computed using the straight-line method over the estimated useful lives, which ranges from three to seven years for furniture and equipment. Leasehold improvements are amortized using the straight-line method over the estimated useful lives of the improvements or the remaining lease term, whichever is shorter. Expenditures for betterments or major repairs are capitalized and those for ordinary repairs and maintenance are charged to operations as part of occupancy and equipment expense as incurred.
Operating Leases
The Company’s operating leases are for its headquarters office spaces, and retail branch and LPO locations. Most leases include one or more options to renew, with renewal terms that can extend the lease term from one to five years. The exercise of a lease renewal option is at the Company’s sole discretion. Certain leases with an initial term of 12 months or less are not recorded on the balance sheet and lease expenses for these leases are recognized on a straight-line basis over the lease term. None of the Company’s lease agreements contain any material residual value guarantees or material restrictive covenants. The Company also leases certain equipment, such as copy machines and scanners, but they are determined to be immaterial.
Federal Home Loan Bank and Other Restricted Stock
The Bank is a member of the FHLB and Pacific Coast Bankers’ Bancshares (“PCBB”) system. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB and PCBB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on the ultimate recovery of par value. Both cash and stock dividends are reported as income.
Other Real Estate Owned
OREO represents properties acquired through foreclosure or other proceedings. The Company initially records OREO at fair value at the time of foreclosure. Thereafter, OREO is recorded at the lower of cost or fair value based on their subsequent changes in fair value. The fair value of OREO is generally based on recent real estate appraisals adjusted for estimated selling costs. Any write-down to fair value at the time of transfer to OREO is charged to allowance for loan losses. Property is evaluated regularly to ensure the recorded amount is supported by its current fair value and valuation allowances to reduce the carrying amounts to fair value less estimated costs to dispose are recorded as necessary. Additions to or reductions from valuation allowances are recorded in noninterest expense.
Servicing Assets
Servicing assets are recognized when servicing rights are retained from the sale of loans, such as sales of the guaranteed portion of SBA and certain residential property loans, and are initially recorded at fair value. Fair value is calculated as the present value of estimated future cash flows from the servicing rights based on current market sources, such as the cost to service, discount rates, and prepayment speeds. Servicing assets are amortized into noninterest income over the expected life of the underlying loans.
Servicing assets are evaluated for impairment based on the fair value of the servicing rights as compared to the carrying amount. Impairment is determined by stratifying servicing rights into groupings based on predominant risk characteristics, such as collateral type. For purposes of measuring impairment, the Company has identified each servicing asset with the underlying loan being serviced. A valuation allowance is recorded when the fair value is below the carrying amount of the asset. If the Company later determines that all or a portion of the impairment no longer exists for a particular grouping, a reduction of the valuation allowance may be recorded as an increase to income. The fair values of servicing assets are subject to significant fluctuations as a result of changes in estimated and actual prepayment speeds and changes in discount rates.
Servicing income as reported on the income statement consists of fees earned for servicing loans, net of the amortization of servicing assets and changes in the valuation allowance. The servicing fees are based on a contractual percentage of the outstanding principal and recorded as income when earned.
Investment in Qualified Affordable Housing Projects
The Company has invested in a limited partnership that operates qualified affordable housing projects for lower income tenants in California. The Company accounts for this investment under the proportional amortization method and the amortization expense is presented as a component of current tax expense. Return of this investment is generated primarily through allocated federal tax credits and other tax benefits.
The recorded investment amount was $1.6 million and $1.9 million, respectively, and unfunded commitments were $51 thousand and $57 thousand, respectively, at December 31, 2021 and 2020. The recorded investment amount is included in Other Assets and unfunded commitment is included in Accrued Interest Payable and Other Liabilities on the Consolidated Statements of Financial Condition. As components of income tax expense, the Company recognized amortizations of $247 thousand, $240 thousand and $261 thousand, respectively, and federal tax credits and other benefits of $299 thousand, $300 thousand and $304 thousand, respectively, for the years ended December 31, 2021, 2020 and 2019. The Company determined that there were no events or changes in circumstances indicating that it is more likely than not that the carrying amount of the investment will not be realized. Therefore, no impairment was recorded at December 31, 2021 and 2020.
Bank-owned Life Insurance
The Company purchased life insurance policies on certain officers and directors during the year ended December 31, 2021. The Bank and named beneficiaries of various current covered officers are the beneficiaries under each policy. In the event of the death of a covered officer, the Bank and named beneficiaries of the covered officer will receive the specified insurance benefit from the insurance carrier. Bank-owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due, if any, that are probable at settlement.
Earnings Per Share
Earnings per share (“EPS”) is computed under the two-class method. Net income allocated to common stock is computed by subtracting income allocated to unvested restricted stock from net income. Income allocated to unvested restricted stock includes cash dividend paid and undistributed income available to holders of unvested restricted stock, if any. Basic EPS is computed by dividing net income allocated to common stock by the weighted-average common shares outstanding excluding the weighted-average unvested restricted stock. Diluted EPS is computed by dividing net income allocated to common stock by the weighted-average common stock outstanding, excluding the weighted-average unvested restricted stock, adjusted for the dilutive effect of the stock options. Diluted EPS reflects the potential dilution that could occur if options or other contracts to issue common stock were exercised or converted into common stock, or resulted in the issuance of common stock that then shared in the earnings of the entity.
Transfer of Financial Assets
Transfers of financial assets are accounted for sales, when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.
Share-Based Compensation
The Company recognizes the cost of employee services received in exchange for stock options and restricted stock awards (“RSAs”), based on the grant date fair value of those awards. A Black-Scholes model is utilized to estimate the fair value of stock options, while the market price of the Company's common stock at the date of grant is used for RSAs. This cost is recognized in income over the period which an employee is required to provide services in exchange for the award, generally the vesting period. See Note 12 for additional information on the Company’s stock option plan.
Income Taxes
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Interest and penalties related to unrecognized tax benefits are recorded as part of income tax expense. A valuation allowance is established to reduce the deferred tax asset to the level at which it is more likely than not that the tax benefits will be realized. Realization of tax benefits of deductible temporary differences and carryforwards depends on having sufficient taxable income of an appropriate character and in the appropriate periods.
Commitments and Contingencies
In the ordinary course of business, the Company enters into off-balance sheet financial instruments consisting of commitments to extend credit, commercial letters of credit, and standby letters of credit as described in Note 16. Such financial instruments are recorded in the consolidated financial statements when they are funded or related fees are incurred or received.
Revenue Recognition
Topic 606, “Revenue from Contracts with Customers,” does not apply to revenue associated with financial instruments, including revenue from loans and securities. In addition, certain noninterest income streams such as gain or loss associated with mortgage servicing assets and financial guarantees are also not within the scope. Topic 606 is applicable to noninterest income such as deposit related fees, interchange fees, and merchant related income. Noninterest income considered to be within the scope of Topic 606 is discussed below.
Service charges and fees on deposits: Deposit account service charges consist of monthly service fees, account analysis fees, non-sufficient funds (“NSF”) charges and other deposit related fees. The Company’s performance obligation for account analysis fees and monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. NSF charges, and other deposit account service charges are largely transactional based, and therefore, the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time as incurred.
Debit card fees: When customers use their debit cards to pay merchants for goods or services, the Company retains a fee from the funds collected from the related deposit account and transfers the remaining funds to the payment network for remittance to the merchant. The performance obligation to the merchant is satisfied and the fee is recognized at the point in time when the funds are collected and transferred to the payment network.
Gain (loss) on sale of other real estate owned: The Company’s performance obligation for sale of OREO is the transfer of title and ownership rights of the OREO to the buyer, which occurs at the settlement date when the sale proceeds are received and income is recognized.
Wire transfer fees and other service charges: Wire transfer fees and other service charges are transaction based, and therefore, the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time as incurred.
Fair Value Measurement
Fair value is the exchange price that would be received for an asset or paid to transfer a liability (i.e., an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Current accounting guidance establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs when measuring fair value. The guidance describes three levels of inputs that may be used to measure fair value:
•Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
•Level 2: Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.
•Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.
See Note 2 for more information and disclosures relating to the Company’s fair value measurements.
Adopted Accounting Pronouncements
During the year ended December 31, 2021, there were no significant accounting pronouncements applicable to the Company that became effective.
Recent Accounting Pronouncements Not Yet Adopted
The following are recently issued accounting pronouncements applicable to the Company that have not yet been adopted:
In June 2016, the FASB issued ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326).” The amendments in this ASU require that entities change the impairment model for most financial assets that are measured at amortized cost and certain other instruments from an incurred loss model to an expected loss model. Under this model, entities will estimate credit losses over the entire contractual term of the instrument from the date of initial recognition of that instrument. It includes financial assets such as loan receivables, held-to-maturity debt securities, net investment in leases that are not accounted for at fair value through net income, and certain off-balance sheet credit exposures. This ASU is effective for public business entities that are SEC filers for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. In 2019, the FASB amended this ASU, which delays the effective date to 2023 for certain SEC filers that are Smaller Reporting Companies, which would apply to the Company. The Company plans to adopt this ASU at the delayed effective date of January 1, 2023.
The Company has formed a committee, developed an implementation plan, and engaged a software vendor to assist the Company to build a model. The Company is in the process of completing a readiness assessment and is engaged in the implementation phase of the project. The Company is working on: (i) developing a new expected loss model with supportable assumptions; (ii) identifying data, reporting, and disclosure gaps; (iii) assessing updates to accounting and credit risk policies; and (iv) documenting new processes and controls. Based on the Company’s initial assessment of this ASU, the Company expects to recognize a one-time cumulative effect adjustment to the allowance for loan losses which could potentially have a material impact on its consolidated financial statements as of the beginning of the first reporting period in which this ASU is effective.
v3.22.0.1
Fair Value Measurements
 12 Months Ended
Dec. 31, 2021
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
ASC 820, Fair Value Measurements and Disclosures, defines fair value, establishes a framework for measuring fair value including a three-level valuation hierarchy, and expands disclosures about fair value measurements. Fair value is the exchange price that would be received for an asset or paid to transfer a liability (i.e. an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The three-level fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are defined as follows:
•Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
•Level 2: Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.
•Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.
Fair value is measured on a recurring basis for certain assets and liabilities in which fair value is the primary basis of accounting. Additionally, fair value is used on a non-recurring basis to evaluate certain assets or liabilities for impairment or for disclosure purposes. Categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The Company records securities available-for-sale at fair value on a recurring basis. Certain other assets, such as loans held-for-sale, impaired loans, servicing assets and OREO are recorded at fair value on a non-recurring basis. Non-recurring fair value measurements typically involve assets that are periodically evaluated for impairment and for which any impairment is recorded in the period in which the re-measurement is performed.
The following is a description of valuation methodologies used for assets and liabilities recorded at fair value:
Investment securities: The fair values of securities available-for-sale are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1) or matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2). Management reviews the valuation techniques and assumptions used by the provider and determines that the provider uses widely accepted valuation techniques based on observable market inputs appropriate for the type of security being measured.
Loans held-for-sale: The Company records SBA loans held-for-sale, residential property loans held-for-sale and certain non-residential real estate loans held-for-sale at the lower of cost or fair value, on an aggregate basis. The Company obtains fair values from a third-party independent valuation service provider. Loans held-for-sale accounted for at the lower of cost or fair value are considered to be recognized at fair value when they are recorded at below cost, on an aggregate basis, and are classified as Level 2.
Impaired loans: The Company records fair value adjustments on certain loans that reflect (i) partial write-downs, through charge-offs or specific reserve allowances, that are based on the current appraised or market-quoted value of the underlying collateral or (ii) the full charge-off of the loan carrying value. In some cases, the properties for which market quotes or appraised values have been obtained are located in areas where comparable sales data is limited, outdated, or unavailable. Fair value estimates for collateral-dependent impaired loans are obtained from real estate brokers or other third-party consultants, and are classified as Level 3.
Other real estate owned: The Company initially records OREO at fair value at the time of foreclosure. Thereafter, OREO is recorded at the lower of cost or fair value based on their subsequent changes in fair value. The fair value of OREO is generally based on recent real estate appraisals adjusted for estimated selling costs. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments may be significant and result in a Level 3 classification due to the unobservable inputs used for determining fair value. Only OREO with a valuation allowance are considered to be carried at fair value.
Servicing Assets: Servicing assets represent the value of servicing rights associated with servicing loans that have been sold. The fair value for servicing assets is determined through discounted cash flow analysis and utilizes discount rates and prepayment speed assumptions as inputs. All of these assumptions require a significant degree of management estimation and judgment. The fair market valuation is performed on a quarterly basis for servicing assets. Servicing assets are accounted for at the lower of cost or market value and considered to be recognized at fair value when they are recorded at below cost and are classified as Level 3.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis as of dates indicated:
Fair Value Measurement Level
($ in thousands)Quoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)		Total
December 31, 2021
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$— $84,713 $— $84,713 
Collateralized mortgage obligations— 19,056 — 19,056 
SBA loan pool securities— 8,672 — 8,672 
Municipal bonds— 5,686 — 5,686 
Corporate bonds— 5,071 — 5,071 
Total securities available-for-sale— 123,198 — 123,198 
Total assets measured at fair value on a recurring basis
$— $123,198 $— $123,198 
Total liabilities measured at fair value on a recurring basis
$— $— $— $— 
December 31, 2020
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$— $76,154 $— $76,154 
Collateralized mortgage obligations— 26,467 — 26,467 
SBA loan pool securities— 12,080 — 12,080 
Municipal bonds— 5,826 — 5,826 
Total securities available-for-sale— 120,527 — 120,527 
Total assets measured at fair value on a recurring basis
$— $120,527 $— $120,527 
Total liabilities measured at fair value on a recurring basis
$— $— $— $— 
Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
The following table presents the Company’s assets and liabilities measured at fair value on a non-recurring basis as of dates indicated:
Fair Value Measurement Level
($ in thousands)Quoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)		Total
December 31, 2021
Impaired loans:
SBA property$— $— $17 $17 
Total impaired loans— — 17 17 
Total assets measured at fair value on a non-recurring basis$— $— $17 $17 
Total liabilities measured at fair value on a non-recurring basis
$— $— $— $— 
December 31, 2020
Impaired loans:
SBA property$— $— $218 $218 
Commercial lines of credit— — 904 904 
SBA commercial term— — 255 255 
Total impaired loans— — 1,377 1,377 
Total assets measured at fair value on a non-recurring basis$— $— $1,377 $1,377 
Total liabilities measured at fair value on a non-recurring basis
$— $— $— $— 
The following table presents quantitative information about level 3 fair value measurements for assets measured at fair value on a non-recurring basis as of the dates indicated:
($ in thousands)Fair ValueValuation Technique(s)Unobservable Input(s)Range (Weighted-Average)
December 31, 2021
Impaired loans:
SBA property$17 Fair value of collateralNMNM
December 31, 2020
Impaired loans:
SBA property$218 Fair value of collateralNMNM
Commercial lines of credit$904 Sales comparison approachAdjustment for differences between the comparable estate sales
5% to 9% (7.6%)
SBA commercial term$255 Fair value of collateralNMNM
For assets measured at fair value, the following table presents the total net losses, which include charge-offs, recoveries, specific reserves, impairment on servicing assets, gain (loss) on sale of OREO, and OREO valuation write-downs recorded for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Collateral dependent impaired loans:
SBA property$(8)$(138)$(31)
Commercial lines of credit136 (720)(2,475)
SBA commercial property(5)(221)— 
Other real estate owned
73 9 (18)
Net gain (losses) recognized$196 $(1,070)$(2,524)
Fair Value of Financial Instruments
The fair value of a financial instrument is the amount at which the asset or obligation could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. Fair value estimates are made at a specific point in time based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the entire holdings of a particular financial instrument. Because no market value exists for a significant portion of the financial instruments, fair value estimates are 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, involve uncertainties and matters of judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates.
Fair value estimates are based on financial instruments both on and off the consolidated balance sheet without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Additionally, tax consequences related to the realization of the unrealized gains and losses can have a potential effect on fair value estimates and have not been considered in many of the estimates. The following methods and assumptions were used to estimate the fair value of significant financial instruments.
Financial assets: The carrying amounts of interest-bearing deposits with other financial institutions and accrued interest receivable are considered to approximate fair value. The fair values of investment securities are generally based on matrix pricing (Level 2). The fair value of loans is estimated based on a discounted cash flow approach under an exit price notion. The fair value reflects the estimated yield that would be negotiated with a willing market participant. Because sale transactions of such loans are not readily observable, as many of the loans have unique risk characteristics, the valuation is based on significant unobservable inputs (Level 3). It is not practical to determine the fair value of FHLB and other restricted stock due to restrictions placed on its transferability.
Financial liabilities: The carrying amounts of accrued interest payable are considered to approximate fair value. The fair value of deposits is estimated based on discounted cash flows. The discount rate is derived from the interest rates currently being offered for similar remaining maturities. Non-maturity deposits are estimated based on their historical decaying experiences (Level 3). The fair value of FHLB advances is estimated based on discounted cash flows. The discount rate is derived from the current market rates for borrowings with similar remaining maturities (Level 2).
Off-balance-sheet financial instruments: The fair value of commitments to extend credit and standby letters of credit is estimated using the fees currently charged to enter into similar agreements. The fair value of these financial instruments is not material and is excluded from the table below.
The following table presents the carrying value and estimated fair values of financial assets and liabilities as of the dates indicated:
Carrying ValueFair ValueFair Value Measurements
($ in thousands)Level 1Level 2Level 3
December 31, 2021
Financial assets:
Interest-bearing deposits in other financial institutions$188,063 $188,063 $188,063 $— $— 
Securities available-for-sale123,198 123,198 — 123,198 — 
Loans held-for-sale37,026 41,079 — 41,079 — 
Net loans held-for-investment1,709,824 1,725,022 — — 1,725,022 
FHLB and other restricted stock8,577 N/AN/AN/AN/A
Accrued interest receivable5,368 5,368 1 337 5,030 
Financial liabilities:
Deposits$1,867,134 $1,867,635 $— $— $1,867,635 
FHLB advances10,000 10,087 — 10,087 — 
Accrued interest payable771 771 — 1 770 
December 31, 2020
Financial assets:
Interest-bearing deposits in other financial institutions$174,493 $174,493 $174,493 $— $— 
Securities available-for-sale120,527 120,527 — 120,527 — 
Loans held-for-sale1,979 2,112 — 2,112 — 
Net loans held-for-investment1,557,068 1,574,063 — — 1,574,063 
FHLB and other restricted stock8,447 N/AN/AN/AN/A
Accrued interest receivable9,334 9,334 1 322 9,011 
Financial liabilities:
Deposits$1,594,851 $1,594,112 $— $— $1,594,112 
FHLB advances80,000 80,321 — 80,321 — 
Accrued interest payable2,226 2,226 — 2 2,224 
v3.22.0.1
Investment Securities
 12 Months Ended
Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]  
Investment Securities Investment Securities
Debt securities have been classified as available-for-sale or held-to-maturity in the consolidated balance sheets according to management’s intent. On June 30, 2020, the Company transferred securities held-to-maturity to securities available-for-sale as a part of the Company’s liquidity management plan in response to the COVID-19 pandemic. Management determined that its securities held-to-maturity no longer adhere to the Company’s current liquidity management plan and could be sold to potentially improve its liquidity position. Accordingly, the Company was no longer able to assert that it had the intent to hold these securities until maturity and the Company’s ability to assert that it has the intent and ability to hold to maturity debt securities will be limited for up to two years from the date of transfer. The Company transferred all securities held-to-maturity of $18.8 million to securities available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $787 thousand.
The following table presents the amortized cost and fair value of the investment securities as of the dates indicated:
($ in thousands)Amortized CostGross Unrealized GainGross Unrealized Loss
Fair Value
December 31, 2021
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$85,346 $625 $(1,258)$84,713 
Collateralized mortgage obligations18,990 113 (47)19,056 
SBA loan pool securities8,520 156 (4)8,672 
Municipal bonds5,329 357 — 5,686 
Corporate bonds5,000 71 — 5,071 
Total securities available-for-sale$123,185 $1,322 $(1,309)$123,198 
December 31, 2020
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$74,622 $1,558 $(26)$76,154 
Collateralized mortgage obligations26,216 294 (43)26,467 
SBA loan pool securities11,753 349 (22)12,080 
Municipal bonds
5,370 456 — 5,826 
Total securities available-for-sale$117,961 $2,657 $(91)$120,527 
As of December 31, 2021 and 2020, pledged securities were $110.9 million and $117.8 million, respectively. These securities were pledged for the State Deposit from the California State Treasurer.
The following table presents the amortized cost and fair value of the investment securities by contractual maturity as of December 31, 2021. Expected maturities may differ from contractual maturities, if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately.
Securities Available-For-Sale
($ in thousands)Amortized Cost
Fair Value
Within one year
$305 $307 
One to five years
1,851 1,901 
Five to ten years
5,830 5,917 
Greater than ten years
2,343 2,632 
Mortgage-backed securities, collateralized mortgage obligations and SBA loan pool securities
112,856 112,441 
Total$123,185 $123,198 
The following table presents proceeds from sales and calls of securities available-for-sale and the associated gross gains and losses realized through earnings upon the sales and calls of securities available-for-sale for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Gross realized gains on sales and calls of securities available-for-sale
$— $— $786 
Gross realized losses on sales and calls of securities available-for-sale
— — — 
Net realized gains on sales and calls of securities available-for-sale$— $— $786 
Proceeds from sales and calls of securities available-for-sale
$— $185 $33,627 
Tax expense on sales and calls of securities available-for-sale
$— $— $234 
The following table summarizes the investment securities with unrealized losses by security type and length of time in a continuous unrealized loss position as of the dates indicated:
Length of Time That Individual Securities Have Been In a Continuous Unrealized Loss Position
Less Than 12 Months12 Months or LongerTotal
($ in thousands)
Fair Value
Gross Unrealized Losses
Number of Securities
Fair Value
Gross Unrealized Losses
Number of Securities
Fair Value
Gross Unrealized Losses
Number of Securities
December 31, 2021
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$46,945 $(931)32 $8,885 $(327)5 $55,830 $(1,258)37 
Collateralized mortgage obligations2,897 (47)4 — — — 2,897 (47)4 
SBA loan pool securities— — — 156 (4)1 156 (4)1 
Total securities available-for-sale$49,842 $(978)36 $9,041 $(331)6 $58,883 $(1,309)42 
December 31, 2020
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$5,773 $(26)4 $— $— — $5,773 $(26)4 
Collateralized mortgage obligations2,424 (4)3 5,127 (39)6 7,551 (43)9 
SBA loan pool securities1,677 (4)2 1,869 (18)4 3,546 (22)6 
Total securities available-for-sale$9,874 $(34)9 $6,996 $(57)10 $16,870 $(91)19 
In accordance with FASB ASC 320, Investments - Debt and Equity Securities, the Company performs an OTTI assessment at least on a quarterly basis. OTTI is recognized when fair value is below the amortized cost where: (i) an entity has the intent to sell the security; (ii) it is more likely than not that an entity will be required to sell the security before recovery of its amortized cost basis; or (iii) an entity does not expect to recover the entire amortized cost basis of the security.
All individual securities in a continuous unrealized loss position for 12 months or more as of December 31, 2021 and 2020 had an investment grade rating upon purchase. The issuers of these securities have not established any cause for default on these securities and various rating agencies have reaffirmed their long-term investment grade status as of December 31, 2021 and 2020. These securities have fluctuated in value since their purchase dates as market interest rates fluctuated. The Company does not intend to sell these securities and it is more likely than not that the Company will not be required to sell before the recovery of its amortized cost basis. The Company determined that the investment securities with unrealized losses for twelve months or more are not other-than-temporary impaired, and, therefore, no impairment was recognized during the years ended December 31, 2021, 2020 and 2019.
v3.22.0.1
Loans and Allowance for Loan Losses
 12 Months Ended
Dec. 31, 2021
Receivables [Abstract]  
Loans and Allowance for Loan Losses Loans and Allowance for Loan Losses
Loans Held-For-Investment
The following table presents, by recorded investment, the composition of the Company’s loans held-for-investment (net of deferred fees and costs) as of the dates indicated:
December 31,
($ in thousands)20212020
Real estate loans:
Commercial property$1,105,843 $880,736 
Residential property209,485 198,431 
SBA property129,661 126,570 
Construction8,252 15,199 
Total real estate loans1,453,241 1,220,936 
Commercial and industrial loans:
Commercial term73,438 87,250 
Commercial lines of credit100,936 96,087 
SBA commercial term17,640 21,878 
SBA PPP65,329 135,654 
Total commercial and industrial loans257,343 340,869 
Other consumer loans
21,621 21,773 
Loans held-for-investment
1,732,205 1,583,578 
Allowance for loan losses
(22,381)(26,510)
Net loans held-for-investment
$1,709,824 $1,557,068 
In the ordinary course of business, the Company may grant loans to certain officers and directors, and the companies with which they are associated. As of December 31, 2021 and 2020, the Company had $398 thousand and $3.9 million, respectively, of such loans outstanding.
Allowance for Loan Losses
The following table presents the activities in allowance for loan losses by portfolio segment, which is consistent with the Company’s methodology for determining allowance for loan losses, for the periods indicated:
($ in thousands)Real EstateCommercial and IndustrialConsumerTotal
Balance at January 1, 2019$9,104 $3,877 $186 $13,167 
Charge-offs
(31)(3,350)(198)(3,579)
Recoveries on loans previously charged off
6 378 171 555 
Provision for loan losses
775 3,449 13 4,237 
Balance at December 31, 20199,854 4,354 172 14,380 
Charge-offs
(175)(1,104)(250)(1,529)
Recoveries on loans previously charged off
58 236 146 440 
Provision for loan losses
9,157 3,736 326 13,219 
Balance at December 31, 202018,894 7,222 394 26,510 
Charge-offs
(24)(115)(88)(227)
Recoveries on loans previously charged off
63 565 66 694 
Reversal for loan losses(2,136)(2,362)(98)(4,596)
Balance at December 31, 2021$16,797 $5,310 $274 $22,381 
The following tables present the information on allowance for loan losses and recorded investments by portfolio segment and impairment methodology as of the dates indicated:
($ in thousands)Real EstateCommercial and IndustrialConsumerTotal
December 31, 2021
Allowance for loan losses:
Individually evaluated for impairment$— $— $— $— 
Collectively evaluated for impairment16,797 5,310 274 22,381 
Total$16,797 $5,310 $274 $22,381 
Loans receivable:
Individually evaluated for impairment$1,314 $221 $— $1,535 
Collectively evaluated for impairment1,451,927 257,122 21,621 1,730,670 
Total$1,453,241 $257,343 $21,621 $1,732,205 
December 31, 2020
Allowance for loan losses:
Individually evaluated for impairment$3 $2 $— $5 
Collectively evaluated for impairment18,891 7,220 394 26,505 
Total$18,894 $7,222 $394 $26,510 
Loans receivable:
Individually evaluated for impairment$2,200 $1,531 $— $3,731 
Collectively evaluated for impairment1,218,736 339,338 21,773 1,579,847 
Total$1,220,936 $340,869 $21,773 $1,583,578 
Credit Quality Indicators
The following table presents the risk categories for the recorded investment in loans by portfolio segment as of dates indicated:
($ in thousands)PassSpecial MentionSubstandardDoubtfulTotal
December 31, 2021
Real estate loans:
Commercial property$1,092,253 $11,739 $1,851 $— $1,105,843 
Residential property209,485 — — — 209,485 
SBA property127,518 251 1,892 — 129,661 
Construction8,252 — — — 8,252 
Commercial and industrial loans:
Commercial term68,626 3,698 1,114 — 73,438 
Commercial lines of credit98,785 2,151 — — 100,936 
SBA commercial term17,111 253 276 — 17,640 
SBA PPP65,329 — — — 65,329 
Other consumer loans
21,586 — 35 — 21,621 
Total$1,708,945 $18,092 $5,168 $— $1,732,205 
December 31, 2020
Real estate loans:
Commercial property$866,508 $10,268 $3,960 $— $880,736 
Residential property198,242 — 189 — 198,431 
SBA property123,147 251 3,172 — 126,570 
Construction15,199 — — — 15,199 
Commercial and industrial loans:
Commercial term81,724 4,362 1,164 — 87,250 
Commercial lines of credit93,884 1,299 904 — 96,087 
SBA commercial term20,922 281 675 — 21,878 
SBA PPP135,654 — — — 135,654 
Other consumer loans21,707 — 66 — 21,773 
Total$1,556,987 $16,461 $10,130 $— $1,583,578 
Substandard SBA property loans included $109 thousand and $113 thousand of guaranteed portion by the U.S. government agency at December 31, 2021 and 2020, respectively.
The Company had no loans under modified terms related to the COVID-19 pandemic as of December 31, 2021. The following table presents the risk categories for the recorded investment in loans under modified terms related to the COVID-19 pandemic by portfolio segment as of December 31, 2020:
($ in thousands)PassSpecial MentionSubstandardDoubtfulTotal
December 31, 2020
Real estate loans:
Commercial property$13,158 $10,268 $706 $— $24,132 
Residential property425 — — — 425 
SBA property3,941 251 — — 4,192 
Commercial and industrial loans:
Commercial term— 4,362 1,165 — 5,527 
SBA commercial term1,769 — 72 — 1,841 
Total$19,293 $14,881 $1,943 $— $36,117 
Loans that were granted modifications related to the COVID-19 pandemic in excess of 6 months, on a cumulative basis, were
classified as special mention or substandard.
Past Due and Nonaccrual Loans
The following table presents the aging of past due recorded investment in accruing loans and nonaccrual loans by portfolio segment as of dates indicated:
Still Accruing
($ in thousands)30 to 59 Days Past Due60 to 89 Days Past Due90 or More Days Past Due NonaccrualTotal Past Due and Nonaccrual
December 31, 2021
Real estate loans:
Residential property$461 $— $— $— $461 
SBA property— — — 746 746 
Commercial and industrial loans:
SBA commercial term— — — 213 213 
Other consumer loans88 5 — 35 128 
Total$549 $5 $— $994 $1,548 
December 31, 2020
Real estate loans:
Commercial property$— $— $— $524 $524 
Residential property182 — — 189 371 
SBA property— — — 885 885 
Commercial and industrial loans:
Commercial lines of credit— — — 904 904 
SBA commercial term— — — 595 595 
Other consumer loans120 36 — 66 222 
Total$302 $36 $— $3,163 $3,501 
There were no nonaccrual loans guaranteed by the U.S. government agency at December 31, 2021 and 2020.
All loans under modified terms related to the COVID-19 pandemic were on accrual status and current at
Impaired Loans
The following table presents loans individually evaluated for impairment by portfolio segment as of the dates indicated. The recorded investment presents customer balances net of any partial charge-offs recognized on the loans and net of any deferred fees and costs.
With No Allowance RecordedWith an Allowance Recorded
($ in thousands)Recorded InvestmentUnpaid Principal BalanceRecorded InvestmentUnpaid Principal BalanceRelated Allowance
December 31, 2021
Real estate loans:
Commercial property$326 $325 $— $— $— 
SBA property988 1,033 — — — 
Commercial and industrial loans:
Commercial term2 2 — — — 
SBA commercial term219 227 — — — 
Total$1,535 $1,587 $— $— $— 
December 31, 2020
Real estate loans:
Commercial property$856 $855 $— $— $— 
Residential property189 189 — — — 
SBA property1,108 1,198 47 45 3 
Commercial and industrial loans:
Commercial term18 18 — — — 
Commercial lines of credit904 904 — — — 
SBA commercial term593 633 16 18 2 
Total$3,668 $3,797 $63 $63 $5 
The following table presents information on the recorded investment in impaired loans by portfolio segment for the periods indicated:
Year Ended December 31,
202120202019
($ in thousands)Average Recorded InvestmentInterest IncomeAverage Recorded InvestmentInterest IncomeAverage Recorded InvestmentInterest Income
Real estate loans:
Commercial property$329 $22 $467 $23 $170 $12 
Residential property— — 47 — 38 — 
SBA property1,105 16 1,459 17 1,685 41 
Commercial and industrial loans:
Commercial term10 — 24 1 47 3 
Commercial lines of credit— — 1,869 — 921 — 
SBA commercial term364 1 499 1 224 9 
Total$1,808 $39 $4,365 $42 $3,085 $65 
The following presents a summary of interest foregone on impaired loans for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Interest income that would have been recognized had impaired loans performed in accordance with their original terms
$99 $256 $213 
Less: interest income recognized on impaired loans on a cash basis
(39)(42)(65)
Interest income foregone on impaired loans$60 $214 $148 
Troubled Debt Restructurings
A TDR is a restructuring in which the Company, for economic or legal reasons related to a borrower’s financial difficulties, grants a concession to the borrower that it would not otherwise consider. The restructuring of a loan includes, but is not limited to: (i) the transfer from the borrower to the Company of real estate, receivables from third parties, other assets, or an equity interest in full or partial satisfaction of the loan, (ii) a modification of the loan terms, such as a reduction of the stated interest rate, principal, or accrued interest or an extension of the maturity date at a stated interest rate lower than the current market rate for new debt with similar risk, or (iii) a combination of the above. A loan extended or renewed at a stated interest rate equal to the current interest rate for new debt with similar risk is not to be reported as a restructured loan.
The following table presents the composition of loans that were modified as TDRs by portfolio segment as of the dates indicated:
December 31,
20212020
($ in thousands)AccruingNonaccrualTotalAccruingNonaccrualTotal
Real estate loans:
Commercial property$326 $— $326 $333 $— $333 
SBA property242 17 259 270 5 275 
Commercial and industrial loans:
Commercial term2 — 2 18 — 18 
SBA commercial term6 — 6 13 — 13 
Total$576 $17 $593 $634 $5 $639 
The Company had no commitments to lend to customers with outstanding loans that were classified as TDRs as of December 31, 2021 and 2020.
The determination of the allowance for loan losses related to TDRs depends on the collectability of principal and interest, according to the modified repayment terms. Loans that were modified as TDRs were individually evaluated for impairment and the Company allocated $0 and $0 of allowance for loan losses as of December 31, 2021 and 2020, respectively.
The following table presents new loans that were modified as TDRs by portfolio segment for the periods indicated:
Year Ended December 31,
20202019
($ in thousands)
Number of Loans
Pre-Modification Recorded InvestmentPost-Modification Recorded Investment
Number of Loans
Pre-Modification Recorded InvestmentPost-Modification Recorded Investment
Real estate loans:
Commercial property— $— $— 1 $341 $341 
SBA property— — — 2 254 254 
Commercial and industrial loans:
SBA commercial term2 37 37 2 15 15 
Total2 $37 $37 5 $610 $610 
The following table summarized the TDRs by modification type for the periods indicated:
Principal (1)
Principal and Interest (2)
Total
($ in thousands)
Number of Loans
Pre-Modification Recorded Investment
Number of Loans
Pre-Modification Recorded Investment
Number of Loans
Pre-Modification Recorded Investment
Year ended December 31, 2020:
Commercial and industrial loans:
SBA commercial term2 $37 — $— 2 $37 
Total2 $37 — $— 2 $37 
Year ended December 31, 2019:
Real estate loans:
Commercial property— $— 1 $341 1 $341 
SBA property2 254 — — 2 254 
Commercial and industrial loans:
SBA commercial term2 15 — — 2 15 
Total4 $269 1 $341 5 $610 
(1) Includes forbearance payments, term extensions and principal deferments that modify the terms of the loan from principal and interest payment to interest only payment.
(2) Includes principal and interest deferments or reductions.
There were no loans that were modified as TDRs for which there was a payment default within twelve months following the modification for the years ended December 31, 2021 and 2019. There was one SBA commercial term loan of $26 thousand that was modified as a TDR for which there was a payment default within twelve months following the modification for the year ended December 31, 2020.
Purchases, Sales, and Transfers
The following table presents a summary of loans held-for-investment transferred to loans held-for-sale for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Real estate loans:
Commercial property$8,563 $— $— 
Residential property189 1,125 824 
Commercial and industrial loans:
SBA commercial term— 230 — 
Total$8,752 $1,355 $824 
The following table presents a summary of loans held-for-sale transferred to loans held-for-investment for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Real estate loans:
Residential property$— $697 $— 
Total$— $697 $— 
The following table presents a summary of purchases of loans held-for-investment for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Real estate loans:
Residential property$2,139 $— $1,539 
Total$2,139 $— $1,539 
The Company had no sales of loans held-for-investment during the years ended December 31, 2021, 2020 and 2019. When the Company changes its intent to hold loans for investment, the loans are transferred to held-for-sale.
Loans Held-For-Sale
The following table presents a composition of loans held-for-sale as of the dates indicated:
December 31,
($ in thousands)20212020
Real estate loans:
Residential property$— $300 
SBA property33,603 1,411 
Commercial and industrial loans:
SBA commercial term3,423 268 
Total$37,026 $1,979 
v3.22.0.1
Premises and Equipment
 12 Months Ended
Dec. 31, 2021
Property, Plant and Equipment [Abstract]  
Premises and Equipment Premises and Equipment
The following table presents a composition of premises and equipment as of the dates indicated:
December 31,
($ in thousands)20212020
Leasehold improvements
$7,552 $7,848 
Furniture, fixtures and equipment
3,770 3,772 
Computer equipment
2,466 2,288 
Computer software
1,484 1,385 
Total premises and equipment15,272 15,293 
Less: accumulated depreciation
(12,174)(11,245)
Premises and equipment, net$3,098 $4,048 
The Company recognized depreciation expense of $1.4 million, $1.5 million and $1.5 million for the years ended December 31, 2021, 2020 and 2019, respectively
v3.22.0.1
Operating Leases
 12 Months Ended
Dec. 31, 2021
Leases [Abstract]  
Operating Leases Operating Leases
The following table presents operating lease cost and supplemental cash flow information related to leases for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Operating lease cost (1)
$2,580 $2,617 $2,632 
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases2,760 2,776 2,705 
Right-of-use assets obtained in exchange for lease obligations
1,459 950 1,616 
(1)    Included in Occupancy and Equipment on the Consolidated Statements of Income.
The Company used the incremental borrowing rate based on the information available in determining the present value of lease payment. The following table presents supplemental balance sheet information related to leases as of December 31, 2021:
December 31,
($ in thousands)20212020
Operating leases:
Operating lease assets$6,786 $7,616 
Operating lease liabilities7,444 8,455 
Weighted-average remaining lease term4.0 years4.3 years
Weighted-average discount rate2.36 %2.60 %
The following table presets maturities of operating lease liabilities as of December 31, 2021:
($ in thousands)December 31, 2021
Maturities:
2022$2,706 
20232,230 
2024793 
2025753 
2026482 
After 2026710 
Total lease payment
7,674 
Imputed interest
(230)
Present value of operating lease liabilities
$7,444 
v3.22.0.1
Servicing Assets
 12 Months Ended
Dec. 31, 2021
Transfers and Servicing [Abstract]  
Servicing Assets Servicing Assets
At December 31, 2021 and 2020, total servicing assets were $7.3 million and $6.4 million, respectively. The Company sells SBA loans and certain residential property loans with servicing retained. The Company sold loans of $126.8 million, $89.5 million and $99.6 million, respectively, with the servicing rights retained and recognized a net gain on sale of $12.8 million, $6.0 million and $5.9 million, respectively, during the years ended December 31, 2021, 2020 and 2019. Loan servicing income was $2.8 million, $2.7 million and $2.3 million for the years ended December 31, 2021, 2020 and 2019, respectively.
The following table presents the composition of servicing assets with key assumptions used to estimate the fair value:
December 31,
20212020
($ in thousands)Residential PropertySBA PropertySBA Commercial TermResidential PropertySBA PropertySBA Commercial Term
Carrying amount
$86 $6,701 $482 $109 $5,642 $649 
Fair value
$126 $11,196 $734 $133 $8,498 $888 
Discount rates
6.33 %8.75 %9.64 %11.25 %13.25 %12.75 %
Prepayment speeds
24.40 %9.80 %12.77 %27.20 %9.99 %11.01 %
Weighted average remaining life
21.9 years21.4 years6.2 years23.1 years21.1 years6.6 years
Underlying loans being serviced
$17,443 $442,424 $59,839 $22,299 $400,982 $75,514 
The following table presents activity in servicing assets for the periods indicated:
($ in thousands)Residential PropertySBA PropertySBA Commercial TermTotal
Balance at January 1, 2019$244 $6,349 $1,073 $7,666 
Additions
— 1,329 185 1,514 
Amortization
(73)(1,873)(436)(2,382)
Balance at December 31, 2019171 5,805 822 6,798 
Additions
— 1,408 142 1,550 
Amortization
(62)(1,571)(315)(1,948)
Balance at December 31, 2020109 5,642 649 6,400 
Additions
— 2,769 109 2,878 
Amortization
(23)(1,710)(276)(2,009)
Balance at December 31, 2021$86 $6,701 $482 $7,269 
v3.22.0.1
Other Real Estate Owned
 12 Months Ended
Dec. 31, 2021
Receivables [Abstract]  
Other Real Estate Owned Other Real Estate Owned
The following table presents activity in OREO for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Balance at beginning of year
$1,401 $— $— 
Additions
1,960 5,316 395 
Sales
(3,361)(3,915)(329)
Net change in valuation allowance
— — (66)
Balance at end of year$— $1,401 $— 
The following table presents activity in OREO valuation allowance for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Balance at beginning of year
$— $— $— 
Additions
— — 66 
Net direct write-downs and removal from sale
— — (66)
Balance at end of year$— $— $— 
The following table presents expenses related to OREO for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Net (gain) loss on sales
$(73)$(9)$1 
Operating expenses, net of rental income
81 60 — 
Total$8 $51 $1 
The Company provided a loan of $250 thousand and $1.5 million to finance the sale of its OREO property during the year ended December 31, 2021 and 2020, respectively. The Company did not provide loans to finance the sale of its OREO properties during the year ended December 31, 2019.
v3.22.0.1
Deposits
 12 Months Ended
Dec. 31, 2021
Deposits [Abstract]  
Deposits Deposits
At December 31, 2021 and 2020, total deposits were $1.87 billion and $1.59 billion, respectively, and total interest-bearing deposits were $1.04 billion and $1.06 billion, respectively. The aggregate amount of deposits reclassified as loans, such as overdrafts, was $39 thousand and $98 thousand at December 31, 2021 and 2020, respectively.
Total deposits not covered by deposit insurance were $919.6 million and $737.2 million, respectively, and total time deposits not covered by deposit insurance were $216.3 million and $224.7 million, respectively, at December 31, 2021 and 2020.
The Company had California State Treasurer’s deposits of $100.0 million and $100.0 million in time deposits of more than $250,000 at December 31, 2021 and 2020, respectively. The California State Treasurer’s deposits are subject to withdrawal based on the State’s periodic evaluations. At December 31, 2021 and 2020, the Company pledged securities with amortized cost of $110.9 million and $117.8 million, respectively, for the California State Treasurer’s deposits. At December 31, 2021 and 2020, the Company had brokered deposits of $85.0 million and $80.0 million, respectively.
Deposits from certain officers, directors and their related interests with which they are associated held by the Company were $3.9 million and $2.7 million at December 31, 2021 and 2020, respectively.
The following table presents scheduled maturities of time deposits as of December 31, 2021:
($ in thousands)20222023202420252026ThereafterTotal
Time deposits of $250,000 or less
$333,907 $5,484 $2,204 $326 $35 $— $341,956 
Time deposits of more than $250,000
269,107 3,162 — — — — 272,269 
Total time deposits$603,014 $8,646 $2,204 $326 $35 $— $614,225 
v3.22.0.1
Federal Home Loan Bank Advances and Other Borrowings
 12 Months Ended
Dec. 31, 2021
Debt Disclosure [Abstract]  
Federal Home Loan Bank Advances and Other Borrowings Federal Home Loan Bank Advances and Other Borrowings
FHLB Advances
The Company had $10.0 million and $80.0 million in FHLB advances at December 31, 2021 and 2020, respectively. FHLB advances consisted of a fixed rate term borrowing with with a maturity date of June 29, 2022 (original maturity term of five years) at December 31, 2021.
The following table presents scheduled maturities of FHLB advances as of December 31, 2021:
($ in thousands)2022202320242025ThereafterTotal
Fixed Rate
$10,000 $— $— $— $— $10,000 
Variable Rate
— — — — — — 
Total$10,000 $— $— $— $— $10,000 
The following table presents financial data of FHLB advances as of the dates or for the periods indicated:
As of or For the Year Ended December 31,
($ in thousands)202120202019
Weighted-average interest rate at end of year
2.07 %0.67 %1.92 %
Average interest rate during the year
0.97 %0.65 %1.86 %
Average balance
$30,096 $94,303 $25,370 
Maximum amount outstanding at any month-end
$80,000 $170,000 $35,000 
Balance at end of year
$10,000 $80,000 $20,000 
Advances paid early are subject to a prepayment penalty. At December 31, 2021 and 2020, loans pledged to secure from FHLB advances were $982.7 million and $834.4 million, respectively. The Company’s investment in capital stock of the FHLB of San Francisco totaled $8.4 million and $8.3 million, respectively, at December 31, 2021 and 2020. The Company had additional borrowing capacity of $516.2 million and $425.3 million, respectively, from the FHLB as of December 31, 2021 and 2020.
Other Borrowing Arrangements
At December 31, 2021, the Company had $29.2 million of unused borrowing capacity from the Federal Reserve Discount Window, to which the Company pledged loans with a carrying value of $36.6 million with no outstanding borrowings. In addition, the Company may borrow up to approximately $65.0 million overnight federal funds lines on an unsecured basis with correspondent banks at December 31, 2021.
v3.22.0.1
Shareholders' Equity
 12 Months Ended
Dec. 31, 2021
Equity [Abstract]  
Shareholders' Equity Shareholders’ Equity
Common Stock
Stock Repurchases
On March 28, 2019, the Company’s Board of Directors approved the repurchase of up to $6.5 million of the Company’s common stock through March 27, 2020. During the year ended December 31, 2019, the Company completed the repurchase program, and repurchased and retired 396,715 shares of common stock at a weighted-average price of $16.33 per share.
On January 23, 2020, the Company announced that on November 22, 2019, its Board of Directors approved a $6.5 million stock repurchase program to commence upon the opening of the Company’s trading window for the first quarter of 2020 and continue through November 20, 2021. The Company completed the repurchase program in March 2020. The Company repurchased and retired 428,474 shares of common stock at a weighted-average price of $15.14 per share.
On April 8, 2021, the Company’s Board of Directors approved a repurchase program authorizing the repurchase of up to 5% of the Company’s outstanding common stock as of the date of the board meeting, which represented 775,000 shares, through September 7, 2021. The Company repurchased and retired 680,269 shares of common stock at a weighted-average price of $15.99 per share, totaling $10.9 million under this repurchase program.
v3.22.0.1
Share-Based Compensation
 12 Months Ended
Dec. 31, 2021
Share-based Payment Arrangement [Abstract]  
Share-Based Compensation Share-Based Compensation
On July 25, 2013, the Company adopted the Equity Based Stock Compensation Plan (“2013 EBSC Plan”) approved by its shareholders to replace the 2003 Stock Option Plan. The 2013 EBSC Plan provided for options to purchase 1,114,446 shares of common stock for equity-based compensation awards including incentive and non-qualified stock options and restricted stock awards. As of December 31, 2021, there were 468,170 shares available for future grants.
Share-Based Compensation Expense
The following table presents share-based compensation expense and the related tax benefits for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Share-based compensation expense related to:
Stock options$187 $562 $650 
Restricted stock awards266 153 59 
Total share-based compensation expense$453 $715 $709 
Related tax benefits$84 $76 $44 
The following table presents unrecognized share-based compensation expense as of December 31, 2021:
($ in thousands)Unrecognized ExpenseWeighted-Average Remaining Expected Recognition Period
Unrecognized share-based compensation expense related to:
Stock options$341 2.4 years
Restricted stock awards537 2.1 years
Total unrecognized share-based compensation expense$878 2.2 years
Stock Options
The Company has issued stock options to certain employees, officers and directors. Stock options are issued at the closing market price on the grant date, and generally have a three-to five-year vesting period and contractual terms of ten years. The Company recognizes an income tax deduction upon exercise of the non-qualified stock option by the option holder in an amount equal to the taxable income reported by the option holders. The option holder of non-qualified stock option recognizes taxable income based on the closing market price immediately before the exercise date less the exercise price stated in the grant agreement. The following table presents the weighted-average assumptions used to determine the fair value of options granted for the periods indicated:
Year Ended December 31,
202120202019
Risk-free interest rate
1.13 %— %2.06 %
Expected term
6.71 yearsN/A5.00 years
Expected stock price volatility
27.54 %— %36.10 %
Dividend yield
2.64 %— %1.33 %
The following table presents information related to the stock option plan for the periods indicated:
Year Ended December 31,
($ in thousands, except per share data)202120202019
Intrinsic value of options exercised
$794 $789 $851 
Cash received from options exercised
$1,279 $693 $627 
Tax benefit from options exercised
$60 $70 $31 
Weighted-average estimated fair value per share of options granted
$3.76 $— $5.76 
The following table represents stock option activity as of and for the year ended December 31, 2021:
Year Ended December 31, 2021
($ in thousands except per share data)
Number of SharesWeighted-Average Exercise Price Per ShareWeighted-Average Contractual TermAggregated Intrinsic Value
Outstanding at beginning of year
718,935 $10.87 5.07 years$— 
Granted
50,000 $17.94 10.00 years
Exercised
(126,163)$10.14 4.22 years
Forfeited
(10,000)$17.47 8.00 years
Balance at end of year632,772 $11.47 4.54 years$6,641 
Exercisable at end of year525,673 $10.40 3.85 years$6,078 
The following table represents information regarding unvested stock options for the year ended December 31, 2021:
Year Ended December 31, 2021
Number of SharesWeighted-Average Exercise Price Per Share
Outstanding at beginning of year
121,199 $15.68 
Granted
50,000 $17.94 
Vested
(54,100)$15.41 
Forfeited
(10,000)$17.47 
Balance at end of year107,099 $16.70 
Restricted Stock Awards
The Company also has granted RSAs to certain employees and officers. The RSAs are valued at the closing market price of the Company's stock on the grant date and generally have a three-to five-year vesting period. The Company recognizes an income tax deduction in an amount equal to the taxable income reported by the holders of the restricted stock, when vested. The following table represents RSAs activity for the year ended December 31, 2021:
Year Ended December 31, 2021
Number of SharesWeighted-Average Grant Date Fair Value Per Share
Outstanding at beginning of period
30,300 $16.27 
Granted
35,584 $10.80 
Vested
(9,300)$16.46 
Forfeited
(1,300)$13.23 
Outstanding at end of period55,284 $12.79 
v3.22.0.1
Employee Benefit Plans
 12 Months Ended
Dec. 31, 2021
Retirement Benefits [Abstract]  
Employee Benefit Plans Employee Benefit PlansThe Company has adopted a defined contribution 401(k) plan for the benefit of its employees. The Company matches 75% of an employee’s contribution up to 8% of the employee’s salary each year. The Board of Directors may make a discretionary contribution to the plan annually. The Company’s contribution to the plan was $901 thousand, $807 thousand and $831 thousand for the years ended December 31, 2021, 2020 and 2019, respectively.
v3.22.0.1
Income Taxes
 12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The following table presents the components of income tax expense for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Current:
Federal$12,117 $6,596 $8,317 
State6,692 3,910 4,499 
Total current income tax expense18,809 10,506 12,816 
Deferred:
Federal(1,428)(2,223)(1,747)
State(525)(1,447)(826)
Total deferred income tax benefit(1,953)(3,670)(2,573)
Total
$16,856 $6,836 $10,243 
The following table presents a reconciliation of the recorded income tax expense to the amount of taxes computed by applying the applicable statutory Federal income tax rate for the periods indicated:
Year Ended December 31,
202120202019
Statutory federal tax rate
21.00 %21.00 %21.00 %
State and local income taxes, net of federal tax benefit8.55 %8.45 %8.45 %
Share-based compensation
0.05 %0.39 %0.10 %
Other items, net
(0.01)%(0.13)%0.27 %
Effective income tax rate
29.59 %29.71 %29.82 %
The following table presents the components of the net deferred tax assets recognized in the accompanying consolidated balance sheets as of the dates indicated:
December 31,
($ in thousands)
20212020
Deferred tax assets:
Allowance for loan losses$6,609 $7,790 
Share-based compensation303 335 
Loans held-for-sale market adjustment2,445 419 
Operating lease liabilities2,198 2,485 
State tax benefit1,365 822 
Other360 447 
Total deferred tax assets13,280 12,298 
Deferred tax liabilities:
Depreciation on premises and equipment208 394 
Unrealized gain on investment securities4 754 
Deferred loan origination costs177 732 
Operating lease assets2,004 2,238 
Other63 60 
Total deferred tax liabilities2,456 4,178 
Deferred tax assets, net
$10,824 $8,120 
The Company had no valuation allowance for deferred tax assets as of December 31, 2021 and 2020. Based upon the level of historical taxable income and projections for future taxable income over the periods in which the temporary differences become deductible, management believes it is more likely than not that the Company will realize the benefits of these deferred tax assets, and a valuation allowance was not necessary as of December 31, 2021 and 2020.
At December 31, 2021 and 2020, the Company had no unrecognized tax benefits or related accrued interest. In the event the Company is assessed interest and/or penalties by federal or state tax authorities, such amounts will be classified in the consolidated financial statements as income taxes. The Company does not expect the total amount of unrecognized tax benefit to significantly increase or decrease in the next twelve months.
The Company and the Bank are subject to U.S. federal and various state jurisdictions income tax examinations. As of December 31, 2021, the Company is no longer subject to examination by taxing authorities for tax years before 2018 for federal taxes and before 2017 for various state jurisdictions. The statute of limitations vary by state, and state taxes other than California have been immaterial to the Company’s financial results.
v3.22.0.1
Earnings Per Share
 12 Months Ended
Dec. 31, 2021
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
The following is a reconciliation of net income and shares outstanding to the income and number of share used to compute earnings per share for the periods indicated:
Year Ended December 31,
($ in thousands, except per share)
202120202019
Basic earnings per share:
Net income$40,103 $16,175 $24,108 
Less: income allocated to unvested restricted stock(156)(37)(22)
Net income allocated to common stock$39,947 $16,138 $24,086 
Weighted-average total common shares outstanding15,076,183 15,419,455 15,887,566 
Less: weighted-average unvested restricted stock(58,546)(35,224)(14,183)
Weighted-average common shares outstanding, basic15,017,637 15,384,231 15,873,383 
Basic earnings per share$2.66 $1.05 $1.52 
Diluted earnings per share:
Net income allocated to common stock$39,947 $16,138 $24,086 
Weighted-average commons shares outstanding15,017,637 15,384,231 15,873,383 
Diluted effect of stock options236,183 64,661 298,899 
Diluted weighted-average common shares outstanding15,253,820 15,448,892 16,172,282 
Diluted earnings per share$2.62 $1.04 $1.49 
There were 65,000, 601,019, and 155,000 stock options excluded in computing diluted earnings per share because they were anti-dilutive for years ended December 31, 2021, 2020, and 2019, respectively.
v3.22.0.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
In the ordinary course of business, the Company enters into financial commitments to meet the financing needs of its customers. These financial commitments include commitments to extend credit and letters of credit. Those instruments involve to varying degrees, elements of credit, and interest rate risk not recognized in the Company’s consolidated financial statements.
The following table presents outstanding financial commitments whose contractual amount represents credit risk as of the dates indicated:
December 31,
20212020
($ in thousands)Fixed RateVariable RateFixed RateVariable Rate
Unused lines of credit$8,261 $160,739 $6,623 $150,247 
Unfunded loan commitments595 29,688 1,752 34,874 
Standby letters of credit
3,078 1,431 2,971 1,814 
Commercial letters of credit
91 524 — — 
Total$12,025 $192,382 $11,346 $186,935 
Unfunded loan commitments are generally made for periods of 90 days or less, except for SBA loans that are generally made for periods of 180 days or less.
The Company’s exposure to loan loss in the event of nonperformance on commitments to extend credit and standby letters of credit is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments as it does for the loans reflected in the consolidated financial statements. The Company maintained reserve for off-balance sheet items of $214 thousand and $238 thousand, respectively, at December 31, 2021 and 2020.
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Since many of the commitments are expected to expire without being drawn upon, the total amounts do not necessarily represent future cash requirements. The Company evaluates each client’s credit worthiness on a case-by-case basis. The amount of collateral obtained if deemed necessary by the Company is based on management’s credit evaluation of the customer.
Litigation
The Company is involved in various matters of litigation, which have arisen in the ordinary course of business. In the opinion of management, the disposition of pending matters of litigation will not have a material effect on the Company’s consolidated financial statements.
COVID-19 Pandemic
The ongoing COVID-19 pandemic, and governmental and societal responses thereto, have had a severe impact on global economic and market conditions. The U.S. government has enacted a number of monetary and fiscal policies to provide fiscal stimulus and relief in order to mitigate the impact of the COVID-19 pandemic. However, the COVID-19 pandemic continues to be a challenge to public health, including the emergence of new variants, and impact global economic and market conditions, including global supply chain disruptions and high inflation.
Network and Data Incident
On August 30, 2021, the Bank identified unusual activity on its network. The Bank responded promptly to disable the activity, investigate its source and monitor the Bank’s network. The Bank subsequently became aware of claims that it had been the target of a ransomware attack. On September 7, 2021, the Bank determined that an external actor had illegally accessed and/or acquired certain data on its network. The Bank has been working with third-party forensic investigators to understand the nature and scope of the incident and determine what information may have been accessed and/or acquired and who may have been impacted. The investigation revealed that this incident impacted certain files containing certain Bank customer information. Some of these files contained documents related to loan applications, such as tax returns, Form W-2 information of their employees, and payroll records. The Bank has notified all individuals identified as impacted, consistent with applicable laws. All impacted individuals were offered free Equifax Complete Premier credit monitoring and identify theft protection services. The Bank has notified law enforcement and appropriate authorities of the incident.
On December 16, 2021, a complaint based on the incident was filed in the Los Angeles County Superior Court seeking damages, injunctive relief, and equitable relief. The Bank expresses no opinion on the merits of the Matter and intends to answer, respond, and/or otherwise vigorously defend itself from the claims and causes of action asserted in the complaint to the fullest extent permitted by applicable law. Those defenses will be based in part on the fact that the Bank has implemented security procedures, practices, and a robust information security program pursuant to guidance from financial regulators.
The Company continues to monitor and evaluate the data incident for its magnitude and concomitant financial, legal or reputational consequences. During the year ended December 31, 2021, expenses associated with the data incident, all of which are included in Other Expense in Consolidated Statements of Income, totaled $100 thousand, which represents the retention amount on its insurance claims. The Company anticipates additional expenses will be incurred in future periods; however, the Company does have a cyber-liability insurance policy that should provide insurance coverage for this incident. To date, no litigation has resulted from the data incident.
v3.22.0.1
Regulatory Matters
 12 Months Ended
Dec. 31, 2021
Other Commitments [Abstract]  
Regulatory Matters Regulatory Matters
Under the Basel III rules, the Bank must hold a capital conservation buffer above the adequately capitalized risk-based capital ratios. The capital conservation buffer was fully phased in from 0.0% in 2015 to 2.50% by 2019. Management believes as of December 31, 2021 and 2020, the Bank met all capital adequacy requirements to which they are subject to. Based on changes to the Federal Reserve’s definition of a “Small Bank Holding Company” in 2018, which increased the threshold to $3 billion in assets, the Company is not currently subject to separate minimum capital measurements. At such time as the Company reaches the $3 billion asset level, it will again be subject to capital measurements independent of the Bank. For comparison purposes, the Company’s ratios are included in following discussion as well, all of which would have exceeded the “well-capitalized” level had the Company been subject to separate capital minimums. The Company and the Bank’s capital conservation buffer was 8.04% and 7.73%, respectively, as of December 31, 2021, and 9.22% and 8.95%, respectively, as of December 31, 2020. Unrealized gain or loss on securities available-for-sale is not included in computing regulatory capital. The following table presents the regulatory capital amounts and ratios for the Company and the Bank as of dates indicated:
ActualMinimum Capital RequirementTo Be Well Capitalized Under Prompt Corrective Provisions
($ in thousands)AmountRatioAmountRatioAmountRatio
December 31, 2021
PCB Bancorp
Common tier 1 capital (to risk-weighted assets)$255,650 14.79 %$77,762 4.5 % N/A  N/A
Total capital (to risk-weighted assets)277,263 16.04 %138,244 8.0 % N/A  N/A
Tier 1 capital (to risk-weighted assets)255,650 14.79 %103,683 6.0 % N/A  N/A
Tier 1 capital (to average assets)255,650 12.11 %84,445 4.0 % N/A  N/A
Pacific City Bank
Common tier 1 capital (to risk-weighted assets)$250,145 14.48 %$77,761 4.5 %$112,321 6.5 %
Total capital (to risk-weighted assets)271,757 15.73 %138,241 8.0 %172,801 10.0 %
Tier 1 capital (to risk-weighted assets)250,145 14.48 %103,681 6.0 %138,241 8.0 %
Tier 1 capital (to average assets)250,145 11.85 %84,443 4.0 %105,554 5.0 %
December 31, 2020
PCB Bancorp
Common tier 1 capital (to risk-weighted assets)$231,183 15.97 %$65,162 4.5 %N/AN/A
Total capital (to risk-weighted assets)249,391 17.22 %115,843 8.0 %N/AN/A
Tier 1 capital (to risk-weighted assets)231,183 15.97 %86,882 6.0 %N/AN/A
Tier 1 capital (to average assets)231,183 11.94 %77,452 4.0 %N/AN/A
Pacific City Bank
Common tier 1 capital (to risk-weighted assets)$227,268 15.70 %$65,160 4.5 %$94,120 6.5 %
Total capital (to risk-weighted assets)245,474 16.95 %115,840 8.0 %144,800 10.0 %
Tier 1 capital (to risk-weighted assets)227,268 15.70 %86,880 6.0 %115,840 8.0 %
Tier 1 capital (to average assets)227,268 11.74 %77,450 4.0 %96,813 5.0 %
On December 16, 2021, the Treasury informed the Company, that the Treasury has reviewed the Company’s application to receive a capital investment from the Treasury under the ECIP, and that the Company would be eligible to receive an ECIP investment in an amount up to approximately $69.1 million in the form of non-dilutive Tier 1 senior perpetual preferred capital. The Company determined to accept the offer to receive the ECIP investment for the full amount and it expects to close in the second quarter of 2022, both of which are subject to final determination by the U.S. Treasury.
Established by the Consolidated Appropriations Act, 2021, the ECIP was created to encourage low- and moderate-income community financial institutions and minority depository institutions such as the Bank to augment their efforts to support small businesses and consumers in their communities.
The California Financial Code provides that a bank may not make a cash distribution to its shareholders in excess of the lesser of the bank’s undivided profits or the bank’s net income for its last three fiscal years less the amount of any distribution made to the bank’s shareholder during the same period. As a California corporation, the Company is subject to the limitations of California law, which allows a corporation to distribute cash or property to shareholders, including a dividend or repurchase or redemption of shares, if the corporation meets either a retained earnings test or a “balance sheet” test. Under the retained earnings test, the Company may make a distribution from retained earnings to the extent that its retained earnings exceed the sum of (a) the amount of the distribution plus (b) the amount, if any, of dividends in arrears on shares with preferential dividend rights. The Company may also make a distribution if, immediately after the distribution, the value of its assets equals or exceeds the sum of (a) its total liabilities plus (b) the liquidation preference of any shares which have a preference upon dissolution over the rights of shareholders receiving the distribution. Indebtedness is not considered a liability if the terms of such indebtedness provide that payment of principal and interest thereon are to be made only if, and to the extent that, a distribution to shareholders could be made under the balance sheet test.
The Federal Reserve, the FDIC and CDFPI periodically examine the Company’s business, including compliance with laws and regulations. If, as a result of an examination, a banking agency were to determine that the Company’s financial condition, capital resources, asset quality, earnings prospects, management, liquidity or other aspects of any of the Company’s operations had become unsatisfactory, or that the Company was in violation of any law or regulation, they may take a number of different remedial actions as they deem appropriate. These actions include the power to enjoin “unsafe or unsound” practices, to require affirmative action to correct any conditions resulting from any violation or practice, to issue an administrative order that can be judicially enforced, to direct an increase in Company’s capital, to restrict growth, to assess civil money penalties, to fine or remove officers and directors and, if it is concluded that such conditions cannot be corrected or there is an imminent risk of loss to depositors, to terminate the Company’s deposit insurance and place the Company into receivership or conservatorship.
On April 30, 2019, the FDIC, the CDFPI and the Bank entered into a stipulation consenting to the issuance of a consent order (the “Order”) relating to the Bank’s BSA/AML. Subsequent to the Order, the Bank implemented many actions to respond to the requirements of the Order and submitted all required reports to the FDIC and CDFPI. On September 30, 2020, the FDIC and CDFPI terminated the Order upon the Bank’s satisfaction of the terms and requirements of the Order to their satisfaction.
v3.22.0.1
Revenue Recognition
 12 Months Ended
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
The following table presents revenue from contracts with customers within the scope of ASC 606 for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Noninterest income in-scope of Topic 606
Service charges and fees on deposits:
Monthly service fees$81 $91 $113 
Account analysis fees885 860 972 
Non-sufficient funds charges165 228 364 
Other deposit related fees64 77 95 
Total service charges and fees on deposits1,195 1,256 1,544 
Debit card fees306 252 272 
Gain (loss) on sale of other real estate owned74 9 (1)
Wire transfer fees596 530 515 
Other service charges198 184 221 
Total$2,369 $2,231 $2,551 
v3.22.0.1
Condensed Financial Statements for Parent Company
 12 Months Ended
Dec. 31, 2021
Condensed Financial Information Disclosure [Abstract]  
Condensed Financial Statements for Parent Company Condensed Financial Statements for Parent Company
The parent company’s condensed statements of financial condition as of December 31, 2021 and 2020, and the related condensed statements of income and comprehensive income, and condensed statements of cash flows for the years ended December 31, 2021, 2020, and 2019 are presented below:
Condensed Balance Sheets
December 31,
($ in thousands)20212020
Assets
Cash
$5,451 $3,873 
Investment in Pacific City Bank
250,780 229,871 
Other assets
55 44 
Total assets$256,286 $233,788 
Liabilities and Shareholders’ Equity
Total liabilities— — 
Total shareholders’ equity256,286 233,788 
Total liabilities and shareholders’ equity$256,286 $233,788 
Condensed Statements of Income and Comprehensive Income
Year Ended December 31,
($ in thousands)202120202019
Income:
Dividends from subsidiary$18,375 $13,600 $11,950 
Other income— — — 
Total income18,375 13,600 11,950 
Expense:
Other expense753 798 835 
Total expense753 798 835 
Income before taxes and equity in undistributed subsidiary income17,622 12,802 11,115 
Income tax benefit(223)(234)(245)
Income before equity in undistributed subsidiary income17,845 13,036 11,360 
Equity in undistributed subsidiary income22,258 3,139 12,748 
Net income40,103 16,175 24,108 
Other comprehensive income (loss), net of tax(1,802)2,013 1,590 
Comprehensive income$38,301 $18,188 $25,698 
Condensed Statements of Cash Flows
Year Ended December 31,
($ in thousands)202120202019
Cash flows from operating activities
Net income$40,103 $16,175 $24,108 
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed subsidiary income(22,258)(3,139)(12,748)
Change in other assets(11)47 (40)
Change in other liabilities— — (19)
Net cash provided by operating activities17,834 13,083 11,301 
Cash flows from investing activities:
Capital contribution to subsidiary— — — 
Net cash used in investing activities— — — 
Cash flows from financing activities:
Restricted stock surrendered due to employee tax liability(4)(2)— 
Repurchase of common stock(10,876)(6,487)(6,480)
Stock options exercised1,279 693 626 
Cash dividends paid on common stock(6,655)(6,153)(3,962)
Net cash used in financing activities(16,256)(11,949)(9,816)
Net increase in cash and cash equivalents1,578 1,134 1,485 
Cash and cash equivalents at beginning of year3,873 2,739 1,254 
Cash and cash equivalents at end of year$5,451 $3,873 $2,739 
v3.22.0.1
Subsequent Events
 12 Months Ended
Dec. 31, 2021
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
Dividend Declared on Common Stock. On January 27, 2022, the Company’s Board of Directors declared a quarterly cash dividend of $0.15 per common share for the first quarter of 2022. The dividend was paid on February 18, 2022, to shareholders of record as of the close of business on February 11, 2022.
The Company has evaluated the effects of events that have occurred subsequent to December 31, 2021 through the issuance date of these consolidated financial statements. Other than the event described above, there have been no material events that would require disclosure in the consolidated financial statements or in the notes to the consolidated financial statements.
v3.22.0.1
Basis of Presentation and Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiary as of December 31, 2021 and 2020 and for the years ended December 31, 2021, 2020 and 2019. Significant inter-company accounts and transactions have been eliminated in consolidation. Unless the context requires otherwise, all references to the Company include its wholly owned subsidiaries.
Basis of Presentation The accounting and reporting polices of the Company are based upon GAAP and conform to predominant practices within the financial services industry. Significant accounting policies followed by the Company are presented below. Certain prior period amounts have been reclassified to conform to the current year’s presentation. These reclassifications had no impact on the Company’s consolidated statements of financial condition or operations.
Use of Estimates in the Preparation of Financial Statements
Use of Estimates in the Preparation of Financial Statements
The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. These estimates are subject to change and such change could have a material effect on the consolidated financial statements. Actual results may differ from those estimates.
Cash and Cash Equivalents
Cash and Cash Equivalents
Cash and cash equivalents include cash on hand, cash items in transit, cash due from the Federal Reserve Bank and other financial institutions, and federal funds sold with original maturities less than 90 days.
In response to the COVID-19 pandemic, on March 26, 2020, the Federal Reserve reduced reserve requirement ratios to 0%, eliminating the reserve requirement for all depository institutions, an action that provides liquidity in the banking system to support lending to households and businesses.
Investment Securities
Investment Securities
Investment securities are classified as held-to-maturity or available-for-sale at the time of purchase based upon the intent of management, liquidity and capital requirements, regulatory limitations and other relevant factors. Debt securities are classified as held-to-maturity when management has the positive intent and ability to hold to maturity. Debt securities are classified as available-for-sale when they might be sold before maturity. Securities held-to-maturity are carried at amortized cost and securities available-for-sale are carried at fair value with unrealized gains and losses, net of taxes, recorded in other comprehensive income.
On June 30, 2020, the Company transferred securities held-to-maturity to securities available-for-sale as a part of the Company’s liquidity management plan in response to the COVID-19 pandemic. Management determined that its securities held-to-maturity no longer adhere to the Company’s current liquidity management plan and could be sold to potentially improve its liquidity position. Accordingly, the Company was no longer able to assert that it had the intent to hold these securities until maturity and the Company’s ability to assert that it has the intent and ability to hold to maturity debt securities will be limited for up to two years from the date of transfer. The Company transferred all securities held-to-maturity of $18.8 million to securities available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $787 thousand.
Gains and losses on sales of securities are determined using the specific identification method. Net realized gains or losses on available-for-sale securities are included in noninterest income and, when applicable, are reported as a reclassification adjustment, net of tax, in other comprehensive income. Amortization of premiums and accretion of discounts are included in interest income using the effective interest method.
Management evaluates securities for OTTI at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings.
For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: OTTI related to credit loss, which is recognized as a charge against earnings, and OTTI related to other factors, which is recognized in other comprehensive income, net of tax. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis.
Loans Held-For-Sale
Loans Held-For-Sale
The Company originates SBA loans, and certain residential property and commercial property loans with the intention for sale in the secondary market. The Company records the guaranteed portion of SBA loans and these residential property and commercial property loans held-for-sale at the lower of cost or fair value on an aggregate basis. Fair value is based on commitments on hand from investors or prevailing market prices. A valuation allowance is established if the fair value of such loans is lower than their cost, with a corresponding charge to noninterest income.
When the Company changes its intent to hold loans for investment, the loans are transferred to held-for-sale at lower of cost or fair value at the time of transfer, as determined on an individual loan level with charges made to allowance for loan losses when the fair value is lower than the cost. Deferred fees and cost on transferred loans are included in the determination of gains or losses on sale of the related loans. Subsequent decreases in fair value, if any, are recognized through a valuation allowance with charges made to noninterest income.
If a determination is made that a loan held-for-sale cannot be sold in the foreseeable future, it is transferred to loans held-for-investment at lower of cost or fair value on the transfer date with a charge made to noninterest income when the fair value is lower than the cost.
Realized gains and losses from sales of loans are included in noninterest income. For sales of guaranteed portion of SBA and certain residential property loans, the loan servicing rights are retained.
Loans Held-For-Investment
Loans Held-For-Investment
Loans held-for-investment that management has the intent and ability to hold for the foreseeable future are reported at their outstanding unpaid principal balances, net of any charge-offs, deferred fees or costs on originated loans, or unamortized premiums or discounts on purchased loans. Loan origination fees and certain direct origination costs are deferred and recognized in interest income using the effective interest method over the life of the loan. Interest is accrued and credited to income as earned only if deemed collectible.
Loans on which the accrual of interest has been discontinued are designated as nonaccrual loans. Accrual of interest on loans is discontinued when principal or interest payment is 90 days past due based on the contractual terms of the loan or when, in the opinion of management, there is reasonable doubt as to collectability. When loans are placed on nonaccrual status, all interest previously accrued but not collected is reversed against current period interest income. Past-due status is based on the contractual terms of the loan. Interest payments that are subsequently received are applied as a reduction to the remaining principal balance as long as concern exists as to the collectability of the principal. Interest accruals are resumed on such loans only when the loans are brought current with respect to interest and principal and when, in the judgment of management, all principal and interest on the loans are expected to be fully collectable.
Loan portfolio segments identified by the Company include: real estate (commercial property, residential property, SBA property and construction), commercial and industrial (commercial term, commercial lines of credit, and SBA commercial term), and other consumer loans.
Risks associated with the Company’s real estate loans include a decline in the economy and a reduction in real estate values in the Company’s primary markets, an increase in market interest rates, increased competition in pricing and loan structure, and environmental risks. Risks associated with the Company’s commercial and industrial loans include a decline in the economy in the primary markets, an increase in market interest rates, and deterioration of a borrower’s or guarantor’s financial capabilities. Risk associated with the Company’s other consumer loans include the same risks associated with the commercial and industrial loans, but also includes risks related to consumer bankruptcy laws which allow consumers to discharge certain debts.
The Company classifies loans into risk categories based on relevant information about the ability of borrowers to service their debt, such as current financial information, historical payment experience, collateral adequacy, credit documentation, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans in regards to credit risk. This analysis typically includes non-homogeneous loans, such as commercial property and commercial and industrial loans, and is performed on an ongoing basis as new information is obtained.
The Company uses the following definitions for risk ratings:
•Pass - Loans classified as pass include non-homogeneous loans not meeting the risk ratings defined below and smaller, homogeneous loans not assessed on an individual basis.
•Special Mention - Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in the deterioration of repayment prospects for the loan or of the institution’s credit position at some future date.
•Substandard - Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as substandard have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.
•Doubtful - Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.
Loans Insured Or Guaranteed by Government Authorities
Small Business Administration Paycheck Protection Program: U.S. SBA launched the PPP to provide a direct incentive for small businesses to keep their workers on the payroll in response to the COVID-19 pandemic. The SBA guarantees 100% of the PPP loans made to eligible borrowers, and the loans are eligible to be forgiven if certain conditions are met, at which point the SBA will make payments to the Bank for the forgiven amounts. These loans are included in the C&I portfolio and have an interest rate of 1%. The substantial majority of the PPP loans funded during the year ended December 31, 2020 in the Company’s portfolio have a maturity of two years. On January 13, 2021, the SBA began accepting applications for second draw PPP loans. SBA PPP loans funded during the year ended December 31, 2021 have a maturity of five years.
As of December 31, 2021 and 2020, the Company had 354 and 1,585 SBA PPP loans totaling $65.3 million and $135.7 million, net of unamortized deferred fees and costs, respectively. As of December 31, 2021, the Company recognized $181.8 million in forgiveness. The Company amortizes these deferred fees and costs without prepayment assumption using the contractual lives of SBA PPP loans.
The SBA guarantee on PPP loans cannot be separated from the loan and therefore is not a separate unit of account. The Company considered the SBA guarantee in the allowance for loan losses evaluation and determined that it is not required to reserve an allowance on SBA PPP loans at December 31, 2021 and 2020.
Allowance for Loan Losses
Allowance for Loan Losses
Allowance for loan losses is a valuation allowance for probable incurred credit losses. Loan losses are charged against the allowance when management believes the loan is uncollectible. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged-off.
Amounts are charged-off when available information confirms that specific loans or portions thereof, are uncollectible. Generally, loans are charged off immediately when it is determined that advances to the borrower are in excess of the calculated current fair value of the collateral and if a borrower is deemed incapable of repayment of unsecured debt, there is little or no prospect for near term improvement and no realized strengthening action of significance pending. Other consumer loans are charged off based on delinquency, typically 120 days for closed loans and 180 days for open-end loans, or earlier when it is determined that the loan is uncollectible due to a triggering event, such as bankruptcy, fraud, or death. This methodology for determining charge-offs is consistently applied to each segment.
The allowance consists of general reserves (collectively evaluated for impairment) and specific reserves (individually evaluated for impairment). General reserves cover non-impaired loans and are based on historical loss rates over the most recent four years for each portfolio segment, adjusted for the effects of qualitative or environmental factors that are likely to cause estimated credit losses as of the evaluation date to differ from the portfolio segment’s historical loss experience.
The Company utilizes a migration analysis to measure actual historical loss experience, with the resulting historical loss rate adjusted for any applicable loss emergence period factors serving as the base loss rate to estimate the amount of appropriate loss reserve. Qualitative factors include consideration of the following: changes in lending policies and procedures; changes in economic conditions; changes in the nature and volume of the portfolio; changes in the experience, ability, and depth of lending management and other relevant staff; changes in the volume and severity of past due, nonaccrual, and other adversely graded loans; changes in the loan review system; changes in the value of the underlying collateral for collateral-dependent loans; concentrations of credit and the effect of other external factors such as competition and legal and regulatory requirements.
Specific reserves relate to loans that are individually classified as impaired. A loan is impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Factors considered in determining impairment include payment status, collateral value, and the probability of collecting all amounts when due. Measurement of impairment is based on the expected future cash flows of an impaired loan, which are to be discounted at the loan’s effective interest rate, or measured by reference to an observable market value, if one exists, or the fair value of the collateral for a collateral-dependent loan. The Company selects the measurement method on a loan-by-loan basis, with the exception of collateral-dependent loans for which the most viable source of repayment is the continued operation of the collateral or liquidation of the collateral. The impairment for these loans are measured at the fair value of the collateral, less estimated selling cost. If a loan is impaired, the loan is reported, net of the allocated allowance, at the present value of estimated future cash flows using the loan’s effective interest rate or at the fair value of collateral if repayment is expected solely from the collateral.
Interest payments received on impaired loans are first applied to principal, then recognized as income based on existing methods to recognize income on nonaccrual loans. Loans for which the terms have been modified resulting in a concession, and for which the borrower is experiencing financial difficulties, are considered TDRs and classified as impaired with measurement of impairment as described above.
Premises and Equipment
Premises and Equipment
Premises and equipment are carried at cost less accumulated depreciation and amortization. Depreciation is computed using the straight-line method over the estimated useful lives, which ranges from three to seven years for furniture and equipment. Leasehold improvements are amortized using the straight-line method over the estimated useful lives of the improvements or the remaining lease term, whichever is shorter. Expenditures for betterments or major repairs are capitalized and those for ordinary repairs and maintenance are charged to operations as part of occupancy and equipment expense as incurred.
Operating Leases
Operating Leases
The Company’s operating leases are for its headquarters office spaces, and retail branch and LPO locations. Most leases include one or more options to renew, with renewal terms that can extend the lease term from one to five years. The exercise of a lease renewal option is at the Company’s sole discretion. Certain leases with an initial term of 12 months or less are not recorded on the balance sheet and lease expenses for these leases are recognized on a straight-line basis over the lease term. None of the Company’s lease agreements contain any material residual value guarantees or material restrictive covenants. The Company also leases certain equipment, such as copy machines and scanners, but they are determined to be immaterial.
Federal Home Loan Bank and Other Restricted Stock Federal Home Loan Bank and Other Restricted StockThe Bank is a member of the FHLB and Pacific Coast Bankers’ Bancshares (“PCBB”) system. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB and PCBB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on the ultimate recovery of par value. Both cash and stock dividends are reported as income.
Other Real Estate Owned
Other Real Estate Owned
OREO represents properties acquired through foreclosure or other proceedings. The Company initially records OREO at fair value at the time of foreclosure. Thereafter, OREO is recorded at the lower of cost or fair value based on their subsequent changes in fair value. The fair value of OREO is generally based on recent real estate appraisals adjusted for estimated selling costs. Any write-down to fair value at the time of transfer to OREO is charged to allowance for loan losses. Property is evaluated regularly to ensure the recorded amount is supported by its current fair value and valuation allowances to reduce the carrying amounts to fair value less estimated costs to dispose are recorded as necessary. Additions to or reductions from valuation allowances are recorded in noninterest expense.
Servicing Assets
Servicing Assets
Servicing assets are recognized when servicing rights are retained from the sale of loans, such as sales of the guaranteed portion of SBA and certain residential property loans, and are initially recorded at fair value. Fair value is calculated as the present value of estimated future cash flows from the servicing rights based on current market sources, such as the cost to service, discount rates, and prepayment speeds. Servicing assets are amortized into noninterest income over the expected life of the underlying loans.
Servicing assets are evaluated for impairment based on the fair value of the servicing rights as compared to the carrying amount. Impairment is determined by stratifying servicing rights into groupings based on predominant risk characteristics, such as collateral type. For purposes of measuring impairment, the Company has identified each servicing asset with the underlying loan being serviced. A valuation allowance is recorded when the fair value is below the carrying amount of the asset. If the Company later determines that all or a portion of the impairment no longer exists for a particular grouping, a reduction of the valuation allowance may be recorded as an increase to income. The fair values of servicing assets are subject to significant fluctuations as a result of changes in estimated and actual prepayment speeds and changes in discount rates.
Servicing income as reported on the income statement consists of fees earned for servicing loans, net of the amortization of servicing assets and changes in the valuation allowance. The servicing fees are based on a contractual percentage of the outstanding principal and recorded as income when earned.
Investments in Qualified Affordable Housing Projects
Investment in Qualified Affordable Housing Projects
The Company has invested in a limited partnership that operates qualified affordable housing projects for lower income tenants in California. The Company accounts for this investment under the proportional amortization method and the amortization expense is presented as a component of current tax expense. Return of this investment is generated primarily through allocated federal tax credits and other tax benefits.
The recorded investment amount was $1.6 million and $1.9 million, respectively, and unfunded commitments were $51 thousand and $57 thousand, respectively, at December 31, 2021 and 2020. The recorded investment amount is included in Other Assets and unfunded commitment is included in Accrued Interest Payable and Other Liabilities on the Consolidated Statements of Financial Condition. As components of income tax expense, the Company recognized amortizations of $247 thousand, $240 thousand and $261 thousand, respectively, and federal tax credits and other benefits of $299 thousand, $300 thousand and $304 thousand, respectively, for the years ended December 31, 2021, 2020 and 2019. The Company determined that there were no events or changes in circumstances indicating that it is more likely than not that the carrying amount of the investment will not be realized. Therefore, no impairment was recorded at December 31, 2021 and 2020.
Bank-Owned Life Insurance
Bank-owned Life Insurance
The Company purchased life insurance policies on certain officers and directors during the year ended December 31, 2021. The Bank and named beneficiaries of various current covered officers are the beneficiaries under each policy. In the event of the death of a covered officer, the Bank and named beneficiaries of the covered officer will receive the specified insurance benefit from the insurance carrier. Bank-owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due, if any, that are probable at settlement.
Earnings Per Share
Earnings Per Share
Earnings per share (“EPS”) is computed under the two-class method. Net income allocated to common stock is computed by subtracting income allocated to unvested restricted stock from net income. Income allocated to unvested restricted stock includes cash dividend paid and undistributed income available to holders of unvested restricted stock, if any. Basic EPS is computed by dividing net income allocated to common stock by the weighted-average common shares outstanding excluding the weighted-average unvested restricted stock. Diluted EPS is computed by dividing net income allocated to common stock by the weighted-average common stock outstanding, excluding the weighted-average unvested restricted stock, adjusted for the dilutive effect of the stock options. Diluted EPS reflects the potential dilution that could occur if options or other contracts to issue common stock were exercised or converted into common stock, or resulted in the issuance of common stock that then shared in the earnings of the entity.
Transfers of Financial Assets
Transfer of Financial Assets
Transfers of financial assets are accounted for sales, when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.
Share-Based Compensation Share-Based CompensationThe Company recognizes the cost of employee services received in exchange for stock options and restricted stock awards (“RSAs”), based on the grant date fair value of those awards. A Black-Scholes model is utilized to estimate the fair value of stock options, while the market price of the Company's common stock at the date of grant is used for RSAs. This cost is recognized in income over the period which an employee is required to provide services in exchange for the award, generally the vesting period.
Income Taxes
Income Taxes
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Interest and penalties related to unrecognized tax benefits are recorded as part of income tax expense. A valuation allowance is established to reduce the deferred tax asset to the level at which it is more likely than not that the tax benefits will be realized. Realization of tax benefits of deductible temporary differences and carryforwards depends on having sufficient taxable income of an appropriate character and in the appropriate periods.
Commitments and Contingencies
Commitments and Contingencies
In the ordinary course of business, the Company enters into off-balance sheet financial instruments consisting of commitments to extend credit, commercial letters of credit, and standby letters of credit as described in Note 16. Such financial instruments are recorded in the consolidated financial statements when they are funded or related fees are incurred or received.
Revenue Recognition
Revenue Recognition
Topic 606, “Revenue from Contracts with Customers,” does not apply to revenue associated with financial instruments, including revenue from loans and securities. In addition, certain noninterest income streams such as gain or loss associated with mortgage servicing assets and financial guarantees are also not within the scope. Topic 606 is applicable to noninterest income such as deposit related fees, interchange fees, and merchant related income. Noninterest income considered to be within the scope of Topic 606 is discussed below.
Service charges and fees on deposits: Deposit account service charges consist of monthly service fees, account analysis fees, non-sufficient funds (“NSF”) charges and other deposit related fees. The Company’s performance obligation for account analysis fees and monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. NSF charges, and other deposit account service charges are largely transactional based, and therefore, the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time as incurred.
Debit card fees: When customers use their debit cards to pay merchants for goods or services, the Company retains a fee from the funds collected from the related deposit account and transfers the remaining funds to the payment network for remittance to the merchant. The performance obligation to the merchant is satisfied and the fee is recognized at the point in time when the funds are collected and transferred to the payment network.
Gain (loss) on sale of other real estate owned: The Company’s performance obligation for sale of OREO is the transfer of title and ownership rights of the OREO to the buyer, which occurs at the settlement date when the sale proceeds are received and income is recognized.
Wire transfer fees and other service charges: Wire transfer fees and other service charges are transaction based, and therefore, the Company’s performance obligation is satisfied, and related revenue recognized, at a point in time as incurred.
Fair Value Measurement
Fair Value Measurement
Fair value is the exchange price that would be received for an asset or paid to transfer a liability (i.e., an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Current accounting guidance establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs when measuring fair value. The guidance describes three levels of inputs that may be used to measure fair value:
•Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date.
•Level 2: Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.
•Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability.
Adopted Accounting Pronouncements and Recent Accounting Pronouncements Not Yet Adopted
Adopted Accounting Pronouncements
During the year ended December 31, 2021, there were no significant accounting pronouncements applicable to the Company that became effective.
Recent Accounting Pronouncements Not Yet Adopted
The following are recently issued accounting pronouncements applicable to the Company that have not yet been adopted:
In June 2016, the FASB issued ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326).” The amendments in this ASU require that entities change the impairment model for most financial assets that are measured at amortized cost and certain other instruments from an incurred loss model to an expected loss model. Under this model, entities will estimate credit losses over the entire contractual term of the instrument from the date of initial recognition of that instrument. It includes financial assets such as loan receivables, held-to-maturity debt securities, net investment in leases that are not accounted for at fair value through net income, and certain off-balance sheet credit exposures. This ASU is effective for public business entities that are SEC filers for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. In 2019, the FASB amended this ASU, which delays the effective date to 2023 for certain SEC filers that are Smaller Reporting Companies, which would apply to the Company. The Company plans to adopt this ASU at the delayed effective date of January 1, 2023.
The Company has formed a committee, developed an implementation plan, and engaged a software vendor to assist the Company to build a model. The Company is in the process of completing a readiness assessment and is engaged in the implementation phase of the project. The Company is working on: (i) developing a new expected loss model with supportable assumptions; (ii) identifying data, reporting, and disclosure gaps; (iii) assessing updates to accounting and credit risk policies; and (iv) documenting new processes and controls. Based on the Company’s initial assessment of this ASU, the Company expects to recognize a one-time cumulative effect adjustment to the allowance for loan losses which could potentially have a material impact on its consolidated financial statements as of the beginning of the first reporting period in which this ASU is effective.
v3.22.0.1
Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2021
Fair Value Disclosures [Abstract]  
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis as of dates indicated:
Fair Value Measurement Level
($ in thousands)Quoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)		Total
December 31, 2021
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$— $84,713 $— $84,713 
Collateralized mortgage obligations— 19,056 — 19,056 
SBA loan pool securities— 8,672 — 8,672 
Municipal bonds— 5,686 — 5,686 
Corporate bonds— 5,071 — 5,071 
Total securities available-for-sale— 123,198 — 123,198 
Total assets measured at fair value on a recurring basis
$— $123,198 $— $123,198 
Total liabilities measured at fair value on a recurring basis
$— $— $— $— 
December 31, 2020
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$— $76,154 $— $76,154 
Collateralized mortgage obligations— 26,467 — 26,467 
SBA loan pool securities— 12,080 — 12,080 
Municipal bonds— 5,826 — 5,826 
Total securities available-for-sale— 120,527 — 120,527 
Total assets measured at fair value on a recurring basis
$— $120,527 $— $120,527 
Total liabilities measured at fair value on a recurring basis
$— $— $— $— 
Schedule of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
The following table presents the Company’s assets and liabilities measured at fair value on a non-recurring basis as of dates indicated:
Fair Value Measurement Level
($ in thousands)Quoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)		Total
December 31, 2021
Impaired loans:
SBA property$— $— $17 $17 
Total impaired loans— — 17 17 
Total assets measured at fair value on a non-recurring basis$— $— $17 $17 
Total liabilities measured at fair value on a non-recurring basis
$— $— $— $— 
December 31, 2020
Impaired loans:
SBA property$— $— $218 $218 
Commercial lines of credit— — 904 904 
SBA commercial term— — 255 255 
Total impaired loans— — 1,377 1,377 
Total assets measured at fair value on a non-recurring basis$— $— $1,377 $1,377 
Total liabilities measured at fair value on a non-recurring basis
$— $— $— $— 
For assets measured at fair value, the following table presents the total net losses, which include charge-offs, recoveries, specific reserves, impairment on servicing assets, gain (loss) on sale of OREO, and OREO valuation write-downs recorded for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Collateral dependent impaired loans:
SBA property$(8)$(138)$(31)
Commercial lines of credit136 (720)(2,475)
SBA commercial property(5)(221)— 
Other real estate owned
73 9 (18)
Net gain (losses) recognized$196 $(1,070)$(2,524)
Quantitative Information About Level 3 Fair Value Measurements
The following table presents quantitative information about level 3 fair value measurements for assets measured at fair value on a non-recurring basis as of the dates indicated:
($ in thousands)Fair ValueValuation Technique(s)Unobservable Input(s)Range (Weighted-Average)
December 31, 2021
Impaired loans:
SBA property$17 Fair value of collateralNMNM
December 31, 2020
Impaired loans:
SBA property$218 Fair value of collateralNMNM
Commercial lines of credit$904 Sales comparison approachAdjustment for differences between the comparable estate sales
5% to 9% (7.6%)
SBA commercial term$255 Fair value of collateralNMNM
Schedule of Carrying Value and Estimated Fair Values of Financial Assets and Liabilities
The following table presents the carrying value and estimated fair values of financial assets and liabilities as of the dates indicated:
Carrying ValueFair ValueFair Value Measurements
($ in thousands)Level 1Level 2Level 3
December 31, 2021
Financial assets:
Interest-bearing deposits in other financial institutions$188,063 $188,063 $188,063 $— $— 
Securities available-for-sale123,198 123,198 — 123,198 — 
Loans held-for-sale37,026 41,079 — 41,079 — 
Net loans held-for-investment1,709,824 1,725,022 — — 1,725,022 
FHLB and other restricted stock8,577 N/AN/AN/AN/A
Accrued interest receivable5,368 5,368 1 337 5,030 
Financial liabilities:
Deposits$1,867,134 $1,867,635 $— $— $1,867,635 
FHLB advances10,000 10,087 — 10,087 — 
Accrued interest payable771 771 — 1 770 
December 31, 2020
Financial assets:
Interest-bearing deposits in other financial institutions$174,493 $174,493 $174,493 $— $— 
Securities available-for-sale120,527 120,527 — 120,527 — 
Loans held-for-sale1,979 2,112 — 2,112 — 
Net loans held-for-investment1,557,068 1,574,063 — — 1,574,063 
FHLB and other restricted stock8,447 N/AN/AN/AN/A
Accrued interest receivable9,334 9,334 1 322 9,011 
Financial liabilities:
Deposits$1,594,851 $1,594,112 $— $— $1,594,112 
FHLB advances80,000 80,321 — 80,321 — 
Accrued interest payable2,226 2,226 — 2 2,224 
v3.22.0.1
Investment Securities (Tables)
 12 Months Ended
Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]  
Amortized Cost and Fair Value of Available-For-Sale Investment Securities
The following table presents the amortized cost and fair value of the investment securities as of the dates indicated:
($ in thousands)Amortized CostGross Unrealized GainGross Unrealized Loss
Fair Value
December 31, 2021
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$85,346 $625 $(1,258)$84,713 
Collateralized mortgage obligations18,990 113 (47)19,056 
SBA loan pool securities8,520 156 (4)8,672 
Municipal bonds5,329 357 — 5,686 
Corporate bonds5,000 71 — 5,071 
Total securities available-for-sale$123,185 $1,322 $(1,309)$123,198 
December 31, 2020
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$74,622 $1,558 $(26)$76,154 
Collateralized mortgage obligations26,216 294 (43)26,467 
SBA loan pool securities11,753 349 (22)12,080 
Municipal bonds
5,370 456 — 5,826 
Total securities available-for-sale$117,961 $2,657 $(91)$120,527 
Amortized Cost and Fair Value of Held-To-Maturity Investment Securities
The following table presents the amortized cost and fair value of the investment securities as of the dates indicated:
($ in thousands)Amortized CostGross Unrealized GainGross Unrealized Loss
Fair Value
December 31, 2021
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$85,346 $625 $(1,258)$84,713 
Collateralized mortgage obligations18,990 113 (47)19,056 
SBA loan pool securities8,520 156 (4)8,672 
Municipal bonds5,329 357 — 5,686 
Corporate bonds5,000 71 — 5,071 
Total securities available-for-sale$123,185 $1,322 $(1,309)$123,198 
December 31, 2020
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$74,622 $1,558 $(26)$76,154 
Collateralized mortgage obligations26,216 294 (43)26,467 
SBA loan pool securities11,753 349 (22)12,080 
Municipal bonds
5,370 456 — 5,826 
Total securities available-for-sale$117,961 $2,657 $(91)$120,527 
Amortized Cost and Fair Value By Contractual Maturity Date
The following table presents the amortized cost and fair value of the investment securities by contractual maturity as of December 31, 2021. Expected maturities may differ from contractual maturities, if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately.
Securities Available-For-Sale
($ in thousands)Amortized Cost
Fair Value
Within one year
$305 $307 
One to five years
1,851 1,901 
Five to ten years
5,830 5,917 
Greater than ten years
2,343 2,632 
Mortgage-backed securities, collateralized mortgage obligations and SBA loan pool securities
112,856 112,441 
Total$123,185 $123,198 
Realized Gain (Loss) on Investments
The following table presents proceeds from sales and calls of securities available-for-sale and the associated gross gains and losses realized through earnings upon the sales and calls of securities available-for-sale for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Gross realized gains on sales and calls of securities available-for-sale
$— $— $786 
Gross realized losses on sales and calls of securities available-for-sale
— — — 
Net realized gains on sales and calls of securities available-for-sale$— $— $786 
Proceeds from sales and calls of securities available-for-sale
$— $185 $33,627 
Tax expense on sales and calls of securities available-for-sale
$— $— $234 
Schedule of Unrealized Loss on Security Type
The following table summarizes the investment securities with unrealized losses by security type and length of time in a continuous unrealized loss position as of the dates indicated:
Length of Time That Individual Securities Have Been In a Continuous Unrealized Loss Position
Less Than 12 Months12 Months or LongerTotal
($ in thousands)
Fair Value
Gross Unrealized Losses
Number of Securities
Fair Value
Gross Unrealized Losses
Number of Securities
Fair Value
Gross Unrealized Losses
Number of Securities
December 31, 2021
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$46,945 $(931)32 $8,885 $(327)5 $55,830 $(1,258)37 
Collateralized mortgage obligations2,897 (47)4 — — — 2,897 (47)4 
SBA loan pool securities— — — 156 (4)1 156 (4)1 
Total securities available-for-sale$49,842 $(978)36 $9,041 $(331)6 $58,883 $(1,309)42 
December 31, 2020
Securities available-for-sale:
U.S. government agency and U.S. government sponsored enterprise securities:
Mortgage-backed securities$5,773 $(26)4 $— $— — $5,773 $(26)4 
Collateralized mortgage obligations2,424 (4)3 5,127 (39)6 7,551 (43)9 
SBA loan pool securities1,677 (4)2 1,869 (18)4 3,546 (22)6 
Total securities available-for-sale$9,874 $(34)9 $6,996 $(57)10 $16,870 $(91)19 
v3.22.0.1
Loans and Allowance for Loan Losses (Tables)
 12 Months Ended
Dec. 31, 2021
Receivables [Abstract]  
Loans Held-For-Investment
The following table presents, by recorded investment, the composition of the Company’s loans held-for-investment (net of deferred fees and costs) as of the dates indicated:
December 31,
($ in thousands)20212020
Real estate loans:
Commercial property$1,105,843 $880,736 
Residential property209,485 198,431 
SBA property129,661 126,570 
Construction8,252 15,199 
Total real estate loans1,453,241 1,220,936 
Commercial and industrial loans:
Commercial term73,438 87,250 
Commercial lines of credit100,936 96,087 
SBA commercial term17,640 21,878 
SBA PPP65,329 135,654 
Total commercial and industrial loans257,343 340,869 
Other consumer loans
21,621 21,773 
Loans held-for-investment
1,732,205 1,583,578 
Allowance for loan losses
(22,381)(26,510)
Net loans held-for-investment
$1,709,824 $1,557,068 
Allowance for Loan Losses
The following table presents the activities in allowance for loan losses by portfolio segment, which is consistent with the Company’s methodology for determining allowance for loan losses, for the periods indicated:
($ in thousands)Real EstateCommercial and IndustrialConsumerTotal
Balance at January 1, 2019$9,104 $3,877 $186 $13,167 
Charge-offs
(31)(3,350)(198)(3,579)
Recoveries on loans previously charged off
6 378 171 555 
Provision for loan losses
775 3,449 13 4,237 
Balance at December 31, 20199,854 4,354 172 14,380 
Charge-offs
(175)(1,104)(250)(1,529)
Recoveries on loans previously charged off
58 236 146 440 
Provision for loan losses
9,157 3,736 326 13,219 
Balance at December 31, 202018,894 7,222 394 26,510 
Charge-offs
(24)(115)(88)(227)
Recoveries on loans previously charged off
63 565 66 694 
Reversal for loan losses(2,136)(2,362)(98)(4,596)
Balance at December 31, 2021$16,797 $5,310 $274 $22,381 
The following tables present the information on allowance for loan losses and recorded investments by portfolio segment and impairment methodology as of the dates indicated:
($ in thousands)Real EstateCommercial and IndustrialConsumerTotal
December 31, 2021
Allowance for loan losses:
Individually evaluated for impairment$— $— $— $— 
Collectively evaluated for impairment16,797 5,310 274 22,381 
Total$16,797 $5,310 $274 $22,381 
Loans receivable:
Individually evaluated for impairment$1,314 $221 $— $1,535 
Collectively evaluated for impairment1,451,927 257,122 21,621 1,730,670 
Total$1,453,241 $257,343 $21,621 $1,732,205 
December 31, 2020
Allowance for loan losses:
Individually evaluated for impairment$3 $2 $— $5 
Collectively evaluated for impairment18,891 7,220 394 26,505 
Total$18,894 $7,222 $394 $26,510 
Loans receivable:
Individually evaluated for impairment$2,200 $1,531 $— $3,731 
Collectively evaluated for impairment1,218,736 339,338 21,773 1,579,847 
Total$1,220,936 $340,869 $21,773 $1,583,578 
Risk Categories for Loans by Portfolio Segment
The following table presents the risk categories for the recorded investment in loans by portfolio segment as of dates indicated:
($ in thousands)PassSpecial MentionSubstandardDoubtfulTotal
December 31, 2021
Real estate loans:
Commercial property$1,092,253 $11,739 $1,851 $— $1,105,843 
Residential property209,485 — — — 209,485 
SBA property127,518 251 1,892 — 129,661 
Construction8,252 — — — 8,252 
Commercial and industrial loans:
Commercial term68,626 3,698 1,114 — 73,438 
Commercial lines of credit98,785 2,151 — — 100,936 
SBA commercial term17,111 253 276 — 17,640 
SBA PPP65,329 — — — 65,329 
Other consumer loans
21,586 — 35 — 21,621 
Total$1,708,945 $18,092 $5,168 $— $1,732,205 
December 31, 2020
Real estate loans:
Commercial property$866,508 $10,268 $3,960 $— $880,736 
Residential property198,242 — 189 — 198,431 
SBA property123,147 251 3,172 — 126,570 
Construction15,199 — — — 15,199 
Commercial and industrial loans:
Commercial term81,724 4,362 1,164 — 87,250 
Commercial lines of credit93,884 1,299 904 — 96,087 
SBA commercial term20,922 281 675 — 21,878 
SBA PPP135,654 — — — 135,654 
Other consumer loans21,707 — 66 — 21,773 
Total$1,556,987 $16,461 $10,130 $— $1,583,578 
The following table presents the risk categories for the recorded investment in loans under modified terms related to the COVID-19 pandemic by portfolio segment as of December 31, 2020:
($ in thousands)PassSpecial MentionSubstandardDoubtfulTotal
December 31, 2020
Real estate loans:
Commercial property$13,158 $10,268 $706 $— $24,132 
Residential property425 — — — 425 
SBA property3,941 251 — — 4,192 
Commercial and industrial loans:
Commercial term— 4,362 1,165 — 5,527 
SBA commercial term1,769 — 72 — 1,841 
Total$19,293 $14,881 $1,943 $— $36,117 
Aging of Past Due Accruing Loans and Nonaccrual Loans by Segment
The following table presents the aging of past due recorded investment in accruing loans and nonaccrual loans by portfolio segment as of dates indicated:
Still Accruing
($ in thousands)30 to 59 Days Past Due60 to 89 Days Past Due90 or More Days Past Due NonaccrualTotal Past Due and Nonaccrual
December 31, 2021
Real estate loans:
Residential property$461 $— $— $— $461 
SBA property— — — 746 746 
Commercial and industrial loans:
SBA commercial term— — — 213 213 
Other consumer loans88 5 — 35 128 
Total$549 $5 $— $994 $1,548 
December 31, 2020
Real estate loans:
Commercial property$— $— $— $524 $524 
Residential property182 — — 189 371 
SBA property— — — 885 885 
Commercial and industrial loans:
Commercial lines of credit— — — 904 904 
SBA commercial term— — — 595 595 
Other consumer loans120 36 — 66 222 
Total$302 $36 $— $3,163 $3,501 
Impairment by Portfolio Segment
The following table presents loans individually evaluated for impairment by portfolio segment as of the dates indicated. The recorded investment presents customer balances net of any partial charge-offs recognized on the loans and net of any deferred fees and costs.
With No Allowance RecordedWith an Allowance Recorded
($ in thousands)Recorded InvestmentUnpaid Principal BalanceRecorded InvestmentUnpaid Principal BalanceRelated Allowance
December 31, 2021
Real estate loans:
Commercial property$326 $325 $— $— $— 
SBA property988 1,033 — — — 
Commercial and industrial loans:
Commercial term2 2 — — — 
SBA commercial term219 227 — — — 
Total$1,535 $1,587 $— $— $— 
December 31, 2020
Real estate loans:
Commercial property$856 $855 $— $— $— 
Residential property189 189 — — — 
SBA property1,108 1,198 47 45 3 
Commercial and industrial loans:
Commercial term18 18 — — — 
Commercial lines of credit904 904 — — — 
SBA commercial term593 633 16 18 2 
Total$3,668 $3,797 $63 $63 $5 
The following table presents information on the recorded investment in impaired loans by portfolio segment for the periods indicated:
Year Ended December 31,
202120202019
($ in thousands)Average Recorded InvestmentInterest IncomeAverage Recorded InvestmentInterest IncomeAverage Recorded InvestmentInterest Income
Real estate loans:
Commercial property$329 $22 $467 $23 $170 $12 
Residential property— — 47 — 38 — 
SBA property1,105 16 1,459 17 1,685 41 
Commercial and industrial loans:
Commercial term10 — 24 1 47 3 
Commercial lines of credit— — 1,869 — 921 — 
SBA commercial term364 1 499 1 224 9 
Total$1,808 $39 $4,365 $42 $3,085 $65 
The following presents a summary of interest foregone on impaired loans for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Interest income that would have been recognized had impaired loans performed in accordance with their original terms
$99 $256 $213 
Less: interest income recognized on impaired loans on a cash basis
(39)(42)(65)
Interest income foregone on impaired loans$60 $214 $148 
Modified TDRs by Portfolio Segment
The following table presents the composition of loans that were modified as TDRs by portfolio segment as of the dates indicated:
December 31,
20212020
($ in thousands)AccruingNonaccrualTotalAccruingNonaccrualTotal
Real estate loans:
Commercial property$326 $— $326 $333 $— $333 
SBA property242 17 259 270 5 275 
Commercial and industrial loans:
Commercial term2 — 2 18 — 18 
SBA commercial term6 — 6 13 — 13 
Total$576 $17 $593 $634 $5 $639 
The following table presents new loans that were modified as TDRs by portfolio segment for the periods indicated:
Year Ended December 31,
20202019
($ in thousands)
Number of Loans
Pre-Modification Recorded InvestmentPost-Modification Recorded Investment
Number of Loans
Pre-Modification Recorded InvestmentPost-Modification Recorded Investment
Real estate loans:
Commercial property— $— $— 1 $341 $341 
SBA property— — — 2 254 254 
Commercial and industrial loans:
SBA commercial term2 37 37 2 15 15 
Total2 $37 $37 5 $610 $610 
The following table summarized the TDRs by modification type for the periods indicated:
Principal (1)
Principal and Interest (2)
Total
($ in thousands)
Number of Loans
Pre-Modification Recorded Investment
Number of Loans
Pre-Modification Recorded Investment
Number of Loans
Pre-Modification Recorded Investment
Year ended December 31, 2020:
Commercial and industrial loans:
SBA commercial term2 $37 — $— 2 $37 
Total2 $37 — $— 2 $37 
Year ended December 31, 2019:
Real estate loans:
Commercial property— $— 1 $341 1 $341 
SBA property2 254 — — 2 254 
Commercial and industrial loans:
SBA commercial term2 15 — — 2 15 
Total4 $269 1 $341 5 $610 
(1) Includes forbearance payments, term extensions and principal deferments that modify the terms of the loan from principal and interest payment to interest only payment.
(2) Includes principal and interest deferments or reductions.
Loans Held-for-Sale
The following table presents a summary of loans held-for-investment transferred to loans held-for-sale for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Real estate loans:
Commercial property$8,563 $— $— 
Residential property189 1,125 824 
Commercial and industrial loans:
SBA commercial term— 230 — 
Total$8,752 $1,355 $824 
The following table presents a summary of loans held-for-sale transferred to loans held-for-investment for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Real estate loans:
Residential property$— $697 $— 
Total$— $697 $— 
The following table presents a summary of purchases of loans held-for-investment for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Real estate loans:
Residential property$2,139 $— $1,539 
Total$2,139 $— $1,539 
The following table presents a composition of loans held-for-sale as of the dates indicated:
December 31,
($ in thousands)20212020
Real estate loans:
Residential property$— $300 
SBA property33,603 1,411 
Commercial and industrial loans:
SBA commercial term3,423 268 
Total$37,026 $1,979 
v3.22.0.1
Premises and Equipment (Tables)
 12 Months Ended
Dec. 31, 2021
Property, Plant and Equipment [Abstract]  
Schedule of Premises and Equipment
The following table presents a composition of premises and equipment as of the dates indicated:
December 31,
($ in thousands)20212020
Leasehold improvements
$7,552 $7,848 
Furniture, fixtures and equipment
3,770 3,772 
Computer equipment
2,466 2,288 
Computer software
1,484 1,385 
Total premises and equipment15,272 15,293 
Less: accumulated depreciation
(12,174)(11,245)
Premises and equipment, net$3,098 $4,048 
v3.22.0.1
Operating Leases (Tables)
 12 Months Ended
Dec. 31, 2021
Leases [Abstract]  
Operating Lease Cost and Supplemental Information
The following table presents operating lease cost and supplemental cash flow information related to leases for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Operating lease cost (1)
$2,580 $2,617 $2,632 
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases2,760 2,776 2,705 
Right-of-use assets obtained in exchange for lease obligations
1,459 950 1,616 
(1)    Included in Occupancy and Equipment on the Consolidated Statements of Income.
The Company used the incremental borrowing rate based on the information available in determining the present value of lease payment. The following table presents supplemental balance sheet information related to leases as of December 31, 2021:
December 31,
($ in thousands)20212020
Operating leases:
Operating lease assets$6,786 $7,616 
Operating lease liabilities7,444 8,455 
Weighted-average remaining lease term4.0 years4.3 years
Weighted-average discount rate2.36 %2.60 %
Maturities of Operating Lease Liabilities
The following table presets maturities of operating lease liabilities as of December 31, 2021:
($ in thousands)December 31, 2021
Maturities:
2022$2,706 
20232,230 
2024793 
2025753 
2026482 
After 2026710 
Total lease payment
7,674 
Imputed interest
(230)
Present value of operating lease liabilities
$7,444 
v3.22.0.1
Servicing Assets (Tables)
 12 Months Ended
Dec. 31, 2021
Transfers and Servicing [Abstract]  
Schedule of Servicing Assets with Key Assumptions Used to Estimate Fair Value
The following table presents the composition of servicing assets with key assumptions used to estimate the fair value:
December 31,
20212020
($ in thousands)Residential PropertySBA PropertySBA Commercial TermResidential PropertySBA PropertySBA Commercial Term
Carrying amount
$86 $6,701 $482 $109 $5,642 $649 
Fair value
$126 $11,196 $734 $133 $8,498 $888 
Discount rates
6.33 %8.75 %9.64 %11.25 %13.25 %12.75 %
Prepayment speeds
24.40 %9.80 %12.77 %27.20 %9.99 %11.01 %
Weighted average remaining life
21.9 years21.4 years6.2 years23.1 years21.1 years6.6 years
Underlying loans being serviced
$17,443 $442,424 $59,839 $22,299 $400,982 $75,514 
Schedule of Servicing Asset
The following table presents activity in servicing assets for the periods indicated:
($ in thousands)Residential PropertySBA PropertySBA Commercial TermTotal
Balance at January 1, 2019$244 $6,349 $1,073 $7,666 
Additions
— 1,329 185 1,514 
Amortization
(73)(1,873)(436)(2,382)
Balance at December 31, 2019171 5,805 822 6,798 
Additions
— 1,408 142 1,550 
Amortization
(62)(1,571)(315)(1,948)
Balance at December 31, 2020109 5,642 649 6,400 
Additions
— 2,769 109 2,878 
Amortization
(23)(1,710)(276)(2,009)
Balance at December 31, 2021$86 $6,701 $482 $7,269 
v3.22.0.1
Other Real Estate Owned (Tables)
 12 Months Ended
Dec. 31, 2021
Receivables [Abstract]  
Other Real Estate Owned, Activity
The following table presents activity in OREO for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Balance at beginning of year
$1,401 $— $— 
Additions
1,960 5,316 395 
Sales
(3,361)(3,915)(329)
Net change in valuation allowance
— — (66)
Balance at end of year$— $1,401 $— 
Other Real Estate Owned Valuation Allowance
The following table presents activity in OREO valuation allowance for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Balance at beginning of year
$— $— $— 
Additions
— — 66 
Net direct write-downs and removal from sale
— — (66)
Balance at end of year$— $— $— 
Other Real Estate Owned, Expenses
The following table presents expenses related to OREO for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Net (gain) loss on sales
$(73)$(9)$1 
Operating expenses, net of rental income
81 60 — 
Total$8 $51 $1 
v3.22.0.1
Deposits (Tables)
 12 Months Ended
Dec. 31, 2021
Deposits [Abstract]  
Time Deposit Maturities
The following table presents scheduled maturities of time deposits as of December 31, 2021:
($ in thousands)20222023202420252026ThereafterTotal
Time deposits of $250,000 or less
$333,907 $5,484 $2,204 $326 $35 $— $341,956 
Time deposits of more than $250,000
269,107 3,162 — — — — 272,269 
Total time deposits$603,014 $8,646 $2,204 $326 $35 $— $614,225 
v3.22.0.1
Federal Home Loan Bank Advances and Other Borrowings (Tables)
 12 Months Ended
Dec. 31, 2021
Debt Disclosure [Abstract]  
Schedule of Maturities of FHLB Advances and Financial Data
The following table presents scheduled maturities of FHLB advances as of December 31, 2021:
($ in thousands)2022202320242025ThereafterTotal
Fixed Rate
$10,000 $— $— $— $— $10,000 
Variable Rate
— — — — — — 
Total$10,000 $— $— $— $— $10,000 
The following table presents financial data of FHLB advances as of the dates or for the periods indicated:
As of or For the Year Ended December 31,
($ in thousands)202120202019
Weighted-average interest rate at end of year
2.07 %0.67 %1.92 %
Average interest rate during the year
0.97 %0.65 %1.86 %
Average balance
$30,096 $94,303 $25,370 
Maximum amount outstanding at any month-end
$80,000 $170,000 $35,000 
Balance at end of year
$10,000 $80,000 $20,000 
v3.22.0.1
Share-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 2021
Share-based Payment Arrangement [Abstract]  
Share-based Compensation Expense
The following table presents share-based compensation expense and the related tax benefits for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Share-based compensation expense related to:
Stock options$187 $562 $650 
Restricted stock awards266 153 59 
Total share-based compensation expense$453 $715 $709 
Related tax benefits$84 $76 $44 
The following table presents unrecognized share-based compensation expense as of December 31, 2021:
($ in thousands)Unrecognized ExpenseWeighted-Average Remaining Expected Recognition Period
Unrecognized share-based compensation expense related to:
Stock options$341 2.4 years
Restricted stock awards537 2.1 years
Total unrecognized share-based compensation expense$878 2.2 years
Summary of Weighted-Average Assumptions of Options Granted The following table presents the weighted-average assumptions used to determine the fair value of options granted for the periods indicated:
Year Ended December 31,
202120202019
Risk-free interest rate
1.13 %— %2.06 %
Expected term
6.71 yearsN/A5.00 years
Expected stock price volatility
27.54 %— %36.10 %
Dividend yield
2.64 %— %1.33 %
Summary of Option Activity
The following table presents information related to the stock option plan for the periods indicated:
Year Ended December 31,
($ in thousands, except per share data)202120202019
Intrinsic value of options exercised
$794 $789 $851 
Cash received from options exercised
$1,279 $693 $627 
Tax benefit from options exercised
$60 $70 $31 
Weighted-average estimated fair value per share of options granted
$3.76 $— $5.76 
The following table represents stock option activity as of and for the year ended December 31, 2021:
Year Ended December 31, 2021
($ in thousands except per share data)
Number of SharesWeighted-Average Exercise Price Per ShareWeighted-Average Contractual TermAggregated Intrinsic Value
Outstanding at beginning of year
718,935 $10.87 5.07 years$— 
Granted
50,000 $17.94 10.00 years
Exercised
(126,163)$10.14 4.22 years
Forfeited
(10,000)$17.47 8.00 years
Balance at end of year632,772 $11.47 4.54 years$6,641 
Exercisable at end of year525,673 $10.40 3.85 years$6,078 
The following table represents information regarding unvested stock options for the year ended December 31, 2021:
Year Ended December 31, 2021
Number of SharesWeighted-Average Exercise Price Per Share
Outstanding at beginning of year
121,199 $15.68 
Granted
50,000 $17.94 
Vested
(54,100)$15.41 
Forfeited
(10,000)$17.47 
Balance at end of year107,099 $16.70 
Summary of Restricted Stock Award Activity The following table represents RSAs activity for the year ended December 31, 2021:
Year Ended December 31, 2021
Number of SharesWeighted-Average Grant Date Fair Value Per Share
Outstanding at beginning of period
30,300 $16.27 
Granted
35,584 $10.80 
Vested
(9,300)$16.46 
Forfeited
(1,300)$13.23 
Outstanding at end of period55,284 $12.79 
v3.22.0.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2021
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit)
The following table presents the components of income tax expense for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Current:
Federal$12,117 $6,596 $8,317 
State6,692 3,910 4,499 
Total current income tax expense18,809 10,506 12,816 
Deferred:
Federal(1,428)(2,223)(1,747)
State(525)(1,447)(826)
Total deferred income tax benefit(1,953)(3,670)(2,573)
Total
$16,856 $6,836 $10,243 
Schedule of Effective Income Tax Rate Reconciliation
The following table presents a reconciliation of the recorded income tax expense to the amount of taxes computed by applying the applicable statutory Federal income tax rate for the periods indicated:
Year Ended December 31,
202120202019
Statutory federal tax rate
21.00 %21.00 %21.00 %
State and local income taxes, net of federal tax benefit8.55 %8.45 %8.45 %
Share-based compensation
0.05 %0.39 %0.10 %
Other items, net
(0.01)%(0.13)%0.27 %
Effective income tax rate
29.59 %29.71 %29.82 %
Schedule of Deferred Tax Assets and Liabilities
The following table presents the components of the net deferred tax assets recognized in the accompanying consolidated balance sheets as of the dates indicated:
December 31,
($ in thousands)
20212020
Deferred tax assets:
Allowance for loan losses$6,609 $7,790 
Share-based compensation303 335 
Loans held-for-sale market adjustment2,445 419 
Operating lease liabilities2,198 2,485 
State tax benefit1,365 822 
Other360 447 
Total deferred tax assets13,280 12,298 
Deferred tax liabilities:
Depreciation on premises and equipment208 394 
Unrealized gain on investment securities4 754 
Deferred loan origination costs177 732 
Operating lease assets2,004 2,238 
Other63 60 
Total deferred tax liabilities2,456 4,178 
Deferred tax assets, net
$10,824 $8,120 
v3.22.0.1
Earnings Per Share (Tables)
 12 Months Ended
Dec. 31, 2021
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted
The following is a reconciliation of net income and shares outstanding to the income and number of share used to compute earnings per share for the periods indicated:
Year Ended December 31,
($ in thousands, except per share)
202120202019
Basic earnings per share:
Net income$40,103 $16,175 $24,108 
Less: income allocated to unvested restricted stock(156)(37)(22)
Net income allocated to common stock$39,947 $16,138 $24,086 
Weighted-average total common shares outstanding15,076,183 15,419,455 15,887,566 
Less: weighted-average unvested restricted stock(58,546)(35,224)(14,183)
Weighted-average common shares outstanding, basic15,017,637 15,384,231 15,873,383 
Basic earnings per share$2.66 $1.05 $1.52 
Diluted earnings per share:
Net income allocated to common stock$39,947 $16,138 $24,086 
Weighted-average commons shares outstanding15,017,637 15,384,231 15,873,383 
Diluted effect of stock options236,183 64,661 298,899 
Diluted weighted-average common shares outstanding15,253,820 15,448,892 16,172,282 
Diluted earnings per share$2.62 $1.04 $1.49 
v3.22.0.1
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Outstanding Financial Commitments
The following table presents outstanding financial commitments whose contractual amount represents credit risk as of the dates indicated:
December 31,
20212020
($ in thousands)Fixed RateVariable RateFixed RateVariable Rate
Unused lines of credit$8,261 $160,739 $6,623 $150,247 
Unfunded loan commitments595 29,688 1,752 34,874 
Standby letters of credit
3,078 1,431 2,971 1,814 
Commercial letters of credit
91 524 — — 
Total$12,025 $192,382 $11,346 $186,935 
v3.22.0.1
Regulatory Matters (Tables)
 12 Months Ended
Dec. 31, 2021
Other Commitments [Abstract]  
Schedule of Regulatory Capital Amounts and Ratios The following table presents the regulatory capital amounts and ratios for the Company and the Bank as of dates indicated:
ActualMinimum Capital RequirementTo Be Well Capitalized Under Prompt Corrective Provisions
($ in thousands)AmountRatioAmountRatioAmountRatio
December 31, 2021
PCB Bancorp
Common tier 1 capital (to risk-weighted assets)$255,650 14.79 %$77,762 4.5 % N/A  N/A
Total capital (to risk-weighted assets)277,263 16.04 %138,244 8.0 % N/A  N/A
Tier 1 capital (to risk-weighted assets)255,650 14.79 %103,683 6.0 % N/A  N/A
Tier 1 capital (to average assets)255,650 12.11 %84,445 4.0 % N/A  N/A
Pacific City Bank
Common tier 1 capital (to risk-weighted assets)$250,145 14.48 %$77,761 4.5 %$112,321 6.5 %
Total capital (to risk-weighted assets)271,757 15.73 %138,241 8.0 %172,801 10.0 %
Tier 1 capital (to risk-weighted assets)250,145 14.48 %103,681 6.0 %138,241 8.0 %
Tier 1 capital (to average assets)250,145 11.85 %84,443 4.0 %105,554 5.0 %
December 31, 2020
PCB Bancorp
Common tier 1 capital (to risk-weighted assets)$231,183 15.97 %$65,162 4.5 %N/AN/A
Total capital (to risk-weighted assets)249,391 17.22 %115,843 8.0 %N/AN/A
Tier 1 capital (to risk-weighted assets)231,183 15.97 %86,882 6.0 %N/AN/A
Tier 1 capital (to average assets)231,183 11.94 %77,452 4.0 %N/AN/A
Pacific City Bank
Common tier 1 capital (to risk-weighted assets)$227,268 15.70 %$65,160 4.5 %$94,120 6.5 %
Total capital (to risk-weighted assets)245,474 16.95 %115,840 8.0 %144,800 10.0 %
Tier 1 capital (to risk-weighted assets)227,268 15.70 %86,880 6.0 %115,840 8.0 %
Tier 1 capital (to average assets)227,268 11.74 %77,450 4.0 %96,813 5.0 %
v3.22.0.1
Revenue Recognition (Tables)
 12 Months Ended
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue from Contracts with Customers
The following table presents revenue from contracts with customers within the scope of ASC 606 for the periods indicated:
Year Ended December 31,
($ in thousands)202120202019
Noninterest income in-scope of Topic 606
Service charges and fees on deposits:
Monthly service fees$81 $91 $113 
Account analysis fees885 860 972 
Non-sufficient funds charges165 228 364 
Other deposit related fees64 77 95 
Total service charges and fees on deposits1,195 1,256 1,544 
Debit card fees306 252 272 
Gain (loss) on sale of other real estate owned74 9 (1)
Wire transfer fees596 530 515 
Other service charges198 184 221 
Total$2,369 $2,231 $2,551 
v3.22.0.1
Condensed Financial Statements for Parent Company (Tables)
 12 Months Ended
Dec. 31, 2021
Condensed Financial Information Disclosure [Abstract]  
Condensed Balance Sheet
The parent company’s condensed statements of financial condition as of December 31, 2021 and 2020, and the related condensed statements of income and comprehensive income, and condensed statements of cash flows for the years ended December 31, 2021, 2020, and 2019 are presented below:
Condensed Balance Sheets
December 31,
($ in thousands)20212020
Assets
Cash
$5,451 $3,873 
Investment in Pacific City Bank
250,780 229,871 
Other assets
55 44 
Total assets$256,286 $233,788 
Liabilities and Shareholders’ Equity
Total liabilities— — 
Total shareholders’ equity256,286 233,788 
Total liabilities and shareholders’ equity$256,286 $233,788 
Condensed Statements of Income and Comprehensive Income
Condensed Statements of Income and Comprehensive Income
Year Ended December 31,
($ in thousands)202120202019
Income:
Dividends from subsidiary$18,375 $13,600 $11,950 
Other income— — — 
Total income18,375 13,600 11,950 
Expense:
Other expense753 798 835 
Total expense753 798 835 
Income before taxes and equity in undistributed subsidiary income17,622 12,802 11,115 
Income tax benefit(223)(234)(245)
Income before equity in undistributed subsidiary income17,845 13,036 11,360 
Equity in undistributed subsidiary income22,258 3,139 12,748 
Net income40,103 16,175 24,108 
Other comprehensive income (loss), net of tax(1,802)2,013 1,590 
Comprehensive income$38,301 $18,188 $25,698 
Condensed Statements of Cash Flows
Condensed Statements of Cash Flows
Year Ended December 31,
($ in thousands)202120202019
Cash flows from operating activities
Net income$40,103 $16,175 $24,108 
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed subsidiary income(22,258)(3,139)(12,748)
Change in other assets(11)47 (40)
Change in other liabilities— — (19)
Net cash provided by operating activities17,834 13,083 11,301 
Cash flows from investing activities:
Capital contribution to subsidiary— — — 
Net cash used in investing activities— — — 
Cash flows from financing activities:
Restricted stock surrendered due to employee tax liability(4)(2)— 
Repurchase of common stock(10,876)(6,487)(6,480)
Stock options exercised1,279 693 626 
Cash dividends paid on common stock(6,655)(6,153)(3,962)
Net cash used in financing activities(16,256)(11,949)(9,816)
Net increase in cash and cash equivalents1,578 1,134 1,485 
Cash and cash equivalents at beginning of year3,873 2,739 1,254 
Cash and cash equivalents at end of year$5,451 $3,873 $2,739 
v3.22.0.1
Basis of Presentation and Significant Accounting Policies (Details)
 12 Months Ended
Dec. 31, 2021
USD ($)
loan
branch
office
segment
Dec. 31, 2020
USD ($)
loan
Dec. 31, 2019
USD ($)
Product Information [Line Items]      
Number of operating segments | segment 1    
Number of loan producing offices | office 10    
Reserve and clearing required balance $ 0 $ 0  
Reclassification of securities held-to-maturity to securities available-for-sale 0 18,777,000 $ 0
Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale $ 0 $ 787,000 0
Interest on loans held-for-investment, threshold period past due 90 days    
Modification term of loans modified due to COVID-19   6 months  
Still Accruing $ 1,732,205,000 $ 1,583,578,000  
Qualified affordable housing project investments 1,600,000 1,900,000  
Unfunded commitments 51,000 57,000  
Amortization recognized on Qualified Affordable Housing Projects 247,000 240,000 261,000
Federal tax credits and other benefits 299,000 300,000 $ 304,000
Write-down amount $ 0 $ 0  
Minimum      
Product Information [Line Items]      
Renewal term 1 year    
Maximum      
Product Information [Line Items]      
Renewal term 5 years    
Furniture, fixtures and equipment | Minimum      
Product Information [Line Items]      
Estimated useful lives 3 years    
Furniture, fixtures and equipment | Maximum      
Product Information [Line Items]      
Estimated useful lives 7 years    
Closed Loans      
Product Information [Line Items]      
Charge-off time period 120 days    
Open Loans      
Product Information [Line Items]      
Charge-off time period 180 days    
Small Business Administration (SBA), CARES Act, Paycheck Protection Program      
Product Information [Line Items]      
Term of SBA PPP loans 5 years 2 years  
SBA PPP Loans Extended | loan 354 1,585  
Still Accruing $ 65,300,000 $ 135,700,000  
Financing receivable, loan forgiveness recognized, value 181,800,000    
COVID-19 Loan Modification      
Product Information [Line Items]      
Aggregate carrying amount of loans modified due to COVID-19 $ 0 36,100,000  
Still Accruing   $ 36,117,000  
California      
Product Information [Line Items]      
Number of full-service branches | branch 11    
New Jersey      
Product Information [Line Items]      
Number of full-service branches | branch 1    
New York      
Product Information [Line Items]      
Number of full-service branches | branch 1    
v3.22.0.1
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Securities available-for-sale:    
Fair Value $ 123,198 $ 120,527
Mortgage-backed securities    
Securities available-for-sale:    
Fair Value 84,713 76,154
Collateralized mortgage obligations    
Securities available-for-sale:    
Fair Value 19,056 26,467
SBA loan pool securities    
Securities available-for-sale:    
Fair Value 8,672 12,080
Municipal bonds    
Securities available-for-sale:    
Fair Value 5,686 5,826
Corporate bonds    
Securities available-for-sale:    
Fair Value 5,071  
Recurring    
Securities available-for-sale:    
Fair Value 123,198 120,527
Total assets measured at fair value on a recurring basis 123,198 120,527
Total liabilities measured at fair value on a recurring basis 0 0
Recurring | Mortgage-backed securities    
Securities available-for-sale:    
Fair Value 84,713 76,154
Recurring | Collateralized mortgage obligations    
Securities available-for-sale:    
Fair Value 19,056 26,467
Recurring | SBA loan pool securities    
Securities available-for-sale:    
Fair Value 8,672 12,080
Recurring | Municipal bonds    
Securities available-for-sale:    
Fair Value 5,686 5,826
Recurring | Corporate bonds    
Securities available-for-sale:    
Fair Value 5,071  
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)    
Securities available-for-sale:    
Fair Value 0 0
Total assets measured at fair value on a recurring basis 0 0
Total liabilities measured at fair value on a recurring basis 0 0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed securities    
Securities available-for-sale:    
Fair Value 0 0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateralized mortgage obligations    
Securities available-for-sale:    
Fair Value 0 0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | SBA loan pool securities    
Securities available-for-sale:    
Fair Value 0 0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal bonds    
Securities available-for-sale:    
Fair Value 0 0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate bonds    
Securities available-for-sale:    
Fair Value 0  
Recurring | Significant Other Observable Inputs (Level 2)    
Securities available-for-sale:    
Fair Value 123,198 120,527
Total assets measured at fair value on a recurring basis 123,198 120,527
Total liabilities measured at fair value on a recurring basis 0 0
Recurring | Significant Other Observable Inputs (Level 2) | Mortgage-backed securities    
Securities available-for-sale:    
Fair Value 84,713 76,154
Recurring | Significant Other Observable Inputs (Level 2) | Collateralized mortgage obligations    
Securities available-for-sale:    
Fair Value 19,056 26,467
Recurring | Significant Other Observable Inputs (Level 2) | SBA loan pool securities    
Securities available-for-sale:    
Fair Value 8,672 12,080
Recurring | Significant Other Observable Inputs (Level 2) | Municipal bonds    
Securities available-for-sale:    
Fair Value 5,686 5,826
Recurring | Significant Other Observable Inputs (Level 2) | Corporate bonds    
Securities available-for-sale:    
Fair Value 5,071  
Recurring | Significant Unobservable Inputs (Level 3)    
Securities available-for-sale:    
Fair Value 0 0
Total assets measured at fair value on a recurring basis 0 0
Total liabilities measured at fair value on a recurring basis 0 0
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage-backed securities    
Securities available-for-sale:    
Fair Value 0 0
Recurring | Significant Unobservable Inputs (Level 3) | Collateralized mortgage obligations    
Securities available-for-sale:    
Fair Value 0 0
Recurring | Significant Unobservable Inputs (Level 3) | SBA loan pool securities    
Securities available-for-sale:    
Fair Value 0 0
Recurring | Significant Unobservable Inputs (Level 3) | Municipal bonds    
Securities available-for-sale:    
Fair Value 0 $ 0
Recurring | Significant Unobservable Inputs (Level 3) | Corporate bonds    
Securities available-for-sale:    
Fair Value $ 0  
v3.22.0.1
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Non-recurring Basis (Details) - Nonrecurring - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Impaired loans:    
Impaired loans $ 17 $ 1,377
Total assets measured at fair value on a recurring basis 17 1,377
Total liabilities measured at fair value on a recurring basis 0 0
SBA property    
Impaired loans:    
Impaired loans 17 218
Commercial lines of credit    
Impaired loans:    
Impaired loans   904
SBA commercial term    
Impaired loans:    
Impaired loans   255
Quoted Prices in Active Markets for Identical Assets (Level 1)    
Impaired loans:    
Impaired loans 0 0
Total assets measured at fair value on a recurring basis 0 0
Total liabilities measured at fair value on a recurring basis 0 0
Quoted Prices in Active Markets for Identical Assets (Level 1) | SBA property    
Impaired loans:    
Impaired loans 0 0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial lines of credit    
Impaired loans:    
Impaired loans   0
Quoted Prices in Active Markets for Identical Assets (Level 1) | SBA commercial term    
Impaired loans:    
Impaired loans   0
Significant Other Observable Inputs (Level 2)    
Impaired loans:    
Impaired loans 0 0
Total assets measured at fair value on a recurring basis 0 0
Total liabilities measured at fair value on a recurring basis 0 0
Significant Other Observable Inputs (Level 2) | SBA property    
Impaired loans:    
Impaired loans 0 0
Significant Other Observable Inputs (Level 2) | Commercial lines of credit    
Impaired loans:    
Impaired loans   0
Significant Other Observable Inputs (Level 2) | SBA commercial term    
Impaired loans:    
Impaired loans   0
Significant Unobservable Inputs (Level 3)    
Impaired loans:    
Impaired loans 17 1,377
Total assets measured at fair value on a recurring basis 17 1,377
Total liabilities measured at fair value on a recurring basis 0 0
Significant Unobservable Inputs (Level 3) | SBA property    
Impaired loans:    
Impaired loans $ 17 218
Significant Unobservable Inputs (Level 3) | Commercial lines of credit    
Impaired loans:    
Impaired loans   904
Significant Unobservable Inputs (Level 3) | SBA commercial term    
Impaired loans:    
Impaired loans   $ 255
v3.22.0.1
Fair Value Measurements - Level 3 Measurement Inputs (Details) - Nonrecurring - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans $ 17 $ 1,377  
SBA property      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans 17 218  
Commercial lines of credit      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans   904  
SBA commercial term      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans   255  
Significant Unobservable Inputs (Level 3)      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans 17 1,377  
Significant Unobservable Inputs (Level 3) | SBA property      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans $ 17 218  
Significant Unobservable Inputs (Level 3) | Commercial lines of credit      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans   904  
Significant Unobservable Inputs (Level 3) | Commercial lines of credit | Sales comparison approach | Adjustment for differences between the comparable estate sales | Minimum      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans, measurement input     5.00%
Significant Unobservable Inputs (Level 3) | Commercial lines of credit | Sales comparison approach | Adjustment for differences between the comparable estate sales | Maximum      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans, measurement input     9.00%
Significant Unobservable Inputs (Level 3) | Commercial lines of credit | Sales comparison approach | Adjustment for differences between the comparable estate sales | Weighted Average      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans, measurement input     7.60%
Significant Unobservable Inputs (Level 3) | SBA commercial term      
Fair Value Measurement Inputs and Valuation Techniques [Line Items]      
Impaired loans   $ 255  
v3.22.0.1
Fair Value Measurements - Other Real Estate Owned (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Net gain (losses) recognized $ 196 $ (1,070) $ (2,524)
SBA property      
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Net gain (losses) recognized (8) (138) (31)
Commercial lines of credit      
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Net gain (losses) recognized 136 (720) (2,475)
SBA commercial property      
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Net gain (losses) recognized (5) (221) 0
Other real estate owned      
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Net gain (losses) recognized $ 73 $ 9 $ (18)
v3.22.0.1
Fair Value Measurements - Fair Values of Financial Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Financial assets:    
Securities available-for-sale $ 123,198 $ 120,527
Carrying Value    
Financial assets:    
Interest-bearing deposits in other financial institutions 188,063 174,493
Securities available-for-sale 123,198 120,527
Loans held-for-sale 37,026 1,979
Net loans held-for-investment 1,709,824 1,557,068
FHLB and other restricted stock 8,577 8,447
Accrued interest receivable 5,368 9,334
Financial liabilities:    
Deposits 1,867,134 1,594,851
FHLB advances 10,000 80,000
Accrued interest payable 771 2,226
Fair Value    
Financial assets:    
Interest-bearing deposits in other financial institutions 188,063 174,493
Securities available-for-sale 123,198 120,527
Loans held-for-sale 41,079 2,112
Net loans held-for-investment 1,725,022 1,574,063
Accrued interest receivable 5,368 9,334
Financial liabilities:    
Deposits 1,867,635 1,594,112
FHLB advances 10,087 80,321
Accrued interest payable 771 2,226
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1)    
Financial assets:    
Interest-bearing deposits in other financial institutions 188,063 174,493
Securities available-for-sale 0 0
Loans held-for-sale 0 0
Net loans held-for-investment 0 0
Accrued interest receivable 1 1
Financial liabilities:    
Deposits 0 0
FHLB advances 0 0
Accrued interest payable 0 0
Fair Value | Significant Other Observable Inputs (Level 2)    
Financial assets:    
Interest-bearing deposits in other financial institutions 0 0
Securities available-for-sale 123,198 120,527
Loans held-for-sale 41,079 2,112
Net loans held-for-investment 0 0
Accrued interest receivable 337 322
Financial liabilities:    
Deposits 0 0
FHLB advances 10,087 80,321
Accrued interest payable 1 2
Fair Value | Significant Unobservable Inputs (Level 3)    
Financial assets:    
Interest-bearing deposits in other financial institutions 0 0
Securities available-for-sale 0 0
Loans held-for-sale 0 0
Net loans held-for-investment 1,725,022 1,574,063
Accrued interest receivable 5,030 9,011
Financial liabilities:    
Deposits 1,867,635 1,594,112
FHLB advances 0 0
Accrued interest payable $ 770 $ 2,224
v3.22.0.1
Investment Securities - Narrative (Details) - USD ($)
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Investments, Debt and Equity Securities [Abstract]      
Reclassification of securities held-to-maturity to securities available-for-sale $ 0 $ 18,777,000 $ 0
Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale 0 787,000 0
Pledged securities for collateral 110,900,000 117,800,000  
OTTI, debt securities, including in earnings $ 0 $ 0 $ 0
v3.22.0.1
Investment Securities - Summary of Debt and Equity Securities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Securities available-for-sale:    
Amortized Cost $ 123,185 $ 117,961
Gross Unrealized Gain 1,322 2,657
Gross Unrealized Loss (1,309) (91)
Fair Value 123,198 120,527
Mortgage-backed securities    
Securities available-for-sale:    
Amortized Cost 85,346 74,622
Gross Unrealized Gain 625 1,558
Gross Unrealized Loss (1,258) (26)
Fair Value 84,713 76,154
Collateralized mortgage obligations    
Securities available-for-sale:    
Amortized Cost 18,990 26,216
Gross Unrealized Gain 113 294
Gross Unrealized Loss (47) (43)
Fair Value 19,056 26,467
SBA loan pool securities    
Securities available-for-sale:    
Amortized Cost 8,520 11,753
Gross Unrealized Gain 156 349
Gross Unrealized Loss (4) (22)
Fair Value 8,672 12,080
Municipal bonds    
Securities available-for-sale:    
Amortized Cost 5,329 5,370
Gross Unrealized Gain 357 456
Gross Unrealized Loss 0 0
Fair Value 5,686 $ 5,826
Corporate bonds    
Securities available-for-sale:    
Amortized Cost 5,000  
Gross Unrealized Gain 71  
Gross Unrealized Loss 0  
Fair Value $ 5,071  
v3.22.0.1
Investment Securities - Summary of Contractual Maturities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Amortized Cost    
Within one year $ 305  
One to five years 1,851  
Five to ten years 5,830  
Greater than ten years 2,343  
Mortgage-backed securities, collateralized mortgage obligations and SBA loan pool securities 112,856  
Amortized Cost 123,185 $ 117,961
Fair Value    
Within one year 307  
One to five years 1,901  
Five to ten years 5,917  
Greater than ten years 2,632  
Mortgage-backed securities, collateralized mortgage obligations and SBA loan pool securities 112,441  
Fair Value $ 123,198 $ 120,527
v3.22.0.1
Investment Securities - Summary of Gains (Losses) on Available-for-sale Securities (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Investments, Debt and Equity Securities [Abstract]      
Gross realized gains on sales and calls of securities available-for-sale $ 0 $ 0 $ 786
Gross realized losses on sales and calls of securities available-for-sale 0 0 0
Net realized gains on sales and calls of securities available-for-sale 0 0 786
Proceeds from sales and calls of securities available-for-sale 0 185 33,627
Tax expense on sales and calls of securities available-for-sale $ 0 $ 0 $ 234
v3.22.0.1
Investment Securities - Summary of Individual Securities in Continuous Unrealized Loss Position (Details)
$ in Thousands
Dec. 31, 2021
USD ($)
security
Dec. 31, 2020
USD ($)
security
Securities available-for-sale:    
Less Than 12 Months, Fair Value $ 49,842 $ 9,874
Less Than 12 Months, Gross Unrealized Losses $ (978) $ (34)
Less Than 12 Months, Number of Securities | security 36 9
12 months or Longer, Fair Value $ 9,041 $ 6,996
12 months or Longer, Gross Unrealized Losses $ (331) $ (57)
12 months or Longer, Number of Securities | security 6 10
Total, Fair Value $ 58,883 $ 16,870
Total, Gross Unrealized Losses $ (1,309) $ (91)
Total, Number of Securities | security 42 19
Mortgage-backed securities    
Securities available-for-sale:    
Less Than 12 Months, Fair Value $ 46,945 $ 5,773
Less Than 12 Months, Gross Unrealized Losses $ (931) $ (26)
Less Than 12 Months, Number of Securities | security 32 4
12 months or Longer, Fair Value $ 8,885 $ 0
12 months or Longer, Gross Unrealized Losses $ (327) $ 0
12 months or Longer, Number of Securities | security 5 0
Total, Fair Value $ 55,830 $ 5,773
Total, Gross Unrealized Losses $ (1,258) $ (26)
Total, Number of Securities | security 37 4
Collateralized mortgage obligations    
Securities available-for-sale:    
Less Than 12 Months, Fair Value $ 2,897 $ 2,424
Less Than 12 Months, Gross Unrealized Losses $ (47) $ (4)
Less Than 12 Months, Number of Securities | security 4 3
12 months or Longer, Fair Value $ 0 $ 5,127
12 months or Longer, Gross Unrealized Losses $ 0 $ (39)
12 months or Longer, Number of Securities | security 0 6
Total, Fair Value $ 2,897 $ 7,551
Total, Gross Unrealized Losses $ (47) $ (43)
Total, Number of Securities | security 4 9
SBA loan pool securities    
Securities available-for-sale:    
Less Than 12 Months, Fair Value $ 0 $ 1,677
Less Than 12 Months, Gross Unrealized Losses $ 0 $ (4)
Less Than 12 Months, Number of Securities | security 0 2
12 months or Longer, Fair Value $ 156 $ 1,869
12 months or Longer, Gross Unrealized Losses $ (4) $ (18)
12 months or Longer, Number of Securities | security 1 4
Total, Fair Value $ 156 $ 3,546
Total, Gross Unrealized Losses $ (4) $ (22)
Total, Number of Securities | security 1 6
v3.22.0.1
Loans and Allowance for Loan Losses - Loans Held-For-Investment (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing $ 1,732,205 $ 1,583,578    
Allowance for loan losses (22,381) (26,510) $ (14,380) $ (13,167)
Net loans held-for-investment 1,709,824 1,557,068    
Loans receivable from related parties 398 3,900    
Real Estate        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 1,453,241 1,220,936    
Allowance for loan losses (16,797) (18,894) (9,854) (9,104)
Real Estate | Commercial property        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 1,105,843 880,736    
Real Estate | Residential property        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 209,485 198,431    
Real Estate | SBA property        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 129,661 126,570    
Real Estate | Construction        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 8,252 15,199    
Commercial and Industrial        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 257,343 340,869    
Allowance for loan losses (5,310) (7,222) (4,354) (3,877)
Commercial and Industrial | Commercial term        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 73,438 87,250    
Commercial and Industrial | Commercial lines of credit        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 100,936 96,087    
Commercial and Industrial | SBA commercial term        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 17,640 21,878    
Commercial and Industrial | SBA PPP        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 65,329 135,654    
Consumer        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Still Accruing 21,621 21,773    
Allowance for loan losses $ (274) $ (394) $ (172) $ (186)
v3.22.0.1
Loans and Allowance for Loan Losses - Allowance for Loan Losses (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Accounts Receivable, Allowance for Credit Loss [Roll Forward]      
Beginning balance $ 26,510 $ 14,380 $ 13,167
Charge-offs (227) (1,529) (3,579)
Recoveries on loans previously charged off 694 440 555
Provision (reversal) for loan losses (4,596) 13,219 4,237
Ending balance 22,381 26,510 14,380
Allowance for loan losses:      
Individually evaluated for impairment 0 5  
Collectively evaluated for impairment 22,381 26,505  
Total 22,381 26,510 14,380
Loans receivable:      
Individually evaluated for impairment 1,535 3,731  
Collectively evaluated for impairment 1,730,670 1,579,847  
Total 1,732,205 1,583,578  
Real Estate      
Accounts Receivable, Allowance for Credit Loss [Roll Forward]      
Beginning balance 18,894 9,854 9,104
Charge-offs (24) (175) (31)
Recoveries on loans previously charged off 63 58 6
Provision (reversal) for loan losses (2,136) 9,157 775
Ending balance 16,797 18,894 9,854
Allowance for loan losses:      
Individually evaluated for impairment 0 3  
Collectively evaluated for impairment 16,797 18,891  
Total 16,797 18,894 9,854
Loans receivable:      
Individually evaluated for impairment 1,314 2,200  
Collectively evaluated for impairment 1,451,927 1,218,736  
Total 1,453,241 1,220,936  
Commercial and Industrial      
Accounts Receivable, Allowance for Credit Loss [Roll Forward]      
Beginning balance 7,222 4,354 3,877
Charge-offs (115) (1,104) (3,350)
Recoveries on loans previously charged off 565 236 378
Provision (reversal) for loan losses (2,362) 3,736 3,449
Ending balance 5,310 7,222 4,354
Allowance for loan losses:      
Individually evaluated for impairment 0 2  
Collectively evaluated for impairment 5,310 7,220  
Total 5,310 7,222 4,354
Loans receivable:      
Individually evaluated for impairment 221 1,531  
Collectively evaluated for impairment 257,122 339,338  
Total 257,343 340,869  
Consumer      
Accounts Receivable, Allowance for Credit Loss [Roll Forward]      
Beginning balance 394 172 186
Charge-offs (88) (250) (198)
Recoveries on loans previously charged off 66 146 171
Provision (reversal) for loan losses (98) 326 13
Ending balance 274 394 172
Allowance for loan losses:      
Individually evaluated for impairment 0 0  
Collectively evaluated for impairment 274 394  
Total 274 394 $ 172
Loans receivable:      
Individually evaluated for impairment 0 0  
Collectively evaluated for impairment 21,621 21,773  
Total $ 21,621 $ 21,773  
v3.22.0.1
Loans and Allowance for Loan Losses - Credit Quality Indicators (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing $ 1,732,205 $ 1,583,578
COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   36,117
Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 1,708,945 1,556,987
Pass | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   19,293
Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 18,092 16,461
Special Mention | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   14,881
Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 5,168 10,130
Substandard | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   1,943
Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Doubtful | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Real Estate    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 1,453,241 1,220,936
Real Estate | Commercial property    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 1,105,843 880,736
Real Estate | Commercial property | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   24,132
Real Estate | Commercial property | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 1,092,253 866,508
Real Estate | Commercial property | Pass | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   13,158
Real Estate | Commercial property | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 11,739 10,268
Real Estate | Commercial property | Special Mention | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   10,268
Real Estate | Commercial property | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 1,851 3,960
Real Estate | Commercial property | Substandard | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   706
Real Estate | Commercial property | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Real Estate | Commercial property | Doubtful | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Real Estate | Residential property    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 209,485 198,431
Real Estate | Residential property | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   425
Real Estate | Residential property | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 209,485 198,242
Real Estate | Residential property | Pass | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   425
Real Estate | Residential property | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Real Estate | Residential property | Special Mention | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Real Estate | Residential property | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 189
Real Estate | Residential property | Substandard | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Real Estate | Residential property | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Real Estate | Residential property | Doubtful | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Real Estate | SBA property    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 129,661 126,570
Real Estate | SBA property | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   4,192
Real Estate | SBA property | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 127,518 123,147
Real Estate | SBA property | Pass | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   3,941
Real Estate | SBA property | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 251 251
Real Estate | SBA property | Special Mention | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   251
Real Estate | SBA property | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 1,892 3,172
Real Estate | SBA property | Substandard | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Real Estate | SBA property | Substandard | Loans guaranteed by US government agency    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 109 113
Real Estate | SBA property | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Real Estate | SBA property | Doubtful | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Real Estate | Construction    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 8,252 15,199
Real Estate | Construction | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 8,252 15,199
Real Estate | Construction | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Real Estate | Construction | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Real Estate | Construction | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Commercial and Industrial    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 257,343 340,869
Commercial and Industrial | Commercial term    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 73,438 87,250
Commercial and Industrial | Commercial term | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   5,527
Commercial and Industrial | Commercial term | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 68,626 81,724
Commercial and Industrial | Commercial term | Pass | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Commercial and Industrial | Commercial term | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 3,698 4,362
Commercial and Industrial | Commercial term | Special Mention | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   4,362
Commercial and Industrial | Commercial term | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 1,114 1,164
Commercial and Industrial | Commercial term | Substandard | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   1,165
Commercial and Industrial | Commercial term | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Commercial and Industrial | Commercial term | Doubtful | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Commercial and Industrial | Commercial lines of credit    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 100,936 96,087
Commercial and Industrial | Commercial lines of credit | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 98,785 93,884
Commercial and Industrial | Commercial lines of credit | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 2,151 1,299
Commercial and Industrial | Commercial lines of credit | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 904
Commercial and Industrial | Commercial lines of credit | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Commercial and Industrial | SBA commercial term    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 17,640 21,878
Commercial and Industrial | SBA commercial term | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   1,841
Commercial and Industrial | SBA commercial term | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 17,111 20,922
Commercial and Industrial | SBA commercial term | Pass | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   1,769
Commercial and Industrial | SBA commercial term | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 253 281
Commercial and Industrial | SBA commercial term | Special Mention | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Commercial and Industrial | SBA commercial term | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 276 675
Commercial and Industrial | SBA commercial term | Substandard | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   72
Commercial and Industrial | SBA commercial term | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Commercial and Industrial | SBA commercial term | Doubtful | COVID-19 Loan Modification    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing   0
Commercial and Industrial | SBA PPP    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 65,329 135,654
Commercial and Industrial | SBA PPP | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 65,329 135,654
Commercial and Industrial | SBA PPP | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Commercial and Industrial | SBA PPP | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Commercial and Industrial | SBA PPP | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Consumer    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 21,621 21,773
Consumer | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 21,586 21,707
Consumer | Special Mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 0 0
Consumer | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing 35 66
Consumer | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
Still Accruing $ 0 $ 0
v3.22.0.1
Loans and Allowance for Loan Losses - Aging of Past Due Accruing Loans and Nonaccrual Loans by Portfolio Segment (Details) - USD ($)
Dec. 31, 2021
Dec. 31, 2020
Financing Receivable, Past Due [Line Items]    
Still Accruing $ 1,732,205,000 $ 1,583,578,000
Nonaccrual 994,000 3,163,000
Total Past Due and Nonaccrual 1,548,000 3,501,000
Loans guaranteed by US government agency    
Financing Receivable, Past Due [Line Items]    
Nonaccrual 0 0
30 to 59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 549,000 302,000
60 to 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 5,000 36,000
90 or More Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Real Estate    
Financing Receivable, Past Due [Line Items]    
Still Accruing 1,453,241,000 1,220,936,000
Real Estate | Commercial property    
Financing Receivable, Past Due [Line Items]    
Still Accruing 1,105,843,000 880,736,000
Nonaccrual   524,000
Total Past Due and Nonaccrual   524,000
Real Estate | Commercial property | 30 to 59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing   0
Real Estate | Commercial property | 60 to 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing   0
Real Estate | Commercial property | 90 or More Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing   0
Real Estate | Residential property    
Financing Receivable, Past Due [Line Items]    
Still Accruing 209,485,000 198,431,000
Nonaccrual 0 189,000
Total Past Due and Nonaccrual 461,000 371,000
Real Estate | Residential property | 30 to 59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 461,000 182,000
Real Estate | Residential property | 60 to 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Real Estate | Residential property | 90 or More Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Real Estate | SBA property    
Financing Receivable, Past Due [Line Items]    
Still Accruing 129,661,000 126,570,000
Nonaccrual 746,000 885,000
Total Past Due and Nonaccrual 746,000 885,000
Real Estate | SBA property | 30 to 59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Real Estate | SBA property | 60 to 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Real Estate | SBA property | 90 or More Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Commercial and Industrial    
Financing Receivable, Past Due [Line Items]    
Still Accruing 257,343,000 340,869,000
Commercial and Industrial | Commercial lines of credit    
Financing Receivable, Past Due [Line Items]    
Still Accruing 100,936,000 96,087,000
Nonaccrual   904,000
Total Past Due and Nonaccrual   904,000
Commercial and Industrial | Commercial lines of credit | 30 to 59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing   0
Commercial and Industrial | Commercial lines of credit | 60 to 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing   0
Commercial and Industrial | Commercial lines of credit | 90 or More Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing   0
Commercial and Industrial | SBA commercial term    
Financing Receivable, Past Due [Line Items]    
Still Accruing 17,640,000 21,878,000
Nonaccrual 213,000 595,000
Total Past Due and Nonaccrual 213,000 595,000
Commercial and Industrial | SBA commercial term | 30 to 59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Commercial and Industrial | SBA commercial term | 60 to 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Commercial and Industrial | SBA commercial term | 90 or More Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 0 0
Consumer    
Financing Receivable, Past Due [Line Items]    
Still Accruing 21,621,000 21,773,000
Nonaccrual 35,000 66,000
Total Past Due and Nonaccrual 128,000 222,000
Consumer | 30 to 59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 88,000 120,000
Consumer | 60 to 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing 5,000 36,000
Consumer | 90 or More Days Past Due    
Financing Receivable, Past Due [Line Items]    
Still Accruing $ 0 $ 0
v3.22.0.1
Loans and Allowance for Loan Losses - Impaired Loans by Portfolio Segment (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Financing Receivable, Impaired [Line Items]      
Recorded investment, with no allowance recorded $ 1,535 $ 3,668  
Unpaid principal balance, with no allowance recorded 1,587 3,797  
Recorded investment, with an allowance recorded 0 63  
Unpaid principal balance, with an allowance recorded 0 63  
Related allowance, with an allowance recorded 0 5  
Average Recorded Investment 1,808 4,365 $ 3,085
Interest Income 39 42 65
Interest Foregone on Impaired Loans [Abstract]      
Interest income that would have been recognized had impaired loans performed in accordance with their original terms 99 256 213
Less: interest income recognized on impaired loans on a cash basis (39) (42) (65)
Interest income foregone on impaired loans 60 214 148
Real Estate | Commercial property      
Financing Receivable, Impaired [Line Items]      
Recorded investment, with no allowance recorded 326 856  
Unpaid principal balance, with no allowance recorded 325 855  
Recorded investment, with an allowance recorded 0 0  
Unpaid principal balance, with an allowance recorded 0 0  
Related allowance, with an allowance recorded 0 0  
Average Recorded Investment 329 467 170
Interest Income 22 23 12
Real Estate | Residential property      
Financing Receivable, Impaired [Line Items]      
Recorded investment, with no allowance recorded   189  
Unpaid principal balance, with no allowance recorded   189  
Recorded investment, with an allowance recorded   0  
Unpaid principal balance, with an allowance recorded   0  
Related allowance, with an allowance recorded   0  
Average Recorded Investment 0 47 38
Interest Income 0 0 0
Real Estate | SBA property      
Financing Receivable, Impaired [Line Items]      
Recorded investment, with no allowance recorded 988 1,108  
Unpaid principal balance, with no allowance recorded 1,033 1,198  
Recorded investment, with an allowance recorded 0 47  
Unpaid principal balance, with an allowance recorded 0 45  
Related allowance, with an allowance recorded 0 3  
Average Recorded Investment 1,105 1,459 1,685
Interest Income 16 17 41
Commercial and Industrial | Commercial term      
Financing Receivable, Impaired [Line Items]      
Recorded investment, with no allowance recorded 2 18  
Unpaid principal balance, with no allowance recorded 2 18  
Recorded investment, with an allowance recorded 0 0  
Unpaid principal balance, with an allowance recorded 0 0  
Related allowance, with an allowance recorded 0 0  
Average Recorded Investment 10 24 47
Interest Income 0 1 3
Commercial and Industrial | Commercial lines of credit      
Financing Receivable, Impaired [Line Items]      
Recorded investment, with no allowance recorded   904  
Unpaid principal balance, with no allowance recorded   904  
Recorded investment, with an allowance recorded   0  
Unpaid principal balance, with an allowance recorded   0  
Related allowance, with an allowance recorded   0  
Average Recorded Investment 0 1,869 921
Interest Income 0 0 0
Commercial and Industrial | SBA commercial term      
Financing Receivable, Impaired [Line Items]      
Recorded investment, with no allowance recorded 219 593  
Unpaid principal balance, with no allowance recorded 227 633  
Recorded investment, with an allowance recorded 0 16  
Unpaid principal balance, with an allowance recorded 0 18  
Related allowance, with an allowance recorded 0 2  
Average Recorded Investment 364 499 224
Interest Income $ 1 $ 1 $ 9
v3.22.0.1
Loans and Allowance for Loan Losses - Troubled Debt Restructurings (Details)
 12 Months Ended
Dec. 31, 2021
USD ($)
loan
Dec. 31, 2020
USD ($)
loan
Dec. 31, 2019
USD ($)
loan
Loans Modified as TDRs as of Period End [Abstract]      
Accruing $ 576,000 $ 634,000  
Nonaccrual 17,000 5,000  
Total 593,000 639,000  
Commitments to lend to customers with outstanding loans classified as TDRs 0 0  
TDRs, allowance for credit losses $ 0 $ 0  
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   2 5
Pre-Modification Recorded Investment   $ 37,000 $ 610,000
Post-Modification Recorded Investment   $ 37,000 $ 610,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   2 5
Pre-Modification Recorded Investment   $ 37,000 $ 610,000
Loans Modified as TDRs, Subsequent Payment Defaults [Abstract]      
Number of loans, subsequent default | loan 0 1 0
SBA commercial term loan, subsequent default   $ 26,000  
Real Estate | Commercial property      
Loans Modified as TDRs as of Period End [Abstract]      
Accruing $ 326,000 333,000  
Nonaccrual 0 0  
Total 326,000 $ 333,000  
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   0 1
Pre-Modification Recorded Investment   $ 0 $ 341,000
Post-Modification Recorded Investment   $ 0 $ 341,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   0 1
Pre-Modification Recorded Investment   $ 0 $ 341,000
Real Estate | SBA property      
Loans Modified as TDRs as of Period End [Abstract]      
Accruing 242,000 270,000  
Nonaccrual 17,000 5,000  
Total 259,000 $ 275,000  
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   0 2
Pre-Modification Recorded Investment   $ 0 $ 254,000
Post-Modification Recorded Investment   $ 0 $ 254,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   0 2
Pre-Modification Recorded Investment   $ 0 $ 254,000
Commercial and Industrial | Commercial term      
Loans Modified as TDRs as of Period End [Abstract]      
Accruing 2,000 18,000  
Nonaccrual 0 0  
Total 2,000 18,000  
Commercial and Industrial | SBA commercial term      
Loans Modified as TDRs as of Period End [Abstract]      
Accruing 6,000 13,000  
Nonaccrual 0 0  
Total $ 6,000 $ 13,000  
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   2 2
Pre-Modification Recorded Investment   $ 37,000 $ 15,000
Post-Modification Recorded Investment   $ 37,000 $ 15,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   2 2
Pre-Modification Recorded Investment   $ 37,000 $ 15,000
Principal      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   2 4
Pre-Modification Recorded Investment   $ 37,000 $ 269,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   2 4
Pre-Modification Recorded Investment   $ 37,000 $ 269,000
Principal | Real Estate | Commercial property      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan     0
Pre-Modification Recorded Investment     $ 0
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan     0
Pre-Modification Recorded Investment     $ 0
Principal | Real Estate | SBA property      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan     2
Pre-Modification Recorded Investment     $ 254,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan     2
Pre-Modification Recorded Investment     $ 254,000
Principal | Commercial and Industrial | SBA commercial term      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   2 2
Pre-Modification Recorded Investment   $ 37,000 $ 15,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   2 2
Pre-Modification Recorded Investment   $ 37,000 $ 15,000
Principal and Interest      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   0 1
Pre-Modification Recorded Investment   $ 0 $ 341,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   0 1
Pre-Modification Recorded Investment   $ 0 $ 341,000
Principal and Interest | Real Estate | Commercial property      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan     1
Pre-Modification Recorded Investment     $ 341,000
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan     1
Pre-Modification Recorded Investment     $ 341,000
Principal and Interest | Real Estate | SBA property      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan     0
Pre-Modification Recorded Investment     $ 0
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan     0
Pre-Modification Recorded Investment     $ 0
Principal and Interest | Commercial and Industrial | SBA commercial term      
Loans Modified as TDRs During the Period [Abstract]      
Number of Loans | loan   0 0
Pre-Modification Recorded Investment   $ 0 $ 0
TDRs By Modification Type During The Period [Abstract]      
Number of Loans | loan   0 0
Pre-Modification Recorded Investment   $ 0 $ 0
v3.22.0.1
Loans and Allowance for Loan Losses - Loans Held-For-Sale (Details) - USD ($)
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Sales of loans held-for-investment $ 0 $ 0 $ 0
Loans held-for-sale 37,026,000 1,979,000  
Real Estate      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Transfer of loans to held-for-sale 8,752,000 1,355,000 824,000
Transfer of loans to held-for-investment 0 697,000 0
Purchases of loans held-for-investment 2,139,000 0 1,539,000
Real Estate | Commercial property      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Transfer of loans to held-for-sale 8,563,000 0 0
Real Estate | Residential property      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Transfer of loans to held-for-sale 189,000 1,125,000 824,000
Transfer of loans to held-for-investment 0 697,000 0
Purchases of loans held-for-investment 2,139,000 0 1,539,000
Loans held-for-sale 0 300,000  
Real Estate | SBA property      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans held-for-sale 33,603,000 1,411,000  
Commercial and Industrial | SBA commercial term      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Transfer of loans to held-for-sale 0 230,000 $ 0
Loans held-for-sale $ 3,423,000 $ 268,000  
v3.22.0.1
Premises and Equipment (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Property, Plant and Equipment [Line Items]      
Total premises and equipment $ 15,272 $ 15,293  
Less: accumulated depreciation (12,174) (11,245)  
Property, Plant and Equipment, Net 3,098 4,048  
Depreciation of premises and equipment 1,375 1,487 $ 1,534
Leasehold improvements      
Property, Plant and Equipment [Line Items]      
Total premises and equipment 7,552 7,848  
Furniture, fixtures and equipment      
Property, Plant and Equipment [Line Items]      
Total premises and equipment 3,770 3,772  
Computer equipment      
Property, Plant and Equipment [Line Items]      
Total premises and equipment 2,466 2,288  
Computer software      
Property, Plant and Equipment [Line Items]      
Total premises and equipment $ 1,484 $ 1,385  
v3.22.0.1
Operating Leases - Cost and Supplemental Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Leases [Abstract]      
Operating lease cost $ 2,580 $ 2,617 $ 2,632
Cash paid for amounts included in the measurement of lease liabilities:      
Operating cash flows from operating leases 2,760 2,776 2,705
Right-of-use assets obtained in exchange for lease obligations 1,459 950 $ 1,616
Operating leases:      
Operating lease assets 6,786 7,616  
Operating lease liabilities $ 7,444 $ 8,455  
Weighted-average remaining lease term 4 years 4 years 3 months 18 days  
Weighted-average discount rate 2.36% 2.60%  
v3.22.0.1
Operating Leases - Maturities of Operating Lease Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Leases [Abstract]    
2022 $ 2,706  
2023 2,230  
2024 793  
2025 753  
2026 482  
After 2026 710  
Total lease payment 7,674  
Imputed interest (230)  
Present value of operating lease liabilities $ 7,444 $ 8,455
v3.22.0.1
Servicing Assets (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Transfers and Servicing [Abstract]        
Total servicing assets $ 7,269 $ 6,400 $ 6,798 $ 7,666
Financial assets transferred and accounted for as a sale 126,800 89,500 99,600  
Gain on loans transferred and accounted for as sales 12,800 6,000 5,900  
Servicing income $ 2,800 $ 2,700 $ 2,300  
v3.22.0.1
Servicing Assets - Summary of Key Assumptions in Fair Value Calculations (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Servicing Assets at Fair Value [Line Items]        
Carrying amount $ 7,269 $ 6,400 $ 6,798 $ 7,666
Residential property        
Servicing Assets at Fair Value [Line Items]        
Carrying amount 86 109 171 244
Fair value $ 126 $ 133    
Discount rates 6.33% 11.25%    
Prepayment speeds 24.40% 27.20%    
Weighted average remaining life 21 years 10 months 24 days 23 years 1 month 6 days    
Underlying loans being serviced $ 17,443 $ 22,299    
SBA property        
Servicing Assets at Fair Value [Line Items]        
Carrying amount 6,701 5,642 5,805 6,349
Fair value $ 11,196 $ 8,498    
Discount rates 8.75% 13.25%    
Prepayment speeds 9.80% 9.99%    
Weighted average remaining life 21 years 4 months 24 days 21 years 1 month 6 days    
Underlying loans being serviced $ 442,424 $ 400,982    
SBA commercial term        
Servicing Assets at Fair Value [Line Items]        
Carrying amount 482 649 $ 822 $ 1,073
Fair value $ 734 $ 888    
Discount rates 9.64% 12.75%    
Prepayment speeds 12.77% 11.01%    
Weighted average remaining life 6 years 2 months 12 days 6 years 7 months 6 days    
Underlying loans being serviced $ 59,839 $ 75,514    
v3.22.0.1
Servicing Assets - Summary of Changes in Servicing Assets (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Servicing Asset at Amortized Cost, Balance [Roll Forward]      
Beginning Balance $ 6,400 $ 6,798 $ 7,666
Additions 2,878 1,550 1,514
Amortization (2,009) (1,948) (2,382)
Ending Balance 7,269 6,400 6,798
Residential property      
Servicing Asset at Amortized Cost, Balance [Roll Forward]      
Beginning Balance 109 171 244
Additions 0 0 0
Amortization (23) (62) (73)
Ending Balance 86 109 171
SBA property      
Servicing Asset at Amortized Cost, Balance [Roll Forward]      
Beginning Balance 5,642 5,805 6,349
Additions 2,769 1,408 1,329
Amortization (1,710) (1,571) (1,873)
Ending Balance 6,701 5,642 5,805
SBA commercial term      
Servicing Asset at Amortized Cost, Balance [Roll Forward]      
Beginning Balance 649 822 1,073
Additions 109 142 185
Amortization (276) (315) (436)
Ending Balance $ 482 $ 649 $ 822
v3.22.0.1
Other Real Estate Owned (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Other Real Estate Owned [Roll Forward]      
Balance at beginning of year $ 1,401 $ 0 $ 0
Additions 1,960 5,316 395
Sales (3,361) (3,915) (329)
Net change in valuation allowance 0 0 (66)
Balance at end of year 0 1,401 0
Real Estate Owned Valuation Allowance [Roll Forward]      
Balance at beginning of year 0 0 0
Additions 0 0 66
Net direct write-downs and removal from sale 0 0 (66)
Balance at end of year 0 0 0
Expenses related to OREOs 8 51 1
Loan provided to purchase 250 1,500 0
Net (gain) loss on sales      
Real Estate Owned Valuation Allowance [Roll Forward]      
Expenses related to OREOs (73) (9) 1
Operating expenses, net of rental income      
Real Estate Owned Valuation Allowance [Roll Forward]      
Expenses related to OREOs $ 81 $ 60 $ 0
v3.22.0.1
Deposits (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Deposit Liability [Line Items]    
Total deposits $ 1,867,134 $ 1,594,851
Total interest-bearing deposits 1,040,000 1,060,000
Deposits reclassified as loans or overdrafts 39 98
Uninsured deposit liability 919,600 737,200
Uninsured time deposit liability 216,300 224,700
Pledged securities for collateral 110,900 117,800
Brokered deposits 85,000 80,000
Related party deposits 3,900 2,700
California State Treasurer's Deposits    
Deposit Liability [Line Items]    
Time deposits, $250,000 or more, threshold $ 100,000 $ 100,000
v3.22.0.1
Deposits - Scheduled Maturities of Time Deposits (Details)
$ in Thousands
Dec. 31, 2021
USD ($)
Time deposits of $250,000 or less  
2022 $ 333,907
2023 5,484
2024 2,204
2025 326
2026 35
Thereafter 0
Total 341,956
Time deposits of more than $250,000  
2022 269,107
2023 3,162
2024 0
2025 0
2026 0
Thereafter 0
Total 272,269
Total time deposits  
2022 603,014
2023 8,646
2024 2,204
2025 326
2026 35
Thereafter 0
Total $ 614,225
v3.22.0.1
Federal Home Loan Bank Advances and Other Borrowings (Details) - USD ($)
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Fixed Rate      
2022 $ 10,000,000    
2023 0    
2024 0    
2025 0    
Thereafter 0    
Total 10,000,000    
Variable Rate      
2022 0    
2023 0    
2024 0    
2025 0    
Thereafter 0    
Total 0    
2022 10,000,000    
2023 0    
2024 0    
2025 0    
Thereafter 0    
Total $ 10,000,000 $ 80,000,000 $ 20,000,000
Federal Home Loan Bank, Advances, Activity for Year [Abstract]      
Weighted-average interest rate at end of year 2.07% 0.67% 1.92%
Average interest rate during the year 0.97% 0.65% 1.86%
Average balance $ 30,096,000 $ 94,303,000 $ 25,370,000
Maximum amount outstanding at any month-end 80,000,000 170,000,000 35,000,000
Federal Home Loan Bank advances 10,000,000 80,000,000 $ 20,000,000
Loans pledged to secure borrowings 982,700,000 834,400,000  
Additional borrowing capacity 516,200,000 425,300,000  
FHLB Advances      
Federal Home Loan Bank, Advances, Activity for Year [Abstract]      
Unused borrowing capacity 29,200,000    
Loans pledged as collateral 36,600,000    
Borrowings outstanding 0    
Overnight federal funds lines, maximum borrowing capacity 65,000,000    
FHLB of San Francisco      
Federal Home Loan Bank, Advances, Activity for Year [Abstract]      
Investment in capital stock of the FHLB $ 8,400,000 $ 8,300,000  
FHLB Advances | Maximum      
Debt Instrument [Line Items]      
Maturity term 5 years    
v3.22.0.1
Shareholders' Equity - Narrative (Details) - USD ($)
 1 Months Ended 12 Months Ended
Mar. 31, 2020
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Apr. 08, 2021
Jan. 23, 2020
Mar. 28, 2019
Class of Stock [Line Items]              
Authorized amount of shares under repurchase plan           $ 6,500,000 $ 6,500,000
Stock repurchased and retired during period (in shares) 428,474 680,269   396,715      
Stock repurchased and retired during period (in dollars per share) $ 15.14 $ 15.99   $ 16.33      
Number of shares authorized to be repurchased         775,000    
Repurchase of common stock   $ 10,876,000 $ 6,487,000 $ 6,480,000      
Maximum              
Class of Stock [Line Items]              
Percent of outstanding common stock shares authorized to be repurchased as a percent of common stock outstanding         5.00%    
v3.22.0.1
Share-Based Compensation - Narrative (Details) - shares
 12 Months Ended
Dec. 31, 2021
Jul. 25, 2013
Stock options    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Number of options authorized to be purchased   1,114,446
Shares available for grant 468,170  
Award contractual term 10 years  
Stock options | Minimum    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Award vesting period 3 years  
Stock options | Maximum    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Award vesting period 5 years  
Restricted stock awards | Minimum    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Award vesting period 3 years  
Restricted stock awards | Maximum    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Award vesting period 5 years  
v3.22.0.1
Share-Based Compensation - Share-based Expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation $ 453 $ 715 $ 709
Related tax benefits 84 76 44
Unrecognized Expense      
Stock options 341    
Restricted stock awards 537    
Total unrecognized share-based compensation expense $ 878    
Weighted-Average Remaining Expected Recognition Period 2 years 2 months 12 days    
Stock options      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation $ 187 562 650
Unrecognized Expense      
Weighted-Average Remaining Expected Recognition Period 2 years 4 months 24 days    
Restricted stock awards      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation $ 266 $ 153 $ 59
Unrecognized Expense      
Weighted-Average Remaining Expected Recognition Period 2 years 1 month 6 days    
v3.22.0.1
Share-Based Compensation - Valuation Assumptions (Details) - Stock options
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Risk-free interest rate 1.13% 0.00% 2.06%
Expected term 6 years 8 months 15 days   5 years
Expected stock price volatility 27.54% 0.00% 36.10%
Dividend yield 2.64% 0.00% 1.33%
v3.22.0.1
Share-Based Compensation - Options, Additional Information (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Cash received from options exercised $ 1,279 $ 693 $ 626
Weighted-average exercise price per share, granted (in dollars per share) $ 17.94    
Stock options      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Intrinsic value of options exercised $ 794 789 851
Cash received from options exercised 1,279 693 627
Tax benefit from options exercised $ 60 $ 70 $ 31
Weighted-average exercise price per share, granted (in dollars per share) $ 3.76 $ 0 $ 5.76
v3.22.0.1
Share-Based Compensation - Option Activity (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]    
Options, outstanding at beginning of period (in shares) 718,935  
Options, granted (in shares) 50,000  
Options, exercised (in shares) (126,163)  
Options, forfeited (in shares) (10,000)  
Options, outstanding at end of year (in shares) 632,772 718,935
Options, exercisable (in shares) 525,673  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]    
Weighted-average exercise price per share, outstanding at beginning of period (in dollars per share) $ 10.87  
Weighted-average exercise price per share, granted (in dollars per share) 17.94  
Weighted-average exercise price per share, exercised (in dollars per share) 10.14  
Weighted-average exercise price per share, forfeited (in dollars per share) 17.47  
Weighted-average exercise price per share, outstanding at end of period (in dollars per share) 11.47 $ 10.87
Weighted-average exercise price per share, exercisable (in dollars per share) $ 10.40  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]    
Weighted-average contractual term, outstanding 4 years 6 months 14 days 5 years 25 days
Weighted-average contractual term, granted 10 years  
Weighted-average contractual term, exercised 4 years 2 months 19 days  
Weighted-average contractual term, forfeited 8 years  
Weighted-average contractual term, exercisable 3 years 10 months 6 days  
Aggregate intrinsic value, balance $ 6,641 $ 0
Aggregate intrinsic value, exercisable $ 6,078  
v3.22.0.1
Share-Based Compensation - Nonvested Options (Details)
 12 Months Ended
Dec. 31, 2021
$ / shares
shares
Number of Shares  
Unvested options, outstanding at beginning of period (in shares) | shares 121,199
Unvested options, granted (in shares) | shares 50,000
Unvested options, vested (in shares) | shares (54,100)
Unvested options, forfeited (in shares) | shares (10,000)
Unvested options, outstanding at end of period (in shares) | shares 107,099
Weighted-Average Exercise Price Per Share  
Weighted-average exercise price per share, outstanding at beginning of period (in dollars per share) | $ / shares $ 15.68
Weighted-average exercise price per share, granted (in dollars per share) | $ / shares 17.94
Weighted-average exercise price per share, vested (in dollars per share) | $ / shares 15.41
Weighted-average exercise price per share, forfeited (in dollars per share) | $ / shares 17.47
Weighted-average exercise price per share, outstanding at end of period (in dollars per share) | $ / shares $ 16.70
v3.22.0.1
Share-Based Compensation - Restricted Stock (Details) - Restricted stock awards - $ / shares
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Number of Shares    
Outstanding at beginning of period (in shares) 30,300  
Granted (in shares) 35,584  
Vested (in shares) (9,300)  
Forfeited (in shares) (1,300)  
Outstanding at end of period (in shares) 55,284 30,300
Weighted-Average Grant Date Fair Value Per Share    
Outstanding at beginning of period (in dollars per share) $ 16.27  
Granted (in dollars per share) 10.80  
Vested (in dollars per share) 16.46  
Forfeited (in dollars per share)   $ 13.23
Outstanding at end of period (in dollars per share) $ 12.79 $ 16.27
v3.22.0.1
Employee Benefit Plans (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Retirement Benefits [Abstract]      
Employer matching contribution, percent of match 75.00%    
Percent of employees gross pay, employer matching contribution 8.00%    
Company's contribution to employee benefit plans $ 901 $ 807 $ 831
v3.22.0.1
Income Taxes - Components of Income Tax (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Current:      
Federal $ 12,117 $ 6,596 $ 8,317
State 6,692 3,910 4,499
Total current income tax expense 18,809 10,506 12,816
Deferred:      
Federal (1,428) (2,223) (1,747)
State (525) (1,447) (826)
Total deferred income tax benefit (1,953) (3,670) (2,573)
Total $ 16,856 $ 6,836 $ 10,243
v3.22.0.1
Income Taxes - Reconciliation of Effective Interest Rate (Details)
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Income Tax Disclosure [Abstract]      
Statutory federal tax rate 21.00% 21.00% 21.00%
State and local income taxes, net of federal tax benefit 8.55% 8.45% 8.45%
Share-based compensation 0.05% 0.39% 0.10%
Other items, net (0.01%) (0.13%) 0.27%
Effective income tax rate 29.59% 29.71% 29.82%
v3.22.0.1
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Deferred tax assets:    
Allowance for loan losses $ 6,609 $ 7,790
Share-based compensation 303 335
Loans held-for-sale market adjustment 2,445 419
Operating lease liabilities 2,198 2,485
State tax benefit 1,365 822
Other 360 447
Total deferred tax assets 13,280 12,298
Deferred tax liabilities:    
Depreciation on premises and equipment 208 394
Unrealized gain on investment securities 4 754
Deferred loan origination costs 177 732
Operating lease assets 2,004 2,238
Other 63 60
Total deferred tax liabilities 2,456 4,178
Deferred tax assets, net $ 10,824 $ 8,120
v3.22.0.1
Income Taxes - Narrative (Details) - USD ($)
Dec. 31, 2021
Dec. 31, 2020
Income Tax Disclosure [Abstract]    
Valuation allowance $ 0 $ 0
Tax penalties accrued 0 0
Tax interest accrued $ 0 $ 0
v3.22.0.1
Earnings Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Basic earnings per share:      
Net income $ 40,103 $ 16,175 $ 24,108
Less: income allocated to unvested restricted stock (156) (37) (22)
Net income allocated to common stock $ 39,947 $ 16,138 $ 24,086
Weighted-average total common shares outstanding (in shares) 15,076,183 15,419,455 15,887,566
Less: weighted-average unvested restricted stock (in shares) (58,546) (35,224) (14,183)
Weighted-average common shares outstanding, basic (in shares) 15,017,637 15,384,231 15,873,383
Basic earnings per share (in dollars per share) $ 2.66 $ 1.05 $ 1.52
Diluted earnings per share:      
Net income allocated to common stock $ 39,947 $ 16,138 $ 24,086
Weighted-average common shares outstanding, basic (in shares) 15,017,637 15,384,231 15,873,383
Diluted effect of stock options (in shares) 236,183 64,661 298,899
Diluted weighted-average common shares outstanding (in shares) 15,253,820 15,448,892 16,172,282
Diluted earnings per share (in dollars per share) $ 2.62 $ 1.04 $ 1.49
Stock options excluded in computing diluted earnings per share (in shares) 65,000 601,019 155,000
v3.22.0.1
Commitments and Contingencies (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Other Commitments [Line Items]    
Data breach expense $ 100  
Fixed Rate Loan    
Other Commitments [Line Items]    
Other commitment 12,025 $ 11,346
Variable Rate Loan    
Other Commitments [Line Items]    
Other commitment 192,382 186,935
SEC Schedule, 12-09, Reserve, Off-balance Sheet Activity    
Other Commitments [Line Items]    
Valuation reserve 214 238
Unused lines of Credit | Fixed Rate Loan    
Other Commitments [Line Items]    
Other commitment 8,261 6,623
Unused lines of Credit | Variable Rate Loan    
Other Commitments [Line Items]    
Other commitment $ 160,739 150,247
Unfunded Loan Commitment    
Other Commitments [Line Items]    
Loan commitments, maturity term 90 days  
Unfunded Loan Commitment | SBA Loans    
Other Commitments [Line Items]    
Loan commitments, maturity term 180 days  
Unfunded Loan Commitment | Fixed Rate Loan    
Other Commitments [Line Items]    
Other commitment $ 595 1,752
Unfunded Loan Commitment | Variable Rate Loan    
Other Commitments [Line Items]    
Other commitment 29,688 34,874
Standby letters of credit | Fixed Rate Loan    
Other Commitments [Line Items]    
Other commitment 3,078 2,971
Standby letters of credit | Variable Rate Loan    
Other Commitments [Line Items]    
Other commitment 1,431 1,814
Commercial letters of credit | Fixed Rate Loan    
Other Commitments [Line Items]    
Other commitment 91 0
Commercial letters of credit | Variable Rate Loan    
Other Commitments [Line Items]    
Other commitment $ 524 $ 0
v3.22.0.1
Regulatory Matters (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 16, 2021
Dec. 31, 2020
To Be Well Capitalized Under Prompt Corrective Provisions      
Pending ECIP investment   $ 69,100  
PCB Bancorp      
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]      
Capital conservation buffer 8.04%   9.22%
Actual      
Common tier 1 capital (to risk-weighted assets), amount $ 255,650   $ 231,183
Common tier 1 capital (to risk-weighted assets), ratio 0.1479   0.1597
Total capital (to risk-weighted assets), amount $ 277,263   $ 249,391
Total capital (to risk-weighted assets), ratio 0.1604   0.1722
Tier 1 capital (to risk-weighted assets), amount $ 255,650   $ 231,183
Tier 1 capital (to risk-weighted assets), ratio 0.1479   0.1597
Tier 1 capital (to average assets), amount $ 255,650   $ 231,183
Tier 1 capital (to average assets), ratio 0.1211   0.1194
Minimum Capital Requirement      
Common tier 1 capital (to risk-weighted assets), amount $ 77,762   $ 65,162
Common tier 1 capital (to risk-weighted assets), ratio 4.50%   4.50%
Total capital (to risk-weighted assets), amount $ 138,244   $ 115,843
Total capital (to risk-weighted assets), ratio 0.080   0.080
Tier 1 capital (to risk-weighted assets), amount $ 103,683   $ 86,882
Tier 1 capital (to risk-weighted assets), ratio 0.060   0.060
Tier 1 capital (to average assets), amount $ 84,445   $ 77,452
Tier 1 capital (to average assets), ratio 0.040   0.040
Pacific City Bank      
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]      
Capital conservation buffer 7.73%   8.95%
Actual      
Common tier 1 capital (to risk-weighted assets), amount $ 250,145   $ 227,268
Common tier 1 capital (to risk-weighted assets), ratio 0.1448   0.1570
Total capital (to risk-weighted assets), amount $ 271,757   $ 245,474
Total capital (to risk-weighted assets), ratio 0.1573   0.1695
Tier 1 capital (to risk-weighted assets), amount $ 250,145   $ 227,268
Tier 1 capital (to risk-weighted assets), ratio 0.1448   0.1570
Tier 1 capital (to average assets), amount $ 250,145   $ 227,268
Tier 1 capital (to average assets), ratio 0.1185   0.1174
Minimum Capital Requirement      
Common tier 1 capital (to risk-weighted assets), amount $ 77,761   $ 65,160
Common tier 1 capital (to risk-weighted assets), ratio 4.50%   4.50%
Total capital (to risk-weighted assets), amount $ 138,241   $ 115,840
Total capital (to risk-weighted assets), ratio 0.080   0.080
Tier 1 capital (to risk-weighted assets), amount $ 103,681   $ 86,880
Tier 1 capital (to risk-weighted assets), ratio 0.060   0.060
Tier 1 capital (to average assets), amount $ 84,443   $ 77,450
Tier 1 capital (to average assets), ratio 0.040   0.040
To Be Well Capitalized Under Prompt Corrective Provisions      
Common tier 1 capital (to risk-weighted assets), amount $ 112,321   $ 94,120
Common tier 1 capital (to risk-weighted assets), ratio 6.50%   6.50%
Total capital (to risk-weighted assets), amount $ 172,801   $ 144,800
Total capital (to risk-weighted assets), ratio 0.100   0.100
Tier 1 capital (to risk-weighted assets), amount $ 138,241   $ 115,840
Tier 1 capital (to risk-weighted assets), ratio 0.080   0.080
Tier 1 capital (to average assets), amount $ 105,554   $ 96,813
Tier 1 capital (to average assets), ratio 0.050   0.050
v3.22.0.1
Revenue Recognition (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits $ 2,369 $ 2,231 $ 2,551
Service charges and fees on deposits      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 1,195 1,256 1,544
Monthly service fees      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 81 91 113
Account analysis fees      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 885 860 972
Non-sufficient funds charges      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 165 228 364
Other deposit related fees      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 64 77 95
Debit card fees      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 306 252 272
Gain (loss) on sale of other real estate owned      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 74 9 (1)
Wire transfer fees      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits 596 530 515
Other service charges      
Disaggregation of Revenue [Line Items]      
Service charges and fees on deposits $ 198 $ 184 $ 221
v3.22.0.1
Condensed Financial Statements for Parent Company - Condensed Balance Sheets (Details) - USD ($)
$ in Thousands
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Dec. 31, 2018
Assets        
Other assets $ 5,122 $ 3,815    
Total assets 2,149,735 1,922,853    
Liabilities and Shareholders’ Equity        
Total liabilities 1,893,449 1,689,065    
Total shareholders’ equity 256,286 233,788 $ 226,834 $ 210,296
Total liabilities and shareholders’ equity 2,149,735 1,922,853    
PCB Bancorp        
Assets        
Cash 5,451 3,873    
Investment in Pacific City Bank 250,780 229,871    
Other assets 55 44    
Total assets 256,286 233,788    
Liabilities and Shareholders’ Equity        
Total liabilities 0 0    
Total shareholders’ equity 256,286 233,788    
Total liabilities and shareholders’ equity $ 256,286 $ 233,788    
v3.22.0.1
Condensed Financial Statements for Parent Company - Condensed Statements of Income and Comprehensive Income (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Income:      
Other income $ 1,429 $ 1,247 $ 1,234
Expense:      
Other expenses 3,141 3,267 3,684
Total noninterest expense 43,208 41,699 42,315
Income before income taxes 56,959 23,011 34,351
Income tax benefit 16,856 6,836 10,243
Net income 40,103 16,175 24,108
Other comprehensive income (loss), net of tax (1,802) 2,013 1,590
Total comprehensive income 38,301 18,188 25,698
PCB Bancorp      
Income:      
Dividends from subsidiary 18,375 13,600 11,950
Other income 0 0 0
Total income 18,375 13,600 11,950
Expense:      
Other expenses 753 798 835
Total noninterest expense 753 798 835
Income before income taxes 17,622 12,802 11,115
Income tax benefit (223) (234) (245)
Income before equity in undistributed subsidiary income 17,845 13,036 11,360
Equity in undistributed subsidiary income 22,258 3,139 12,748
Net income 40,103 16,175 24,108
Other comprehensive income (loss), net of tax (1,802) 2,013 1,590
Total comprehensive income $ 38,301 $ 18,188 $ 25,698
v3.22.0.1
Condensed Financial Statements for Parent Company - Cash Flow (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Cash flows from operating activities      
Net income $ 40,103 $ 16,175 $ 24,108
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Net cash provided by (used in) operating activities (1,617) 17,093 30,120
Cash flows from investing activities:      
Net cash used in investing activities (175,223) (132,818) (61,903)
Cash flows from financing activities:      
Restricted stock surrendered due to employee tax liability (4) (2) 0
Repurchase of common stock (10,876) (6,487) (6,480)
Stock options exercised 1,279 693 626
Cash dividends paid on common stock (6,655) (6,153) (3,962)
Net cash provided by financing activities 186,027 163,595 15,738
Net increase (decrease) in cash and cash equivalents 9,187 47,870 (16,045)
Cash and cash equivalents at beginning of year 194,098 146,228 162,273
Cash and cash equivalents at end of year 203,285 194,098 146,228
PCB Bancorp      
Cash flows from operating activities      
Net income 40,103 16,175 24,108
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Equity in undistributed subsidiary income (22,258) (3,139) (12,748)
Change in other assets (11) 47 (40)
Change in other liabilities 0 0 (19)
Net cash provided by (used in) operating activities 17,834 13,083 11,301
Cash flows from investing activities:      
Capital contribution to subsidiary 0 0 0
Net cash used in investing activities 0 0 0
Cash flows from financing activities:      
Restricted stock surrendered due to employee tax liability (4) (2) 0
Repurchase of common stock (10,876) (6,487) (6,480)
Stock options exercised 1,279 693 626
Cash dividends paid on common stock (6,655) (6,153) (3,962)
Net cash provided by financing activities (16,256) (11,949) (9,816)
Net increase (decrease) in cash and cash equivalents 1,578 1,134 1,485
Cash and cash equivalents at beginning of year 3,873 2,739 1,254
Cash and cash equivalents at end of year $ 5,451 $ 3,873 $ 2,739
v3.22.0.1
Subsequent Events (Details) - $ / shares
 12 Months Ended
Jan. 27, 2022
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2019
Subsequent Event [Line Items]        
Cash dividends declared (in dollars per share)   $ 0.44 $ 0.40 $ 0.25
Subsequent Event        
Subsequent Event [Line Items]        
Cash dividends declared (in dollars per share) $ 0.15      
v3.22.0.1
Label Element Value
Accounting Standards Update [Extensible Enumeration] us-gaap_AccountingStandardsUpdateExtensibleList Accounting Standards Update 2016-02 [Member]