COASTAL FINANCIAL CORP, 10-K filed on 3/17/2025
Annual Report
v3.25.1
Cover Page - USD ($)
12 Months Ended
Dec. 31, 2024
Mar. 05, 2025
Jun. 30, 2024
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Current Fiscal Year End Date --12-31    
Document Period End Date Dec. 31, 2024    
Document Transition Report false    
Entity File Number 001-38589    
Entity Registrant Name COASTAL FINANCIAL CORPORATION    
Entity Incorporation, State or Country Code WA    
Entity Tax Identification Number 56-2392007    
Entity Address, Address Line One 5415 Evergreen Way    
Entity Address, City or Town Everett    
Entity Address, State or Province WA    
Entity Address, Postal Zip Code 98203    
City Area Code 425    
Local Phone Number 257-9000    
Title of 12(b) Security Common Stock, no par value per share    
Trading Symbol CCB    
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 false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 519,995,585
Entity Common Stock, Shares Outstanding   15,005,890  
Documents Incorporated by Reference
DOCUMENTS INCORPORATED BY REFERENCE
Portions of the Registrant’s Definitive Proxy Statement to be filed with the Securities and Exchange Commission pursuant to Regulation 14A for its 2024 Annual Meeting of Shareholders are incorporated by reference into Part III of this Annual Report on Form 10-K.
   
Amendment Flag false    
Document Fiscal Year Focus 2024    
Document Fiscal Period Focus FY    
Entity Central Index Key 0001437958    
v3.25.1
Audit Information
12 Months Ended
Dec. 31, 2024
Audit Information [Abstract]  
Auditor Firm ID 659
Auditor Name Moss Adams LLP
Auditor Location Everett, Washington,
v3.25.1
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
ASSETS    
Cash and due from banks $ 36,533 $ 31,345
Interest earning deposits with other banks 415,980 451,783
Investment securities, available for sale, at fair value 35 99,504
Investment securities, held to maturity, at amortized cost 47,286 50,860
Other investments 10,800 10,227
Loans held for sale 20,600 0
Loans receivable 3,486,565 3,021,542
Allowance for credit losses (176,994) (117,381)
Total loans receivable, net 3,309,571 2,904,161
CCBX credit enhancement asset 181,890 112,894
CCBX receivable 14,138 9,088
Premises and equipment, net 27,431 22,090
Lease right-of-use assets 5,219 5,932
Accrued interest receivable 21,104 23,458
Bank-owned life insurance, net 13,375 12,870
Deferred tax asset, net 3,600 3,806
Other assets 13,646 11,987
Total assets 4,121,208 3,750,005
LIABILITIES    
Deposits 3,585,332 3,360,363
Principal amount $45,000 (less unamortized debt issuance costs of $707 and $856) at December 31, 2024 and December 31, 2023, respectively 44,293 44,144
Principal amount $3,609 (less unamortized debt issuance costs of $18 and $19 at December 31, 2024 and December 31, 2023, respectively) 3,591 3,590
Deferred compensation 332 479
Accrued interest payable 962 892
Lease liabilities 5,398 6,124
CCBX payable 29,171 30,290
Other liabilities 13,425 9,145
Total liabilities 3,682,504 3,455,027
SHAREHOLDERS’ EQUITY    
Authorized: 25,000,000 shares at December 31, 2024 and December 31, 2023; issued and outstanding: zero shares at December 31, 2024 and December 31, 2023 0 0
Authorized: 300,000,000 shares at December 31, 2024 and December 31, 2023; 14,935,298 shares at December 31, 2024 issued and outstanding and 13,304,339 shares at December 31, 2023 issued and outstanding 228,177 130,136
Retained earnings 210,529 165,311
Accumulated other comprehensive loss, net of tax (2) (469)
Total shareholders’ equity 438,704 294,978
Total liabilities and shareholders’ equity $ 4,121,208 $ 3,750,005
v3.25.1
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Preferred stock, no par value (in usd per share) $ 0 $ 0
Preferred stock, shares authorized (in shares) 25,000,000 25,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Common stock, no par value (in usd per share) $ 0 $ 0
Common stock, shares authorized (in shares) 300,000,000 300,000,000
Common stock, shares issued (in shares) 14,935,298 13,304,339
Common stock, shares outstanding (in shares) 14,935,298 13,304,339
Subordinated Debt    
Principal amount $ 45,000 $ 45,000
Unamortized debt issuance cost 707 856
Junior Subordinated Debentures    
Principal amount 3,609 3,609
Unamortized debt issuance cost $ 18 $ 19
v3.25.1
CONSOLIDATED STATEMENTS OF INCOME - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
INTEREST AND DIVIDEND INCOME      
Interest and fees on loans $ 372,021 $ 304,289 $ 183,352
Interest on interest earning deposits with other banks 21,265 15,346 6,728
Interest on investment securities 3,056 3,197 1,745
Dividends on other investments 435 387 345
Total interest income 396,777 323,219 192,170
INTEREST EXPENSE      
Interest on deposits 120,932 89,000 19,004
Interest on borrowed funds 2,817 2,644 1,391
Total interest expense 123,749 91,644 20,395
Net interest income 273,028 231,575 171,775
PROVISION FOR CREDIT LOSSES 277,607 183,992 79,064
Net interest income/(expense) after provision for credit losses (4,579) 47,583 92,711
NONINTEREST INCOME      
Service charges and fees 3,738 3,854 3,804
Loan referral fees 168 683 810
Gain on sales of loans, net 0 253 0
Unrealized gain (loss) on equity securities, net 27 279 (153)
Other income 1,524 884 1,344
Noninterest income, excluding BaaS program income and BaaS indemnification income 5,457 5,953 5,805
Total noninterest income 308,205 204,122 122,943
NONINTEREST EXPENSE      
Salaries and employee benefits 70,084 66,461 52,228
Occupancy 3,936 4,172 4,219
Data processing and software licenses 15,313 9,349 6,816
Legal and professional expenses 15,506 14,803 6,760
Point of sale expense 325 481 368
Excise taxes 1,154 1,976 2,204
Federal Deposit Insurance Corporation ("FDIC") assessments 2,863 2,524 2,859
Director and staff expenses 2,112 2,152 1,711
Marketing 162 517 351
Other expense 6,484 5,224 4,652
Noninterest expense, excluding BaaS loan and BaaS fraud expense 117,939 107,659 82,168
BaaS loan and fraud expense 128,370 86,913 82,865
Total noninterest expense 246,309 194,572 165,033
Income before provision for income taxes 57,317 57,133 50,621
PROVISION FOR INCOME TAXES 12,098 12,554 9,996
NET INCOME $ 45,219 $ 44,579 $ 40,625
Basic earnings per common share (in usd per share) $ 3.35 $ 3.36 $ 3.14
Diluted earnings per common share (in usd per share) $ 3.26 $ 3.27 $ 3.01
Weighted average number of common shares outstanding:      
Basic (in shares) 13,508,047 13,261,664 12,949,266
Diluted (in shares) 13,876,906 13,640,182 13,514,952
BaaS program income      
NONINTEREST INCOME      
Revenue from contract with customer $ 20,075 $ 13,240 $ 11,193
BaaS indemnification income      
NONINTEREST INCOME      
Revenue from contract with customer 282,673 184,929 105,945
Servicing and other BaaS fees | BaaS program income      
NONINTEREST INCOME      
Revenue from contract with customer 4,743 3,855 4,408
Transaction fees | BaaS program income      
NONINTEREST INCOME      
Revenue from contract with customer 5,910 4,011 3,211
Interchange fees | BaaS program income      
NONINTEREST INCOME      
Revenue from contract with customer 6,933 4,252 2,583
Reimbursement of expenses | BaaS program income      
NONINTEREST INCOME      
Revenue from contract with customer 2,489 1,122 991
BaaS credit enhancements | BaaS indemnification income      
NONINTEREST INCOME      
Revenue from contract with customer 272,839 177,764 76,374
BaaS fraud enhancements | BaaS indemnification income      
NONINTEREST INCOME      
Revenue from contract with customer 9,834 7,165 29,571
BaaS loan expense      
NONINTEREST EXPENSE      
BaaS loan and fraud expense 118,536 79,748 53,294
BaaS fraud expense      
NONINTEREST EXPENSE      
BaaS loan and fraud expense $ 9,834 $ 7,165 $ 29,571
v3.25.1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Statement of Comprehensive Income [Abstract]      
NET INCOME $ 45,219 $ 44,579 $ 40,625
Securities available-for-sale      
Unrealized holding income during the period 535 2,418 (2,959)
Income tax expense related to unrealized holding gain/loss (69) (553) 621
OTHER COMPREHENSIVE INCOME, net of tax 466 1,865 (2,338)
COMPREHENSIVE INCOME $ 45,685 $ 46,444 $ 38,287
v3.25.1
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($)
$ in Thousands
Total
Revision of Prior Period, Accounting Standards Update, Adjustment
Common Stock
Retained Earnings
Retained Earnings
Revision of Prior Period, Accounting Standards Update, Adjustment
Accumulated Other Comprehensive Income (Loss)
Beginning balance (in shares) at Dec. 31, 2021     12,875,315      
Beginning balance at Dec. 31, 2021 $ 201,222   $ 121,845 $ 79,373   $ 4
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 40,625     40,625    
Issuance of restricted stock awards (in shares)     10,396      
Vesting of restricted stock units (in shares)     28,215      
Exercise of stock options (in shares)     247,221      
Exercise of stock options 1,468   $ 1,468      
Stock-based compensation 2,517   $ 2,517      
Stock issuance and net proceeds from public offering 0          
Other comprehensive loss, net of tax (2,338)         (2,338)
Ending balance (in shares) at Dec. 31, 2022     13,161,147      
Ending balance at Dec. 31, 2022 243,494 $ 734 $ 125,830 119,998 $ 734 (2,334)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 44,579     44,579    
Issuance of restricted stock awards (in shares)     13,538      
Vesting of restricted stock units (in shares)     46,520      
Exercise of stock options (in shares)     83,134      
Exercise of stock options 618   $ 618      
Stock-based compensation 3,688   $ 3,688      
Other comprehensive loss, net of tax $ 1,865         1,865
Ending balance (in shares) at Dec. 31, 2023 13,304,339   13,304,339      
Ending balance at Dec. 31, 2023 $ 294,978   $ 130,136 165,311   (469)
Beginning balance, rounding adjustment at Dec. 31, 2023       165,310   (468)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Net income 45,219     45,219    
Issuance of restricted stock awards (in shares)     16,698      
Vesting of restricted stock units (in shares)     66,806      
Exercise of stock options (in shares)     167,455      
Exercise of stock options 1,396   $ 1,396      
Stock-based compensation 4,844   $ 4,844      
Stock issuance and net proceeds from public offering (in shares)     1,380,000      
Stock issuance and net proceeds from public offering 91,801   $ 91,801      
Other comprehensive loss, net of tax $ 466         466
Ending balance (in shares) at Dec. 31, 2024 14,935,298   14,935,298      
Ending balance at Dec. 31, 2024 $ 438,704   $ 228,177 $ 210,529   $ (2)
v3.25.1
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES      
Net income $ 45,219 $ 44,579 $ 40,625
Adjustments to reconcile net income to net cash provided by operating activities:      
Provision for credit losses 277,607 183,992 79,064
Depreciation and amortization 4,552 2,328 1,809
Loss on disposition of fixed assets 0 39 35
Increase in operating lease right-of-use assets 835 833 1,087
Increase in operating lease liabilities (848) (857) (1,086)
Gain on sales of loans 0 (253) 0
Net amortization (accretion) on investment securities 5 (25) (50)
Unrealized holding (gain) loss on equity investment (27) (279) 153
Stock-based compensation 4,844 3,688 2,517
Increase in bank-owned life insurance value (485) 27 (360)
Deferred tax benefit (expense) 138 13,879 (11,018)
Net change in CCBX receivable (5,050) 1,328 (9,150)
Net change in CCBX credit enhancement asset (68,995) (55,052) (44,665)
Net change in CCBX payable (1,119) 9,871 18,578
Net change in other assets and liabilities 3,110 (12,558) (10,441)
Total adjustments 214,567 146,961 26,473
Net cash provided by operating activities 259,786 191,540 67,098
CASH FLOWS FROM INVESTING ACTIVITIES      
Purchase of investment securities available for sale 0 0 (134,912)
Purchase of investment securities held for investment 0 (50,244) 0
Change in other investments, net (546) 607 (2,230)
Principal paydowns of investment securities available-for-sale 8 9 17
Principal paydowns of investment securities held-to-maturity 3,565 417 256
Maturities and calls of investment securities available-for-sale 100,000 250 70,000
Purchase of bank owned life insurance (20) (230) (53)
Proceeds from sales of loans held for sale 1,524,870 600,199 152,546
Proceeds from sales of loan participations 0 0 10,300
Investments in loans receivable (201,995) (91,465) (168,464)
Purchase of loan participations 0 0 (52)
Increase in loans receivable, net (2,024,548) (1,047,310) (912,518)
Purchases of premises and equipment, net (9,900) (6,245) (2,838)
Net cash used by investing activities (608,566) (594,012) (987,948)
CASH FLOWS FROM FINANCING ACTIVITIES      
Net increase in demand deposits, money market, and savings 225,779 553,932 467,744
Net decrease in time deposits (811) (11,089) (14,010)
Net repayment from long term FHLB borrowing 0 0 (24,999)
Increase from subordinated debt proceeds 0 0 19,625
Proceeds from exercise of stock options 1,396 618 1,468
Proceeds from public offering 91,801 0 0
Net cash provided by financing activities 318,165 543,461 449,828
NET CHANGE IN CASH, DUE FROM BANKS AND RESTRICTED CASH (30,615) 140,989 (471,022)
CASH, DUE FROM BANKS AND RESTRICTED CASH, beginning of year 483,128 342,139 813,161
CASH, DUE FROM BANKS AND RESTRICTED CASH, end of year 452,513 483,128 342,139
SUPPLEMENTAL SCHEDULE OF OPERATING AND INVESTING ACTIVITIES      
Interest paid 123,679 91,436 20,068
Income taxes paid 10,540 6,843 23,498
SUPPLEMENTAL SCHEDULE OF NONCASH TRANSACTIONS      
Fair value adjustment of securities available-for-sale, gross 535 2,418 (2,959)
Lease liabilities arising from obtaining right-of-use assets 122 1,747 0
Transfer from loans to loans held for sale 1,545,470 599,946 152,546
Adjustment to retained earnings - adoption of ASU 2016-13, net of deferred tax (438,704) (294,978) (243,494)
Retained Earnings      
SUPPLEMENTAL SCHEDULE OF NONCASH TRANSACTIONS      
Adjustment to retained earnings - adoption of ASU 2016-13, net of deferred tax $ (210,529) (165,311) $ (119,998)
Revision of Prior Period, Accounting Standards Update, Adjustment | Retained Earnings      
SUPPLEMENTAL SCHEDULE OF NONCASH TRANSACTIONS      
Adjustment to retained earnings - adoption of ASU 2016-13, net of deferred tax   $ (734)  
v3.25.1
Description of Business and Summary of Significant Accounting Policies
12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Description of Business and Summary of Significant Accounting Policies Description of Business and Summary of Significant Accounting Policies
Nature of operations - Coastal Financial Corporation (“Corporation” or “Company”) is a registered bank holding company whose wholly owned subsidiaries are Coastal Community Bank (“Bank”) and Arlington Olympic LLC. The Company is a Washington state corporation that was organized in 2003. The Bank was incorporated and commenced operations in 1997 and is a Washington state-chartered commercial bank and Federal Reserve System (“Federal Reserve”) state member bank. Arlington Olympic LLC was formed in 2019 and owns the Arlington branch site, which the Bank leases from the LLC.
The Company operates through the Bank and is headquartered in Everett, Washington, which by population is the largest city in, and the county seat of, Snohomish County. The Company’s business is conducted through three reportable segments: The community bank, CCBX and treasury & administration. The community bank offers a full range of banking services to small and medium-sized businesses, professionals, and individuals throughout the greater Puget Sound region through its 14 branches in Snohomish, Island and King Counties, the Internet, and its mobile banking application. The CCBX segment provides Banking as a Service (“BaaS”) that allows our broker dealers and digital financial service partners to offer their customers banking services. Through CCBX’s partners the Company is able to offer banking services and products across the nation. The treasury & administration segment includes treasury management, overall administration and all other aspects of the Company.
The Bank’s deposits are insured in whole or in part by the Federal Deposit Insurance Corporation (“FDIC”). The community bank’s loans and deposits are primarily within the greater Puget Sound region, while CCBX loans and deposits are dependent upon the partner’s market. The Bank’s primary funding source is deposits from customers. The Bank is subject to regulation and supervision by the Board of Governors of the Federal Reserve System and the Washington State Department of Financial Institutions Division of Banks. The Federal Reserve also has regulatory and supervisory authority over the Company.
Financial statement presentation - The accompanying audited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for reporting requirements and practices within the banking industry. Amounts presented in the consolidated financial statements and footnote tables are rounded and presented in thousands of dollars except per-share amounts, which are presented in dollars. In the narrative footnote discussion, amounts are rounded to thousands and presented in dollars.
In management’s opinion, all accounting adjustments necessary to accurately reflect the financial position and results of operations on the accompanying consolidated financial statements have been made. These adjustments include normal and recurring accruals considered necessary for a fair and accurate presentation.
Principles of consolidation - The consolidated financial statements include the accounts of the Company, the Bank and the LLC. All significant intercompany accounts have been eliminated in consolidation.
Estimates - The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management believes that its critical accounting estimates include determining the allowance for credit losses, the fair value of the Company’s financial instruments, and the valuation of deferred tax assets, financial instruments, and other fair value measurements. Actual results could differ significantly from those estimates.
Subsequent Events - The Company has evaluated events and transactions subsequent to December 31, 2024 for potential recognition or disclosure.
Cash equivalents and cash flows - For purposes of reporting cash flows, cash and cash equivalents include cash on hand and in banks and interest-bearing deposits. All have original maturities of three months or less. CDs with other financial institutions, federal funds sold and cash flows from loans and deposits are reported as net increases or decreases under cash flows from investing activities or from financing activities.
The Company maintains its cash in depository institution accounts, which, at times, may exceed federally insured limits. The Company monitors these institutions and has not experienced any losses in such accounts.
Investment securities - Debt securities that management has the ability and intent to hold to maturity are classified as held-to-maturity and carried at amortized cost. The amortization of premiums and accretion of discounts are recognized in interest income using the interest method or methods approximating the interest method over the period to maturity.
Debt securities not classified as held-to-maturity are classified as available-for-sale. Such securities may be sold to facilitate the Company’s asset/liability management strategies and in response to changes in interest rates and similar forces. Securities available-for-sale are carried at fair value with unrealized gains and losses reported in other comprehensive income. Realized gains (losses) on securities available-for-sale are included in noninterest income and, when applicable, are reported as a reclassification adjustment in other comprehensive income. Gains and losses on sales of securities are recorded on the trade date and are determined on the specific-identification method.
For available-for-sale debt securities, if fair value is below amortized cost, the security is considered impaired. When the Company does not intend to sell the debt security, and it is more likely than not the Company will not have to sell the security before recovery of its cost basis, then the Company assesses the security for potential expected credit losses. Impairment related to a credit loss is measured using the discounted cash flow method. Credit loss recognition is limited to the fair value of the security. The impairment is recognized by establishing an ACL through provision for credit losses. Impairment related to noncredit factors is recognized in accumulated other comprehensive income, net of applicable taxes. The Company evaluates AFS security impairment on a quarterly basis.
For held-to-maturity debt securities, expected losses are evaluated and calculated on a collective basis for those securities which share risk characteristics. The Company aggregates similar securities and reports the security portfolio segments based on shared risk characteristics. The only segment included in the held-to-maturity portfolio are U.S. Agency Residential Mortgage Backed Securities which have an expected zero credit loss and were purchased for CRA purposes.
Other investments - Other investments on the balance sheet consists of direct equity investments in stock of the Federal Home Loan Bank of Des Moines (“FHLB”), the Federal Reserve Bank of San Francisco (“FRB”), Pacific Coast Banker’s Bancshares, as well as investments in bank technology funds.
As a Federal Reserve member bank, the Bank is required to own stock in the FRB in an amount based on the Bank’s capital. The recorded amount of the FRB stock equals its fair value because the shares can only be redeemed by the FRB at their par value. The Bank’s investment in FRB stock was $4.9 million and $4.8 million at December 31, 2024 and 2023, respectively.
The Bank, as a member of the FHLB, is required to maintain an investment in capital stock of FHLB in an amount equal to 4.5% of advances outstanding, plus 0.06% of total assets from the prior fiscal year end. The recorded amount of FHLB stock equals its fair value because the shares can only be redeemed by FHLB at the $1 per share par value. The investment in FHLB stock was $2.2 million and $1.9 million at December 31, 2024 and 2023, respectively.
The investment in Pacific Coast Banker’s Bancshares (“PCBB”) stock consists of an equity security. This investment is carried at its cost of $100,000 at December 31, 2024 and 2023, which approximates its fair value.
The Company has the following equity investments which do not have a readily determinable fair value and are held at cost minus impairment if any, plus or minus observable price changes in orderly transactions for an identical or similar investment of the same issuer. This method will be applied until the investments do not qualify for the measurement election (e.g., if the investment has a readily determinable fair value). The Company will reassess at each reporting period whether the equity investments without a readily determinable fair value qualifies to be measured at cost minus impairment. These equity investments without a readily determined fair value include:
a $2.2 million equity interest in a specialized bank technology company as of December 31, 2024 and December 31, 2023;
a $350,000 equity interest in a technology company as of the years ended December 31, 2024 and December 31, 2023; and
a $47,000 and $50,000 equity interest in a technology company as of the years ended December 31, 2024, and December 31, 2023, respectively.
The following table shows the activity in equity investments without a readily determinable fair value for the dates shown:
For the Twelve Months Ended
December 31,
(dollars in thousands)202420232022
Carrying value, beginning of period$2,622 $2,572 $2,322 
Purchases— 50 350 
Observable price change(3)— (100)
Carrying value, end of period$2,619 $2,622 $2,572 
The Company has invested in funds that are accelerating technology for adoption by banks. These equity investments are held at fair value, as reported by the funds. During the year ended December 31, 2024, the Company contributed $72,000 with investment funds designed to help accelerate technology adoption at banks, and recognized net gains of $29,000, resulting in an equity interest of $910,000 at December 31, 2024. The Company has committed up to $480,000 in capital for these equity funds.
The following table shows the activity in equity fund investments held at fair value for the dates shown:
For the Twelve Months Ended
December 31,
(dollars in thousands)202420232022
Carrying value, beginning of period$809 $456 $160 
Purchases/capital calls/capital returns, net72 75 349 
Net change recognized in earnings29 278 (53)
Carrying value, end of period$910 $809 $456 
Loans and allowance for credit losses – Loans are stated at the principal amount outstanding less the allowance for credit losses and net of any deferred fees or costs on originated loans, and unamortized premiums or discounts on purchased loans. Loan fees and certain direct loan origination costs are deferred, and the net fee or cost is recognized as an adjustment to interest income using the level yield methodology and a method that approximates the level yield methodology. Interest income on loans is recognized based upon the principal amounts outstanding.
The accrual of interest on community bank loans is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due or when they are 90 days past due as to either principal or interest, unless they are well secured and in the process of collection. When interest accrual is discontinued, all unpaid accrued interest is reversed against current income. If management determines that the ultimate collectability of principal or interest is in doubt, cash receipts on nonaccrual loans are applied to reduce the principal balance on a cash-basis method, until the loans qualify for return to accrual status or principal is paid in full. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current, borrower has demonstrated ability to make regular payments, generally a period of at least six months, and future payments are reasonably assured.
For installment/closed-end, and revolving/open-end consumer loans originated through CCBX lending partners loans will typically accrue interest until 120 and 180 days past due, respectively, which is consistent with regulatory guidelines for consumer loans of this nature, and an allowance is recorded through provision expense for these expected losses. For installment/closed-end and revolving/open-end consumer loans originated through CCBX lending partners with balances outstanding beyond 120 days and 180 days, respectively, principal and capitalized interest outstanding is charged off against the allowance and accrued interest outstanding is reversed against interest income. Partners may elect to stop accruing interest on loans prior to the days past due referenced above, and some CCBX partners have instituted a collection practice that places certain loans on nonaccrual status to improve collectibility, but interest will not continue accruing beyond those days.
The allowance for credit losses is comprised of amounts charged against income in the form of the provision for credit losses, less charged-off loans, net of recoveries. When available information confirms that specific loans or portions thereof are uncollectible, identified amounts are charged against the allowance for credit losses.  The existence of some or all of the following criteria will generally confirm that a loss has been incurred: (1) the loan is significantly delinquent and the borrower has not demonstrated the ability or intent to bring the loan current; (2) the Company has no recourse to the borrower or if it does, the borrower has insufficient assets to pay the debt; (3) the estimated fair value of the loan collateral is significantly below the current loan balance; (4) there is little or no near-term prospect for improvement; and (5) loan modification with principal reduction. Subsequent recoveries, if any, are credited to the allowance for credit losses.
The allowance for credit losses ("ACL") is an estimate of the expected credit losses on financial assets measured at amortized cost. The ACL is evaluated and calculated on a collective basis for those loans which share similar risk characteristics. At each reporting period, the Company evaluates whether the loans in a pool continue to exhibit similar risk characteristics as the other loans in the pool and whether it needs to evaluate the allowance on an individual basis. The Company must estimate expected credit losses over the loans’ contractual terms, adjusted for expected prepayments. In estimating the life of the loan, the Company cannot extend the contractual term of the loan for expected extensions, renewals, and modifications, unless the extension or renewal options are included in the contract at the reporting date and are not unconditionally cancellable by the Company. Because expected credit losses are estimated over the contractual life adjusted for estimated prepayments, determination of the life of the loan may significantly affect the ACL. The Company has chosen to segment its portfolio consistent with the manner in which it manages the risk of the type of credit.
Community Bank Portfolio: The ACL calculation is derived from loan segments utilizing loan level information and relevant available information from internal and external sources related to past events and current conditions. In addition, the Company incorporates a reasonable and supportable forecast.
CCBX Portfolio: The Bank calculates the ACL on loans on an aggregate basis based on each partner and product level, segmenting the risk inherent in the CCBX portfolio based on qualitative and quantitative trends in the portfolio.
Also included in the ACL are qualitative reserves to cover losses that are expected, but in the Company’s assessment may not be adequately represented in the quantitative method. For example, factors that the Company considers include environmental business conditions, borrower’s financial condition, credit rating and the volume and severity of past due loans and nonaccrual loans. Based on this analysis, the Company records a provision for credit losses to maintain the allowance at appropriate levels.
Determining the amount of the allowance is considered a critical accounting estimate, as it requires significant judgment and the use of subjective measurements, including management’s assessment of overall portfolio quality. The Company maintains the allowance at an amount the Company believes is sufficient to provide for estimated losses expected to occur in the Company’s loan portfolio at each balance sheet date, and fluctuations in the provision for credit losses may result from management’s assessment of the adequacy of the allowance. Changes in these estimates and assumptions are possible and may have a material impact on the Company’s allowance, and therefore the Company’s financial position, liquidity or results of operations. The Company has elected to exclude accrued interest receivable from the amortized cost basis in its ACL calculation as accrued interest is written off in a timely manner when deemed uncollectible.
For more information and discussion related to the allowance for credit losses on loans, see “Note 4 - Loans and Allowance for Credit Losses”.
In addition to the ACL on loans held for investment, CECL requires a balance sheet liability for expected losses on unfunded commitments, which is recognized if both the following conditions are met: (1) the Company has a present contractual obligation to extend credit; and (2) the obligation is not unconditionally cancellable by the Company. Loan commitments may have a funded and unfunded portion, of which the liability for unfunded commitments is derived based upon the commitments to extend credit to a borrower. The expected credit losses for funded portions are reported in the previously discussed ACL.
The unfunded commitments that are not unconditionally cancelable by the Company are allowed for using the same loss rate as the funded commitment applied against the estimated utilization of these commitments and the probability of funding.
Loans held-for-sale - During the year ended December 31, 2024, the Company transferred $1.55 billion in CCBX loans receivable to loans held for sale. These loans are sold to the originating partners in accordance with partner agreements and are primarily sold for credit and concentration management. Credit card loans are sold to the originating partner while retaining a portion of the interchange or transaction fee income on these sold credit card accounts. The Company sells these loans to provide an additional source of noninterest income without adding on-balance-sheet risk. As of December 31, 2024 there were $20.6 million loans held for sale and no loans were held for sale as of December 31, 2023.
Community bank loans held-for-sale consist of the guaranteed portion of SBA loans and USDA loans the Company intends to sell after origination and are reflected at the lower of aggregate cost or fair value. Loans are generally sold with servicing of the sold portion retained by the Company when the sale of the loan occurs, the premium received is combined with the estimated present value of future cash flows on the related servicing asset and recorded as a gain on sale of loans in noninterest income. There were no community bank loans held for sale at December 31, 2024 and 2023.
Loan sales recognition - The Company recognizes a sale on loans if the transferred portion (or portions) and any portion that continues to be held by the transferor are participating interests. Participating interest is defined as a portion of a financial asset that (a) conveys proportionate ownership rights with equal priority to each participating interest holder, (b) involves no recourse (other than standard representations and warranties), and (c) does not entitle any participating interest holder to receive cash before any other participating interest holder. The transfer of the participating interest (or participating interests) must also meet the conditions for surrender of control.
To determine the gain or loss on sale of loans, the Company’s investment in the loan is allocated among the retained portion of the loan, the servicing retained, and the sold portion of the loan, based on the relative fair market value of each portion. The gain or loss on the sold portion of the loan is based on the difference between the sale proceeds and the allocated investment in the sold portion of the loan. A discount is recorded against the carrying value of the retained portion of the loan to offset the decrease in the fair value allocation of said retained portion.
The Company retains the servicing on the sold guaranteed portion of SBA and USDA loans. The Company receives a fee for servicing the loan. The Company also retains the servicing on the sold guaranteed portion of Main Street Lending Program (“MSLP”) loans. The net deferred fee on the sold portion of the loan is recognized when sold. The Company does not retain the servicing on sold CCBX loans.
Reserve for unfunded commitments - The Company maintains a balance sheet liability for expected losses on unfunded commitments, which is recognized if both the following conditions are met: (1) the Company has a present contractual obligation to extend credit; and (2) the obligation is not unconditionally cancellable by the Company. Loan commitments may have a funded and unfunded portion, of which the liability for unfunded commitments is derived based upon the commitments to extend credit to a borrower. An estimate of expected credit losses is not established for unfunded portions of loan commitment that are unconditionally cancellable by the Company. The expected credit losses for funded portions are reported in the previously discussed ACL. The Company segments its unfunded commitment portfolio consistent with the ACL calculation, separating between unfunded lines and commitments to originate. The Company incorporates the probability of funding (i.e. estimate of utilization) for each segment and then utilizes the ACL loss rates for each segment on an aggregate basis to calculate the allowance for unfunded commitments. The reserve for unfunded commitments was $2.5 million and $582,000 as of December 31, 2024 and 2023, respectively. The reserve for community bank loans was $1.2 million and the reserve for CCBX loans was $1.3 million as of December 31, 2024.
Premises and equipment - Premises and equipment are stated at cost less accumulated depreciation. Depreciation expense is computed using the straight-line method based upon the estimated useful lives of the assets. Asset lives range from three to thirty-nine years. Leasehold improvements are amortized over the expected term of the lease including options to extend which are reasonably certain to be exercised or the estimated useful life of the improvement, whichever is less.
The Company capitalizes internal and external costs related to internal-use software during the application development stage, including consulting costs and compensation expenses related to employees who devote time to the development of the projects. The Company records capitalized software development costs in premises and equipment in the Consolidated Balance Sheets. Costs incurred in preliminary stages of development activities and post implementation activities are expensed in the period incurred. The Company may also capitalize costs related to specific upgrades and enhancements when it is probable the expenditures will result in additional functionality. Once the software is substantially complete and ready for its intended use, capitalization ceases and the asset is amortized straight line over its estimated
useful life, which is typically three years. Amortization expense is included in data processing and software licenses in the Consolidated Statements of Income.
Maintenance and repairs are charged to operating expenses. Renewals and betterments are added to the asset accounts and depreciated over the periods benefited. Depreciable assets sold or retired are removed from the asset and related accumulated depreciation accounts and any gain or loss is reflected in the income statement. These assets are reviewed for impairment when events indicate their carrying value may not be recoverable. If management determines impairment exists, the asset is reduced with an offsetting charge to the income statement.
Transfers of financial assets - Transfers of an entire financial asset are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when: (1) a group of financial assets or a participating interest in an entire financial asset has been isolated from the Company, (2) 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 (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.
Other real estate owned and repossessed assets - Other real estate owned and repossessed assets are foreclosed property held pending disposition and are initially recorded at fair value less estimated selling costs when acquired, establishing a new cost basis. At foreclosure, if the fair value of the asset acquired less estimated selling costs is less than the Company’s recorded investment in the related loan, a write-down is recognized through a charge to the allowance for credit losses. Costs of significant property improvements that increase the value of the property are capitalized, whereas costs relating to holding the property are expensed. Valuations are periodically performed by management, and a valuation allowance is established for subsequent declines, which are recorded as a charge to income, if necessary, to reduce the carrying value of the property to its fair value less estimated selling costs.
Leases - The Company accounts for its leases in accordance with ASC 842 - Leases. Most leases are recognized on the balance sheet by recording a right-of-use asset and lease liability for each lease. The right-of-use asset represents the right to use the asset under lease for the lease term, and the lease liability represents the contractual obligation to make lease payments. The right-of-use asset is tested for impairment whenever events or changes in circumstances indicate the carrying amount may not be recoverable.
As a lessee, the Company enters into operating leases for certain Bank branches. The right-of-use assets and lease liabilities are initially recognized based on the net present value of the remaining lease payments which include renewal options where the Company is reasonably certain they will be exercised. The net present value is determined using the incremental collateralized borrowing rate at commencement date. The right-of-use asset is measured at the amount of the lease liability adjusted for any prepaid rent, lease incentives and initial direct costs incurred. The right-of-use asset and lease liability are amortized over the individual lease terms. Lease expense for lease payments is recognized on a straight-line basis over the lease term. For additional information regarding leases, see Note 6.
Income taxes - The Company and the Bank file a consolidated federal income tax return and state tax returns as applicable. Deferred income taxes result from temporary differences between the tax basis of assets and liabilities, and their reported amounts in the financial statements. Deferred taxes are temporary differences that will be recognized in future periods. As changes in tax law or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. Federal taxes are paid by the Bank to the Company based on the separate taxable income of the Bank. The Company and Bank maintain their records on the accrual basis of accounting for financial reporting and for income tax reporting purposes.
As of December 31, 2024 and 2023, the Company had no material unrecognized income tax benefits. The Company recognizes interest accrued and penalties related to unrecognized tax benefits in other noninterest expense. There were no interest and penalties assessed on income taxes during 2024 or 2023.
Stock-based compensation - Compensation expense is recognized for stock options and restricted stock, based on the fair value of these awards at the grant date. 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 grant date is used for restricted stock awards and restricted stock units and is determined on the basis of objective criteria including trade data. The fair value of market-based units is estimated on the grant date using a Monte Carlo simulation model. Compensation cost is recognized over the requisite service period, generally defined as the vesting period. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award.
Earnings per common share - Earnings per common share (“EPS”) is computed under the two-class method. Pursuant to the two-class method, nonvested stock based payment awards that contain non-forfeitable rights to dividends or dividend equivalents are participating securities and are included in the computation of EPS. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings. Application of the two-class method resulted in the equivalent earnings per share to the treasury method.
Basic earnings per common share is computed by dividing net earnings allocated to common shareholders by the weighted-average number of common shares outstanding during the applicable period, excluding outstanding participating securities. Diluted earnings per common share is computed using the weighted-average number of shares determined for the basic earnings per common share computation plus the dilutive effect of stock using the treasury stock method. Stock awards that are anti-dilutive are not included in the calculation of diluted EPS.
Comprehensive income - Accounting principles generally require that recognized revenue, expenses, gains, and losses be included in net income. Certain changes in assets and liabilities, such as unrealized gains and losses on available-for-sale investments, are reported as a separate component of the shareholders’ equity section of the balance sheets. Accumulated other comprehensive income consists of only one component: unrealized gains or losses on investment securities available-for-sale.
Business Segments – For financial reporting purposes, the Company has three segments: The community bank, CCBX and treasury & administration. The community bank business is that of a traditional banking institution, gathering deposits and originating loans for portfolio in its market areas. The community bank offers a wide variety of deposit products to their customers. Lending activities include the origination of real estate, commercial and industrial, and consumer loans. Interest income on loans is the Company’s primary source of revenue, and is supplemented by interest income from investment securities, service charges, and other service provided activities. The CCBX segment provides banking as a service (“BaaS”) that allows our broker-dealer and digital financial service partners to offer their customers banking services. The CCBX segment has 24 partners as of December 31, 2024. The treasury & administration segment includes treasury management, overall administration and all other aspects of the Company. The performance of the Company is reviewed and monitored by the Company’s executive management on a daily basis and the Board of Directors reviews and monitors the performance of the Company at minimum, on a monthly basis. For additional information regarding the business segments, see Note 21.
Advertising costs - Advertising costs are expensed as incurred or over the period of the campaign/promotion. Advertising costs in the amount of $162,000 and $517,000 were expensed during the year ended December 31, 2024 and 2023, respectively.
Reclassifications - Certain amounts reported in prior years' consolidated financial statements may have been reclassified to conform to the current presentation with no effect on shareholders’ equity or net income.
v3.25.1
Recent accounting standards
12 Months Ended
Dec. 31, 2024
Accounting Standards Update and Change in Accounting Principle [Abstract]  
Recent accounting standards Recent accounting standards
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, to provide financial statement users with more disaggregated expense information about a public entity’s reportable segments. The ASU addresses the concern that more segment information is needed, including allowing the disclosure of multiple measures of segment profit or loss, requiring the disclosure of significant segment expenses, and requiring the qualitative disclosure of other segment items. This ASU is effective for all entities for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024 and was implemented by the Company as of the fiscal year ended December 31, 2024.
v3.25.1
Investment Securities
12 Months Ended
Dec. 31, 2024
Investments, Debt and Equity Securities [Abstract]  
Investment Securities Investment Securities
The following table summarizes the amortized cost, fair value, and allowance for credit losses and the corresponding amounts of gross unrealized gains and losses of available-for-sale securities recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses of held-to-maturity securities:
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
Allowance for Credit Losses
(dollars in thousands)
December 31, 2024
Available-for-sale
U.S. Agency collateralized
   mortgage obligations
$37 $— $(2)$35 $— 
Total available-for-sale
   securities
37 — (2)35 — 
Held-to-maturity
U.S. Agency residential
   mortgage-backed securities
47,286 149 (730)46,705 — 
Total investment securities$47,323 $149 $(732)$46,740 $— 
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
Allowance for Credit Losses
(dollars in thousands)
December 31, 2023
Available-for-sale
U.S. Treasury securities$99,996 $— $(535)$99,461 $— 
U.S. Agency collateralized
   mortgage obligations
45 — (2)43 — 
Total available-for-sale
   securities
100,041 — (537)99,504 — 
Held-to-maturity
U.S. Agency residential
   mortgage-backed securities
50,860 467 (286)51,041 — 
Total investment securities$150,901 $467 $(823)$150,545 $— 
Accrued interest on available-for-sale securities was less than $1,000 and $718,000 at December 31, 2024 and December 31, 2023, respectively. Accrued interest on held-to-maturity securities was $218,000 and $234,000 at December 31, 2024 and December 31, 2023, respectively. Accrued interest on securities is excluded from the balances in the preceding table of securities receivable, and is included in accrued interest receivable on the Company's consolidated balance sheets.
The amortized cost and fair value of debt securities at December 31, 2024, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers in mortgage backed securities or obligations may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-backed securities and collateralized mortgage obligations are shown separately, since they are not due at a single maturity date.
Available-for-SaleHeld-to-Maturity
Amortized
Cost
Fair
Value
Amortized
Cost
Fair
Value
(dollars in thousands)
December 31, 2024
U.S. Agency residential mortgage-backed securities and collateralized mortgage obligations$37 $35 $47,286 $46,705 
$37 $35 $47,286 $46,705 
Investment securities with amortized cost of $19.2 million and $21.8 million at December 31, 2024 and December 31, 2023 respectively, were pledged to secure public deposits and for other purposes as required or permitted by law and an additional $24.0 million and $25.0 million in securities were pledged for borrowing lines at December 31, 2024 and December 31, 2023, respectively.
During the twelve months ended December 31, 2024, two securities matured, consisting of a total of $100.0 million in AFS U.S. Treasury securities. During the twelve months ended December 31, 2024, no securities were purchased.
There were no sales of investments during the year ended December 31, 2024, December 31, 2023 or December 31, 2022.
At December 31, 2024 there were sixteen securities with a $732,000 unrealized loss. At December 31, 2023 there were nine securities with a $823,000 unrealized loss. The following table shows the investments’ gross unrealized losses and fair values, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position for which an allowance for credit losses has not been recorded:
Less Than 12 Months12 Months or GreaterTotal
Fair
Value
Gross
Unrealized
Losses
Fair
Value
Gross
Unrealized
Losses
Fair
Value
Gross
Unrealized
Losses
(dollars in thousands)
December 31, 2024
Available-for-sale
U.S. Agency collateralized mortgage obligations$— $— $35 $$35 $
Total available-for-sale securities— — 35 35 
Held-to-maturity
U.S. Agency residential mortgage-backed securities27,781 219 10,292 511 38,073 730 
Total investment securities$27,781 $219 $10,327 $513 $38,108 $732 
Management has evaluated the above securities and does not believe that any individual unrealized loss as of December 31, 2024 will be recognized into income. Unrealized losses have not been recognized into income because management does not intend to sell and does not expect it will be required to sell the investments. The decline is largely due to changes in market conditions and interest rates, rather than credit quality. The fair value is expected to recover as the underlying securities in the portfolio approach maturity date and market conditions improve. Management believes there is a high probability of collecting all contractual amounts due because the majority of the securities in the portfolio are backed by government agencies or government sponsored enterprises. However, a recovery in value may not occur for some time, if at all, and may be delayed for greater than the one year time horizon or perhaps even until maturity. Based on management's analysis no allowance for credit losses was required on these securities.
v3.25.1
Loans and Allowance for Loan Losses (“ACL")
12 Months Ended
Dec. 31, 2024
Receivables [Abstract]  
Loans and Allowance for Loan Losses (“ACL") Loans and Allowance for Credit Losses (“ACL”)
Loans Held for Sale
During the year ended December 31, 2024, $1.55 billion in CCBX loans were transferred to loans held for sale, with $1.52 billion in loans sold. These loans were sold at par. The Company sells CCBX loans to manage loan portfolio size by partner and by loan category. Partner loan limits are established and documented in the relevant partner agreement. There were $20.6 million loans held for sale as of December 31, 2024 and no loans held for sale as of December 31, 2023.
Loans Held for Investment
The composition of the loan portfolio is as follows as of the periods indicated:
December 31,December 31,
20242023 (1)
(dollars in thousands)
Community Bank
Commercial and industrial loans$150,395 $149,502 
Real estate loans:
Construction, land and land development loans148,198 157,100 
Residential real estate loans202,064 225,391 
Commercial real estate loans1,374,801 1,303,533 
Consumer and other loans:
Other consumer and other loans13,542 1,628 
Gross Community Bank loans receivable1,889,000 1,837,154 
CCBX
Commercial and industrial loans:
Capital call lines$109,017 $87,494 
All other commercial & industrial loans
33,961 54,295 
Real estate loans:
Residential real estate loans267,707 238,035 
Consumer and other loans:
Credit cards528,554 505,837 
Other consumer and other loans664,780 306,027 
Gross CCBX loans receivable1,604,019 1,191,688 
Total gross loans receivable3,493,019 3,028,842 
Net deferred origination fees and premiums(6,454)(7,300)
Loans receivable$3,486,565 3,021,542 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Accrued interest on loans, which is excluded from the balances in the preceding table of loans receivable, was $20.5 million and $23.5 million at December 31, 2024 and December 31, 2023, respectively, and was included in accrued interest receivable on the Company's consolidated balance sheets.
Included in commercial and industrial loans is $109.0 million and $87.5 million in capital call lines, as of December 31, 2024 and December 31, 2023, respectively, provided to venture capital firms through one of our BaaS clients. These loans are secured by the capital call rights and are individually underwritten to the Bank’s credit standards and the underwriting is reviewed by the Bank on every line/loan.
Consumer and other loans includes overdrafts of $7.4 million and $2.8 million at December 31, 2024 and December 31, 2023, respectively. Community bank overdrafts were $147,000 and $255,000 at December 31, 2024 and
December 31, 2023, respectively and CCBX overdrafts were $7.3 million and $2.5 million at December 31, 2024 and December 31, 2023, respectively.
The Company has pledged loans totaling $933.9 million and $1.01 billion at December 31, 2024 and December 31, 2023, respectively, for borrowing lines at the FHLB and FRB. Loans are pledged to increase and maintain the borrowing capacity of the Bank in the event of a liquidity crisis.
The balance of SBA and USDA loans and participations serviced for others totaled $4.1 million and $8.7 million at December 31, 2024 and December 31, 2023, respectively.
The gross balance of MSLP loans participated and serviced for others totaled $50.3 million and $53.4 million at December 31, 2024 and December 31, 2023, respectively, with $2.6 million and $2.8 million in MSLP loans on the balance sheet and included in commercial and industrial loans at December 31, 2024 and December 31, 2023, respectively. Servicing is retained on the gross balance.
The Company, through the community bank, at times purchases individual loans at fair value as of the acquisition date. The Company held purchased loans with remaining balances totaled $6.1 million and $8.1 million as of December 31, 2024 and December 31, 2023, respectively. Unamortized premiums totaled $117,000 and $154,000 as of December 31, 2024 and December 31, 2023, respectively, and are amortized into interest income over the life of the loans. These loans are included in the applicable loan category depending upon the collateral and purpose of the individual loan.
The Company, through the community bank, has purchased participation loans with remaining balances totaling $29.2 million and $53.5 million as of December 31, 2024 and December 31, 2023, respectively. These loans are included in the applicable loan category depending upon the collateral and purpose of the individual loan.
The Company, through the community bank, purchased loans from CCBX partners, at par, through agreements with those CCBX partners, and those loans had a remaining balance of $208.0 million as of December 31, 2024 and $45.7 million as of December 31, 2023. As of December 31, 2024, $202.7 million is included in consumer and other loans and $5.4 million is included in commercial and industrial loans, compared to $39.4 million in consumer and other loans and $6.3 million in commercial and industrial loans as of December 31, 2023.
The following is a summary of the Company’s loan portfolio segments:
Commercial and industrial loans - Commercial and industrial loans are secured by business assets including inventory, receivables and machinery and equipment of businesses located generally in the Company’s primary market area and capital calls on venture and investment funds. Also included in commercial and industrial loans are $29.9 million in unsecured loans originated through CCBX partners as of December 31, 2024, compared to $52.7 million as of December 31, 2023. Loan types include revolving lines of credit, term loans, PPP loans, and loans secured by liquid collateral such as cash deposits or marketable securities. Also included in commercial and industrial loans are loans to other financial institutions. Additionally, the Company issues letters of credit on behalf of its customers. Risk arises primarily due to the difference between expected and actual cash flows of the borrowers. In addition, the recoverability of the Company’s investment in these loans is also dependent on other factors primarily dictated by the type of collateral securing these loans. The fair value of the collateral securing these loans may fluctuate as market conditions change. In the case of loans secured by accounts receivable, the recovery of the Company’s investment is dependent upon the borrower’s ability to collect amounts due from its customers.
For the year ended December 31, 2024, $109.0 million in CCBX capital call lines are included in commercial and industrial loans compared to $87.5 million at December 31, 2023. Capital call lines are provided to venture capital firms. These loans are secured by the capital call rights and are individually underwritten to the Bank’s credit standards and the underwriting is reviewed by the Bank on every line/loan.
Construction, land and land development loans – The Company originates loans for the construction of 1-4 family, multifamily, and CRE properties in the Company’s market area. Construction loans are considered to have higher risks due to construction completion and timing risk, the ultimate repayment being sensitive to interest rate changes, government regulation of real property and the availability of long-term financing. Additionally, economic conditions may impact the Company’s ability to recover its investment in construction loans, as adverse economic conditions may negatively impact the real estate market, which could affect the borrower’s ability to complete and sell the project. Additionally, the fair value of the underlying collateral may fluctuate as market conditions change. The Company
occasionally originates land loans for the purpose of facilitating the ultimate construction of a home or commercial building. The primary risks include the borrower’s ability to pay and the inability of the Company to recover its investment due to a material decline in the fair value of the underlying collateral.
Residential real estate - Residential real estate includes various types of loans for which the Company holds real property as collateral. Included in this segment are multi-family loans, first lien single family loans, which the Company occasionally purchases to diversify its loan portfolio, home equity lines of credit and rental portfolios secured by one-to-four family homes. The primary risks of residential real estate loans include the borrower’s inability to pay, material decreases in the value of the collateral, and significant increases in interest rates which may make the loan unprofitable.
As of December 31, 2024, $267.7 million in loans originated through CCBX partners are included in residential real estate loans, compared to $238.0 million at December 31, 2023. These home equity lines of credit are secured by residential real estate and are accessed by using a credit card. Home equity lines of credit are classified as residential real estate per regulatory guidelines.
Commercial real estate (includes owner occupied and nonowner occupied) - Commercial real estate loans include various types of loans for which the Company holds real property as collateral. We have commercial mortgage loans totaling $386.8 million that are collateralized by owner-occupied real-estate and $565.5 million that are collateralized by non-owner-occupied real estate, as well as $412.0 million of multi-family residential loans and $10.5 million of farmland loans, as of December 31, 2024. The primary risks of commercial real estate loans include the borrower’s inability to pay, material decreases in the value of the collateralized real estate and significant increases in interest rates, which may make the real estate loan unprofitable. Commercial real estate loans may be more adversely affected by conditions in the real estate markets or in the general economy.
Consumer and other loans – The community bank originates a limited number of consumer loans, generally for banking customers only, which consist primarily of lines of credit, saving account secured loans, and auto loans. CCBX originates consumer loans including credit cards, consumer term loans and secured and unsecured lines of credit. This loan category also includes overdrafts. Repayment of these loans is dependent on the borrower’s ability to pay and the fair value of the underlying collateral.
As of December 31, 2024, $1.19 billion in CCBX loans are included in consumer and other loans compared to $811.9 million at December 31, 2023. Not included in this category is $267.7 million and $238.0 million as of December 31, 2024 and December 31, 2023, respectively, in home equity lines of credit that are secured by residential real estate and are accessed by using a credit card. These credit card accessed home equity lines of credit are classified as residential real estate per regulatory guidelines.
Past due and Nonaccrual Loans
The following table illustrates an age analysis of past due loans as of the dates indicated:
30-89
Days Past
Due
90 Days
or More
Past Due
Total
Past Due
CurrentTotal
Loans
90 Days or
More Past
Due and
Still
Accruing
(dollars in thousands)
December 31, 2024
Community Bank
Commercial and industrial
   loans
$97 $— $97 $150,298 $150,395 $— 
Real estate loans:
Construction, land and
   land development
— — — 148,198 148,198 — 
Residential real estate— — — 202,064 202,064 — 
Commercial real estate— — — 1,374,801 1,374,801 — 
Consumer and other loans— 13,535 13,542 — 
Total community bank$104 $— $104 $1,888,896 $1,889,000 $— 
CCBX
Commercial and industrial loans:
Capital call lines$— $— $— $109,017 $109,017 $— 
All other commercial &
   industrial loans
1,950 1,006 2,956 31,005 33,961 1,006 
Real estate loans:
Residential real
   estate loans
3,335 2,608 5,943 $261,764 $267,707 2,608 
Consumer and other loans:
Credit cards27,652 36,505 64,157 $464,397 $528,554 34,490 
Other consumer and
   other loans
19,840 5,224 25,064 639,716 664,780 4,989 
Total CCBX $52,777 $45,343 $98,120 $1,505,899 $1,604,019 $43,093 
Total Consolidated$52,881 $45,343 $98,224 $3,394,795 3,493,019 $43,093 
Less net deferred
   origination fees and
   premiums
(6,454)
Loans receivable$3,486,565 
30-89
Days Past
Due
90 Days
or More
Past Due
Total
Past Due
CurrentTotal
Loans
90 Days or
More Past
Due and
Still
Accruing
(dollars in thousands)
December 31, 2023 (1)
Community Bank
Commercial and industrial
   loans
$— $— $— $149,502 $149,502 $— 
Real estate loans:
Construction, land and
   land development
— — — 157,100 157,100 — 
Residential real estate44 — 44 225,347 225,391 — 
Commercial real estate— 7,145 7,145 1,296,388 1,303,533 — 
Consumer and other loans— 1,626 1,628 — 
Total community bank$46 $7,145 $7,191 $1,829,963 $1,837,154 $— 
CCBX
Commercial and industrial loans:
Capital call lines$— $— $— $87,494 $87,494 $— 
All other commercial &
   industrial loans
3,432 2,086 5,518 48,777 54,295 2,086 
Real estate loans:
Residential real
   estate loans
3,198 1,115 4,313 $233,722 $238,035 $1,115 
Consumer and other loans:
Credit cards28,383 34,835 63,218 $442,619 $505,837 $34,835 
Other consumer and
   other loans
29,603 8,486 38,089 $267,938 $306,027 $8,486 
Total CCBX64,616 46,522 111,138 1,080,550 1,191,688 46,522 
Total Consolidated64,662 53,667 118,329 2,910,513 3,028,842 46,522 
Less net deferred
   origination fees and
   premiums
(7,300)
Loans receivable$3,021,542 
(1) See Note 23, Restatement of Prior Period Financial Statements.
There were $43.1 million in loans past due 90 days or more and still accruing interest as of December 31, 2024, and $46.5 million as of December 31, 2023. The balance is attributed to loans originated through CCBX lending partners which continue to accrue interest up to 180 days past due. As of December 31, 2024 and December 31, 2023, $41.8 million and $44.3 million, respectively of loans past due 90 days or more and still accruing interest are covered by credit enhancements provided by our CCBX partners that protect the Bank against losses. Some CCBX partners have instituted a collection practice that places certain loans on nonaccrual status to improve collectability and amounts projected to not be collected are written-off.
The accrual of interest on community bank loans is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due or when they are 90 days past due as to either principal or interest, unless they are well secured and in the process of collection.  Installment/closed-end, and revolving/open-end consumer loans originated through CCBX lending partners will continue to accrue interest until 120 and 180 days past due, respectively and an allowance is recorded through provision expense for these expected losses. For installment/closed-end and revolving/open-end consumer loans originated through CCBX lending partners with balances outstanding beyond 120 days and 180 days past due, respectively, principal and capitalized interest outstanding is charged off against the allowance
and accrued interest outstanding is reversed against interest income. These consumer loans are reported as nonperforming/substandard, 90 days or more days past due and still accruing.
When loans are placed on nonaccrual status, all accrued interest is reversed from current period earnings. Payments received on nonaccrual loans are generally applied as a reduction to the loan principal balance. If the likelihood of further loss is removed, the Company will recognize interest on a cash basis only. Loans may be returned to accruing status if the Company believes that all remaining principal and interest is fully collectible and there has been at least six months of sustained repayment performance since the loan was placed on nonaccrual.
An analysis of nonaccrual loans by category consisted of the following at the periods indicated:
December 31,December 31,
20242023
Total NonaccrualNonaccrual with No ACLNonaccrual with
ACL
Total NonaccrualNonaccrual with No ACL
(dollars in thousands)
Community Bank
Commercial and industrial loans$100 $100 $— $— $— 
Real estate loans:
Residential real estate— — — 170 170 
Commercial real estate— — — 7,145 7,145 
Total Community Bank nonaccrual loans$100 $100 $— $7,315 $7,315 
CCBX
Commercial and industrial loans$234 $— $234 $— $— 
Consumer and other loans:
Credit cards10,262 — 10,262 — — 
Consumer and other consumer loans8,967 — 8,967 — — 
Total CCBX nonaccrual loans$19,463 $— $19,463 $— $— 
Total Consolidated nonaccrual loans$19,563 $100 $19,463 $7,315 $7,315 
In some circumstances, the Company modifies loans in response to borrower financial difficulty, and generally provides for a temporary modification of loan repayment terms. In order for a modified loan to be considered for accrual status, the loan’s collateral coverage generally will be greater than or equal to 100% of the loan balance, the loan is current on payments, and the borrower must either prefund an interest reserve or demonstrate the ability to make payments from a verified source of cash flow for an extended period of time, usually at least six months in duration.
One loan was modified for a community bank borrower experiencing financial difficulty in the twelve months ended months ended December 31, 2024, and no community bank loans were modified in the twelve months ended December 31, 2023. The Company has no commitment to lend additional amounts to this borrower.
The following table presents the community bank loan that was both experiencing financial difficulty and was modified during the year by class and by type of modification for the periods indicated with the percentage of community bank loans that were modified to borrowers in financial distress as compared to the total of each class of community bank loans. Also presented is the financial effect of the loan modification to the borrower experiencing financial difficulty for the year ended as indicated.
Financial Effect of the Loan Modifications
December 31, 2024Principal Forgiveness & Interest Rate ReductionTotalTotal Class of Financing ReceivablePrincipal ForgivenessWeighted Average Interest Rate Reduction
(dollars in thousands)
Community Bank
Commercial and industrial loans$101 $101 0.07 %$82 9.75 %
Total $101 $101 0.01 %$82 9.75 %
The Company has no commitment to lend additional amounts to the borrower in the table above. No community bank modified loans to borrowers experiencing financial difficulty were past due as of December 31, 2024 and there were no payment defaults on this loan during the year ended December 31, 2024.
The following table presents the CCBX loans that were both experiencing financial difficulty and were modified during the years ended December 31, 2024 and 2023 by class and by type of modification for the periods indicated. The percentage of the CCBX loans that were modified to borrowers in financial distress as compared to the total of each class of CCBX loans is also presented below.
December 31, 2024Principal ForgivenessTerm ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayPrincipal Forgiveness, Payment Delay & Term ExtensionTotalTotal Class of Financing Receivable
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$— $1,790 $— $235 $— $2,025 5.96 %
Consumer and other loans:
Credit cards11,067 — 17,287 — — 28,354 5.36 
Other consumer and other loans— 6,873 — 8,645 34 15,552 2.34 
Total $11,067 $8,663 $17,287 $8,880 $34 $45,931 1.32 %
December 31, 2023Principal ForgivenessTerm ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayPrincipal Forgiveness, Payment Delay & Term ExtensionTotalTotal Class of Financing Receivable
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$— $1,247 $— $27 $18 $1,292 2.38 %
Consumer and other loans:
Credit cards— 4,201 — — 4,202 0.83 
Other consumer and other loans— 13,571 — 3,838 2,846 20,255 6.62 
Total $$14,818 $4,201 $3,865 $2,864 $25,749 0.85 %
The Company has committed to lend additional amounts totaling $201,000 to the borrowers included in the previous table.
The performance of loans modified is monitored to understand the effectiveness of the modification efforts. The following table presents the performance of such loans that have been modified in the last 12 months as of the periods indicated:
December 31, 202430-89
Days Past
Due
90 Days
or More
Past Due
Total Past Due
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$281 $139 $420 
Consumer and other loans:
Credit cards9,436 11,181 20,617 
Other consumer and other loans1,055 388 1,443 
Total CCBX$10,772 $11,708 $22,480 
December 31, 202330-89
Days Past
Due
90 Days
or More
Past Due
Total Past Due
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$268 $219 $487 
Consumer and other loans:
Credit cards1,747 1,436 3,183 
Other consumer and other loans3,436 716 4,152 
Total CCBX$5,451 $2,371 $7,822 
The following table presents the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty for the years ended as indicated below:
December 31, 2024Principal ForgivenessWeighted Average Interest Rate ReductionWeighted Average Term Extension (years)
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$138 — %1.4
Consumer and other loans:
Credit cards7,938 14.6 n/a
Other consumer and other loans6,001 — 1.7
Total CCBX$14,077 14.6 %1.6
December 31, 2023Principal ForgivenessWeighted Average Interest Rate ReductionWeighted Average Term Extension (years)
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$— — %0.9
Real estate loans:
Residential real estate loans42 — n/a
Consumer and other loans:
Credit cards— 20.5 n/a
Other consumer and other loans— — 0.8
Total CCBX$42 20.5 %0.8
The following table presents the total of loans that had a payment default during the periods indicated and were modified in the twelve months prior to that default to borrowers experiencing financial difficulty.
December 31, 2024Principal ForgivenessTerm ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayTotal
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
— $1,070 $— $77 $1,147 
Consumer and other loans:
Credit cards10,417 — 12,050 — 22,467 
Other consumer and other loans— 4,184 — 1,715 5,899 
Total$10,417 $5,254 $12,050 $1,792 $29,513 
December 31, 2023Term ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayPrincipal Forgiveness, Payment Delay & Term ExtensionTotal
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$487 $— $$— $492 
Consumer and other loans:
Credit cards— 3,924 — — 3,924 
Other consumer and other loans3,155 — 1,143 619 4,917 
Total$3,642 $3,924 $1,148 $619 $9,333 
Upon the Company’s determination that a modified loan (or portion of a loan) has subsequently been deemed uncollectible, the loan (or a portion of the loan) is written off. Therefore, the loan balance is reduced by the uncollectible amount and the allowance for credit losses is adjusted by the same amount.
Credit Quality and Credit Risk
Federal regulations require that the Company periodically evaluate the risks inherent in its loan portfolio. In addition, the Company’s regulatory agencies have authority to identify problem loans and, if appropriate, require them to be reclassified. The Company establishes loan grades for loans at the origination of the loan. Changes to community bank loan grades are considered at the time new information about the performance of a loan becomes available, including the receipt of updated financial information from the borrower and after loan reviews. For consumer loans, the Bank follows the Federal Financial Institutions Examination Council’s Uniform Retail Credit Classification and Account Management Policy for subsequent classification in the event of payment delinquencies or default. Typically, an individual loan grade will not be changed from the prior period unless there is a specific indication of credit deterioration or improvement. Credit deterioration is evidenced by
delinquency, direct communications with the borrower or other borrower information that becomes known to management. Credit improvements are evidenced by known facts regarding the borrower or the collateral property. The Company classifies some loans as Watch or Other Loans Especially Mentioned (“OLEM”). Loans classified as Watch are performing assets but have elements of risk that require more monitoring than other performing loans and are reported in the OLEM column in the following table. Loans classified as OLEM are assets that continue to perform but have shown deterioration in credit quality and require close monitoring. There are three classifications for problem loans: Substandard, Doubtful, and Loss. Substandard loans have one or more defined weaknesses and are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Revolving (open-ended loans, such as credit cards) and installment (closed end) consumer loans originated through CCBX partners continue to accrue interest until they are charged-off at 120 days past due for installment loans (primarily unsecured loans to consumers) and 180 days past due for revolving loans (primarily credit cards) and are classified as substandard. Doubtful loans have the weaknesses of loans classified as Substandard, with additional characteristics that suggest the weaknesses make collection or recovery in full after liquidation of collateral questionable on the basis of currently existing facts, conditions, and values. There is a high possibility of loss in loans classified as Doubtful. A loan classified as Loss is considered uncollectible and of such little value that continued classification of the credit as a loan is not warranted. If a loan or a portion thereof is classified as Loss, it must be charged-off, meaning the amount of the loss is charged against the allowance for credit losses, thereby reducing that reserve.
Management considers the guidance in ASC 310-20 when determining whether a modification, extension, or renewal of loan constitutes a current period origination.
The following tables show the risk category of community bank loans by year of origination for the periods indicated, based on the most recent analysis performed as of each period end:
Term Loans Amortized Cost Basis by Origination Year
Community Bank20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Commercial and industrial loans
Risk rating
Pass$12,016 $11,654 $43,490 $13,139 $8,109 $7,634 $31,022 $21,496 $148,560 
Other Loan Especially Mentioned— 18 — 38 — — 1,679 — $1,735 
Substandard— — — — — — 100 — $100 
Doubtful— — — — — — — — — 
Total commercial and industrial loans - All
   other commercial and industrial loans
$12,016 $11,672 $43,490 $13,177 $8,109 $7,634 $32,801 $21,496 $150,395 
Current period gross charge-offs$— $92 $— $— $— $167 $— $— $259 
Real estate loans - Construction, land and land
development loans
Risk rating
Pass$34,089 $70,297 $34,937 $4,501 $755 $2,180 $600 $— $147,359 
Other Loan Especially Mentioned— 160 — 679 — — — — $839 
Substandard— — — — — — — — $— 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Doubtful— — — — — — — — $— 
Total real estate loans - Construction, land
   and land development loans
$34,089 $70,457 $34,937 $5,180 $755 $2,180 $600 $— $148,198 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Real estate loans - Residential real estate loans
Risk rating
Pass$13,194 $30,332 $37,576 $37,834 $25,838 $27,159 $26,565 $15 $198,513 
Other Loan Especially Mentioned— — 1,084 — — 180 — $1,270 
Substandard2,281 — — — — — — — $2,281 
Doubtful— — — — — — — — $— 
Total real estate loans - Residential real
   estate loans
$15,475 $30,332 $38,660 $37,834 $25,844 $27,159 $26,745 $15 $202,064 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Real estate loans - Commercial real estate loans
Risk rating
Pass$96,199 $302,470 $279,902 $219,503 $129,904 $310,251 $8,982 $1,657 $1,348,868 
Other Loan Especially Mentioned15,359 — 3,184 5,248 156 1,986 — — $25,933 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total real estate loans - Commercial real
   estate loans
$111,558 $302,470 $283,086 $224,751 $130,060 $312,237 $8,982 $1,657 $1,374,801 
Current period gross charge-offs$— $— $— $— $41 $223 $— $— $264 
Consumer and other loans - Other consumer and
other loans
Risk rating
Pass$1,447 $53 $8,269 $$249 $3,337 $185 $— $13,542 
Other Loan Especially Mentioned— — — — — — — — $— 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total consumer and other loans - Other
   consumer and other loans
$1,447 $53 $8,269 $$249 $3,337 $185 $— $13,542 
Current period gross charge-offs$31 $— $— $— $— $— $— $— $31 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Total community bank loans receivable
Risk rating
Pass$156,945 $414,806 $404,174 $274,979 $164,855 $350,561 $67,354 $23,168 $1,856,842 
Other Loan Especially Mentioned15,359 178 4,268 5,965 162 1,986 1,859 — $29,777 
Substandard2,281 — — — — — 100 — $2,381 
Doubtful— — — — — — — — — 
Total community bank loans$174,585 $414,984 $408,442 $280,944 $165,017 $352,547 $69,313 $23,168 $1,889,000 
Current period gross charge-offs$31 $92 $— $— $41 $390 $— $— $554 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2023
Commercial and industrial loans
Risk rating
Pass$15,882 $56,428 $15,566 $10,044 $12,429 $1,442 $33,412 $1,020 $146,223 
Other Loan Especially Mentioned— — — 111 — — 3,168 — $3,279 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total commercial and industrial loans - All
   other commercial and industrial loans
$15,882 $56,428 $15,566 $10,155 $12,429 $1,442 $36,580 $1,020 $149,502 
Current period gross charge-offs$— $— $— $— $— $46 $— $— $46 
Real estate loans - Construction, land and land
development loans
Risk rating
Pass$75,129 $49,275 $20,811 $2,859 $914 $1,598 $— $— $150,586 
Other Loan Especially Mentioned— — 3,589 2,325 — — — — $5,914 
Substandard— — — — — — 600 — $600 
Doubtful— — — — — — — — $— 
Total real estate loans - Construction, land
   and land development loans
$75,129 $49,275 $24,400 $5,184 $914 $1,598 $600 $— $157,100 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Real estate loans - Residential real estate loans
Risk rating
Pass$32,352 $41,362 $39,137 $30,259 $31,982 $22,429 $24,396 $18 $221,935 
Other Loan Especially Mentioned— 1,098 2,020 28 — 40 100 — $3,286 
Substandard— — — — — — — 170 $170 
Doubtful— — — — — — — — $— 
Total real estate loans - Residential real
   estate loans
$32,352 $42,460 $41,157 $30,287 $31,982 $22,469 $24,496 $188 $225,391 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2023
Real estate loans - Commercial real estate loans
Risk rating
Pass$244,169 $303,329 $222,287 $144,602 $126,437 $233,482 $7,509 $1,719 $1,283,534 
Other Loan Especially Mentioned— 3,257 5,891 171 506 2,099 100 — $12,024 
Substandard— — — 924 6,900 — 151 — $7,975 
Doubtful— — — — — — — — — 
Total real estate loans - Commercial real
   estate loans
$244,169 $306,586 $228,178 $145,697 $133,843 $235,581 $7,760 $1,719 $1,303,533 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Consumer and other loans - Other consumer and
other loans
Risk rating
Pass$323 $272 $$679 $38 $164 $147 $— $1,628 
Other Loan Especially Mentioned— — — — — — — — $— 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total consumer and other loans - Other
   consumer and other loans
$323 $272 $$679 $38 $164 $147 $— $1,628 
Current period gross charge-offs$18 $— $— $— $— $— $— $— $18 
Total community bank loans receivable
Risk rating
Pass$367,855 $450,666 $297,806 $188,443 $171,800 $259,115 $65,464 $2,757 $1,803,906 
Other Loan Especially Mentioned— 4,355 11,500 2,635 506 2,139 3,368 — $24,503 
Substandard— — — 924 6,900 — 751 170 $8,745 
Doubtful— — — — — — — — — 
Total community bank loans$367,855 $455,021 $309,306 $192,002 $179,206 $261,254 $69,583 $2,927 $1,837,154 
Current period gross charge-offs$18 $— $— $— $— $46 $— $— $64 
The Company considers the performance of the CCBX loan portfolio and its impact on the allowance for credit losses. For CCBX loans, the Company also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. The following table presents the loans in CCBX based on payment activity:
Term Loans Amortized Cost Basis by Origination Year
CCBX20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Commercial and industrial loans - Capital call lines
Payment performance
Performing$— $— $— $— $— $— $109,017 $— $109,017 
Nonperforming— — — — — — — — — 
Total commercial and industrial loans - Capital
   call lines
$— $— $— $— $— $— $109,017 $— $109,017 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Commercial and industrial loans - All other
commercial and industrial loans
Payment performance
Performing$1,049 $22,974 $3,952 $$12 $— $4,729 $— $32,721 
Nonperforming— 856 141 — — — 243 — 1,240 
Total commercial and industrial loans - All
   other commercial and industrial loans
$1,049 $23,830 $4,093 $$12 $— $4,972 $— $33,961 
Current period gross charge-offs$503 $11,845 $1,956 $$$— $986 $— $15,297 
Real estate loans - Residential real estate loans
Payment performance
Performing$— $— $— $— $— $— $255,779 $9,320 $265,099 
Nonperforming— — — — — — 2,608 — 2,608 
Total real estate loans - Residential real estate
   loans
$— $— $— $— $— $— $258,387 $9,320 $267,707 
Current period gross charge-offs$— $— $— $— $— $— $5,006 $— $5,006 
Consumer and other loans - Credit cards
Payment performance
Performing$— $— $— $— $— $— $483,755 $47 $483,802 
Nonperforming— — — — — — 44,752 — 44,752 
Total consumer and other loans - Credit cards$— $— $— $— $— $— $528,507 $47 $528,554 
Current period gross charge-offs$— $— $— $— $— $— $130,825 $— $130,825 
Term Loans Amortized Cost Basis by Origination Year
CCBX20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Consumer and other loans - Other consumer and
other loans
Payment performance
Performing$430,398 $153,522 $44,967 $1,902 $47 $192 $19,796 $— $650,824 
Nonperforming1,727 7,324 4,042 732 — 15 116 — 13,956 
Total consumer and other loans - Other
   consumer and other loans
$432,125 $160,846 $49,009 $2,634 $47 $207 $19,912 $— $664,780 
Current period gross charge-offs$13,759 $34,352 $14,702 $3,580 $24 $282 $10,710 $— $77,409 
Total CCBX loans receivable
Payment performance
Performing$431,447 $176,496 $48,919 $1,907 $59 $192 $873,076 $9,367 $1,541,463 
Nonperforming1,727 8,180 4,183 732 — 15 47,719 — 62,556 
Total CCBX loans$433,174 $184,676 $53,102 $2,639 $59 $207 $920,795 $9,367 $1,604,019 
Current period gross charge-offs$14,262 $46,197 $16,658 $3,582 $29 $282 $147,527 $— $228,537 
Term Loans Amortized Cost Basis by Origination Year
CCBX20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To Term
Total (1)
(dollars in thousands)
As of December 31, 2023
Commercial and industrial loans - Capital call lines
Payment performance
Performing$— $— $— $— $— $— $87,494 $— $87,494 
Nonperforming— — — — — — — — — 
Total commercial and industrial loans - Capital
   call lines
$— $— $— $— $— $— $87,494 $— $87,494 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Commercial and industrial loans - All other
commercial and industrial loans
Payment performance
Performing$42,266 $6,833 $$11 $— $— $3,090 $— $52,209 
Nonperforming1,333 277 — — — — 476 — 2,086 
Total commercial and industrial loans - All other
    commercial and industrial loans
$43,599 $7,110 $$11 $— $— $3,566 $— $54,295 
Current period gross charge-offs$3,848 $2,502 $15 $16 $— $— $224 $— $6,605 
Real estate loans - Residential real estate loans
Payment performance
Performing$— $— $— $— $— $— $212,435 $24,485 $236,920 
Nonperforming— — — — — — 1,115 — 1,115 
Total real estate loans - Residential real estate
   loans
$— $— $— $— $— $— $213,550 $24,485 $238,035 
Current period gross charge-offs$— $— $— $— $— $— $4,641 $— $4,641 
Consumer and other loans - Credit cards
Payment performance
Performing$— $— $— $— $— $— $469,049 $1,953 $471,002 
Nonperforming— — — — — — 33,655 1,180 34,835 
Total consumer and other loans - Credit cards$— $— $— $— $— $— $502,704 $3,133 $505,837 
Current period gross charge-offs$— $— $— $— $— $— $61,358 $— $61,358 
Term Loans Amortized Cost Basis by Origination Year
CCBX20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To Term
Total (1)
(dollars in thousands)
As of December 31, 2023
Consumer and other loans - Other consumer and other
loans
Payment performance
Performing$212,694 $49,711 $6,715 $95 $408 $309 $27,609 $— $297,541 
Nonperforming4,229 3,074 475 — 10 691 — 8,486 
Total consumer and other loans - Other
   consumer and other loans
$216,923 $52,785 $7,190 $95 $415 $319 $28,300 $— $306,027 
Current period gross charge-offs$17,815 $43,115 $11,574 $84 $346 $217 $6,178 $— $79,329 
Total CCBX loans receivable
Payment performance
Performing$254,960 $56,544 $6,724 $106 $408 $309 $799,677 $26,438 $1,145,166 
Nonperforming$5,562 $3,351 $475 $— $$10 $35,937 $1,180 $46,522 
Total CCBX loans$260,522 $59,895 $7,199 $106 $415 $319 $835,614 $27,618 $1,191,688 
Current period gross charge-offs$21,663 $45,617 $11,589 $100 $346 $217 $72,401 $— $151,933 
Allowance for Credit Losses ("ACL")
CCBX loans have a higher level of expected losses than our community bank loans, which is reflected in the factors for the allowance for credit losses. Agreements with our CCBX partners provide for a credit enhancement which protects the Bank by reimbursing most losses. In accordance with accounting guidance, we estimate and record a provision for expected losses for these CCBX loans and reclassified negative deposit accounts. When the provision for CCBX credit losses and provision for unfunded commitments are recorded, a credit enhancement asset is also recorded on the balance sheet through noninterest income (BaaS credit enhancements). Expected losses are recorded in the allowance for credit losses. The credit enhancement asset is reduced when credit enhancement payments are received from the CCBX partner or taken from the partner's cash reserve account. CCBX partners provide for credit enhancements that provide protection to the Bank from credit and fraud losses by reimbursing the Bank for the losses. If the partner is unable to fulfill its contracted obligations then the Bank could be exposed to the loss of the reimbursement and credit enhancement income. In accordance with the program agreement for one CCBX partner, the Company is responsible for credit losses on approximately 5% of a $324.6 million loan portfolio that are without credit enhancement reimbursements. At December 31, 2024, 5% of this portfolio represented $20.6 million in loans. The partner is responsible for reimbursing credit losses on approximately 95% of this portfolio and for fraud losses on 100% of this portfolio. The Company earns 100% of the interest income on the aforementioned $20.6 million of loans.
The following tables summarize the allocation of the ACL, as well as the activity in the ACL attributed to various segments in the loan portfolio, as of and for the years ended December 31, 2024 and December 31, 2023.
Commercial
and
Industrial
Construction,
Land, and
Land
Development
Residential
Real
Estate
Commercial
Real Estate
Consumer
and Other
Unallocated Total
(dollars in thousands)
Twelve Months Ended December 31, 2024
ACL Balance, December 31, 2023$8,894 $6,386 $13,049 $7,441 $81,611 $— $117,381 
Provision for credit losses or (recapture)16,605 (2,947)4,199 1,279 256,527 — 275,663 
25,499 3,439 17,248 8,720 338,138 — 393,044 
Loans charged-off(15,556)— (5,006)(264)(208,265)— (229,091)
Recoveries of loans previously charged-off1,108 — — 11,925 — 13,041 
Net charge-offs(14,448)— (4,998)(264)(196,340)— (216,050)
ACL balance, December 31, 2024$11,051 $3,439 $12,250 $8,456 $141,798 $— $176,994 
Twelve Months Ended December 31, 2023 (1)
ALLL Balance, December 31, 2022$4,831 $7,425 $4,142 $5,470 $50,996 $1,165 $74,029 
Impact of adopting CECL (ASC 326)1,428 (1,589)1,623 1,240 2,315 (1,165)$3,852 
Provision for credit losses or (recapture)9,264 550 11,921 731 161,577 — 184,043 
15,523 6,386 17,686 7,441 214,888 — 261,924 
Loans charged-off(6,651)— (4,641)— (140,705)— (151,997)
Recoveries of loans previously charged-off22 — — 7,428 — 7,454 
Net charge-offs(6,629)— (4,637)— (133,277)— (144,543)
ACL Balance, December 31, 2023$8,894 $6,386 $13,049 $7,441 $81,611 $— $117,381 
(1) See Note 23, Restatement of Prior Period Financial Statements.
There was an unfunded commitments provision of $1.9 million for the twelve months ended December 31, 2024 and an unfunded commitments recapture of $51,000 for the twelve months ended December 31, 2023.
The following table presents the collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans:
Business AssetsTotalACL
(dollars in thousands)
December 31, 2024
Commercial and industrial loans$100 $100 $— 
Total$100 $100 $— 
Real EstateTotalACL
(dollars in thousands)
December 31, 2023
Real estate loans:
Residential real estate$170 $170 $— 
Commercial real estate7,145 7,145 — 
Total$7,315 $7,315 $— 
v3.25.1
Premises and Equipment
12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
Premises and Equipment Premises and Equipment
The investment in premises and equipment consisted of the following at December 31:
20242023
(dollars in thousands)
Land$3,599 $3,599 
Buildings11,798 11,780 
Leasehold Improvements5,038 5,038 
Furniture2,297 2,308 
Equipment5,723 5,587 
Software15,663 5,806 
Projects in process— 120 
44,118 34,238 
Less accumulated depreciation and amortization(16,687)(12,148)
Premises and equipment, net$27,431 $22,090 
Depreciation and amortization on land, buildings, leasehold improvements, furniture and equipment is charged to occupancy expense and totaled $1.5 million, $1.6 million and $1.5 million for the years ended December 31, 2024, 2023 and 2022, respectively. Amortization on software is charged to data processing and software licenses and totaled $3.0 million, $754,000 and $329,000 for the years ended December 31, 2024, 2023 and 2022, respectively.
v3.25.1
Leases
12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Leases Leases
The Company has committed to rent premises and equipment used in business operations under non-cancelable operating and finance leases and determines if an arrangement meets the definition of a lease upon inception.
Operating and finance lease right-of-use (“ROU”) assets represent a right to use an underlying asset for the contractual lease term. Lease liabilities represent an obligation to make lease payments arising from the lease. A lease ROU asset and lease liability will be recognized for any new leases at the commencement of the new lease.
The Company’s leases do not provide an implicit interest rate, therefore the Company used its incremental collateralized borrowing rates commensurate with the underlying lease terms to determine the present value of operating and finance lease liabilities at the inception of the lease. The weighted average discount rate as of December 31, 2024 was
4.0%. for operating leases and 4.75% for finance leases and is based off the discount rate and term at the time the lease is originated or renewed.
The Company’s operating lease agreements contain both lease and non-lease components, which are generally accounted for separately. The Company’s lease agreements do not contain any residual value guarantees.
Operating leases with original terms of 12 months or less are not included in ROU assets and operating lease liabilities recorded in our consolidated balance sheets. Operating lease terms include options to extend when it is reasonably certain that the Company will exercise such options, determined on a lease-by-lease basis. At December 31, 2024, lease expiration dates ranged from less than one month to 21.2 years, with additional renewal options on certain leases typically ranging from zero to 10 years. At December 31, 2024, the dollar weighted average remaining lease term for the Company’s operating leases was 8.4 years. The weighted average remaining lease term for the Company's finance lease was 1.8 years.
Rental expense for operating leases is recognized on a straight-line basis over the lease term and amounted to $1.2 million for the years ended December 31, 2024 and 2023 and $1.4 million for the year ended December 31, 2022. Variable lease components, such as inflation adjustments, are expensed as incurred and not included in ROU assets and operating lease liabilities.
Amortization expense for finance leases is recognized on a straight-line basis over the lease term and amounted to $43,000 for the twelve months ended December 31, 2024. Interest on finance leases was $5,000 for the twelve months ended December 31, 2024. This is a new lease for 2024, so there was no amortization or interest expense for the twelve months ended December 31, 2023 and 2022.
The following sets forth, as of December 31, 2024, the minimum annual lease payments under the terms of these leases, inclusive of renewal options that the Company is reasonably certain to renew:
OperatingFinance
(dollars in thousands)December 31,
2024
2025$977 $36 
2026977 27 
2027913 — 
2028692 — 
2029459 — 
2030 and thereafter2,304 — 
Total lease payments6,322 63 
Less: amounts representing interest984 
Present value of lease liabilities$5,338 $60 
Office space at a small number of branches is leased and sub-leased to a few tenants on month-to-month and multi-year leases. Lease and sublease income was $204,000, $205,000 and $157,000 for 2024, 2023 and 2022, respectively.
The following table presents the components of total lease expense and operating cash flows for the year ended December 31, 2024:
For the Year Ended
(dollars in thousands) December 31,
2024
December 31,
2023
December 31,
2022
Lease expense:
Operating lease expense (1)
1,020 $1,074 1,281 
Variable lease expense362 236 193 
Finance lease cost
Right-of-use amortization (2)
$43 $— $— 
Interest expense (3)
— — 
Total lease expense$1,430 $1,310 $1,474 
Cash paid:
Cash paid from operating leases$1,396 $1,334 $1,473 
Cash paid from finance leases$47 $— $— 
(1)Included in net occupancy expense and in the Consolidated Statements of Income.
(2)Included in other expense in the Consolidated Statements of Income.
(3)Included in interest on borrowed funds Consolidated Statements of Income.
Leases Leases
The Company has committed to rent premises and equipment used in business operations under non-cancelable operating and finance leases and determines if an arrangement meets the definition of a lease upon inception.
Operating and finance lease right-of-use (“ROU”) assets represent a right to use an underlying asset for the contractual lease term. Lease liabilities represent an obligation to make lease payments arising from the lease. A lease ROU asset and lease liability will be recognized for any new leases at the commencement of the new lease.
The Company’s leases do not provide an implicit interest rate, therefore the Company used its incremental collateralized borrowing rates commensurate with the underlying lease terms to determine the present value of operating and finance lease liabilities at the inception of the lease. The weighted average discount rate as of December 31, 2024 was
4.0%. for operating leases and 4.75% for finance leases and is based off the discount rate and term at the time the lease is originated or renewed.
The Company’s operating lease agreements contain both lease and non-lease components, which are generally accounted for separately. The Company’s lease agreements do not contain any residual value guarantees.
Operating leases with original terms of 12 months or less are not included in ROU assets and operating lease liabilities recorded in our consolidated balance sheets. Operating lease terms include options to extend when it is reasonably certain that the Company will exercise such options, determined on a lease-by-lease basis. At December 31, 2024, lease expiration dates ranged from less than one month to 21.2 years, with additional renewal options on certain leases typically ranging from zero to 10 years. At December 31, 2024, the dollar weighted average remaining lease term for the Company’s operating leases was 8.4 years. The weighted average remaining lease term for the Company's finance lease was 1.8 years.
Rental expense for operating leases is recognized on a straight-line basis over the lease term and amounted to $1.2 million for the years ended December 31, 2024 and 2023 and $1.4 million for the year ended December 31, 2022. Variable lease components, such as inflation adjustments, are expensed as incurred and not included in ROU assets and operating lease liabilities.
Amortization expense for finance leases is recognized on a straight-line basis over the lease term and amounted to $43,000 for the twelve months ended December 31, 2024. Interest on finance leases was $5,000 for the twelve months ended December 31, 2024. This is a new lease for 2024, so there was no amortization or interest expense for the twelve months ended December 31, 2023 and 2022.
The following sets forth, as of December 31, 2024, the minimum annual lease payments under the terms of these leases, inclusive of renewal options that the Company is reasonably certain to renew:
OperatingFinance
(dollars in thousands)December 31,
2024
2025$977 $36 
2026977 27 
2027913 — 
2028692 — 
2029459 — 
2030 and thereafter2,304 — 
Total lease payments6,322 63 
Less: amounts representing interest984 
Present value of lease liabilities$5,338 $60 
Office space at a small number of branches is leased and sub-leased to a few tenants on month-to-month and multi-year leases. Lease and sublease income was $204,000, $205,000 and $157,000 for 2024, 2023 and 2022, respectively.
The following table presents the components of total lease expense and operating cash flows for the year ended December 31, 2024:
For the Year Ended
(dollars in thousands) December 31,
2024
December 31,
2023
December 31,
2022
Lease expense:
Operating lease expense (1)
1,020 $1,074 1,281 
Variable lease expense362 236 193 
Finance lease cost
Right-of-use amortization (2)
$43 $— $— 
Interest expense (3)
— — 
Total lease expense$1,430 $1,310 $1,474 
Cash paid:
Cash paid from operating leases$1,396 $1,334 $1,473 
Cash paid from finance leases$47 $— $— 
(1)Included in net occupancy expense and in the Consolidated Statements of Income.
(2)Included in other expense in the Consolidated Statements of Income.
(3)Included in interest on borrowed funds Consolidated Statements of Income.
v3.25.1
Deposits
12 Months Ended
Dec. 31, 2024
Deposits [Abstract]  
Deposits Deposits
The composition of consolidated deposits consisted of the following at the periods indicated:
(dollars in thousands)December 31,
2024
December 31,
2023
(dollars in thousands)
Demand, noninterest bearing$527,524$625,202 
Interest bearing demand and money market2,529,0842,640,240 
Savings66,82676,562 
Other deposits444,351
Time deposits less than $250,00011,25213,917 
Time deposits $250,000 and over6,2954,441 
Total deposits$3,585,332$3,360,363 
The following table presents the maturity distribution of time deposits as of December 31, 2024:
(dollars in thousands)
Twelve months$13,960 
One to two years2,319 
Two to three years293 
Three to four years696 
Four to five years279 
Thereafter— 
$17,547 
Included in total deposits is $414.0 million in IntraFi network reciprocal interest bearing demand and money market sweep accounts as of December 31, 2024, compared to $340.1 million as of December 31, 2023, which provides our customers with fully insured deposits through a sweep and exchange of deposits with other financial institutions.
v3.25.1
Federal Home Loan Bank Advances and Other Borrowings
12 Months Ended
Dec. 31, 2024
Advance from Federal Home Loan Bank [Abstract]  
Federal Home Loan Bank Advances and Other Borrowings Federal Home Loan Bank Advances and Other Borrowings
At December 31, 2024 and December 31, 2023 the Company had no overnight or term FHLB advances. FHLB advances are secured by a blanket pledge of eligible collateral including first lien single family and multi-family mortgages and certain mortgage backed securities with a carrying value of $303.0 million and $321.5 million at December 31, 2024 and 2023, respectively. The Company has available borrowing capacity of an additional $173.3 million from FHLB at December 31, 2024, subject to certain collateral requirements and with interest at then stated rate.
The following table provides details on FHLB advance borrowings for the periods indicated:
Year Ended December 31,
(Dollars in thousands)20242023
Maximum amount outstanding at any month-end during period:
$— $— 
Average outstanding balance during period:$2,443 $
Weighted average interest rate during period:5.66 %5.60 %
Balance outstanding at end of period:$— $— 
Weighted average interest rate at end of period:— %— %
The Company has established a $50.0 million unsecured line of credit with interest payable at the then-stated rate, with PCBB, which expires in June 2025. There were no borrowings on this line at December 31, 2024 or 2023.
The Company has established a Borrower-in-Custody (“BIC”) arrangement with the FRB, which is secured by eligible loans, with interest payable at the then-stated rate. At December 31, 2024, the Company had pledged commercial real estate loans totaling $654.8 million, which provided available borrowing capacity of $468.7 million. At December 31, 2023, the Company had pledged commercial real estate loans totaling $685.7 million, which provided available borrowing capacity of $435.5 million. There were no borrowings outstanding on this line of credit at December 31, 2024 or 2023.
v3.25.1
Subordinated Debt
12 Months Ended
Dec. 31, 2024
Subordinated Borrowings [Abstract]  
Subordinated Debt Subordinated Debt
At December 31, 2024 and 2023, the Company’s subordinated debt was as follows:
Aggregate Principal
Amount December 31,
2024
Aggregate Principal
Amount December 31,
2023
(dollars in thousands)
Total liability, at par$45,000 $45,000 
Less: unamortized debt issuance costs(707)(856)
Total liability, at carrying value$44,293 $44,144 
On August 18, 2021, the Company entered into a $25.0 million subordinated note purchase agreement. The note matures on September 1, 2031, is fixed for five years at 3.375%, and thereafter is variable at a floating rate, calculated quarterly, based on the 3-month SOFR +2.76%.
On November 1, 2022, the Company entered into a $20.0 million subordinated note purchase agreement. The note matures on November 1, 2032, is fixed for five years at 7.000%, and thereafter is variable at a floating rate, calculated quarterly, based on the 3-month SOFR +2.90%.
Subordinated debt interest expense of $2.4 million was recognized during 2024 and 2023 and $1.2 million was recognized during 2022, and accrued interest payable on these notes totaled $515,000 at December 31, 2024 and 2023.
v3.25.1
Junior Subordinated Debentures
12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
Junior Subordinated Debentures Junior Subordinated Debentures
At December 31, 2024 and 2023, the Company’s junior subordinated debentures were as follows:
Coastal (WA) Statutory Trust IAggregate Principal
Amount December 31,
2024
Aggregate Principal
Amount December 31,
2023
(dollars in thousands)
Total liability, at par$3,609 $3,609 
Less: unamortized debt issuance costs(18)(19)
Total liability, at carrying value$3,591 $3,590 
On December 15, 2004, the Company issued $3.6 million floating rate junior subordinated debentures to Coastal (WA) Statutory Trust I, which was formed for the issuance of trust preferred securities. Prior to June 30, 2023, the debentures bore interest at a rate per annum equal to the 3-month LIBOR plus 2.10%. Beginning with rate adjustments subsequent to June 30, 2023, the rate is based off three-month CME Term SOFR plus a spread adjustment of 0.26% and margin of 2.10%. The effective rate as of December 31, 2024 and December 31, 2023 was 6.72% and 7.75%, respectively. Interest is payable quarterly. Interest expense of $279,000, $271,000 and $143,000 was recognized during 2024, 2023 and 2022, respectively, and accrued interest payable on these securities totaled $11,000 and $13,000 at December 31, 2024 and 2023, respectively. There are no principal payments due on these debentures in the next five years.
The Trust is not consolidated with the Company. Accordingly, the Company reports the subordinated debentures held by the Trust as liabilities. The Company owns all of the common securities of the trust. The trust preferred securities issued by the trust rank equally with the common securities in right of payment, except that if an event of default under the indenture governing the note has occurred and is continuing, the preferred securities will rank senior to the common securities in right of payment.
v3.25.1
Income Taxes
12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The components of the income tax for the Company consisted of the following at December 31:
202420232022
(dollars in thousands)
Current tax expense (benefit)$11,960 $(1,325)$21,014 
Deferred tax expense (benefit)138 13,879 (11,018)
Total tax expense$12,098 $12,554 $9,996 
At December 31, 2024 the current net income tax receivable was $7.1 million and at December 31, 2023 the net income tax receivable was $9.1 million.
The significant change in current and deferred tax expense from 2022 to 2023 is related to the Company filing income tax refund claims related to the tax treatment of the credit enhancement recovery.
A reconciliation of the income tax expense (benefit) and the amount computed by applying the statutory federal income tax rate to the income before income taxes is as follows for the year ended December 31:
2024 20232022
(dollars in thousands)
Amount Rate Amount Rate AmountRate
Federal income tax at statutory rate$12,037 21.0 %$11,998 21.0 %$10,630 21.0 %
State income taxes1,284 2.2 1,275 2.2 523 1.0 
Excess executive compensation167 0.3 145 0.3 128 0.3 
Effect of tax-exempt interest income(71)(0.1)(77)(0.1)(84)(0.2)
Bank owned life insurance earnings(102)(0.2)(39)(0.1)(76)(0.2)
Stock-based compensation(993)(1.7)(728)(1.3)(987)(1.9)
Other(224)(0.4)(20)— (138)(0.3)
$12,098 21.1 %$12,554 22.0 %$9,996 19.7 %
The Company did not record or accrue any interest and penalties related to income taxes for the years ended December 31, 2024, 2023 or 2022. The Company and Bank have entered into a tax allocation agreement, which provides that income taxes shall be allocated between the parties on a monthly basis. The intent of this agreement is that each member of the consolidated group will incur no greater tax liability than it would have incurred on a stand-alone basis.
The net deferred tax asset consists of the following temporary differences and carryforward items at December 31:
20242023 (1)
(dollars in thousands)
Deferred tax assets:
Allowance for credit losses$40,734 $27,244 
Lease liability1,245 1,431 
Stock based compensation1,220 983 
Accrued expenses582 755 
Deferred compensation76 112 
Net unrealized loss on available-for-sale securities— 69 
Other1,630 544 
Total deferred tax assets45,487 31,138 
  
Deferred tax liabilities:  
Credit enhancement recovery(40,101)(25,030)
Right of use asset(1,203)(1,386)
Depreciation and amortization(365)(693)
Other(218)(223)
Total deferred tax liabilities(41,887)(27,332)
Net deferred tax asset$3,600 $3,806 
(1) see Note 23, Restatement of Prior Period Financial Statements
The determination of the amount of deferred income tax assets which are more likely than not to be realized is primarily dependent on projections of future earnings, which are subject to uncertainty and estimates that may change given economic conditions and other factors. The realization of deferred income tax assets is regularly assessed and a valuation allowance is recorded if it is “more likely than not” that all or a portion of the deferred tax asset will not be realized. “More likely than not” is defined as greater than a 50% chance. All available evidence, both positive and negative is considered to determine whether, based on the weight of that evidence, a valuation allowance is needed. Based upon its
analysis of available evidence, including recent profitability, management has determined that it is “more likely than not” that the Company’s deferred income tax assets as of December 31, 2024 will be fully realized and therefore no valuation allowance was recorded. CCBX partners reimburse the Bank for credit losses on loans covered by credit enhancements, therefore the credit enhancement recovery deferred tax liability partially offsets the allowance for credit losses deferred tax asset.
At December 31, 2024, the Company had no federal net operating loss carryforwards or tax credit carryforwards. The Company files federal and various state income tax returns. Federal tax returns for the 2021 tax year and later are open for examination. The total amount of unrecognized tax benefits, including interest and penalties, at December 31, 2024 was not material. The amount of tax benefits that would impact the effective rate, if recognized, is not expected to be material. The Company does not anticipate any significant changes with respect to unrecognized tax benefits within the next 12 months.
v3.25.1
Related Party Transactions
12 Months Ended
Dec. 31, 2024
Related Party Transactions [Abstract]  
Related Party Transactions Related Party Transactions
During 2024 and 2023 the Company had transactions made in the ordinary course of business with certain of its executive officers and directors. All loans included in such transactions were made on substantially the same terms, including interest rate and collateral, as those prevailing at the time for comparable transactions with other persons, and did not, in the opinion of management, involve more than normal credit risk or present other unfavorable features.
A summary of loan transactions follows:
20242023
(dollars in thousands)
Beginning Balance January 1$13,043 $13,427 
Additions— 
Payments(403)(384)
Ending Balance December 31 $12,641 $13,043 
The Company held deposits of $3.9 million and $4.0 million from directors, principal shareholders and executive officers at December 31, 2024 and 2023, respectively. All deposits included in such transactions were made on substantially the same terms, including interest rate, as those prevailing at the time for comparable transactions with other persons.
The Company obtains legal services from Adams and Duncan, Inc. P.S., a law firm in which one of the Company’s directors is a partner. The services provided include general legal counsel and specialized CCBX agreement counsel. The Company also uses other law firms for legal counsel and specialties such as regulatory and SEC counsel. For fiscal years ended December 31, 2024, 2023 and 2022, total payments to Adams and Duncan, Inc. P.S. for legal services were $971,000, $1.0 million and $864,000 respectively.
The Company leased one facility from a related party in 2023. The Everett branch facility is leased from a group of investors, one of which was a director until he retired from the board in May 2023. The Everett lease originated in 1997 and has been extended multiple times. The current lease is through March 2034. Monthly rent under the Everett lease was $46,000 through March 2023 and decreased to $19,000 a month beginning in May 2023, due to a lower lease rate and a reduction in the square footage leased; rent for April of 2023 was a blended rate. Rents paid during 2023 and 2022 for the related party Everett lease totaled $316,000 and $546,000, respectively.
v3.25.1
Commitments and Contingencies
12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
In the normal course of business, there are various outstanding commitments and contingent liabilities, such as commitments to extend credit and standby letters of credit, which are not reflected in the consolidated financial statements. The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instruments for commitments to extend credit and standby letters of credit is represented by the contractual or notional amount of those instruments. The Company uses the same credit policies in making such commitments as it does for instruments that are included in the consolidated balance sheets.
At December 31, 2024 and 2023, the Company had a reserve for unfunded commitments of $2.5 million and $582,000, respectively, included in other liabilities on the consolidated balance sheet.
The following table presents commitments associated with outstanding commitments to extend credit, standby and commercial letters of credit and equity investment commitments as of the periods indicated:
(dollars in thousands)20242023
Commitments to extend credit:
Commercial and industrial loans$94,589 $86,134 
Commercial and industrial loans - capital call lines550,948 608,837 
Construction – commercial real estate loans36,873 92,709 
Construction – residential real estate loans10,929 20,825 
Residential real estate loans499,516 465,887 
Commercial real estate loans34,222 54,289 
Credit cards$717,198 $1,014,959 
Consumer and other loans18,553 779 
Total commitments to extend credit$1,962,828 $2,344,419 
Standby letters of credit$1,042 $1,096 
Equity investment commitment$480 $653 
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. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commercial and industrial loan commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. We evaluate each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if considered necessary by us, upon extension of credit, is based on management’s credit evaluation of the customer. The type of collateral held varies but may include accounts receivable, inventory, property and equipment, and income- producing commercial properties. As of December 31, 2024, $1.30 billion of the $1.96 billion in total commitments to extend credit were unconditionally cancelable.
Standby and commercial letters of credit are conditional commitments issued by us to guarantee the performance of a customer to a third party. In the event of nonperformance by the customer, we have rights to the underlying collateral, which can include commercial real estate, physical plant and property, inventory, receivables, cash and/or marketable securities. Our credit risk associated with issuing letters of credit is essentially the same as the risk involved in extending loan facilities to our customers. No losses were incurred in 2024 or 2023 under these commitments.
Commitments to extend credit on CCBX loans are included in the table above and are summarized below:
(dollars in thousands)20242023
Commitments to extend credit:
Commercial and industrial loans$19,104 $9,144 
Commercial and industrial loans - capital call lines550,948 608,837 
Residential real estate loans453,369 418,761 
Credit cards, consumer and other loans733,005 1,015,156 
Total commitments to extend credit$1,756,426 $2,051,898 
As of December 31, 2024, $1.30 billion in CCBX commitments to extend credit are unconditionally cancelable, compared to $1.63 billion at December 31, 2023. These unconditionally cancelable commitments are attributed to activity in CCBX loans. Commitments that are unconditionally cancelable allow us to manage loan growth, credit concentrations and liquidity. We also limit CCBX partners to a maximum aggregate customer loan balance originated and held on our balance sheet, as shown in the table below.
(dollars in thousands)Type of LendingMaximum Portfolio Size
Commercial and industrial loans:
Capital call linesBusiness - Venture Capital$350,000 
All other commercial & industrial loans
Business - Small Business480,069 
Real estate loans:
Home equity lines of creditHome Equity - Secured Credit Cards375,000 
Consumer and other loans:
Credit cardsCredit Cards - Primarily Consumer820,000 
Installment loansConsumer1,774,533 
Other consumer and other loansConsumer - Secured Credit Builder & Unsecured consumer5,398 
3,805,000 
The Company also has agreements with certain key officers that provide for potential payments upon retirement, disability, termination, change in control and death.
The Company is subject to claims and lawsuits which arise primarily in the ordinary course of business. It is the opinion of management that the disposition or ultimate resolution of such claims and lawsuits will not have a material adverse effect on the financial position of the Company.
v3.25.1
Concentration of Credit Risk
12 Months Ended
Dec. 31, 2024
Risks and Uncertainties [Abstract]  
Concentration of Credit Risk Concentration Risk
Most of the community bank’s business activity is with customers who are concentrated in the state of Washington. Investments in municipal securities involve governmental entities within the state. Generally, amounts placed or invested in bank accounts are insured by the FDIC up to $250,000 per depositor for each account ownership category at a bank. Uninsured deposits in bank accounts held by the Company and Bank at December 31, 2024 and 2023, totaled $10.1 million and $6.3 million, respectively.
Deposits obtained through our CCBX segment are a significant source of liquidity for us. Partner program agreements govern the relationship and are valid for a given period of time. Prior to exiting, the partner would need to provide us adequate notice as stipulated in the agreement that they were not going to renew the program agreement and intend to move the deposits. The movement to an alternate BaaS provider is cumbersome and would be over a period of time, which would allow us the opportunity to put alternate liquidity in place. As of December 31, 2024, we have two partners with deposits that are in excess of 10% of total deposits and represent 44% of total deposits.
Loans to the same borrower are generally limited, by state banking regulations, to 20% of the Bank’s capital and surplus. The Company manages asset quality and controls credit risk through diversification of the loan portfolio and the application of policies designed to promote sound underwriting and loan monitoring practices. The Company regularly utilizes real estate as collateral to reduce the risk of credit loss in the loan portfolio. As of December 31, 2024 and 2023, the Company has a concentration of credit in commercial real estate. Commercial real estate loans are typically secured by the Bank’s first lien position on the subject property. Standby letters of credit were granted primarily to commercial borrowers.
v3.25.1
Stock-Based Compensation
12 Months Ended
Dec. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
Stock Options and Restricted Stock
The 2018 Coastal Financial Corporation Omnibus Plan (“2018 Plan”) authorizes the Company to grant awards, including but not limited to, stock options, restricted stock units, and restricted stock awards, to eligible employees, directors or individuals that provide service to the Company, up to an aggregate of 500,000 shares of common stock. On May 24, 2021, the Company’s shareholders approved the First Amendment to the 2018 Plan, which increased the
authorized plan shares by 600,000. The 2018 Plan replaced both the 2006 Plan and the Directors’ Stock Bonus Plan. Existing awards will vest under the terms granted and no further awards will be granted under these prior plans. Shares available to be granted under the 2018 plan were 196,447 at December 31, 2024.
Stock Option Awards
The fair value of each option award is estimated on the date of grant using the Black-Scholes option pricing model. Expected volatilities are based on historical volatility of the Company’s stock and other factors. The Company uses the vesting term and contractual life to determine the expected life. The risk-free interest rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant. Compensation expense related to unvested stock option awards is reversed at date of forfeiture.
There were no new options granted in the year ended December 31, 2024.
A summary of stock option activity under the Company’s Plan during the year ended December 31, 2024:
OptionsNumber of Shares Weighted-
Average
Exercise
Price
Weighted-
Average
Remaining
Contractual
Term (Years)
Aggregate
Intrinsic Value
(dollars in thousands, except per share amounts)
Outstanding at December 31, 2023354,969$9.11 3.3$12,531 
Granted$— 
Exercised(167,455)$8.33 
Expired(20)$14.91 
Forfeited(1,140)$9.67 
Outstanding at December 31, 2024186,354$9.80 2.8$13,996 
Vested or expected to vest at December 31, 2024186,354$9.80 2.8$13,996 
Exercisable at December 31, 202468,905$9.66 2.6$5,185 
The total intrinsic value (which is the amount by which the stock price exceeds the exercise price) of options exercised during the year ended December 31, 2024 was $6.7 million. The intrinsic value of options exercised during the year ended December 31, 2023 was $2.7 million.
As of December 31, 2024, there was $523,000 of total unrecognized compensation cost related to nonvested stock options granted under the Plan. Total unrecognized compensation costs is adjusted for unvested forfeitures. The Company expects to recognize that cost over a weighted-average period of approximately 2.8 years. Compensation expense recorded related to stock options was $274,000, $319,000 and $331,000 for the years ended December 31, 2024, 2023 and 2022, respectively.
Restricted Stock Units
During the year ended December 31, 2024, the Company granted 163,901 restricted stock units under the 2018 Plan to employees, which vest ratably over various terms ranging from 3 years to 5 years. Additionally, the Company granted to an employee 60,000 performance-based restricted stock units ("PSUs") under the 2018 Plan that are eligible to vest on the first day of each month beginning on October 1, 2024 until April 30, 2028, subject to continuous employment with the Company and the achievement of certain stock price conditions, and 15,000 PSUs that are eligible to vest on April 30, 2028, subject to continuous employment with the Company and the achievement of specified performance goals.
Restricted stock units provide for an interest in Company common stock to the recipient, the underlying stock is not issued until certain conditions are met. Vesting requirements include time-based, performance-based, or market-based conditions. Recipients of restricted stock units do not pay any cash consideration to the Company for the units and the holders of the restricted units do not have voting rights. The fair value of time-based and performance-based units is equal to the fair market value of the Company’s common stock on the grant date. The fair value of market-based units is estimated on the grant date using a Monte Carlo simulation model. Compensation expense is recognized over the vesting period that the awards are based. Restricted stock units are nonparticipating securities.
As of December 31, 2024, there was $15.2 million of total unrecognized compensation cost related to nonvested restricted stock units. The Company expects to recognize that cost over the remaining weighted-average vesting period of approximately 4.0 years. Compensation expense recorded related to restricted stock units was $3.9 million, $2.9 million and $1.9 million for the years ended December 31, 2024, 2023 and 2022, respectively.
A summary of the Company’s nonvested restricted stock units at December 31, 2024 and changes during the year is presented below:
Nonvested shares - RSUsNumber of SharesWeighted-
Average
Grant Date
Fair
Value
(dollars in thousands, except per share amounts)
Nonvested shares at December 31, 2023409,271$31.22 
Granted238,901$44.06 
Forfeited or expired(17,982)$36.98 
Vested(66,806)$33.61 
Nonvested shares at December 31, 2024563,384$36.20 
Restricted Stock Awards
Employees
There were no restricted stock awards granted to employees in the year ended December 31, 2024.
The fair value of restricted stock awards is equal to the fair value of the Company’s stock at the date of grant. Compensation expense is recognized over the vesting period that the awards are based. Restricted stock awards are participating securities.
As of December 31, 2024, there was $28,000 of total unrecognized compensation cost related to nonvested restricted stock awards. The Company expects to recognize that cost over the remaining weighted-average vesting period of approximately 3.1 years. Compensation expense recorded related to restricted stock awards was $9,000 for the years ended December 31, 2024, 2023 and 2022.
Director’s Stock Bonus
Under the 2018 Plan, eligible directors are granted stock with a total market value of approximately $60,000, and the Board Chair is granted stock with a total market value of approximately $90,000. Committee chairs receive additional stock in an amount that varies depending upon the nature and frequency of the committee meetings. The audit committee chair receives additional stock with a market value of approximately $15,000, non-financial risk and compensation committee chairs receive additional stock with a market value of approximately $12,500, and the asset liability & investment, credit, technology, and nominating & governance chairs receive additional stock with a market value of approximately $10,000. Stock is granted as of each annual meeting date and vest one day prior to the next annual meeting date. During the vesting period, the grants are considered participating securities.
As of December 31, 2024, there was $298,000 of total unrecognized compensation expense related to director restricted stock awards which the Company expects to recognize over the remaining average vesting period of approximately five months. Director compensation expense recorded related to the 2018 Plan totaled $625,000, $432,000 and $295,000 for the for the years ended December 31, 2024, 2023 and 2022, respectively.
A summary of the Company’s nonvested shares at December 31, 2024 and changes during the year is presented below:
Nonvested shares - RSAsNumber of SharesWeighted-
Average
Grant Date
Fair
Value
(dollars in thousands, except per share amounts)
Nonvested shares at December 31, 202316,038$32.41 
Granted16,698$43.66 
Forfeited$— 
Vested(14,038)$34.49 
Nonvested shares at December 31, 202418,698$40.90 
v3.25.1
Employee Benefit Plans
12 Months Ended
Dec. 31, 2024
Retirement Benefits [Abstract]  
Employee Benefit Plans Employee Benefit Plans
401(k) plan - The Company has a combined 401(k) and profit-sharing plan covering substantially all employees. Contributions to the 401(k) plan may consist of matching contributions for employees. Match eligibility coincides with the first of the month following hire date in accordance with the 401(k) plan. Matching contributions are usually equal to a percentage of employee compensation.
The Company determines and sets 401(k) contributions each year. Company matching contributions will be approved by the board of directors annually on a discretionary basis. In 2024, 2023 and 2022, the Company provided matching contributions totaling $1.8 million, $1.6 million, and $1.3 million, respectively.
Deferred compensation plan - The Company established a deferred compensation plan in 2003 for certain management personnel. Two former employees were covered by this plan and the plan is now distributing benefits to these retired individuals. The plan was designed to help supplement retirement benefits for participants. The benefits may be funded by bank-owned life insurance policies. The life insurance policies had a cash surrender value of $13.4 million and $12.9 million at December 31, 2024 and 2023, respectively. Liabilities to employees, which are being accrued over the life of the participant’s Plan, were $332,000 and $479,000 at December 31, 2024 and 2023, respectively. Compensation expense related to this Plan was $29,000, $39,000 and $48,000 for the years ended December 31, 2024, 2023 and 2022, respectively. Payments of accrued benefits totaling $175,000 were made during 2024, 2023 and 2022.
v3.25.1
Regulatory Matters
12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Regulatory Matters Regulatory Matters
Banks and bank holding companies are subject to various regulatory capital requirements administered by federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory (and possibly additional discretionary) actions by regulators that, if undertaken, could have a direct material effect on the financial statements of the Bank and the Company.
A bank holding company that crosses the $3.0 billion total consolidated assets threshold as of June 30 of a particular year is no longer permitted to file reports as a small holding company beginning the following March. The Company’s total consolidated assets were in excess of $3.0 billion as of June 30, 2023, and as a consequence, beginning in March 2024, the Company ceased preparing and filing financial reports with the Federal Reserve as a small bank holding company.
Under the regulatory capital adequacy guidelines, the Company and Bank must meet specific capital adequacy guidelines that involve quantitative measures of their assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. The Company’s and Bank’s capital ratios and the Bank’s classification under the prompt corrective action guidelines are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors.
Quantitative measures established by regulation to ensure capital adequacy require the Company and Bank to maintain minimum amounts and ratios of total risk-based capital, Tier 1 capital and common equity Tier 1 capital to risk- weighted assets (as defined in the regulations), and Tier 1 capital to average adjusted total consolidated assets (as defined).
According to regulatory guidelines, only the amount of deferred tax assets that can be realized within the next 12 months based on projected taxable income is allowed in the computation. There were no disallowed deferred tax assets at December 31, 2024 and 2023.
Under the capital adequacy guidelines on the regulatory framework for prompt corrective action (as set forth in the table on the next page), the Bank met the criteria to be considered well capitalized as of December 31, 2024 and 2023. Such determination has been made based on the Bank’s total risk-based capital ratio, Tier 1 risk-based capital ratio, common equity Tier 1 risk-based capital ratio, and leverage ratio. There have been no conditions or events since December 31, 2024, that management believes would change the Bank’s category.
Under capital adequacy regulations, the Company and the Bank must maintain a capital conservation buffer of common equity Tier 1 capital of more than 2.5% above the minimum risk-based capital ratios to avoid restrictions on the payment of capital distributions and discretionary bonus payments.
Management believes the Company and the Bank exceed all capital adequacy requirements to which they are subject, including the ratios described below and the capital conservation buffer, as of December 31, 2024.
The Company and Bank’s actual and required capital amounts and ratios are as follows:
Actual
Minimum Required
for Capital
Adequacy Purposes (1)
Required to be Well
Capitalized
Under the Prompt
Corrective Action
Provisions
AmountRatio AmountRatio AmountRatio
(dollars in thousands)
December 31, 2024
Leverage Capital (to average assets)
Consolidated$442,193 10.78 %$164,052 4.00 %N/AN/A
Bank Only436,116 10.64 %163,919 4.00 %204,899 5.00 %
Common Equity Tier 1 risk-based capital ratio (to risk-weighted assets)
Consolidated438,693 12.04 %163,952 4.50 %N/AN/A
Bank Only436,116 11.99 %163,717 4.50 %236,480 6.50 %
Tier 1 Capital (to risk-weighted assets)
Consolidated442,193 12.14 %218,602 6.00 %N/AN/A
Bank Only436,116 11.99 %218,289 6.00 %291,052 8.00 %
Total Capital (to risk-weighted assets)
Consolidated534,390 14.67 %291,470 8.00 %N/AN/A
Bank Only483,247 13.28 %291,052 8.00 %363,816 10.00 %
December 31, 2023
Leverage Capital (to average assets)
Consolidated$298,920 8.10 %$147,616 4.00 %N/AN/A
Bank Only333,848 9.06 %147,469 4.00 %184,336 5.00 %
Common Equity Tier 1 risk-based capital ratio (to risk-weighted assets)
Consolidated295,450 9.10 %146,137 4.50 %N/AN/A
Bank Only333,848 10.30 %145,875 4.50 %210,708 6.50 %
Tier 1 Capital (to risk-weighted assets)
Consolidated298,920 9.20 %194,849 6.00 %N/AN/A
Bank Only333,848 10.30 %194,500 6.00 %259,334 8.00 %
Total Capital (to risk-weighted assets)
Consolidated385,464 11.87 %259,799 8.00 %N/AN/A
Bank Only375,320 11.58 %259,334 8.00 %324,167 10.00 %
(1)Presents the minimum capital adequacy requirements that apply to the Bank (excluding the capital conservation buffer) and the Company. The capital conservation buffer is an additional 2.5% of the amount necessary to meet the minimum risk-based capital requirements for total, tier 1, and common equity tier 1 risk-based capital. Prior to September 30, 2022, the Company operated under the Small Bank Holding Company Policy Statement and therefore was not subject to Basel III capital adequacy requirements.
v3.25.1
Fair Value Measurements
12 Months Ended
Dec. 31, 2024
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
The following tables present estimated fair values of the Company’s financial instruments as of the period indicated, whether or not recognized or recorded in the consolidated balance sheets at the period indicated:
December 31, 2024Fair Value Measurements Using
Carrying
Value
Estimated
Fair Value
Level 1Level 2Level 3
(dollars in thousands)
Financial assets
Cash and due from banks$36,533 $36,533 $36,533 $— $— 
Interest earning deposits with other banks415,980 415,980 415,980 — — 
Investment securities47,321 46,740 — 46,740 — 
Other investments10,800 10,800 — 8,181 2,619 
Loans held for sale20,600 20,600 — 20,600 
Loans receivable3,486,565 3,460,131 — — 3,460,131 
Accrued interest receivable21,104 21,104 — 21,104 — 
Financial liabilities
Deposits$3,585,332 $3,584,967 $— $3,584,967 $— 
Subordinated debt44,293 45,505 — 45,505 — 
Junior subordinated debentures3,591 3,508 — 3,508 — 
Accrued interest payable962 962 — 962 — 

December 31, 2023 (1)Fair Value Measurements Using
Carrying
Value
Estimated
Fair Value
Level 1Level 2Level 3
(dollars in thousands)
Financial assets
Cash and due from banks$31,345 $31,345 $31,345 $— $— 
Interest earning deposits with other banks451,783 451,783 451,783 — — 
Investment securities150,364 150,545 99,461 51,084 — 
Other investments10,227 10,227 — 7,605 2,622 
Loans receivable, net3,021,542 2,936,917 — — 2,936,917 
Accrued interest receivable23,458 23,458 — 23,458 — 
Financial liabilities
Deposits$3,360,363 $3,359,867 $— $3,359,867 $— 
Subordinated debt44,144 43,908 — 43,908 — 
Junior subordinated debentures3,590 3,491 — 3,491 — 
Accrued interest payable892 892 — 892 — 
(1) See Note 23, Restatement of Prior Period Financial Statements.
The Company measures and discloses certain assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (that is, not a forced liquidation or distressed sale). GAAP establishes a consistent framework for measuring fair value and disclosure requirements about fair value measurements. Among other things, the accounting standard requires the reporting entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect market data obtained from independent sources, while
unobservable inputs reflect the Company’s estimates for market assumptions. These two types of inputs create the following fair value hierarchy:
Level 1 – Quoted prices in active markets for identical instruments. An active market is a market in which transactions occur with sufficient frequency and volume to provide pricing information on an ongoing basis. A quoted price in an active market provides the most reliable evidence of fair value and shall be used to measure fair value whenever available.
Level 2 – Observable inputs other than Level 1 including quoted prices in active markets for similar instruments, quoted prices in less active markets for identical or similar instruments, or other observable inputs that can be corroborated by observable market data.
Level 3 – Unobservable inputs supported by little or no market activity for financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation; also includes observable inputs from non-binding single dealer quotes not corroborated by observable market data.
The estimated fair value amounts of financial instruments have been determined by the Company using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret data to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize at a future date. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. In addition, reasonable comparability between financial institutions may not be likely due to the wide range of permitted valuation techniques and numerous estimates that must be made given the absence of active secondary markets for certain financial instruments. This lack of uniform valuation methodologies also introduces a greater degree of subjectivity to these estimated fair values.
Items measured at fair value on a recurring basis – The following fair value hierarchy table presents information about the Company’s assets that are measured at fair value on a recurring basis at the dates indicated:
Level 1Level 2Level 3Total
Fair Value
(dollars in thousands)
December 31, 2024
Available-for-sale
U.S. Agency collateralized mortgage obligations$— $35 $— $35 
$— $35 $— $35 
December 31, 2023
Available-for-sale
U.S. Treasury securities$99,461 $— $— $99,461 
U.S. Agency collateralized mortgage obligations— 43 — 43 
$99,461 $43 $— $99,504 
The following methods were used to estimate the fair value of the class of financial instruments above:
Investment securities - The fair value of securities is based on quoted market prices, pricing models, quoted prices of similar securities, independent pricing sources, and discounted cash flows.
Limitations: The fair value estimates presented herein are based on pertinent information available to management as of December 31, 2024 and 2023. The factors used in the fair values estimates are subject to change subsequent to the dates the fair value estimates are completed, therefore, current estimates of fair value may differ significantly from the amounts presented herein.
Items measured at fair value on a nonrecurring basis – The following table presents financial assets and liabilities measured at fair value on a nonrecurring basis and the level within the fair value hierarchy of the fair value measurements for those assets at the dates indicated:
Level 1Level 2Level 3Total
Fair Value
(dollars in thousands)
December 31, 2024
Collateral dependent loans$— $— $100 $100 
Equity securities— — 2,619 2,619 
Total$— $— $2,719 $2,719 
December 31, 2023
Collateral dependent loans$— $— $7,315 $7,315 
Equity securities— — 2,622 2,622 
Total$— $— $9,937 $9,937 
The amounts disclosed above represent the fair values at the time the nonrecurring fair value measurements were made, and not necessarily the fair value as of the dates reported on.
Individually evaluated loans - Fair values for individually evaluated loans are estimated using the fair value of the collateral less selling costs if the loan results in a Level 3 classification. Individually evaluated loan amounts are initially valued at the lower of cost or fair value. Individually evaluated loans carried at fair value generally receive specific allocations of the allowance for credit losses. The allowance for individually evaluated loans is calculated using either the collateral value method, which considers the likely source of repayment as the value of the collateral less estimated costs to sell, or the net present value method, which considers the contractual principal and interest terms and estimated cash flows available from the borrower to satisfy the debt. Valuation is measured based on the fair value of the underlying collateral or the discounted cash expected future cash flows. Subsequent changes in the value of loans are included within the provision for credit losses - loans in the same manner in which it initially was recognized or as a reduction in the provision that would otherwise be reported. Loans are evaluated quarterly to determine if valuation adjustments should be recorded. The need for valuation adjustments arises when observable market prices or current appraised values of collateral indicate a shortfall in collateral value compared to current carrying values of the related loan. If the Company determines that the value of the individually evaluated loan is less than the carrying value of the loan, the Company either establishes a reserve as a specific component of the allowance for credit losses or charges off that amount. These valuation adjustments are considered nonrecurring fair value adjustments.
Equity securities – The Company measures equity securities without readily determinable fair values at cost less impairment (if any), plus or minus observable price changes from an identical or similar investment of the same issuer, with price changes recognized in earnings.
Assets measured at fair value using significant unobservable inputs (Level 3)
The following table presents the carrying value of equity securities without readily determinable fair values, as of December 31, 2024, 2023 and 2022, with adjustments recorded during the periods presented for those securities with observable price changes, if applicable. These equity securities are included in other investments on the balance sheet.
The Company had a $2.2 million equity interest in a specialized bank technology company as of December 31, 2024 and December 31, 2023 .
The Company had a $350,000 equity interest in a technology company as of the years ended December 31, 2024 and December 31, 2023.
The Company had a $47,000 and $50,000 equity interest in a technology company as of the years ended December 31, 2024, and December 31, 2023, respectively.
For the Year Ended
December 31,
(dollars in thousands) 202420232022
Carrying value, beginning of period$2,622 $2,572 $2,322 
Purchases— 50 350 
Observable price change(3)— (100)
Carrying value, end of period$2,619 $2,622 $2,572 
Assets measured at fair value using significant unobservable inputs (Level 3)
The following table provides a description of the valuation technique, unobservable inputs, and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a nonrecurring basis at the date indicated:
Valuation TechniqueUnobservable InputsDecember 31, 2024 Weighted Average RateDecember 31, 2023 Weighted Average Rate
Collateral dependent loansCollateral valuationsDiscount to appraised value8.0%8.0%
v3.25.1
Revenue from Contracts with Customers
12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Revenue from Contracts with Customers
All of the Company’s revenue from contracts with customers in the scope of Topic 606 is recognized within noninterest income. The following table presents the Company’s noninterest income by revenue stream for the years ended December 31:
20242023 (3)2022
(dollars in thousands)
Service charges and fees
Interchange income$2,002 $2,176 $2,055 
Merchant service fees487 498 508 
Overdraft fees198 213 310 
Other1,051 967 931 
Loan referral fees168 683 810 
BaaS program income (1)
20,075 13,240 11,193 
Other income (2)
692 323 603 
Total noninterest income subject to Topic 60624,673 18,100 16,410 
BaaS enhancements / guarantees (1)
282,673 184,929 105,945 
Gain (loss) on equity investment27 279 (153)
Gain on sale of loans, net— 253 — 
Loan servicing fees142 171 223 
Earnings on life insurance486 185 361 
Lease and sublease income204 205 157 
Total noninterest income not subject to Topic 606283,532 186,022 106,533 
Total noninterest income$308,205 $204,122 $122,943 
(1)See description below for detailed components of BaaS fees and related Topic 606 applicability.
(2)Includes the following immaterial income streams that are within the scope of Topic 606: wire transfer fees, annuity fees, mortgage broker fees and brokerage fees.
(3)See Note 23, Restatement of Prior Period Financial Statements.
A description of the Company’s revenue streams accounted for under Topic 606 is as follows:
Service Charges on Accounts: The Company earns fees from deposit customers for transaction-based, account maintenance and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed. This point in time is when the Company fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Company satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs.
Interchange Income: The Company earns interchange fees from debit card holder transactions conducted through various payment networks. Interchange fees from cardholder transactions represent a percentage of the underlying transactions’ value and are recognized daily, concurrently with the transaction processing services provided by the cardholder. Interchange income is included in Service Charges on Deposit Accounts in the consolidated statements of income.
Merchant Service Fees: The Company earns a percentage of fees from cardholder transactions conducted through a third-party payment network provider. The Company is obligated to provide sales, customer support, marketing, deployment and installation of equipment, and savings analysis to merchant service customers. An exclusivity agreement is in place between the Company and the third-party payment network provider. Fees are recognized on a monthly basis, as earned. Merchant service fees are included in Services Charges on Deposit Accounts in the consolidated statements of income.
Loan Referral Fees: The Company earns loan referral fees when the Company originates a variable rate loan and the borrower enters into an interest rate swap agreement with a third party to fix the interest rate for an extended period, usually 20 or 25 years. The Company recognizes the loan referral fee for arranging the interest rate swap.
BaaS Fees: The Company earns fees and is reimbursed for certain expenses, as specified in the program agreement, for providing banking services to broker-dealers and digital financial service providers. Earned program fees and reimbursement of expenses are recorded gross and recognized on a monthly basis, as earned. Credit enhancements for fraud and credit losses are not within the scope of Topic 606.
The following tables presents the BaaS fees that are within and not within the scope of Topic 606:
Year Ended
December 31,
2024 compared to 20232023 compared to 2022
(dollars in thousands) 20242023 (1)2022Increase
(Decrease)
Increase
(Decrease)
Program income - within the scope of Topic 606
Servicing and other BaaS fees$4,743 $3,855 $4,408 $888 $(553)
Transaction5,910 4,011 3,211 1,899 800 
Interchange6,933 4,252 2,583 2,681 1,669 
Reimbursement of expenses2,489 1,122 991 1,367 131 
Total BaaS program income20,075 13,240 11,193 6,835 2,047 
Guarantees - not within the scope of Topic 606:
BaaS credit enhancement272,839 177,764 76,374 95,075 101,390 
BaaS fraud enhancement9,834 7,165 29,571 2,669 (22,406)
Total BaaS enhancements / indemnifications282,673 184,929 105,945 97,744 78,984 
Total BaaS fees$302,748 $198,169 $117,138 $104,579 $81,031 
v3.25.1
Earnings Per Common Share
12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
Earnings Per Common Share Earnings Per Common Share
The following is a computation of basic and diluted earnings per common share at the periods indicated:
Year Ended
(dollars in thousands, except per share data)December 31, 2024December 31, 2023December 31, 2022
Net Income$45,219 $44,579 $40,625 
Basic weighted average number common shares outstanding13,508,04713,261,66412,949,266
Dilutive effect of equity-based awards368,859378,518565,686
Diluted weighted average number common shares outstanding
13,876,90613,640,18213,514,952
Basic earnings per share$3.35 $3.36 $3.14 
Diluted earnings per share$3.26 $3.27 $3.01 
Antidilutive stock options and restricted stock outstanding132,164130,837147,423
Under the two-class method, earnings available to common shareholders for the period are allocated between common shareholders and participating securities according to dividends declared (or accumulated) and participation rights in undistributed earnings, however the difference in the two-class method was not significant.
v3.25.1
Segment Reporting
12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
As defined in ASC 280, Segment Reporting, an operating segment is a component of an enterprise that engages in business activities from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the enterprise’s chief operating decision makers (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. We evaluate performance based on an internal performance measurement accounting system, which provides line of business results. This system uses various techniques to assign balance sheet and income statement amounts to the business segments, including allocations of income and expense. A primary objective of this measurement system and related internal financial reporting practices are to produce consistent results that reflect the underlying financial impact of the segments on the Company and to provide a basis of support for strategic decision making. The accounting policies applicable to our segments are those that apply to our preparation of the accompanying Consolidated Financial Statements. Based on these criteria, we have identified three segments: the community bank, CCBX, and treasury & administration. The Executive Leadership Team, which includes the CEO, Presidents, CFO and other key executive members, which the Company has designated as the CODMs, evaluates the financial performance of the Company’s segments by evaluating interest income and expense, noninterest income and significant expenses. The community bank segment includes all community banking activities. A primary focus of the community bank is on providing a wide range of banking products and services to consumers and small to medium sized businesses in the broader Puget Sound region in the state of Washington and through the Internet and our mobile banking application. We currently operate 14 full-service banking locations, 12 of which are located in Snohomish County, where we are the largest community bank by deposit market share, and two of which are located in neighboring counties (one in King County and one in Island County). The CCBX segment provides BaaS that allows our broker-dealer and digital financial service partners to offer their customers banking services. The CCBX segment has 24 relationships, at varying stages, including three signed letters of intent as of December 31, 2024. The treasury & administration segment includes investments, debt and other reporting items that are not specific to the community bank or CCBX segments.
The management accounting policies and processes utilized in compiling segment financial information are highly subjective and, unlike financial accounting, are not based on authoritative guidance similar to GAAP. As a result, reported segments and the financial information of the reported segments are not necessarily comparable with similar information reported by other financial institutions. Additionally, because of the interrelationships of the various segments, the information presented is not indicative of how the segments would perform if they operated as independent entities. Changes in management structure or allocation methodologies and procedures may result in future changes to previously reported segment financial data. Furthermore, changes in management structure or allocation methodologies and procedures may result in changes in reported segment financial data. The Company continues to evaluate its methodology on allocating items to the Company’s various segments to support strategic business decisions by the Company’s executive leadership. Income and expenses that are specific to a segment are directly posted to each segment. Additionally, certain indirect expenses are allocated to each segment utilizing various metrics, such as number of employees, utilization of space, and allocations based on loan and deposit balances. We have implemented a transfer pricing process that credits or charges the community bank and CCBX segments with intrabank interest income or expense for the difference in average loans and average deposits, with the treasury & administration segment as the offset for those entries.
Financial information concerning the Company's reportable segments and the reconciliation to the consolidated financial results is shown in the following tables for the periods indicated.
December 31, 2024December 31, 2023 (1)
Community BankCCBXTreasury & AdministrationConsolidatedCommunity BankCCBXTreasury & AdministrationConsolidated
Assets(dollars in thousands)
Cash and Due from Banks$4,510 $10,894 $437,109 $452,513 $4,702 $9,601 $468,825 $483,128 
Intrabank assets— 411,768 (411,768)— — 653,178 (653,178)— 
Securities— — 47,321 47,321 — — 150,364 150,364 
Loans held for sale— 20,600 — 20,600 — — — — 
Total loans receivable1,882,988 1,603,577 — 3,486,565 1,830,154 1,191,388 — 3,021,542 
Allowance for credit losses
(18,924)(158,070)— (176,994)(21,595)(95,786)— (117,381)
All other assets28,273 211,038 51,892 291,203 30,169 138,543 43,640 212,352 
Total assets$1,896,847 $2,099,807 $124,554 $4,121,208 $1,843,430 $1,896,924 $9,651 $3,750,005 
Liabilities
Total deposits$1,521,244 $2,064,088 $— $3,585,332 1,497,601 1,862,762 — 3,360,363 
Total borrowings— — 47,884 47,884 — — 47,734 47,734 
Intrabank liabilities367,540 — (367,540)— 338,614 — (338,614)— 
All other liabilities8,062 35,720 5,506 49,288 7,215 34,162 5,553 46,930 
Total liabilities$1,896,846 $2,099,808 $(314,150)$3,682,504 $1,843,430 $1,896,924 $(285,327)$3,455,027 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Year Ended December 31, 2024Year Ended December 31, 2023 (1)
Community BankCCBXTreasury & AdministrationConsolidatedCommunity BankCCBX Treasury & AdministrationConsolidated
(dollars in thousands)
INTEREST INCOME AND EXPENSE
Interest income$123,735 $248,286 $24,756 $396,777 $106,983 $197,306 $18,930 $323,219 
Interest income (expense) intrabank transfer(21,265)30,221 (8,956)— (10,404)19,071 (8,667)— 
Interest expense26,897 94,035 2,817 123,749 17,354 71,646 2,644 91,644 
Net interest income75,573 184,472 12,983 273,028 79,225 144,731 7,619 231,575 
Provision/(Recapture) for credit losses - loans(2,130)277,793 — 275,663 1,322 182,721 — 184,043 
Provision for unfunded commitments757 1,187 — 1,944 (211)160 — (51)
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments76,946 (94,508)12,983 (4,579)78,114 (38,150)7,619 47,583 
NONINTEREST INCOME
Service charges and fees3,691 47 — 3,738 3,810 44 — 3,854 
Other income751 76 892 1,719 1,165 433 501 2,099 
BaaS program income— 20,075 — 20,075 — 13,240 — 13,240 
BaaS indemnification income— 282,673 — 282,673 — 184,929 — 184,929 
Noninterest income (1)
4,442 302,871 892 308,205 4,975 198,646 501 204,122 
NONINTEREST EXPENSE
Salaries and employee benefits24,432 28,909 16,743 70,084 24,104 25,159 17,198 66,461 
Occupancy3,401 333 202 3,936 3,741 321 110 4,172 
Data processing and software licenses4,759 4,029 6,525 15,313 4,595 2,321 2,433 9,349 
Legal and professional expenses99 8,904 6,503 15,506 1,580 9,645 3,578 14,803 
Other expense3,845 4,727 4,528 13,100 3,954 3,759 5,161 12,874 
BaaS loan expense— 118,536 — 118,536 — 79,748 — 79,748 
BaaS fraud expense— 9,834 — 9,834 — 7,165 — 7,165 
Total noninterest expense36,536 175,272 34,501 246,309 37,974 128,118 28,480 194,572 
Net income before income taxes44,852 33,091 (20,626)57,317 45,115 32,378 (20,360)57,133 
Income taxes8,870 7,999 (4,771)12,098 9,913 7,116 (4,475)12,554 
Net Income$35,982 $25,092 $(15,855)$45,219 35,202 25,262 (15,885)44,579 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Year Ended December 31, 2022
Community BankCCBXTreasury & AdministrationConsolidated
(dollars in thousands)
INTEREST INCOME AND EXPENSE
Interest income$80,544 $102,808 $8,818 $192,170 
Interest income (expense) intrabank transfer$796 $4,106 $(4,902)— 
Interest expense2,896 16,108 $1,391 20,395 
Net interest income78,444 90,806 $2,525 171,775 
Provision/(Recapture) for credit losses - loans719 78,345 $— 79,064 
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments77,725 12,461 2,525 92,711 
NONINTEREST INCOME
Service charges and fees3,757 47 $— 3,804 
Other income1,411 356 $234 2,001 
BaaS program income— 11,193 $— 11,193 
BaaS indemnification income— 105,945 $— 105,945 
Noninterest income (1)
5,168 117,541 $234 122,943 
NONINTEREST EXPENSE
Salaries and employee benefits20,476 18,007 $13,745 52,228 
Occupancy3,843 257 $119 4,219 
Data processing and software licenses3,285 1,806 $1,725 6,816 
Legal and professional expenses213 3,163 $3,384 6,760 
Other expense5,202 1,285 $5,658 12,145 
BaaS loan expense— 53,294 $— 53,294 
BaaS fraud expense— 29,571 $— 29,571 
Total noninterest expense33,019 107,383 $24,631 165,033 
Net income before income taxes49,874 22,619 (21,872)50,621 
Income taxes10,068 4,248 (4,320)9,996 
Net Income39,806 18,371 (17,552)40,625 
v3.25.1
Parent Company Only Condensed Financial Information
12 Months Ended
Dec. 31, 2024
Condensed Financial Information Disclosure [Abstract]  
Parent Company Only Condensed Financial Information Parent Company Only Condensed Financial Information
Condensed financial information of Coastal Financial Corporation follows:
December 31,
2024
December 31,
2023
(dollars in thousands)
ASSETS
Cash$47,739 $5,479 
Investment in trust equities109 109 
Investment in subsidiaries436,451 333,690 
Other investments3,529 3,430 
Other assets(252)532 
TOTAL ASSETS$487,576 $343,240 
LIABILITIES AND SHAREHOLDERS' EQUITY  
Junior subordinated debentures, net of issuances costs$3,591 $3,590 
Subordinated debt, net of debt issuance costs44,293 44,144 
Interest and dividends payable526 528 
Other liabilities462 — 
Shareholders' equity438,704 294,978 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY$487,576 $343,240 
Year ended December 31,
202420232022
(dollars in thousands)
INTEREST INCOME
Interest earned loans receivable$— $— $(14)
Interest bearing other investments
Total interest income(10)
INTEREST EXPENSE
Interest on borrowed funds2,673 2,644 1,322 
Total interest expense2,673 2,644 1,322 
Net interest expense(2,665)(2,636)(1,332)
PROVISION FOR CREDIT LOSSES— — 350 
Net interest expense after provision for credit losses(2,665)(2,636)(1,682)
NONINTEREST INCOME
Unrealized gain (loss) on equity investment27 279 (153)
Other income30 23 
Total noninterest income36 309 (130)
NONINTEREST EXPENSE
Other expenses1,088 914 711 
Total noninterest expense1,088 914 711 
Loss before income taxes and undistributed net income of subsidiary(3,717)(3,241)(2,523)
Equity in undistributed income of consolidated subsidiaries48,076 47,148 42,674 
Income tax (benefit) expense (860)(672)(474)
NET INCOME$45,219 $44,579 $40,625 
Year ended December 31,
202420232022
(dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income$45,219 $44,579 $40,625 
Adjustments to reconcile net income to net cash used by operating activities:  
Equity in undistributed income of consolidated subsidiaries(48,076)(47,148)(42,674)
Stock-based compensation625 432 295 
Unrealized loss (gain) on equity investment(27)(279)153 
Decrease (increase) in other assets784 (683)274 
Increase in other liabilities611 124 106 
Net cash used by operating activities(864)(2,975)(1,221)
CASH FLOWS FROM INVESTING ACTIVITIES:
Investments in subsidiaries(50,000)(14,945)(20,925)
Investments in loans receivable— — 350 
Investments in other, net(72)(123)(699)
Net cash used by investing activities(50,072)(15,068)(21,274)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of stock options1,395 618 1,468 
Proceeds from public offering, net91,801 — — 
Proceeds from subordinated debt— — 19,625 
Net cash provided by financing activities93,196 618 21,093 
NET CHANGE IN CASH42,260 (17,425)(1,402)
Cash, beginning of year5,479 22,904 24,306 
Cash, end of year$47,739 $5,479 $22,904 
v3.25.1
Revision of Prior Period Financial Statements
12 Months Ended
Dec. 31, 2024
Accounting Changes and Error Corrections [Abstract]  
Revision of Prior Period Financial Statements Restatement of Prior Period Financial Statements
Restatement Background
The Company has restated herein the impacted line items to the Consolidated Balance Sheet, Consolidated Income Statement, and Consolidated Statement of Cash flows as of and for the year ended December 31, 2023. In addition, the Company has restated the impacted line items to its unaudited quarterly Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Income and Cash Flows for the first three quarters of and each of the years ended December 31, 2024 and December 31, 2023.
Description of Misstatements
BaaS partner loans
Certain interest income and BaaS loan expense amounts were misstated due to differences between BaaS lending partner accounting policies and the Company’s accounting policies. The Company made an adjustment to decrease interest and fees on loans with a corresponding decrease to BaaS loan expense as well as the related Balance Sheet accounts impacted.
Presentation of BaaS partner interchange fees on point of sale transaction
Reimbursement of expenses for interchange fees associated with certain BaaS partners had not been appropriately accounted for under Topic 606, where the Company acts as an agent. The Company should have been recording these transactions on a net basis in Non-Interest Expense but reported the transaction gross in both Non-Interest Income and Non-Interest Expense. As a result, the Company made an adjustment to reduce reimbursement of expenses included in Non-Interest Income with a corresponding decrease to point of sale expense in Non-Interest Expense.
Neither of these misstatements had any impact on consolidated pre-tax or net income.
Other Immaterial Adjustments
The restatement of the historical consolidated financial statements also includes the correction of its Consolidated Statement of Income for the year ended December 31, 2022 related to BaaS partner interchange fees. The Company determined this correction did not, either individually or in the aggregate, result in a material misstatement of its previously issued consolidated financial statements for the year ended December 31, 2022.

Description of Restatement Tables
The following tables present the amounts previously reported and a reconciliation of the restatement amounts reported on the restated Consolidated Balance Sheets, the restated Consolidated Statements of Income and the restated Consolidated Statements of Cash Flows for the periods presented.

Further information regarding the misstatements and related restatements are summarized in the tables below.
Corrected Consolidated Balance SheetsAs of
December 31, 2023
(dollars in thousands)As Previously ReportedAdjustmentAs Restated
Loans receivable$3,026,092$(4,550)$3,021,542
Allowance for credit losses(116,958)(423)(117,381)
Total loans receivable, net2,909,134(4,973)2,904,161
CCBX credit enhancement asset107,9214,973112,894
Accrued interest receivable
26,819(3,361)23,458
Total assets3,753,366(3,361)3,750,005
CCBX payable33,651(3,361)30,290
Total liabilities3,458,388(3,361)3,455,027
Total liabilities and shareholders' equity3,753,366(3,361)3,750,005
Retained earnings165,311 — 165,311 
Corrected Consolidated Statements of IncomeYear Ended
December 31, 2023
(dollars in thousands)As Previously ReportedAdjustmentAs Restated
Interest and fees on loans$311,441$(7,152)$304,289
Total interest income330,371(7,152)323,219
Net interest income238,727(7,152)231,575
Net interest income/(expense) after provision for credit losses54,735(7,152)47,583
Reimbursement of expenses4,175(3,053)1,122
BaaS program income16,293(3,053)13,240
Total noninterest income207,175(3,053)204,122
Point of sale expense3,534(3,053)481
Noninterest expense, excluding BaaS loan and BaaS fraud expense110,712(3,053)107,659
BaaS loan expense
86,900(7,152)79,748
BaaS loan and fraud expense94,065(7,152)86,913
Total noninterest expense204,777(10,205)194,572
Net income44,579 — 44,579 
Corrected Consolidated Statement of Cash FlowsYear Ended
December 31, 2023
(dollars in thousands)As Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(50,079)$(4,973)$(55,052)
Net change in CCBX payable13,232(3,361)9,871
Net change in other assets and liabilities(15,919)3,361(12,558)
Net cash provided by operating activities196,513(4,973)191,540
Increase in loans receivable, net
(1,052,283)4,973(1,047,310)
Net cash used by investing activities(598,985)4,973(594,012)
Corrected Consolidated Balance SheetsAs ofAs of
September 30, 2024June 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Loans receivable$3,418,832$(4,938)$3,413,894$3,326,460$(4,647)$3,321,813
Allowance for credit losses(170,263)(1,411)(171,674)(147,914)(964)(148,878)
Total loans receivable, net3,248,569(6,349)3,242,2203,178,546(5,611)3,172,935
CCBX credit enhancement asset167,2516,349173,600143,4855,611149,096
Accrued interest receivable
23,664(1,349)22,31523,617(1,997)21,620
Total assets4,065,821(1,349)4,064,4723,961,546(1,997)3,959,549
CCBX payable39,188(1,349)37,83934,536(1,997)32,539
Total liabilities3,733,891(1,349)3,732,5423,644,853(1,997)3,642,856
Total liabilities and shareholders' equity4,065,821(1,349)4,064,4723,961,546(1,997)3,959,549
Retained earnings197,162 — 197,162 183,706 — 183,706 
Corrected Consolidated Balance SheetsAs ofAs of
March 31, 2024September 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Loans receivable$3,199,554$(4,453)$3,195,101$2,967,035$(3,289)$2,963,746
Allowance for credit losses(139,258)(683)(139,941)(101,085)(110)(101,195)
Total loans receivable, net3,060,296(5,136)3,055,1602,865,950(3,399)2,862,551
CCBX credit enhancement asset137,2765,136142,41291,8673,39995,266
Accrued interest receivable
24,681(2,196)22,48523,428(1,443)21,985
Total assets3,865,258(2,196)3,863,0623,678,265(1,443)3,676,822
CCBX payable33,095(2,196)30,89938,229(1,443)36,786
Total liabilities3,561,549(2,196)3,559,3533,393,815(1,443)3,392,372
Total liabilities and shareholders' equity3,865,258(2,196)3,863,0623,678,265(1,443)3,676,822
Retained earnings172,110 — 172,110 156,299 — 156,299 
Corrected Consolidated Balance SheetsAs ofAs of
June 30, 2023March 31, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Loans receivable$3,007,553$(1,950)$3,005,603$2,837,204$(770)$2,836,434
Allowance for credit losses(110,762)(51)(110,813)(89,123)(89,123)
Total loans receivable, net2,896,791(2,001)2,894,7902,748,081(770)2,747,311
CCBX credit enhancement asset96,9282,00198,92976,39577077,165
Accrued interest receivable
21,581(783)20,79819,321(319)19,002
Total assets3,535,283(783)3,534,5003,451,033(319)3,450,714
CCBX payable27,714(783)26,93130,794(319)30,475
Total liabilities3,262,621(783)3,261,8383,192,270(319)3,191,951
Total liabilities and shareholders' equity3,535,283(783)3,534,5003,451,033(319)3,450,714
Retained earnings146,029 — 146,029 133,123 — 133,123 
Corrected Consolidated Statements of IncomeThree Months EndedNine Months Ended
September 30, 2024September 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$99,590$86$99,676$275,155$1,291$276,446
Total interest income105,07986105,165293,0381,291294,329
Net interest income72,1878672,273199,3601,291200,651
Net interest income/(expense) after
   provision for credit losses
1,930862,016(16,380)1,291(15,089)
Reimbursement of expenses1,843(1,278)5654,514(2,837)1,677
BaaS program income6,436(1,278)5,15817,357(2,837)14,520
Total noninterest income80,068(1,278)78,790236,941(2,837)234,104
Point of sale expense1,351(1,278)733,072(2,837)235
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
30,920(1,278)29,64289,127(2,837)86,290
BaaS loan expense
32,6128632,69886,5251,29187,816
BaaS loan and fraud expense34,6968634,78291,3161,29192,607
Total noninterest expense65,616(1,192)64,424180,443(1,546)178,897
Net income13,45613,45631,852 — 31,852 
Corrected Consolidated Statements of IncomeThree Months EndedSix Months Ended
June 30, 2024June 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$90,944$(65)$90,879$175,565$1,205$176,770
Total interest income97,487(65)97,422187,9591,205189,164
Net interest income66,237(65)66,172127,1731,205128,378
Net interest income/(expense) after
   provision for credit losses
3,912(65)3,847(18,310)1,205(17,105)
Reimbursement of expenses1,637(780)8572,670(1,559)1,111
BaaS program income6,096(780)5,31610,921(1,559)9,362
Total noninterest income69,918(780)69,138156,873(1,559)155,314
Point of sale expense852(780)721,721(1,559)162
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
27,949(780)27,16958,207(1,559)56,648
BaaS loan expense
29,076(65)29,01153,9131,20555,118
BaaS loan and fraud expense30,860(65)30,79556,6201,20557,825
Total noninterest expense58,809(845)57,964114,827(354)114,473
Net income11,59611,59618,396 — 18,396 
Corrected Consolidated Statements of IncomeThree Months Ended
March 31, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs Restated
Interest and fees on loans$84,621$1,270$85,891
Total interest income90,4721,27091,742
Net interest income60,9361,27062,206
Net interest income/(expense) after provision for credit losses(22,222)1,270(20,952)
Reimbursement of expenses1,033(779)254
BaaS program income4,825(779)4,046
Total noninterest income86,955(779)86,176
Point of sale expense869(779)90
Noninterest expense, excluding BaaS loan and BaaS fraud expense30,258(779)29,479
BaaS loan expense
24,8371,27026,107
BaaS loan and fraud expense25,7601,27027,030
Total noninterest expense56,01849156,509
Net income6,8006,800
Corrected Consolidated Statements of IncomeThree Months EndedNine Months Ended
September 30, 2023September 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$83,652$(1,704)$81,948$230,282$(3,968)$226,314
Total interest income88,331(1,704)86,627242,128(3,968)238,160
Net interest income62,229(1,704)60,525179,070(3,968)175,102
Net interest income/(expense) after
   provision for credit losses
34,976(1,704)33,27255,867(3,968)51,899
Reimbursement of expenses1,152(888)2643,099(2,244)855
BaaS program income4,401(888)3,51311,924(2,244)9,680
Total noninterest income34,579(888)33,691142,481(2,244)140,237
Point of sale expense1,068(888)1802,635(2,244)391
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
30,648(888)29,76084,098(2,244)81,854
BaaS loan expense
23,003(1,704)21,29962,590(3,968)58,622
BaaS loan and fraud expense25,853(1,704)24,14968,976(3,968)65,008
Total noninterest expense56,501(2,592)53,909153,074(6,212)146,862
Net income10,27010,27035,567 — 35,567 
Corrected Consolidated Statements of IncomeThree Months EndedSix Months Ended
June 30, 2023June 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$80,199$(1,375)$78,824$146,630$(2,264)$144,366
Total interest income83,686(1,375)82,311153,797(2,264)151,533
Net interest income62,350(1,375)60,975116,841(2,264)114,577
Net interest income/(expense) after
   provision for credit losses
10,097(1,375)8,72220,891(2,264)18,627
Reimbursement of expenses1,026(703)3231,947(1,356)591
BaaS program income3,948(703)3,2457,523(1,356)6,167
Total noninterest income58,595(703)57,892107,902(1,356)106,546
Point of sale expense814(703)1111,567(1,356)211
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
28,340(703)27,63753,450(1,356)52,094
BaaS loan expense22,033(1,375)20,65839,587(2,264)37,323
BaaS loan and fraud expense23,570(1,375)22,19543,123(2,264)40,859
Total noninterest expense51,910(2,078)49,83296,573(3,620)92,953
Net income12,90612,90625,297 — 25,297 
Corrected Consolidated Statements of IncomeThree Months Ended
March 31, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs Restated
Interest and fees on loans$66,431$(889)$65,542
Total interest income70,111(889)69,222
Net interest income54,491(889)53,602
Net interest income/(expense) after provision for credit losses10,794(889)9,905
Reimbursement of expenses921(653)268
BaaS program income3,575(653)2,922
Total noninterest income49,307(653)48,654
Point of sale expense753(653)100
Noninterest expense, excluding BaaS loan and BaaS fraud expense25,110(653)24,457
BaaS loan expense
17,554(889)16,665
BaaS loan and fraud expense19,553(889)18,664
Total noninterest expense44,663(1,542)43,121
Net income12,39112,391
Corrected Consolidated Statement of Cash FlowsNine Months EndedSix Months Ended
September 30, 2024June 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(59,330)$(6,349)$(65,679)$(35,564)$(5,611)$(41,175)
Net change in CCBX payable5,537(1,349)4,188885(1,997)(1,112)
Net change in other assets and liabilities4,2481,3495,5972,1941,9974,191
Net cash provided by operating activities197,813(6,349)191,464134,451(5,611)128,840
Increase in loans receivable, net
(1,218,640)6,349(1,212,291)(645,787)5,611(640,176)
Net cash used by investing activities(465,112)6,349(458,763)313,9765,611319,587
Corrected Consolidated Statement of Cash FlowsThree Months EndedNine Months Ended
March 31, 2024September 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(29,355)$(5,136)$(34,491)$(34,025)$(3,399)$(37,424)
Net change in CCBX payable(556)(2,196)(2,752)17,810(1,443)16,367
Net change in other assets and liabilities(312)2,1961,884(13,299)1,443(11,856)
Net cash provided by operating activities61,900(5,136)56,764146,236(3,399)142,837
Increase in loans receivable, net
(311,264)5,136(306,128)(823,221)3,399(819,822)
Net cash used by investing activities(132,801)5,136(127,665)(486,209)3,399(482,810)


Corrected Consolidated Statement of Cash FlowsSix Months EndedThree Months Ended
June 30, 2023March 31, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(39,086)$(2,001)$(41,087)$(18,553)$(770)$(19,323)
Net change in CCBX payable7,295(783)6,51210,375(319)10,056
Net change in other assets and liabilities5,5627836,3453,1773193,496
Net cash provided by operating activities81,115(2,001)79,11446,631(770)45,861
Increase in loans receivable, net
(585,510)2,001(583,509)(295,583)770(294,813)
Net cash used by investing activities(493,834)2,001(491,833)(273,123)770(272,353)
v3.25.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Pay vs Performance Disclosure      
NET INCOME $ 45,219 $ 44,579 $ 40,625
v3.25.1
Insider Trading Arrangements
3 Months Ended
Dec. 31, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.1
Insider Trading Policies and Procedures
12 Months Ended
Dec. 31, 2024
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.1
Cybersecurity Risk Management and Strategy Disclosure
12 Months Ended
Dec. 31, 2024
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
Coastal recognizes the critical importance of identifying, assessing and managing material risks from information security threats. One key way that Coastal mitigates information security threats is through the Company’s information security program (the “Information Security Program”). Cybersecurity is an integral subset of information security and the Information Security Program is designed to protect the Company from cybersecurity attacks, breaches, incidents and resulting consequences.
As part of the Information Security Program, the Company has implemented preventative controls to minimize data loss, exposure and misuse. These controls are designed to be implemented before a threat event to avoid the likelihood and potential impact of inadvertent or intentional misuse, improper disclosure, damage or loss. In addition, the Information Security Program includes internal and external penetration testing, regular vulnerability assessments, detailed vulnerability management, data loss prevention controls, file access, controls, data integrity monitoring and reporting, and threat intelligence. The Information Security Program is coordinated and primarily executed by our information security, technology, and operations personnel. The IT department is responsible for the oversight of all managed systems and implements and maintains appropriate controls to protect the confidentiality, integrity and availability of computerized data and information resources. Coastal applies a layered defense strategy for protecting information systems and customer information, including the implementation of zero-trust principles, which require authenticated, authorized, and validated users and devices to access applications and data. Security logs are correlated and monitored by an internal security team as well as an augmented third-party Security Operation Center. Network vulnerability scans are conducted daily.
Coastal engages third party auditors and consultants in connection with the Information Security Program, including conducting external penetration testing, independent audits and risk assessments. Coastal also utilizes third party service providers in the ordinary course of business to provide services to customers and partners. These third-party service providers may store or process confidential information and personally identifiable information related to our customers or on behalf of our partners to perform those services for which they were engaged. Coastal has implemented a vendor management program to help ensure third-party relationships are effectively managed. Under this program, we have established risk-focused controls and processes that are designed to monitor our vendors’ compliance with relevant laws, regulations, and industry standards, such as data privacy regulations and anti-corruption laws, as well as relevant contractual obligations.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] Coastal recognizes the critical importance of identifying, assessing and managing material risks from information security threats. One key way that Coastal mitigates information security threats is through the Company’s information security program (the “Information Security Program”). Cybersecurity is an integral subset of information security and the Information Security Program is designed to protect the Company from cybersecurity attacks, breaches, incidents and resulting consequences.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]
The Board exercises oversight over the Information Security Program and reviews and approves the Information Security Program at least annually. Cybersecurity risk management is also incorporated into Coastal’s overall enterprise risk management framework, which is updated on an annual basis and subject to oversight by the Management Risk Committee and the Board.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block]
The Board exercises oversight over the Information Security Program and reviews and approves the Information Security Program at least annually. Cybersecurity risk management is also incorporated into Coastal’s overall enterprise risk management framework, which is updated on an annual basis and subject to oversight by the Management Risk Committee and the Board.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block]
Executive Management is responsible for managing the Information Security Program’s operations for identifying and assessing external and internal risks to the security, confidentiality, and integrity of nonpublic information that could result in the unauthorized disclosure, misuse, alteration, destruction or other compromise of such information. Coastal’s Information Security Officer (“ISO”) is designated by the Board and is responsible for implementing and monitoring the Information Security Program. The ISO is a Senior Vice President and has served in such role since 2010. The ISO has over 38-years of combined financial institution experience, which includes compliance, BSA, operations, physical security and information security. The ISO provides an annual report to the Board on the overall status of the Information Security Program and information technology incidents as necessary. The SVP of Technology also has responsibility for cybersecurity matters and reports to the Management Risk Committee, which consists of members of senior management.
The Technology Subcommittee of the Management Risk Committee focuses on three pillars: Technology Strategy, InfoSec/Cyber, and Data.
Cybersecurity Risk Role of Management [Text Block]
Executive Management is responsible for managing the Information Security Program’s operations for identifying and assessing external and internal risks to the security, confidentiality, and integrity of nonpublic information that could result in the unauthorized disclosure, misuse, alteration, destruction or other compromise of such information. Coastal’s Information Security Officer (“ISO”) is designated by the Board and is responsible for implementing and monitoring the Information Security Program. The ISO is a Senior Vice President and has served in such role since 2010. The ISO has over 38-years of combined financial institution experience, which includes compliance, BSA, operations, physical security and information security. The ISO provides an annual report to the Board on the overall status of the Information Security Program and information technology incidents as necessary. The SVP of Technology also has responsibility for cybersecurity matters and reports to the Management Risk Committee, which consists of members of senior management.
The Technology Subcommittee of the Management Risk Committee focuses on three pillars: Technology Strategy, InfoSec/Cyber, and Data.
The Board exercises oversight over the Information Security Program and reviews and approves the Information Security Program at least annually. Cybersecurity risk management is also incorporated into Coastal’s overall enterprise risk management framework, which is updated on an annual basis and subject to oversight by the Management Risk Committee and the Board.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] Coastal’s Information Security Officer (“ISO”) is designated by the Board and is responsible for implementing and monitoring the Information Security Program. The ISO is a Senior Vice President and has served in such role since 2010.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] The ISO has over 38-years of combined financial institution experience, which includes compliance, BSA, operations, physical security and information security. The ISO provides an annual report to the Board on the overall status of the Information Security Program and information technology incidents as necessary. The SVP of Technology also has responsibility for cybersecurity matters and reports to the Management Risk Committee, which consists of members of senior management.
The Technology Subcommittee of the Management Risk Committee focuses on three pillars: Technology Strategy, InfoSec/Cyber, and Data.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block] Coastal’s Information Security Officer (“ISO”) is designated by the Board and is responsible for implementing and monitoring the Information Security Program. The ISO is a Senior Vice President and has served in such role since 2010. The ISO has over 38-years of combined financial institution experience, which includes compliance, BSA, operations, physical security and information security. The ISO provides an annual report to the Board on the overall status of the Information Security Program and information technology incidents as necessary. The SVP of Technology also has responsibility for cybersecurity matters and reports to the Management Risk Committee, which consists of members of senior management.
The Technology Subcommittee of the Management Risk Committee focuses on three pillars: Technology Strategy, InfoSec/Cyber, and Data.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.1
Description of Business and Summary of Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Nature of Operations
Nature of operations - Coastal Financial Corporation (“Corporation” or “Company”) is a registered bank holding company whose wholly owned subsidiaries are Coastal Community Bank (“Bank”) and Arlington Olympic LLC. The Company is a Washington state corporation that was organized in 2003. The Bank was incorporated and commenced operations in 1997 and is a Washington state-chartered commercial bank and Federal Reserve System (“Federal Reserve”) state member bank. Arlington Olympic LLC was formed in 2019 and owns the Arlington branch site, which the Bank leases from the LLC.
The Company operates through the Bank and is headquartered in Everett, Washington, which by population is the largest city in, and the county seat of, Snohomish County. The Company’s business is conducted through three reportable segments: The community bank, CCBX and treasury & administration. The community bank offers a full range of banking services to small and medium-sized businesses, professionals, and individuals throughout the greater Puget Sound region through its 14 branches in Snohomish, Island and King Counties, the Internet, and its mobile banking application. The CCBX segment provides Banking as a Service (“BaaS”) that allows our broker dealers and digital financial service partners to offer their customers banking services. Through CCBX’s partners the Company is able to offer banking services and products across the nation. The treasury & administration segment includes treasury management, overall administration and all other aspects of the Company.
The Bank’s deposits are insured in whole or in part by the Federal Deposit Insurance Corporation (“FDIC”). The community bank’s loans and deposits are primarily within the greater Puget Sound region, while CCBX loans and deposits are dependent upon the partner’s market. The Bank’s primary funding source is deposits from customers. The Bank is subject to regulation and supervision by the Board of Governors of the Federal Reserve System and the Washington State Department of Financial Institutions Division of Banks. The Federal Reserve also has regulatory and supervisory authority over the Company.
Financial Statement Preparation
Financial statement presentation - The accompanying audited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for reporting requirements and practices within the banking industry. Amounts presented in the consolidated financial statements and footnote tables are rounded and presented in thousands of dollars except per-share amounts, which are presented in dollars. In the narrative footnote discussion, amounts are rounded to thousands and presented in dollars.
In management’s opinion, all accounting adjustments necessary to accurately reflect the financial position and results of operations on the accompanying consolidated financial statements have been made. These adjustments include normal and recurring accruals considered necessary for a fair and accurate presentation.
Principles of Consolidation Principles of consolidation - The consolidated financial statements include the accounts of the Company, the Bank and the LLC. All significant intercompany accounts have been eliminated in consolidation.
Estimates Estimates - The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management believes that its critical accounting estimates include determining the allowance for credit losses, the fair value of the Company’s financial instruments, and the valuation of deferred tax assets, financial instruments, and other fair value measurements. Actual results could differ significantly from those estimates.
Subsequent Events Subsequent Events - The Company has evaluated events and transactions subsequent to December 31, 2024 for potential recognition or disclosure.
Cash Equivalents and Cash Flows
Cash equivalents and cash flows - For purposes of reporting cash flows, cash and cash equivalents include cash on hand and in banks and interest-bearing deposits. All have original maturities of three months or less. CDs with other financial institutions, federal funds sold and cash flows from loans and deposits are reported as net increases or decreases under cash flows from investing activities or from financing activities.
The Company maintains its cash in depository institution accounts, which, at times, may exceed federally insured limits. The Company monitors these institutions and has not experienced any losses in such accounts.
Investment Securities
Investment securities - Debt securities that management has the ability and intent to hold to maturity are classified as held-to-maturity and carried at amortized cost. The amortization of premiums and accretion of discounts are recognized in interest income using the interest method or methods approximating the interest method over the period to maturity.
Debt securities not classified as held-to-maturity are classified as available-for-sale. Such securities may be sold to facilitate the Company’s asset/liability management strategies and in response to changes in interest rates and similar forces. Securities available-for-sale are carried at fair value with unrealized gains and losses reported in other comprehensive income. Realized gains (losses) on securities available-for-sale are included in noninterest income and, when applicable, are reported as a reclassification adjustment in other comprehensive income. Gains and losses on sales of securities are recorded on the trade date and are determined on the specific-identification method.
For available-for-sale debt securities, if fair value is below amortized cost, the security is considered impaired. When the Company does not intend to sell the debt security, and it is more likely than not the Company will not have to sell the security before recovery of its cost basis, then the Company assesses the security for potential expected credit losses. Impairment related to a credit loss is measured using the discounted cash flow method. Credit loss recognition is limited to the fair value of the security. The impairment is recognized by establishing an ACL through provision for credit losses. Impairment related to noncredit factors is recognized in accumulated other comprehensive income, net of applicable taxes. The Company evaluates AFS security impairment on a quarterly basis.
For held-to-maturity debt securities, expected losses are evaluated and calculated on a collective basis for those securities which share risk characteristics. The Company aggregates similar securities and reports the security portfolio segments based on shared risk characteristics. The only segment included in the held-to-maturity portfolio are U.S. Agency Residential Mortgage Backed Securities which have an expected zero credit loss and were purchased for CRA purposes.
Other Investments
Other investments - Other investments on the balance sheet consists of direct equity investments in stock of the Federal Home Loan Bank of Des Moines (“FHLB”), the Federal Reserve Bank of San Francisco (“FRB”), Pacific Coast Banker’s Bancshares, as well as investments in bank technology funds.
As a Federal Reserve member bank, the Bank is required to own stock in the FRB in an amount based on the Bank’s capital. The recorded amount of the FRB stock equals its fair value because the shares can only be redeemed by the FRB at their par value. The Bank’s investment in FRB stock was $4.9 million and $4.8 million at December 31, 2024 and 2023, respectively.
The Bank, as a member of the FHLB, is required to maintain an investment in capital stock of FHLB in an amount equal to 4.5% of advances outstanding, plus 0.06% of total assets from the prior fiscal year end. The recorded amount of FHLB stock equals its fair value because the shares can only be redeemed by FHLB at the $1 per share par value. The investment in FHLB stock was $2.2 million and $1.9 million at December 31, 2024 and 2023, respectively.
The investment in Pacific Coast Banker’s Bancshares (“PCBB”) stock consists of an equity security. This investment is carried at its cost of $100,000 at December 31, 2024 and 2023, which approximates its fair value.
The Company has the following equity investments which do not have a readily determinable fair value and are held at cost minus impairment if any, plus or minus observable price changes in orderly transactions for an identical or similar investment of the same issuer. This method will be applied until the investments do not qualify for the measurement election (e.g., if the investment has a readily determinable fair value). The Company will reassess at each reporting period whether the equity investments without a readily determinable fair value qualifies to be measured at cost minus impairment. These equity investments without a readily determined fair value include:
a $2.2 million equity interest in a specialized bank technology company as of December 31, 2024 and December 31, 2023;
a $350,000 equity interest in a technology company as of the years ended December 31, 2024 and December 31, 2023; and
a $47,000 and $50,000 equity interest in a technology company as of the years ended December 31, 2024, and December 31, 2023, respectively.
Loans and Allowance for Loan Losses
Loans and allowance for credit losses – Loans are stated at the principal amount outstanding less the allowance for credit losses and net of any deferred fees or costs on originated loans, and unamortized premiums or discounts on purchased loans. Loan fees and certain direct loan origination costs are deferred, and the net fee or cost is recognized as an adjustment to interest income using the level yield methodology and a method that approximates the level yield methodology. Interest income on loans is recognized based upon the principal amounts outstanding.
The accrual of interest on community bank loans is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due or when they are 90 days past due as to either principal or interest, unless they are well secured and in the process of collection. When interest accrual is discontinued, all unpaid accrued interest is reversed against current income. If management determines that the ultimate collectability of principal or interest is in doubt, cash receipts on nonaccrual loans are applied to reduce the principal balance on a cash-basis method, until the loans qualify for return to accrual status or principal is paid in full. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current, borrower has demonstrated ability to make regular payments, generally a period of at least six months, and future payments are reasonably assured.
For installment/closed-end, and revolving/open-end consumer loans originated through CCBX lending partners loans will typically accrue interest until 120 and 180 days past due, respectively, which is consistent with regulatory guidelines for consumer loans of this nature, and an allowance is recorded through provision expense for these expected losses. For installment/closed-end and revolving/open-end consumer loans originated through CCBX lending partners with balances outstanding beyond 120 days and 180 days, respectively, principal and capitalized interest outstanding is charged off against the allowance and accrued interest outstanding is reversed against interest income. Partners may elect to stop accruing interest on loans prior to the days past due referenced above, and some CCBX partners have instituted a collection practice that places certain loans on nonaccrual status to improve collectibility, but interest will not continue accruing beyond those days.
The allowance for credit losses is comprised of amounts charged against income in the form of the provision for credit losses, less charged-off loans, net of recoveries. When available information confirms that specific loans or portions thereof are uncollectible, identified amounts are charged against the allowance for credit losses.  The existence of some or all of the following criteria will generally confirm that a loss has been incurred: (1) the loan is significantly delinquent and the borrower has not demonstrated the ability or intent to bring the loan current; (2) the Company has no recourse to the borrower or if it does, the borrower has insufficient assets to pay the debt; (3) the estimated fair value of the loan collateral is significantly below the current loan balance; (4) there is little or no near-term prospect for improvement; and (5) loan modification with principal reduction. Subsequent recoveries, if any, are credited to the allowance for credit losses.
The allowance for credit losses ("ACL") is an estimate of the expected credit losses on financial assets measured at amortized cost. The ACL is evaluated and calculated on a collective basis for those loans which share similar risk characteristics. At each reporting period, the Company evaluates whether the loans in a pool continue to exhibit similar risk characteristics as the other loans in the pool and whether it needs to evaluate the allowance on an individual basis. The Company must estimate expected credit losses over the loans’ contractual terms, adjusted for expected prepayments. In estimating the life of the loan, the Company cannot extend the contractual term of the loan for expected extensions, renewals, and modifications, unless the extension or renewal options are included in the contract at the reporting date and are not unconditionally cancellable by the Company. Because expected credit losses are estimated over the contractual life adjusted for estimated prepayments, determination of the life of the loan may significantly affect the ACL. The Company has chosen to segment its portfolio consistent with the manner in which it manages the risk of the type of credit.
Community Bank Portfolio: The ACL calculation is derived from loan segments utilizing loan level information and relevant available information from internal and external sources related to past events and current conditions. In addition, the Company incorporates a reasonable and supportable forecast.
CCBX Portfolio: The Bank calculates the ACL on loans on an aggregate basis based on each partner and product level, segmenting the risk inherent in the CCBX portfolio based on qualitative and quantitative trends in the portfolio.
Also included in the ACL are qualitative reserves to cover losses that are expected, but in the Company’s assessment may not be adequately represented in the quantitative method. For example, factors that the Company considers include environmental business conditions, borrower’s financial condition, credit rating and the volume and severity of past due loans and nonaccrual loans. Based on this analysis, the Company records a provision for credit losses to maintain the allowance at appropriate levels.
Determining the amount of the allowance is considered a critical accounting estimate, as it requires significant judgment and the use of subjective measurements, including management’s assessment of overall portfolio quality. The Company maintains the allowance at an amount the Company believes is sufficient to provide for estimated losses expected to occur in the Company’s loan portfolio at each balance sheet date, and fluctuations in the provision for credit losses may result from management’s assessment of the adequacy of the allowance. Changes in these estimates and assumptions are possible and may have a material impact on the Company’s allowance, and therefore the Company’s financial position, liquidity or results of operations. The Company has elected to exclude accrued interest receivable from the amortized cost basis in its ACL calculation as accrued interest is written off in a timely manner when deemed uncollectible.
For more information and discussion related to the allowance for credit losses on loans, see “Note 4 - Loans and Allowance for Credit Losses”.
In addition to the ACL on loans held for investment, CECL requires a balance sheet liability for expected losses on unfunded commitments, which is recognized if both the following conditions are met: (1) the Company has a present contractual obligation to extend credit; and (2) the obligation is not unconditionally cancellable by the Company. Loan commitments may have a funded and unfunded portion, of which the liability for unfunded commitments is derived based upon the commitments to extend credit to a borrower. The expected credit losses for funded portions are reported in the previously discussed ACL.
The unfunded commitments that are not unconditionally cancelable by the Company are allowed for using the same loss rate as the funded commitment applied against the estimated utilization of these commitments and the probability of funding.
Loans Held-for-Sale
Loans held-for-sale - During the year ended December 31, 2024, the Company transferred $1.55 billion in CCBX loans receivable to loans held for sale. These loans are sold to the originating partners in accordance with partner agreements and are primarily sold for credit and concentration management. Credit card loans are sold to the originating partner while retaining a portion of the interchange or transaction fee income on these sold credit card accounts. The Company sells these loans to provide an additional source of noninterest income without adding on-balance-sheet risk. As of December 31, 2024 there were $20.6 million loans held for sale and no loans were held for sale as of December 31, 2023.
Community bank loans held-for-sale consist of the guaranteed portion of SBA loans and USDA loans the Company intends to sell after origination and are reflected at the lower of aggregate cost or fair value. Loans are generally sold with servicing of the sold portion retained by the Company when the sale of the loan occurs, the premium received is combined with the estimated present value of future cash flows on the related servicing asset and recorded as a gain on sale of loans in noninterest income. There were no community bank loans held for sale at December 31, 2024 and 2023.
Loan Sales Recognition
Loan sales recognition - The Company recognizes a sale on loans if the transferred portion (or portions) and any portion that continues to be held by the transferor are participating interests. Participating interest is defined as a portion of a financial asset that (a) conveys proportionate ownership rights with equal priority to each participating interest holder, (b) involves no recourse (other than standard representations and warranties), and (c) does not entitle any participating interest holder to receive cash before any other participating interest holder. The transfer of the participating interest (or participating interests) must also meet the conditions for surrender of control.
To determine the gain or loss on sale of loans, the Company’s investment in the loan is allocated among the retained portion of the loan, the servicing retained, and the sold portion of the loan, based on the relative fair market value of each portion. The gain or loss on the sold portion of the loan is based on the difference between the sale proceeds and the allocated investment in the sold portion of the loan. A discount is recorded against the carrying value of the retained portion of the loan to offset the decrease in the fair value allocation of said retained portion.
The Company retains the servicing on the sold guaranteed portion of SBA and USDA loans. The Company receives a fee for servicing the loan. The Company also retains the servicing on the sold guaranteed portion of Main Street Lending Program (“MSLP”) loans. The net deferred fee on the sold portion of the loan is recognized when sold. The Company does not retain the servicing on sold CCBX loans.
Reserve for Unfunded Commitments
Reserve for unfunded commitments - The Company maintains a balance sheet liability for expected losses on unfunded commitments, which is recognized if both the following conditions are met: (1) the Company has a present contractual obligation to extend credit; and (2) the obligation is not unconditionally cancellable by the Company. Loan commitments may have a funded and unfunded portion, of which the liability for unfunded commitments is derived based upon the commitments to extend credit to a borrower. An estimate of expected credit losses is not established for unfunded portions of loan commitment that are unconditionally cancellable by the Company. The expected credit losses for funded portions are reported in the previously discussed ACL. The Company segments its unfunded commitment portfolio consistent with the ACL calculation, separating between unfunded lines and commitments to originate. The Company incorporates the probability of funding (i.e. estimate of utilization) for each segment and then utilizes the ACL loss rates for each segment on an aggregate basis to calculate the allowance for unfunded commitments. The reserve for unfunded commitments was $2.5 million and $582,000 as of December 31, 2024 and 2023, respectively. The reserve for community bank loans was $1.2 million and the reserve for CCBX loans was $1.3 million as of December 31, 2024.
Premises and Equipment
Premises and equipment - Premises and equipment are stated at cost less accumulated depreciation. Depreciation expense is computed using the straight-line method based upon the estimated useful lives of the assets. Asset lives range from three to thirty-nine years. Leasehold improvements are amortized over the expected term of the lease including options to extend which are reasonably certain to be exercised or the estimated useful life of the improvement, whichever is less.
The Company capitalizes internal and external costs related to internal-use software during the application development stage, including consulting costs and compensation expenses related to employees who devote time to the development of the projects. The Company records capitalized software development costs in premises and equipment in the Consolidated Balance Sheets. Costs incurred in preliminary stages of development activities and post implementation activities are expensed in the period incurred. The Company may also capitalize costs related to specific upgrades and enhancements when it is probable the expenditures will result in additional functionality. Once the software is substantially complete and ready for its intended use, capitalization ceases and the asset is amortized straight line over its estimated
useful life, which is typically three years. Amortization expense is included in data processing and software licenses in the Consolidated Statements of Income.
Maintenance and repairs are charged to operating expenses. Renewals and betterments are added to the asset accounts and depreciated over the periods benefited. Depreciable assets sold or retired are removed from the asset and related accumulated depreciation accounts and any gain or loss is reflected in the income statement. These assets are reviewed for impairment when events indicate their carrying value may not be recoverable. If management determines impairment exists, the asset is reduced with an offsetting charge to the income statement.
Transfers of Financial Assets
Transfers of financial assets - Transfers of an entire financial asset are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when: (1) a group of financial assets or a participating interest in an entire financial asset has been isolated from the Company, (2) 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 (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity.
Other Real Estate Owned and Repossessed Assets
Other real estate owned and repossessed assets - Other real estate owned and repossessed assets are foreclosed property held pending disposition and are initially recorded at fair value less estimated selling costs when acquired, establishing a new cost basis. At foreclosure, if the fair value of the asset acquired less estimated selling costs is less than the Company’s recorded investment in the related loan, a write-down is recognized through a charge to the allowance for credit losses. Costs of significant property improvements that increase the value of the property are capitalized, whereas costs relating to holding the property are expensed. Valuations are periodically performed by management, and a valuation allowance is established for subsequent declines, which are recorded as a charge to income, if necessary, to reduce the carrying value of the property to its fair value less estimated selling costs.
Leases
Leases - The Company accounts for its leases in accordance with ASC 842 - Leases. Most leases are recognized on the balance sheet by recording a right-of-use asset and lease liability for each lease. The right-of-use asset represents the right to use the asset under lease for the lease term, and the lease liability represents the contractual obligation to make lease payments. The right-of-use asset is tested for impairment whenever events or changes in circumstances indicate the carrying amount may not be recoverable.
As a lessee, the Company enters into operating leases for certain Bank branches. The right-of-use assets and lease liabilities are initially recognized based on the net present value of the remaining lease payments which include renewal options where the Company is reasonably certain they will be exercised. The net present value is determined using the incremental collateralized borrowing rate at commencement date. The right-of-use asset is measured at the amount of the lease liability adjusted for any prepaid rent, lease incentives and initial direct costs incurred. The right-of-use asset and lease liability are amortized over the individual lease terms. Lease expense for lease payments is recognized on a straight-line basis over the lease term. For additional information regarding leases, see Note 6.
Income taxes Income taxes - The Company and the Bank file a consolidated federal income tax return and state tax returns as applicable. Deferred income taxes result from temporary differences between the tax basis of assets and liabilities, and their reported amounts in the financial statements. Deferred taxes are temporary differences that will be recognized in future periods. As changes in tax law or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. Federal taxes are paid by the Bank to the Company based on the separate taxable income of the Bank. The Company and Bank maintain their records on the accrual basis of accounting for financial reporting and for income tax reporting purposes.
Stock-Based Compensation Stock-based compensation - Compensation expense is recognized for stock options and restricted stock, based on the fair value of these awards at the grant date. 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 grant date is used for restricted stock awards and restricted stock units and is determined on the basis of objective criteria including trade data. The fair value of market-based units is estimated on the grant date using a Monte Carlo simulation model. Compensation cost is recognized over the requisite service period, generally defined as the vesting period. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award.
Earnings Per Common Share
Earnings per common share - Earnings per common share (“EPS”) is computed under the two-class method. Pursuant to the two-class method, nonvested stock based payment awards that contain non-forfeitable rights to dividends or dividend equivalents are participating securities and are included in the computation of EPS. The two-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings. Application of the two-class method resulted in the equivalent earnings per share to the treasury method.
Basic earnings per common share is computed by dividing net earnings allocated to common shareholders by the weighted-average number of common shares outstanding during the applicable period, excluding outstanding participating securities. Diluted earnings per common share is computed using the weighted-average number of shares determined for the basic earnings per common share computation plus the dilutive effect of stock using the treasury stock method. Stock awards that are anti-dilutive are not included in the calculation of diluted EPS.
Comprehensive Income
Comprehensive income - Accounting principles generally require that recognized revenue, expenses, gains, and losses be included in net income. Certain changes in assets and liabilities, such as unrealized gains and losses on available-for-sale investments, are reported as a separate component of the shareholders’ equity section of the balance sheets. Accumulated other comprehensive income consists of only one component: unrealized gains or losses on investment securities available-for-sale.
Business Segments
Business Segments – For financial reporting purposes, the Company has three segments: The community bank, CCBX and treasury & administration. The community bank business is that of a traditional banking institution, gathering deposits and originating loans for portfolio in its market areas. The community bank offers a wide variety of deposit products to their customers. Lending activities include the origination of real estate, commercial and industrial, and consumer loans. Interest income on loans is the Company’s primary source of revenue, and is supplemented by interest income from investment securities, service charges, and other service provided activities. The CCBX segment provides banking as a service (“BaaS”) that allows our broker-dealer and digital financial service partners to offer their customers banking services. The CCBX segment has 24 partners as of December 31, 2024. The treasury & administration segment includes treasury management, overall administration and all other aspects of the Company. The performance of the Company is reviewed and monitored by the Company’s executive management on a daily basis and the Board of Directors reviews and monitors the performance of the Company at minimum, on a monthly basis. For additional information regarding the business segments, see Note 21.
Advertising Costs Advertising costs - Advertising costs are expensed as incurred or over the period of the campaign/promotion.
Reclassifications
Reclassifications - Certain amounts reported in prior years' consolidated financial statements may have been reclassified to conform to the current presentation with no effect on shareholders’ equity or net income.
v3.25.1
Description of Business and Summary of Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Summary of Carrying Value of Equity Securities Without Readily Determinable Fair Values
The following table shows the activity in equity investments without a readily determinable fair value for the dates shown:
For the Twelve Months Ended
December 31,
(dollars in thousands)202420232022
Carrying value, beginning of period$2,622 $2,572 $2,322 
Purchases— 50 350 
Observable price change(3)— (100)
Carrying value, end of period$2,619 $2,622 $2,572 
The following table presents the carrying value of equity securities without readily determinable fair values, as of December 31, 2024, 2023 and 2022, with adjustments recorded during the periods presented for those securities with observable price changes, if applicable. These equity securities are included in other investments on the balance sheet.
The Company had a $2.2 million equity interest in a specialized bank technology company as of December 31, 2024 and December 31, 2023 .
The Company had a $350,000 equity interest in a technology company as of the years ended December 31, 2024 and December 31, 2023.
The Company had a $47,000 and $50,000 equity interest in a technology company as of the years ended December 31, 2024, and December 31, 2023, respectively.
For the Year Ended
December 31,
(dollars in thousands) 202420232022
Carrying value, beginning of period$2,622 $2,572 $2,322 
Purchases— 50 350 
Observable price change(3)— (100)
Carrying value, end of period$2,619 $2,622 $2,572 
Equity Method Investments Held at Fair Value
The following table shows the activity in equity fund investments held at fair value for the dates shown:
For the Twelve Months Ended
December 31,
(dollars in thousands)202420232022
Carrying value, beginning of period$809 $456 $160 
Purchases/capital calls/capital returns, net72 75 349 
Net change recognized in earnings29 278 (53)
Carrying value, end of period$910 $809 $456 
v3.25.1
Investment Securities (Tables)
12 Months Ended
Dec. 31, 2024
Investments, Debt and Equity Securities [Abstract]  
Amortized Cost and Fair Values of Investment Securities
The following table summarizes the amortized cost, fair value, and allowance for credit losses and the corresponding amounts of gross unrealized gains and losses of available-for-sale securities recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses of held-to-maturity securities:
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
Allowance for Credit Losses
(dollars in thousands)
December 31, 2024
Available-for-sale
U.S. Agency collateralized
   mortgage obligations
$37 $— $(2)$35 $— 
Total available-for-sale
   securities
37 — (2)35 — 
Held-to-maturity
U.S. Agency residential
   mortgage-backed securities
47,286 149 (730)46,705 — 
Total investment securities$47,323 $149 $(732)$46,740 $— 
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
Allowance for Credit Losses
(dollars in thousands)
December 31, 2023
Available-for-sale
U.S. Treasury securities$99,996 $— $(535)$99,461 $— 
U.S. Agency collateralized
   mortgage obligations
45 — (2)43 — 
Total available-for-sale
   securities
100,041 — (537)99,504 — 
Held-to-maturity
U.S. Agency residential
   mortgage-backed securities
50,860 467 (286)51,041 — 
Total investment securities$150,901 $467 $(823)$150,545 $— 
Amortized Cost and Fair Value of Debt Securities by Contractual Maturity
Available-for-SaleHeld-to-Maturity
Amortized
Cost
Fair
Value
Amortized
Cost
Fair
Value
(dollars in thousands)
December 31, 2024
U.S. Agency residential mortgage-backed securities and collateralized mortgage obligations$37 $35 $47,286 $46,705 
$37 $35 $47,286 $46,705 
Summary of Investment Securities Continuous Unrealized Loss Position The following table shows the investments’ gross unrealized losses and fair values, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position for which an allowance for credit losses has not been recorded:
Less Than 12 Months12 Months or GreaterTotal
Fair
Value
Gross
Unrealized
Losses
Fair
Value
Gross
Unrealized
Losses
Fair
Value
Gross
Unrealized
Losses
(dollars in thousands)
December 31, 2024
Available-for-sale
U.S. Agency collateralized mortgage obligations$— $— $35 $$35 $
Total available-for-sale securities— — 35 35 
Held-to-maturity
U.S. Agency residential mortgage-backed securities27,781 219 10,292 511 38,073 730 
Total investment securities$27,781 $219 $10,327 $513 $38,108 $732 
v3.25.1
Loans and Allowance for Loan Losses (“ACL") (Tables)
12 Months Ended
Dec. 31, 2024
Receivables [Abstract]  
Composition of Loan Portfolio
The composition of the loan portfolio is as follows as of the periods indicated:
December 31,December 31,
20242023 (1)
(dollars in thousands)
Community Bank
Commercial and industrial loans$150,395 $149,502 
Real estate loans:
Construction, land and land development loans148,198 157,100 
Residential real estate loans202,064 225,391 
Commercial real estate loans1,374,801 1,303,533 
Consumer and other loans:
Other consumer and other loans13,542 1,628 
Gross Community Bank loans receivable1,889,000 1,837,154 
CCBX
Commercial and industrial loans:
Capital call lines$109,017 $87,494 
All other commercial & industrial loans
33,961 54,295 
Real estate loans:
Residential real estate loans267,707 238,035 
Consumer and other loans:
Credit cards528,554 505,837 
Other consumer and other loans664,780 306,027 
Gross CCBX loans receivable1,604,019 1,191,688 
Total gross loans receivable3,493,019 3,028,842 
Net deferred origination fees and premiums(6,454)(7,300)
Loans receivable$3,486,565 3,021,542 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Summary of an Age Analysis of Past Due Loans
The following table illustrates an age analysis of past due loans as of the dates indicated:
30-89
Days Past
Due
90 Days
or More
Past Due
Total
Past Due
CurrentTotal
Loans
90 Days or
More Past
Due and
Still
Accruing
(dollars in thousands)
December 31, 2024
Community Bank
Commercial and industrial
   loans
$97 $— $97 $150,298 $150,395 $— 
Real estate loans:
Construction, land and
   land development
— — — 148,198 148,198 — 
Residential real estate— — — 202,064 202,064 — 
Commercial real estate— — — 1,374,801 1,374,801 — 
Consumer and other loans— 13,535 13,542 — 
Total community bank$104 $— $104 $1,888,896 $1,889,000 $— 
CCBX
Commercial and industrial loans:
Capital call lines$— $— $— $109,017 $109,017 $— 
All other commercial &
   industrial loans
1,950 1,006 2,956 31,005 33,961 1,006 
Real estate loans:
Residential real
   estate loans
3,335 2,608 5,943 $261,764 $267,707 2,608 
Consumer and other loans:
Credit cards27,652 36,505 64,157 $464,397 $528,554 34,490 
Other consumer and
   other loans
19,840 5,224 25,064 639,716 664,780 4,989 
Total CCBX $52,777 $45,343 $98,120 $1,505,899 $1,604,019 $43,093 
Total Consolidated$52,881 $45,343 $98,224 $3,394,795 3,493,019 $43,093 
Less net deferred
   origination fees and
   premiums
(6,454)
Loans receivable$3,486,565 
30-89
Days Past
Due
90 Days
or More
Past Due
Total
Past Due
CurrentTotal
Loans
90 Days or
More Past
Due and
Still
Accruing
(dollars in thousands)
December 31, 2023 (1)
Community Bank
Commercial and industrial
   loans
$— $— $— $149,502 $149,502 $— 
Real estate loans:
Construction, land and
   land development
— — — 157,100 157,100 — 
Residential real estate44 — 44 225,347 225,391 — 
Commercial real estate— 7,145 7,145 1,296,388 1,303,533 — 
Consumer and other loans— 1,626 1,628 — 
Total community bank$46 $7,145 $7,191 $1,829,963 $1,837,154 $— 
CCBX
Commercial and industrial loans:
Capital call lines$— $— $— $87,494 $87,494 $— 
All other commercial &
   industrial loans
3,432 2,086 5,518 48,777 54,295 2,086 
Real estate loans:
Residential real
   estate loans
3,198 1,115 4,313 $233,722 $238,035 $1,115 
Consumer and other loans:
Credit cards28,383 34,835 63,218 $442,619 $505,837 $34,835 
Other consumer and
   other loans
29,603 8,486 38,089 $267,938 $306,027 $8,486 
Total CCBX64,616 46,522 111,138 1,080,550 1,191,688 46,522 
Total Consolidated64,662 53,667 118,329 2,910,513 3,028,842 46,522 
Less net deferred
   origination fees and
   premiums
(7,300)
Loans receivable$3,021,542 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Analysis of Nonaccrual Loans by Category
An analysis of nonaccrual loans by category consisted of the following at the periods indicated:
December 31,December 31,
20242023
Total NonaccrualNonaccrual with No ACLNonaccrual with
ACL
Total NonaccrualNonaccrual with No ACL
(dollars in thousands)
Community Bank
Commercial and industrial loans$100 $100 $— $— $— 
Real estate loans:
Residential real estate— — — 170 170 
Commercial real estate— — — 7,145 7,145 
Total Community Bank nonaccrual loans$100 $100 $— $7,315 $7,315 
CCBX
Commercial and industrial loans$234 $— $234 $— $— 
Consumer and other loans:
Credit cards10,262 — 10,262 — — 
Consumer and other consumer loans8,967 — 8,967 — — 
Total CCBX nonaccrual loans$19,463 $— $19,463 $— $— 
Total Consolidated nonaccrual loans$19,563 $100 $19,463 $7,315 $7,315 
Financing Receivable, Modified
The following table presents the community bank loan that was both experiencing financial difficulty and was modified during the year by class and by type of modification for the periods indicated with the percentage of community bank loans that were modified to borrowers in financial distress as compared to the total of each class of community bank loans. Also presented is the financial effect of the loan modification to the borrower experiencing financial difficulty for the year ended as indicated.
Financial Effect of the Loan Modifications
December 31, 2024Principal Forgiveness & Interest Rate ReductionTotalTotal Class of Financing ReceivablePrincipal ForgivenessWeighted Average Interest Rate Reduction
(dollars in thousands)
Community Bank
Commercial and industrial loans$101 $101 0.07 %$82 9.75 %
Total $101 $101 0.01 %$82 9.75 %
The following table presents the CCBX loans that were both experiencing financial difficulty and were modified during the years ended December 31, 2024 and 2023 by class and by type of modification for the periods indicated. The percentage of the CCBX loans that were modified to borrowers in financial distress as compared to the total of each class of CCBX loans is also presented below.
December 31, 2024Principal ForgivenessTerm ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayPrincipal Forgiveness, Payment Delay & Term ExtensionTotalTotal Class of Financing Receivable
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$— $1,790 $— $235 $— $2,025 5.96 %
Consumer and other loans:
Credit cards11,067 — 17,287 — — 28,354 5.36 
Other consumer and other loans— 6,873 — 8,645 34 15,552 2.34 
Total $11,067 $8,663 $17,287 $8,880 $34 $45,931 1.32 %
December 31, 2023Principal ForgivenessTerm ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayPrincipal Forgiveness, Payment Delay & Term ExtensionTotalTotal Class of Financing Receivable
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$— $1,247 $— $27 $18 $1,292 2.38 %
Consumer and other loans:
Credit cards— 4,201 — — 4,202 0.83 
Other consumer and other loans— 13,571 — 3,838 2,846 20,255 6.62 
Total $$14,818 $4,201 $3,865 $2,864 $25,749 0.85 %
The following table presents the performance of such loans that have been modified in the last 12 months as of the periods indicated:
December 31, 202430-89
Days Past
Due
90 Days
or More
Past Due
Total Past Due
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$281 $139 $420 
Consumer and other loans:
Credit cards9,436 11,181 20,617 
Other consumer and other loans1,055 388 1,443 
Total CCBX$10,772 $11,708 $22,480 
December 31, 202330-89
Days Past
Due
90 Days
or More
Past Due
Total Past Due
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$268 $219 $487 
Consumer and other loans:
Credit cards1,747 1,436 3,183 
Other consumer and other loans3,436 716 4,152 
Total CCBX$5,451 $2,371 $7,822 
The following table presents the financial effect of the loan modifications presented above to borrowers experiencing financial difficulty for the years ended as indicated below:
December 31, 2024Principal ForgivenessWeighted Average Interest Rate ReductionWeighted Average Term Extension (years)
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$138 — %1.4
Consumer and other loans:
Credit cards7,938 14.6 n/a
Other consumer and other loans6,001 — 1.7
Total CCBX$14,077 14.6 %1.6
December 31, 2023Principal ForgivenessWeighted Average Interest Rate ReductionWeighted Average Term Extension (years)
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$— — %0.9
Real estate loans:
Residential real estate loans42 — n/a
Consumer and other loans:
Credit cards— 20.5 n/a
Other consumer and other loans— — 0.8
Total CCBX$42 20.5 %0.8
The following table presents the total of loans that had a payment default during the periods indicated and were modified in the twelve months prior to that default to borrowers experiencing financial difficulty.
December 31, 2024Principal ForgivenessTerm ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayTotal
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
— $1,070 $— $77 $1,147 
Consumer and other loans:
Credit cards10,417 — 12,050 — 22,467 
Other consumer and other loans— 4,184 — 1,715 5,899 
Total$10,417 $5,254 $12,050 $1,792 $29,513 
December 31, 2023Term ExtensionInterest Rate ReductionPrincipal Forgiveness & Payment DelayPrincipal Forgiveness, Payment Delay & Term ExtensionTotal
(dollars in thousands)
CCBX
Commercial and industrial loans:
All other commercial & industrial loans
$487 $— $$— $492 
Consumer and other loans:
Credit cards— 3,924 — — 3,924 
Other consumer and other loans3,155 — 1,143 619 4,917 
Total$3,642 $3,924 $1,148 $619 $9,333 
Summary of Loans by Credit Quality Risk Rating
The following tables show the risk category of community bank loans by year of origination for the periods indicated, based on the most recent analysis performed as of each period end:
Term Loans Amortized Cost Basis by Origination Year
Community Bank20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Commercial and industrial loans
Risk rating
Pass$12,016 $11,654 $43,490 $13,139 $8,109 $7,634 $31,022 $21,496 $148,560 
Other Loan Especially Mentioned— 18 — 38 — — 1,679 — $1,735 
Substandard— — — — — — 100 — $100 
Doubtful— — — — — — — — — 
Total commercial and industrial loans - All
   other commercial and industrial loans
$12,016 $11,672 $43,490 $13,177 $8,109 $7,634 $32,801 $21,496 $150,395 
Current period gross charge-offs$— $92 $— $— $— $167 $— $— $259 
Real estate loans - Construction, land and land
development loans
Risk rating
Pass$34,089 $70,297 $34,937 $4,501 $755 $2,180 $600 $— $147,359 
Other Loan Especially Mentioned— 160 — 679 — — — — $839 
Substandard— — — — — — — — $— 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Doubtful— — — — — — — — $— 
Total real estate loans - Construction, land
   and land development loans
$34,089 $70,457 $34,937 $5,180 $755 $2,180 $600 $— $148,198 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Real estate loans - Residential real estate loans
Risk rating
Pass$13,194 $30,332 $37,576 $37,834 $25,838 $27,159 $26,565 $15 $198,513 
Other Loan Especially Mentioned— — 1,084 — — 180 — $1,270 
Substandard2,281 — — — — — — — $2,281 
Doubtful— — — — — — — — $— 
Total real estate loans - Residential real
   estate loans
$15,475 $30,332 $38,660 $37,834 $25,844 $27,159 $26,745 $15 $202,064 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Real estate loans - Commercial real estate loans
Risk rating
Pass$96,199 $302,470 $279,902 $219,503 $129,904 $310,251 $8,982 $1,657 $1,348,868 
Other Loan Especially Mentioned15,359 — 3,184 5,248 156 1,986 — — $25,933 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total real estate loans - Commercial real
   estate loans
$111,558 $302,470 $283,086 $224,751 $130,060 $312,237 $8,982 $1,657 $1,374,801 
Current period gross charge-offs$— $— $— $— $41 $223 $— $— $264 
Consumer and other loans - Other consumer and
other loans
Risk rating
Pass$1,447 $53 $8,269 $$249 $3,337 $185 $— $13,542 
Other Loan Especially Mentioned— — — — — — — — $— 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total consumer and other loans - Other
   consumer and other loans
$1,447 $53 $8,269 $$249 $3,337 $185 $— $13,542 
Current period gross charge-offs$31 $— $— $— $— $— $— $— $31 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Total community bank loans receivable
Risk rating
Pass$156,945 $414,806 $404,174 $274,979 $164,855 $350,561 $67,354 $23,168 $1,856,842 
Other Loan Especially Mentioned15,359 178 4,268 5,965 162 1,986 1,859 — $29,777 
Substandard2,281 — — — — — 100 — $2,381 
Doubtful— — — — — — — — — 
Total community bank loans$174,585 $414,984 $408,442 $280,944 $165,017 $352,547 $69,313 $23,168 $1,889,000 
Current period gross charge-offs$31 $92 $— $— $41 $390 $— $— $554 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2023
Commercial and industrial loans
Risk rating
Pass$15,882 $56,428 $15,566 $10,044 $12,429 $1,442 $33,412 $1,020 $146,223 
Other Loan Especially Mentioned— — — 111 — — 3,168 — $3,279 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total commercial and industrial loans - All
   other commercial and industrial loans
$15,882 $56,428 $15,566 $10,155 $12,429 $1,442 $36,580 $1,020 $149,502 
Current period gross charge-offs$— $— $— $— $— $46 $— $— $46 
Real estate loans - Construction, land and land
development loans
Risk rating
Pass$75,129 $49,275 $20,811 $2,859 $914 $1,598 $— $— $150,586 
Other Loan Especially Mentioned— — 3,589 2,325 — — — — $5,914 
Substandard— — — — — — 600 — $600 
Doubtful— — — — — — — — $— 
Total real estate loans - Construction, land
   and land development loans
$75,129 $49,275 $24,400 $5,184 $914 $1,598 $600 $— $157,100 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Real estate loans - Residential real estate loans
Risk rating
Pass$32,352 $41,362 $39,137 $30,259 $31,982 $22,429 $24,396 $18 $221,935 
Other Loan Especially Mentioned— 1,098 2,020 28 — 40 100 — $3,286 
Substandard— — — — — — — 170 $170 
Doubtful— — — — — — — — $— 
Total real estate loans - Residential real
   estate loans
$32,352 $42,460 $41,157 $30,287 $31,982 $22,469 $24,496 $188 $225,391 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Term Loans Amortized Cost Basis by Origination Year
Community Bank20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2023
Real estate loans - Commercial real estate loans
Risk rating
Pass$244,169 $303,329 $222,287 $144,602 $126,437 $233,482 $7,509 $1,719 $1,283,534 
Other Loan Especially Mentioned— 3,257 5,891 171 506 2,099 100 — $12,024 
Substandard— — — 924 6,900 — 151 — $7,975 
Doubtful— — — — — — — — — 
Total real estate loans - Commercial real
   estate loans
$244,169 $306,586 $228,178 $145,697 $133,843 $235,581 $7,760 $1,719 $1,303,533 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Consumer and other loans - Other consumer and
other loans
Risk rating
Pass$323 $272 $$679 $38 $164 $147 $— $1,628 
Other Loan Especially Mentioned— — — — — — — — $— 
Substandard— — — — — — — — $— 
Doubtful— — — — — — — — — 
Total consumer and other loans - Other
   consumer and other loans
$323 $272 $$679 $38 $164 $147 $— $1,628 
Current period gross charge-offs$18 $— $— $— $— $— $— $— $18 
Total community bank loans receivable
Risk rating
Pass$367,855 $450,666 $297,806 $188,443 $171,800 $259,115 $65,464 $2,757 $1,803,906 
Other Loan Especially Mentioned— 4,355 11,500 2,635 506 2,139 3,368 — $24,503 
Substandard— — — 924 6,900 — 751 170 $8,745 
Doubtful— — — — — — — — — 
Total community bank loans$367,855 $455,021 $309,306 $192,002 $179,206 $261,254 $69,583 $2,927 $1,837,154 
Current period gross charge-offs$18 $— $— $— $— $46 $— $— $64 
The following table presents the loans in CCBX based on payment activity:
Term Loans Amortized Cost Basis by Origination Year
CCBX20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Commercial and industrial loans - Capital call lines
Payment performance
Performing$— $— $— $— $— $— $109,017 $— $109,017 
Nonperforming— — — — — — — — — 
Total commercial and industrial loans - Capital
   call lines
$— $— $— $— $— $— $109,017 $— $109,017 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Commercial and industrial loans - All other
commercial and industrial loans
Payment performance
Performing$1,049 $22,974 $3,952 $$12 $— $4,729 $— $32,721 
Nonperforming— 856 141 — — — 243 — 1,240 
Total commercial and industrial loans - All
   other commercial and industrial loans
$1,049 $23,830 $4,093 $$12 $— $4,972 $— $33,961 
Current period gross charge-offs$503 $11,845 $1,956 $$$— $986 $— $15,297 
Real estate loans - Residential real estate loans
Payment performance
Performing$— $— $— $— $— $— $255,779 $9,320 $265,099 
Nonperforming— — — — — — 2,608 — 2,608 
Total real estate loans - Residential real estate
   loans
$— $— $— $— $— $— $258,387 $9,320 $267,707 
Current period gross charge-offs$— $— $— $— $— $— $5,006 $— $5,006 
Consumer and other loans - Credit cards
Payment performance
Performing$— $— $— $— $— $— $483,755 $47 $483,802 
Nonperforming— — — — — — 44,752 — 44,752 
Total consumer and other loans - Credit cards$— $— $— $— $— $— $528,507 $47 $528,554 
Current period gross charge-offs$— $— $— $— $— $— $130,825 $— $130,825 
Term Loans Amortized Cost Basis by Origination Year
CCBX20242023202220212020PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To TermTotal
(dollars in thousands)
As of December 31, 2024
Consumer and other loans - Other consumer and
other loans
Payment performance
Performing$430,398 $153,522 $44,967 $1,902 $47 $192 $19,796 $— $650,824 
Nonperforming1,727 7,324 4,042 732 — 15 116 — 13,956 
Total consumer and other loans - Other
   consumer and other loans
$432,125 $160,846 $49,009 $2,634 $47 $207 $19,912 $— $664,780 
Current period gross charge-offs$13,759 $34,352 $14,702 $3,580 $24 $282 $10,710 $— $77,409 
Total CCBX loans receivable
Payment performance
Performing$431,447 $176,496 $48,919 $1,907 $59 $192 $873,076 $9,367 $1,541,463 
Nonperforming1,727 8,180 4,183 732 — 15 47,719 — 62,556 
Total CCBX loans$433,174 $184,676 $53,102 $2,639 $59 $207 $920,795 $9,367 $1,604,019 
Current period gross charge-offs$14,262 $46,197 $16,658 $3,582 $29 $282 $147,527 $— $228,537 
Term Loans Amortized Cost Basis by Origination Year
CCBX20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To Term
Total (1)
(dollars in thousands)
As of December 31, 2023
Commercial and industrial loans - Capital call lines
Payment performance
Performing$— $— $— $— $— $— $87,494 $— $87,494 
Nonperforming— — — — — — — — — 
Total commercial and industrial loans - Capital
   call lines
$— $— $— $— $— $— $87,494 $— $87,494 
Current period gross charge-offs$— $— $— $— $— $— $— $— $— 
Commercial and industrial loans - All other
commercial and industrial loans
Payment performance
Performing$42,266 $6,833 $$11 $— $— $3,090 $— $52,209 
Nonperforming1,333 277 — — — — 476 — 2,086 
Total commercial and industrial loans - All other
    commercial and industrial loans
$43,599 $7,110 $$11 $— $— $3,566 $— $54,295 
Current period gross charge-offs$3,848 $2,502 $15 $16 $— $— $224 $— $6,605 
Real estate loans - Residential real estate loans
Payment performance
Performing$— $— $— $— $— $— $212,435 $24,485 $236,920 
Nonperforming— — — — — — 1,115 — 1,115 
Total real estate loans - Residential real estate
   loans
$— $— $— $— $— $— $213,550 $24,485 $238,035 
Current period gross charge-offs$— $— $— $— $— $— $4,641 $— $4,641 
Consumer and other loans - Credit cards
Payment performance
Performing$— $— $— $— $— $— $469,049 $1,953 $471,002 
Nonperforming— — — — — — 33,655 1,180 34,835 
Total consumer and other loans - Credit cards$— $— $— $— $— $— $502,704 $3,133 $505,837 
Current period gross charge-offs$— $— $— $— $— $— $61,358 $— $61,358 
Term Loans Amortized Cost Basis by Origination Year
CCBX20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted To Term
Total (1)
(dollars in thousands)
As of December 31, 2023
Consumer and other loans - Other consumer and other
loans
Payment performance
Performing$212,694 $49,711 $6,715 $95 $408 $309 $27,609 $— $297,541 
Nonperforming4,229 3,074 475 — 10 691 — 8,486 
Total consumer and other loans - Other
   consumer and other loans
$216,923 $52,785 $7,190 $95 $415 $319 $28,300 $— $306,027 
Current period gross charge-offs$17,815 $43,115 $11,574 $84 $346 $217 $6,178 $— $79,329 
Total CCBX loans receivable
Payment performance
Performing$254,960 $56,544 $6,724 $106 $408 $309 $799,677 $26,438 $1,145,166 
Nonperforming$5,562 $3,351 $475 $— $$10 $35,937 $1,180 $46,522 
Total CCBX loans$260,522 $59,895 $7,199 $106 $415 $319 $835,614 $27,618 $1,191,688 
Current period gross charge-offs$21,663 $45,617 $11,589 $100 $346 $217 $72,401 $— $151,933 
Summary of Allocation of Allowance for Loan Loss as well as Activity in Allowance for Loan Loss Attributed to Various Segments in Loan
The following tables summarize the allocation of the ACL, as well as the activity in the ACL attributed to various segments in the loan portfolio, as of and for the years ended December 31, 2024 and December 31, 2023.
Commercial
and
Industrial
Construction,
Land, and
Land
Development
Residential
Real
Estate
Commercial
Real Estate
Consumer
and Other
Unallocated Total
(dollars in thousands)
Twelve Months Ended December 31, 2024
ACL Balance, December 31, 2023$8,894 $6,386 $13,049 $7,441 $81,611 $— $117,381 
Provision for credit losses or (recapture)16,605 (2,947)4,199 1,279 256,527 — 275,663 
25,499 3,439 17,248 8,720 338,138 — 393,044 
Loans charged-off(15,556)— (5,006)(264)(208,265)— (229,091)
Recoveries of loans previously charged-off1,108 — — 11,925 — 13,041 
Net charge-offs(14,448)— (4,998)(264)(196,340)— (216,050)
ACL balance, December 31, 2024$11,051 $3,439 $12,250 $8,456 $141,798 $— $176,994 
Twelve Months Ended December 31, 2023 (1)
ALLL Balance, December 31, 2022$4,831 $7,425 $4,142 $5,470 $50,996 $1,165 $74,029 
Impact of adopting CECL (ASC 326)1,428 (1,589)1,623 1,240 2,315 (1,165)$3,852 
Provision for credit losses or (recapture)9,264 550 11,921 731 161,577 — 184,043 
15,523 6,386 17,686 7,441 214,888 — 261,924 
Loans charged-off(6,651)— (4,641)— (140,705)— (151,997)
Recoveries of loans previously charged-off22 — — 7,428 — 7,454 
Net charge-offs(6,629)— (4,637)— (133,277)— (144,543)
ACL Balance, December 31, 2023$8,894 $6,386 $13,049 $7,441 $81,611 $— $117,381 
(1) See Note 23, Restatement of Prior Period Financial Statements.
The following table presents the collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans:
Business AssetsTotalACL
(dollars in thousands)
December 31, 2024
Commercial and industrial loans$100 $100 $— 
Total$100 $100 $— 
Real EstateTotalACL
(dollars in thousands)
December 31, 2023
Real estate loans:
Residential real estate$170 $170 $— 
Commercial real estate7,145 7,145 — 
Total$7,315 $7,315 $— 
v3.25.1
Premises and Equipment (Tables)
12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
Schedule of Investment in Premises and Equipment
The investment in premises and equipment consisted of the following at December 31:
20242023
(dollars in thousands)
Land$3,599 $3,599 
Buildings11,798 11,780 
Leasehold Improvements5,038 5,038 
Furniture2,297 2,308 
Equipment5,723 5,587 
Software15,663 5,806 
Projects in process— 120 
44,118 34,238 
Less accumulated depreciation and amortization(16,687)(12,148)
Premises and equipment, net$27,431 $22,090 
v3.25.1
Leases (Tables)
12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Summary of Minimum Annual Lease Payments under Lease Terms
The following sets forth, as of December 31, 2024, the minimum annual lease payments under the terms of these leases, inclusive of renewal options that the Company is reasonably certain to renew:
OperatingFinance
(dollars in thousands)December 31,
2024
2025$977 $36 
2026977 27 
2027913 — 
2028692 — 
2029459 — 
2030 and thereafter2,304 — 
Total lease payments6,322 63 
Less: amounts representing interest984 
Present value of lease liabilities$5,338 $60 
Summary of Components of Total Lease Expense and Operating Cash Flows
The following table presents the components of total lease expense and operating cash flows for the year ended December 31, 2024:
For the Year Ended
(dollars in thousands) December 31,
2024
December 31,
2023
December 31,
2022
Lease expense:
Operating lease expense (1)
1,020 $1,074 1,281 
Variable lease expense362 236 193 
Finance lease cost
Right-of-use amortization (2)
$43 $— $— 
Interest expense (3)
— — 
Total lease expense$1,430 $1,310 $1,474 
Cash paid:
Cash paid from operating leases$1,396 $1,334 $1,473 
Cash paid from finance leases$47 $— $— 
(1)Included in net occupancy expense and in the Consolidated Statements of Income.
(2)Included in other expense in the Consolidated Statements of Income.
(3)Included in interest on borrowed funds Consolidated Statements of Income.
v3.25.1
Deposits (Tables)
12 Months Ended
Dec. 31, 2024
Deposits [Abstract]  
Composition of Consolidated Deposits
The composition of consolidated deposits consisted of the following at the periods indicated:
(dollars in thousands)December 31,
2024
December 31,
2023
(dollars in thousands)
Demand, noninterest bearing$527,524$625,202 
Interest bearing demand and money market2,529,0842,640,240 
Savings66,82676,562 
Other deposits444,351
Time deposits less than $250,00011,25213,917 
Time deposits $250,000 and over6,2954,441 
Total deposits$3,585,332$3,360,363 
Schedule of Maturity Distribution of Time Deposits
The following table presents the maturity distribution of time deposits as of December 31, 2024:
(dollars in thousands)
Twelve months$13,960 
One to two years2,319 
Two to three years293 
Three to four years696 
Four to five years279 
Thereafter— 
$17,547 
v3.25.1
Federal Home Loan Bank Advances and Other Borrowings (Tables)
12 Months Ended
Dec. 31, 2024
Advance from Federal Home Loan Bank [Abstract]  
Summary of FHLB Borrowings
The following table provides details on FHLB advance borrowings for the periods indicated:
Year Ended December 31,
(Dollars in thousands)20242023
Maximum amount outstanding at any month-end during period:
$— $— 
Average outstanding balance during period:$2,443 $
Weighted average interest rate during period:5.66 %5.60 %
Balance outstanding at end of period:$— $— 
Weighted average interest rate at end of period:— %— %
v3.25.1
Subordinated Debt (Tables)
12 Months Ended
Dec. 31, 2024
Subordinated Borrowings [Abstract]  
Schedule of Subordinated Debt
At December 31, 2024 and 2023, the Company’s subordinated debt was as follows:
Aggregate Principal
Amount December 31,
2024
Aggregate Principal
Amount December 31,
2023
(dollars in thousands)
Total liability, at par$45,000 $45,000 
Less: unamortized debt issuance costs(707)(856)
Total liability, at carrying value$44,293 $44,144 
v3.25.1
Junior Subordinated Debentures (Tables)
12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
Schedule of Junior Subordinated Debentures
At December 31, 2024 and 2023, the Company’s junior subordinated debentures were as follows:
Coastal (WA) Statutory Trust IAggregate Principal
Amount December 31,
2024
Aggregate Principal
Amount December 31,
2023
(dollars in thousands)
Total liability, at par$3,609 $3,609 
Less: unamortized debt issuance costs(18)(19)
Total liability, at carrying value$3,591 $3,590 
v3.25.1
Income Taxes (Table)
12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Components of Income Tax
The components of the income tax for the Company consisted of the following at December 31:
202420232022
(dollars in thousands)
Current tax expense (benefit)$11,960 $(1,325)$21,014 
Deferred tax expense (benefit)138 13,879 (11,018)
Total tax expense$12,098 $12,554 $9,996 
Summary of Reconciliation of Income Tax Expense (Benefit)
A reconciliation of the income tax expense (benefit) and the amount computed by applying the statutory federal income tax rate to the income before income taxes is as follows for the year ended December 31:
2024 20232022
(dollars in thousands)
Amount Rate Amount Rate AmountRate
Federal income tax at statutory rate$12,037 21.0 %$11,998 21.0 %$10,630 21.0 %
State income taxes1,284 2.2 1,275 2.2 523 1.0 
Excess executive compensation167 0.3 145 0.3 128 0.3 
Effect of tax-exempt interest income(71)(0.1)(77)(0.1)(84)(0.2)
Bank owned life insurance earnings(102)(0.2)(39)(0.1)(76)(0.2)
Stock-based compensation(993)(1.7)(728)(1.3)(987)(1.9)
Other(224)(0.4)(20)— (138)(0.3)
$12,098 21.1 %$12,554 22.0 %$9,996 19.7 %
Schedule of Net Deferred Tax Asset Temporary Differences and Carryforward Items
The net deferred tax asset consists of the following temporary differences and carryforward items at December 31:
20242023 (1)
(dollars in thousands)
Deferred tax assets:
Allowance for credit losses$40,734 $27,244 
Lease liability1,245 1,431 
Stock based compensation1,220 983 
Accrued expenses582 755 
Deferred compensation76 112 
Net unrealized loss on available-for-sale securities— 69 
Other1,630 544 
Total deferred tax assets45,487 31,138 
  
Deferred tax liabilities:  
Credit enhancement recovery(40,101)(25,030)
Right of use asset(1,203)(1,386)
Depreciation and amortization(365)(693)
Other(218)(223)
Total deferred tax liabilities(41,887)(27,332)
Net deferred tax asset$3,600 $3,806 
(1) see Note 23, Restatement of Prior Period Financial Statements
v3.25.1
Related Party Transactions (Tables)
12 Months Ended
Dec. 31, 2024
Related Party Transactions [Abstract]  
Summary of Loan Transactions
A summary of loan transactions follows:
20242023
(dollars in thousands)
Beginning Balance January 1$13,043 $13,427 
Additions— 
Payments(403)(384)
Ending Balance December 31 $12,641 $13,043 
v3.25.1
Commitments and Contingencies (Tables)
12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Financial Instruments Contract Amount Represents Credit Risk
The following table presents commitments associated with outstanding commitments to extend credit, standby and commercial letters of credit and equity investment commitments as of the periods indicated:
(dollars in thousands)20242023
Commitments to extend credit:
Commercial and industrial loans$94,589 $86,134 
Commercial and industrial loans - capital call lines550,948 608,837 
Construction – commercial real estate loans36,873 92,709 
Construction – residential real estate loans10,929 20,825 
Residential real estate loans499,516 465,887 
Commercial real estate loans34,222 54,289 
Credit cards$717,198 $1,014,959 
Consumer and other loans18,553 779 
Total commitments to extend credit$1,962,828 $2,344,419 
Standby letters of credit$1,042 $1,096 
Equity investment commitment$480 $653 
Commitments to extend credit on CCBX loans are included in the table above and are summarized below:
(dollars in thousands)20242023
Commitments to extend credit:
Commercial and industrial loans$19,104 $9,144 
Commercial and industrial loans - capital call lines550,948 608,837 
Residential real estate loans453,369 418,761 
Credit cards, consumer and other loans733,005 1,015,156 
Total commitments to extend credit$1,756,426 $2,051,898 
Schedule of CCBX Partners Maximum Aggregate Customer Loan Balances We also limit CCBX partners to a maximum aggregate customer loan balance originated and held on our balance sheet, as shown in the table below.
(dollars in thousands)Type of LendingMaximum Portfolio Size
Commercial and industrial loans:
Capital call linesBusiness - Venture Capital$350,000 
All other commercial & industrial loans
Business - Small Business480,069 
Real estate loans:
Home equity lines of creditHome Equity - Secured Credit Cards375,000 
Consumer and other loans:
Credit cardsCredit Cards - Primarily Consumer820,000 
Installment loansConsumer1,774,533 
Other consumer and other loansConsumer - Secured Credit Builder & Unsecured consumer5,398 
3,805,000 
v3.25.1
Stock-Based Compensation (Tables)
12 Months Ended
Dec. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Summary of Stock Option Activity
A summary of stock option activity under the Company’s Plan during the year ended December 31, 2024:
OptionsNumber of Shares Weighted-
Average
Exercise
Price
Weighted-
Average
Remaining
Contractual
Term (Years)
Aggregate
Intrinsic Value
(dollars in thousands, except per share amounts)
Outstanding at December 31, 2023354,969$9.11 3.3$12,531 
Granted$— 
Exercised(167,455)$8.33 
Expired(20)$14.91 
Forfeited(1,140)$9.67 
Outstanding at December 31, 2024186,354$9.80 2.8$13,996 
Vested or expected to vest at December 31, 2024186,354$9.80 2.8$13,996 
Exercisable at December 31, 202468,905$9.66 2.6$5,185 
Summary of Nonvested Restricted Stock Units/Shares
A summary of the Company’s nonvested restricted stock units at December 31, 2024 and changes during the year is presented below:
Nonvested shares - RSUsNumber of SharesWeighted-
Average
Grant Date
Fair
Value
(dollars in thousands, except per share amounts)
Nonvested shares at December 31, 2023409,271$31.22 
Granted238,901$44.06 
Forfeited or expired(17,982)$36.98 
Vested(66,806)$33.61 
Nonvested shares at December 31, 2024563,384$36.20 
A summary of the Company’s nonvested shares at December 31, 2024 and changes during the year is presented below:
Nonvested shares - RSAsNumber of SharesWeighted-
Average
Grant Date
Fair
Value
(dollars in thousands, except per share amounts)
Nonvested shares at December 31, 202316,038$32.41 
Granted16,698$43.66 
Forfeited$— 
Vested(14,038)$34.49 
Nonvested shares at December 31, 202418,698$40.90 
v3.25.1
Regulatory Matters (Tables)
12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Summary of Company and Banks's Actual and Required Capital Amounts and Ratios
The Company and Bank’s actual and required capital amounts and ratios are as follows:
Actual
Minimum Required
for Capital
Adequacy Purposes (1)
Required to be Well
Capitalized
Under the Prompt
Corrective Action
Provisions
AmountRatio AmountRatio AmountRatio
(dollars in thousands)
December 31, 2024
Leverage Capital (to average assets)
Consolidated$442,193 10.78 %$164,052 4.00 %N/AN/A
Bank Only436,116 10.64 %163,919 4.00 %204,899 5.00 %
Common Equity Tier 1 risk-based capital ratio (to risk-weighted assets)
Consolidated438,693 12.04 %163,952 4.50 %N/AN/A
Bank Only436,116 11.99 %163,717 4.50 %236,480 6.50 %
Tier 1 Capital (to risk-weighted assets)
Consolidated442,193 12.14 %218,602 6.00 %N/AN/A
Bank Only436,116 11.99 %218,289 6.00 %291,052 8.00 %
Total Capital (to risk-weighted assets)
Consolidated534,390 14.67 %291,470 8.00 %N/AN/A
Bank Only483,247 13.28 %291,052 8.00 %363,816 10.00 %
December 31, 2023
Leverage Capital (to average assets)
Consolidated$298,920 8.10 %$147,616 4.00 %N/AN/A
Bank Only333,848 9.06 %147,469 4.00 %184,336 5.00 %
Common Equity Tier 1 risk-based capital ratio (to risk-weighted assets)
Consolidated295,450 9.10 %146,137 4.50 %N/AN/A
Bank Only333,848 10.30 %145,875 4.50 %210,708 6.50 %
Tier 1 Capital (to risk-weighted assets)
Consolidated298,920 9.20 %194,849 6.00 %N/AN/A
Bank Only333,848 10.30 %194,500 6.00 %259,334 8.00 %
Total Capital (to risk-weighted assets)
Consolidated385,464 11.87 %259,799 8.00 %N/AN/A
Bank Only375,320 11.58 %259,334 8.00 %324,167 10.00 %
(1)Presents the minimum capital adequacy requirements that apply to the Bank (excluding the capital conservation buffer) and the Company. The capital conservation buffer is an additional 2.5% of the amount necessary to meet the minimum risk-based capital requirements for total, tier 1, and common equity tier 1 risk-based capital. Prior to September 30, 2022, the Company operated under the Small Bank Holding Company Policy Statement and therefore was not subject to Basel III capital adequacy requirements.
v3.25.1
Fair Value Measurements (Tables)
12 Months Ended
Dec. 31, 2024
Fair Value Disclosures [Abstract]  
Summary of Estimated Fair Values of Financial Instruments
The following tables present estimated fair values of the Company’s financial instruments as of the period indicated, whether or not recognized or recorded in the consolidated balance sheets at the period indicated:
December 31, 2024Fair Value Measurements Using
Carrying
Value
Estimated
Fair Value
Level 1Level 2Level 3
(dollars in thousands)
Financial assets
Cash and due from banks$36,533 $36,533 $36,533 $— $— 
Interest earning deposits with other banks415,980 415,980 415,980 — — 
Investment securities47,321 46,740 — 46,740 — 
Other investments10,800 10,800 — 8,181 2,619 
Loans held for sale20,600 20,600 — 20,600 
Loans receivable3,486,565 3,460,131 — — 3,460,131 
Accrued interest receivable21,104 21,104 — 21,104 — 
Financial liabilities
Deposits$3,585,332 $3,584,967 $— $3,584,967 $— 
Subordinated debt44,293 45,505 — 45,505 — 
Junior subordinated debentures3,591 3,508 — 3,508 — 
Accrued interest payable962 962 — 962 — 

December 31, 2023 (1)Fair Value Measurements Using
Carrying
Value
Estimated
Fair Value
Level 1Level 2Level 3
(dollars in thousands)
Financial assets
Cash and due from banks$31,345 $31,345 $31,345 $— $— 
Interest earning deposits with other banks451,783 451,783 451,783 — — 
Investment securities150,364 150,545 99,461 51,084 — 
Other investments10,227 10,227 — 7,605 2,622 
Loans receivable, net3,021,542 2,936,917 — — 2,936,917 
Accrued interest receivable23,458 23,458 — 23,458 — 
Financial liabilities
Deposits$3,360,363 $3,359,867 $— $3,359,867 $— 
Subordinated debt44,144 43,908 — 43,908 — 
Junior subordinated debentures3,590 3,491 — 3,491 — 
Accrued interest payable892 892 — 892 — 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Summary of Assets Measured at Fair Value on Recurring Basis
Items measured at fair value on a recurring basis – The following fair value hierarchy table presents information about the Company’s assets that are measured at fair value on a recurring basis at the dates indicated:
Level 1Level 2Level 3Total
Fair Value
(dollars in thousands)
December 31, 2024
Available-for-sale
U.S. Agency collateralized mortgage obligations$— $35 $— $35 
$— $35 $— $35 
December 31, 2023
Available-for-sale
U.S. Treasury securities$99,461 $— $— $99,461 
U.S. Agency collateralized mortgage obligations— 43 — 43 
$99,461 $43 $— $99,504 
Summary of Financial Assets and Liabilities Measured at Fair Value on Nonrecurring Basis
Items measured at fair value on a nonrecurring basis – The following table presents financial assets and liabilities measured at fair value on a nonrecurring basis and the level within the fair value hierarchy of the fair value measurements for those assets at the dates indicated:
Level 1Level 2Level 3Total
Fair Value
(dollars in thousands)
December 31, 2024
Collateral dependent loans$— $— $100 $100 
Equity securities— — 2,619 2,619 
Total$— $— $2,719 $2,719 
December 31, 2023
Collateral dependent loans$— $— $7,315 $7,315 
Equity securities— — 2,622 2,622 
Total$— $— $9,937 $9,937 
Summary of Carrying Value of Equity Securities Without Readily Determinable Fair Values
The following table shows the activity in equity investments without a readily determinable fair value for the dates shown:
For the Twelve Months Ended
December 31,
(dollars in thousands)202420232022
Carrying value, beginning of period$2,622 $2,572 $2,322 
Purchases— 50 350 
Observable price change(3)— (100)
Carrying value, end of period$2,619 $2,622 $2,572 
The following table presents the carrying value of equity securities without readily determinable fair values, as of December 31, 2024, 2023 and 2022, with adjustments recorded during the periods presented for those securities with observable price changes, if applicable. These equity securities are included in other investments on the balance sheet.
The Company had a $2.2 million equity interest in a specialized bank technology company as of December 31, 2024 and December 31, 2023 .
The Company had a $350,000 equity interest in a technology company as of the years ended December 31, 2024 and December 31, 2023.
The Company had a $47,000 and $50,000 equity interest in a technology company as of the years ended December 31, 2024, and December 31, 2023, respectively.
For the Year Ended
December 31,
(dollars in thousands) 202420232022
Carrying value, beginning of period$2,622 $2,572 $2,322 
Purchases— 50 350 
Observable price change(3)— (100)
Carrying value, end of period$2,619 $2,622 $2,572 
Summary of Assets and Liabilities Classified as Level 3 and Measured at Fair Value on Nonrecurring Basis
The following table provides a description of the valuation technique, unobservable inputs, and qualitative information about the unobservable inputs for the Company’s assets and liabilities classified as Level 3 and measured at fair value on a nonrecurring basis at the date indicated:
Valuation TechniqueUnobservable InputsDecember 31, 2024 Weighted Average RateDecember 31, 2023 Weighted Average Rate
Collateral dependent loansCollateral valuationsDiscount to appraised value8.0%8.0%
v3.25.1
Revenue from Contracts with Customers (Tables)
12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Summary of Noninterest Income by Revenue Stream The following table presents the Company’s noninterest income by revenue stream for the years ended December 31:
20242023 (3)2022
(dollars in thousands)
Service charges and fees
Interchange income$2,002 $2,176 $2,055 
Merchant service fees487 498 508 
Overdraft fees198 213 310 
Other1,051 967 931 
Loan referral fees168 683 810 
BaaS program income (1)
20,075 13,240 11,193 
Other income (2)
692 323 603 
Total noninterest income subject to Topic 60624,673 18,100 16,410 
BaaS enhancements / guarantees (1)
282,673 184,929 105,945 
Gain (loss) on equity investment27 279 (153)
Gain on sale of loans, net— 253 — 
Loan servicing fees142 171 223 
Earnings on life insurance486 185 361 
Lease and sublease income204 205 157 
Total noninterest income not subject to Topic 606283,532 186,022 106,533 
Total noninterest income$308,205 $204,122 $122,943 
(1)See description below for detailed components of BaaS fees and related Topic 606 applicability.
(2)Includes the following immaterial income streams that are within the scope of Topic 606: wire transfer fees, annuity fees, mortgage broker fees and brokerage fees.
The following tables presents the BaaS fees that are within and not within the scope of Topic 606:
Year Ended
December 31,
2024 compared to 20232023 compared to 2022
(dollars in thousands) 20242023 (1)2022Increase
(Decrease)
Increase
(Decrease)
Program income - within the scope of Topic 606
Servicing and other BaaS fees$4,743 $3,855 $4,408 $888 $(553)
Transaction5,910 4,011 3,211 1,899 800 
Interchange6,933 4,252 2,583 2,681 1,669 
Reimbursement of expenses2,489 1,122 991 1,367 131 
Total BaaS program income20,075 13,240 11,193 6,835 2,047 
Guarantees - not within the scope of Topic 606:
BaaS credit enhancement272,839 177,764 76,374 95,075 101,390 
BaaS fraud enhancement9,834 7,165 29,571 2,669 (22,406)
Total BaaS enhancements / indemnifications282,673 184,929 105,945 97,744 78,984 
Total BaaS fees$302,748 $198,169 $117,138 $104,579 $81,031 
v3.25.1
Earnings Per Common Share (Tables)
12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
Schedule of Computation of Basic and Diluted Earnings Per Common Share
The following is a computation of basic and diluted earnings per common share at the periods indicated:
Year Ended
(dollars in thousands, except per share data)December 31, 2024December 31, 2023December 31, 2022
Net Income$45,219 $44,579 $40,625 
Basic weighted average number common shares outstanding13,508,04713,261,66412,949,266
Dilutive effect of equity-based awards368,859378,518565,686
Diluted weighted average number common shares outstanding
13,876,90613,640,18213,514,952
Basic earnings per share$3.35 $3.36 $3.14 
Diluted earnings per share$3.26 $3.27 $3.01 
Antidilutive stock options and restricted stock outstanding132,164130,837147,423
v3.25.1
Segment Reporting (Tables)
12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Summary of Financial Information of Reportable Segments and Reconciliation to Consolidated Financial Results
December 31, 2024December 31, 2023 (1)
Community BankCCBXTreasury & AdministrationConsolidatedCommunity BankCCBXTreasury & AdministrationConsolidated
Assets(dollars in thousands)
Cash and Due from Banks$4,510 $10,894 $437,109 $452,513 $4,702 $9,601 $468,825 $483,128 
Intrabank assets— 411,768 (411,768)— — 653,178 (653,178)— 
Securities— — 47,321 47,321 — — 150,364 150,364 
Loans held for sale— 20,600 — 20,600 — — — — 
Total loans receivable1,882,988 1,603,577 — 3,486,565 1,830,154 1,191,388 — 3,021,542 
Allowance for credit losses
(18,924)(158,070)— (176,994)(21,595)(95,786)— (117,381)
All other assets28,273 211,038 51,892 291,203 30,169 138,543 43,640 212,352 
Total assets$1,896,847 $2,099,807 $124,554 $4,121,208 $1,843,430 $1,896,924 $9,651 $3,750,005 
Liabilities
Total deposits$1,521,244 $2,064,088 $— $3,585,332 1,497,601 1,862,762 — 3,360,363 
Total borrowings— — 47,884 47,884 — — 47,734 47,734 
Intrabank liabilities367,540 — (367,540)— 338,614 — (338,614)— 
All other liabilities8,062 35,720 5,506 49,288 7,215 34,162 5,553 46,930 
Total liabilities$1,896,846 $2,099,808 $(314,150)$3,682,504 $1,843,430 $1,896,924 $(285,327)$3,455,027 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Year Ended December 31, 2024Year Ended December 31, 2023 (1)
Community BankCCBXTreasury & AdministrationConsolidatedCommunity BankCCBX Treasury & AdministrationConsolidated
(dollars in thousands)
INTEREST INCOME AND EXPENSE
Interest income$123,735 $248,286 $24,756 $396,777 $106,983 $197,306 $18,930 $323,219 
Interest income (expense) intrabank transfer(21,265)30,221 (8,956)— (10,404)19,071 (8,667)— 
Interest expense26,897 94,035 2,817 123,749 17,354 71,646 2,644 91,644 
Net interest income75,573 184,472 12,983 273,028 79,225 144,731 7,619 231,575 
Provision/(Recapture) for credit losses - loans(2,130)277,793 — 275,663 1,322 182,721 — 184,043 
Provision for unfunded commitments757 1,187 — 1,944 (211)160 — (51)
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments76,946 (94,508)12,983 (4,579)78,114 (38,150)7,619 47,583 
NONINTEREST INCOME
Service charges and fees3,691 47 — 3,738 3,810 44 — 3,854 
Other income751 76 892 1,719 1,165 433 501 2,099 
BaaS program income— 20,075 — 20,075 — 13,240 — 13,240 
BaaS indemnification income— 282,673 — 282,673 — 184,929 — 184,929 
Noninterest income (1)
4,442 302,871 892 308,205 4,975 198,646 501 204,122 
NONINTEREST EXPENSE
Salaries and employee benefits24,432 28,909 16,743 70,084 24,104 25,159 17,198 66,461 
Occupancy3,401 333 202 3,936 3,741 321 110 4,172 
Data processing and software licenses4,759 4,029 6,525 15,313 4,595 2,321 2,433 9,349 
Legal and professional expenses99 8,904 6,503 15,506 1,580 9,645 3,578 14,803 
Other expense3,845 4,727 4,528 13,100 3,954 3,759 5,161 12,874 
BaaS loan expense— 118,536 — 118,536 — 79,748 — 79,748 
BaaS fraud expense— 9,834 — 9,834 — 7,165 — 7,165 
Total noninterest expense36,536 175,272 34,501 246,309 37,974 128,118 28,480 194,572 
Net income before income taxes44,852 33,091 (20,626)57,317 45,115 32,378 (20,360)57,133 
Income taxes8,870 7,999 (4,771)12,098 9,913 7,116 (4,475)12,554 
Net Income$35,982 $25,092 $(15,855)$45,219 35,202 25,262 (15,885)44,579 
(1) See Note 23, Restatement of Prior Period Financial Statements.
Year Ended December 31, 2022
Community BankCCBXTreasury & AdministrationConsolidated
(dollars in thousands)
INTEREST INCOME AND EXPENSE
Interest income$80,544 $102,808 $8,818 $192,170 
Interest income (expense) intrabank transfer$796 $4,106 $(4,902)— 
Interest expense2,896 16,108 $1,391 20,395 
Net interest income78,444 90,806 $2,525 171,775 
Provision/(Recapture) for credit losses - loans719 78,345 $— 79,064 
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments77,725 12,461 2,525 92,711 
NONINTEREST INCOME
Service charges and fees3,757 47 $— 3,804 
Other income1,411 356 $234 2,001 
BaaS program income— 11,193 $— 11,193 
BaaS indemnification income— 105,945 $— 105,945 
Noninterest income (1)
5,168 117,541 $234 122,943 
NONINTEREST EXPENSE
Salaries and employee benefits20,476 18,007 $13,745 52,228 
Occupancy3,843 257 $119 4,219 
Data processing and software licenses3,285 1,806 $1,725 6,816 
Legal and professional expenses213 3,163 $3,384 6,760 
Other expense5,202 1,285 $5,658 12,145 
BaaS loan expense— 53,294 $— 53,294 
BaaS fraud expense— 29,571 $— 29,571 
Total noninterest expense33,019 107,383 $24,631 165,033 
Net income before income taxes49,874 22,619 (21,872)50,621 
Income taxes10,068 4,248 (4,320)9,996 
Net Income39,806 18,371 (17,552)40,625 
v3.25.1
Parent Company Only Condensed Financial Information (Tables)
12 Months Ended
Dec. 31, 2024
Condensed Financial Information Disclosure [Abstract]  
Summary of Condensed Financial Information of Coastal Financial Corporation
Condensed financial information of Coastal Financial Corporation follows:
December 31,
2024
December 31,
2023
(dollars in thousands)
ASSETS
Cash$47,739 $5,479 
Investment in trust equities109 109 
Investment in subsidiaries436,451 333,690 
Other investments3,529 3,430 
Other assets(252)532 
TOTAL ASSETS$487,576 $343,240 
LIABILITIES AND SHAREHOLDERS' EQUITY  
Junior subordinated debentures, net of issuances costs$3,591 $3,590 
Subordinated debt, net of debt issuance costs44,293 44,144 
Interest and dividends payable526 528 
Other liabilities462 — 
Shareholders' equity438,704 294,978 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY$487,576 $343,240 
Year ended December 31,
202420232022
(dollars in thousands)
INTEREST INCOME
Interest earned loans receivable$— $— $(14)
Interest bearing other investments
Total interest income(10)
INTEREST EXPENSE
Interest on borrowed funds2,673 2,644 1,322 
Total interest expense2,673 2,644 1,322 
Net interest expense(2,665)(2,636)(1,332)
PROVISION FOR CREDIT LOSSES— — 350 
Net interest expense after provision for credit losses(2,665)(2,636)(1,682)
NONINTEREST INCOME
Unrealized gain (loss) on equity investment27 279 (153)
Other income30 23 
Total noninterest income36 309 (130)
NONINTEREST EXPENSE
Other expenses1,088 914 711 
Total noninterest expense1,088 914 711 
Loss before income taxes and undistributed net income of subsidiary(3,717)(3,241)(2,523)
Equity in undistributed income of consolidated subsidiaries48,076 47,148 42,674 
Income tax (benefit) expense (860)(672)(474)
NET INCOME$45,219 $44,579 $40,625 
Year ended December 31,
202420232022
(dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income$45,219 $44,579 $40,625 
Adjustments to reconcile net income to net cash used by operating activities:  
Equity in undistributed income of consolidated subsidiaries(48,076)(47,148)(42,674)
Stock-based compensation625 432 295 
Unrealized loss (gain) on equity investment(27)(279)153 
Decrease (increase) in other assets784 (683)274 
Increase in other liabilities611 124 106 
Net cash used by operating activities(864)(2,975)(1,221)
CASH FLOWS FROM INVESTING ACTIVITIES:
Investments in subsidiaries(50,000)(14,945)(20,925)
Investments in loans receivable— — 350 
Investments in other, net(72)(123)(699)
Net cash used by investing activities(50,072)(15,068)(21,274)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of stock options1,395 618 1,468 
Proceeds from public offering, net91,801 — — 
Proceeds from subordinated debt— — 19,625 
Net cash provided by financing activities93,196 618 21,093 
NET CHANGE IN CASH42,260 (17,425)(1,402)
Cash, beginning of year5,479 22,904 24,306 
Cash, end of year$47,739 $5,479 $22,904 
v3.25.1
Revision of Prior Period Financial Statements (Tables)
12 Months Ended
Dec. 31, 2024
Accounting Changes and Error Corrections [Abstract]  
Schedule of Error Corrections and Prior Period Adjustments
Further information regarding the misstatements and related restatements are summarized in the tables below.
Corrected Consolidated Balance SheetsAs of
December 31, 2023
(dollars in thousands)As Previously ReportedAdjustmentAs Restated
Loans receivable$3,026,092$(4,550)$3,021,542
Allowance for credit losses(116,958)(423)(117,381)
Total loans receivable, net2,909,134(4,973)2,904,161
CCBX credit enhancement asset107,9214,973112,894
Accrued interest receivable
26,819(3,361)23,458
Total assets3,753,366(3,361)3,750,005
CCBX payable33,651(3,361)30,290
Total liabilities3,458,388(3,361)3,455,027
Total liabilities and shareholders' equity3,753,366(3,361)3,750,005
Retained earnings165,311 — 165,311 
Corrected Consolidated Statements of IncomeYear Ended
December 31, 2023
(dollars in thousands)As Previously ReportedAdjustmentAs Restated
Interest and fees on loans$311,441$(7,152)$304,289
Total interest income330,371(7,152)323,219
Net interest income238,727(7,152)231,575
Net interest income/(expense) after provision for credit losses54,735(7,152)47,583
Reimbursement of expenses4,175(3,053)1,122
BaaS program income16,293(3,053)13,240
Total noninterest income207,175(3,053)204,122
Point of sale expense3,534(3,053)481
Noninterest expense, excluding BaaS loan and BaaS fraud expense110,712(3,053)107,659
BaaS loan expense
86,900(7,152)79,748
BaaS loan and fraud expense94,065(7,152)86,913
Total noninterest expense204,777(10,205)194,572
Net income44,579 — 44,579 
Corrected Consolidated Statement of Cash FlowsYear Ended
December 31, 2023
(dollars in thousands)As Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(50,079)$(4,973)$(55,052)
Net change in CCBX payable13,232(3,361)9,871
Net change in other assets and liabilities(15,919)3,361(12,558)
Net cash provided by operating activities196,513(4,973)191,540
Increase in loans receivable, net
(1,052,283)4,973(1,047,310)
Net cash used by investing activities(598,985)4,973(594,012)
Corrected Consolidated Balance SheetsAs ofAs of
September 30, 2024June 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Loans receivable$3,418,832$(4,938)$3,413,894$3,326,460$(4,647)$3,321,813
Allowance for credit losses(170,263)(1,411)(171,674)(147,914)(964)(148,878)
Total loans receivable, net3,248,569(6,349)3,242,2203,178,546(5,611)3,172,935
CCBX credit enhancement asset167,2516,349173,600143,4855,611149,096
Accrued interest receivable
23,664(1,349)22,31523,617(1,997)21,620
Total assets4,065,821(1,349)4,064,4723,961,546(1,997)3,959,549
CCBX payable39,188(1,349)37,83934,536(1,997)32,539
Total liabilities3,733,891(1,349)3,732,5423,644,853(1,997)3,642,856
Total liabilities and shareholders' equity4,065,821(1,349)4,064,4723,961,546(1,997)3,959,549
Retained earnings197,162 — 197,162 183,706 — 183,706 
Corrected Consolidated Balance SheetsAs ofAs of
March 31, 2024September 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Loans receivable$3,199,554$(4,453)$3,195,101$2,967,035$(3,289)$2,963,746
Allowance for credit losses(139,258)(683)(139,941)(101,085)(110)(101,195)
Total loans receivable, net3,060,296(5,136)3,055,1602,865,950(3,399)2,862,551
CCBX credit enhancement asset137,2765,136142,41291,8673,39995,266
Accrued interest receivable
24,681(2,196)22,48523,428(1,443)21,985
Total assets3,865,258(2,196)3,863,0623,678,265(1,443)3,676,822
CCBX payable33,095(2,196)30,89938,229(1,443)36,786
Total liabilities3,561,549(2,196)3,559,3533,393,815(1,443)3,392,372
Total liabilities and shareholders' equity3,865,258(2,196)3,863,0623,678,265(1,443)3,676,822
Retained earnings172,110 — 172,110 156,299 — 156,299 
Corrected Consolidated Balance SheetsAs ofAs of
June 30, 2023March 31, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Loans receivable$3,007,553$(1,950)$3,005,603$2,837,204$(770)$2,836,434
Allowance for credit losses(110,762)(51)(110,813)(89,123)(89,123)
Total loans receivable, net2,896,791(2,001)2,894,7902,748,081(770)2,747,311
CCBX credit enhancement asset96,9282,00198,92976,39577077,165
Accrued interest receivable
21,581(783)20,79819,321(319)19,002
Total assets3,535,283(783)3,534,5003,451,033(319)3,450,714
CCBX payable27,714(783)26,93130,794(319)30,475
Total liabilities3,262,621(783)3,261,8383,192,270(319)3,191,951
Total liabilities and shareholders' equity3,535,283(783)3,534,5003,451,033(319)3,450,714
Retained earnings146,029 — 146,029 133,123 — 133,123 
Corrected Consolidated Statements of IncomeThree Months EndedNine Months Ended
September 30, 2024September 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$99,590$86$99,676$275,155$1,291$276,446
Total interest income105,07986105,165293,0381,291294,329
Net interest income72,1878672,273199,3601,291200,651
Net interest income/(expense) after
   provision for credit losses
1,930862,016(16,380)1,291(15,089)
Reimbursement of expenses1,843(1,278)5654,514(2,837)1,677
BaaS program income6,436(1,278)5,15817,357(2,837)14,520
Total noninterest income80,068(1,278)78,790236,941(2,837)234,104
Point of sale expense1,351(1,278)733,072(2,837)235
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
30,920(1,278)29,64289,127(2,837)86,290
BaaS loan expense
32,6128632,69886,5251,29187,816
BaaS loan and fraud expense34,6968634,78291,3161,29192,607
Total noninterest expense65,616(1,192)64,424180,443(1,546)178,897
Net income13,45613,45631,852 — 31,852 
Corrected Consolidated Statements of IncomeThree Months EndedSix Months Ended
June 30, 2024June 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$90,944$(65)$90,879$175,565$1,205$176,770
Total interest income97,487(65)97,422187,9591,205189,164
Net interest income66,237(65)66,172127,1731,205128,378
Net interest income/(expense) after
   provision for credit losses
3,912(65)3,847(18,310)1,205(17,105)
Reimbursement of expenses1,637(780)8572,670(1,559)1,111
BaaS program income6,096(780)5,31610,921(1,559)9,362
Total noninterest income69,918(780)69,138156,873(1,559)155,314
Point of sale expense852(780)721,721(1,559)162
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
27,949(780)27,16958,207(1,559)56,648
BaaS loan expense
29,076(65)29,01153,9131,20555,118
BaaS loan and fraud expense30,860(65)30,79556,6201,20557,825
Total noninterest expense58,809(845)57,964114,827(354)114,473
Net income11,59611,59618,396 — 18,396 
Corrected Consolidated Statements of IncomeThree Months Ended
March 31, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs Restated
Interest and fees on loans$84,621$1,270$85,891
Total interest income90,4721,27091,742
Net interest income60,9361,27062,206
Net interest income/(expense) after provision for credit losses(22,222)1,270(20,952)
Reimbursement of expenses1,033(779)254
BaaS program income4,825(779)4,046
Total noninterest income86,955(779)86,176
Point of sale expense869(779)90
Noninterest expense, excluding BaaS loan and BaaS fraud expense30,258(779)29,479
BaaS loan expense
24,8371,27026,107
BaaS loan and fraud expense25,7601,27027,030
Total noninterest expense56,01849156,509
Net income6,8006,800
Corrected Consolidated Statements of IncomeThree Months EndedNine Months Ended
September 30, 2023September 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$83,652$(1,704)$81,948$230,282$(3,968)$226,314
Total interest income88,331(1,704)86,627242,128(3,968)238,160
Net interest income62,229(1,704)60,525179,070(3,968)175,102
Net interest income/(expense) after
   provision for credit losses
34,976(1,704)33,27255,867(3,968)51,899
Reimbursement of expenses1,152(888)2643,099(2,244)855
BaaS program income4,401(888)3,51311,924(2,244)9,680
Total noninterest income34,579(888)33,691142,481(2,244)140,237
Point of sale expense1,068(888)1802,635(2,244)391
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
30,648(888)29,76084,098(2,244)81,854
BaaS loan expense
23,003(1,704)21,29962,590(3,968)58,622
BaaS loan and fraud expense25,853(1,704)24,14968,976(3,968)65,008
Total noninterest expense56,501(2,592)53,909153,074(6,212)146,862
Net income10,27010,27035,567 — 35,567 
Corrected Consolidated Statements of IncomeThree Months EndedSix Months Ended
June 30, 2023June 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Interest and fees on loans$80,199$(1,375)$78,824$146,630$(2,264)$144,366
Total interest income83,686(1,375)82,311153,797(2,264)151,533
Net interest income62,350(1,375)60,975116,841(2,264)114,577
Net interest income/(expense) after
   provision for credit losses
10,097(1,375)8,72220,891(2,264)18,627
Reimbursement of expenses1,026(703)3231,947(1,356)591
BaaS program income3,948(703)3,2457,523(1,356)6,167
Total noninterest income58,595(703)57,892107,902(1,356)106,546
Point of sale expense814(703)1111,567(1,356)211
Noninterest expense, excluding
   BaaS loan and BaaS fraud expense
28,340(703)27,63753,450(1,356)52,094
BaaS loan expense22,033(1,375)20,65839,587(2,264)37,323
BaaS loan and fraud expense23,570(1,375)22,19543,123(2,264)40,859
Total noninterest expense51,910(2,078)49,83296,573(3,620)92,953
Net income12,90612,90625,297 — 25,297 
Corrected Consolidated Statements of IncomeThree Months Ended
March 31, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs Restated
Interest and fees on loans$66,431$(889)$65,542
Total interest income70,111(889)69,222
Net interest income54,491(889)53,602
Net interest income/(expense) after provision for credit losses10,794(889)9,905
Reimbursement of expenses921(653)268
BaaS program income3,575(653)2,922
Total noninterest income49,307(653)48,654
Point of sale expense753(653)100
Noninterest expense, excluding BaaS loan and BaaS fraud expense25,110(653)24,457
BaaS loan expense
17,554(889)16,665
BaaS loan and fraud expense19,553(889)18,664
Total noninterest expense44,663(1,542)43,121
Net income12,39112,391
Corrected Consolidated Statement of Cash FlowsNine Months EndedSix Months Ended
September 30, 2024June 30, 2024
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(59,330)$(6,349)$(65,679)$(35,564)$(5,611)$(41,175)
Net change in CCBX payable5,537(1,349)4,188885(1,997)(1,112)
Net change in other assets and liabilities4,2481,3495,5972,1941,9974,191
Net cash provided by operating activities197,813(6,349)191,464134,451(5,611)128,840
Increase in loans receivable, net
(1,218,640)6,349(1,212,291)(645,787)5,611(640,176)
Net cash used by investing activities(465,112)6,349(458,763)313,9765,611319,587
Corrected Consolidated Statement of Cash FlowsThree Months EndedNine Months Ended
March 31, 2024September 30, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(29,355)$(5,136)$(34,491)$(34,025)$(3,399)$(37,424)
Net change in CCBX payable(556)(2,196)(2,752)17,810(1,443)16,367
Net change in other assets and liabilities(312)2,1961,884(13,299)1,443(11,856)
Net cash provided by operating activities61,900(5,136)56,764146,236(3,399)142,837
Increase in loans receivable, net
(311,264)5,136(306,128)(823,221)3,399(819,822)
Net cash used by investing activities(132,801)5,136(127,665)(486,209)3,399(482,810)


Corrected Consolidated Statement of Cash FlowsSix Months EndedThree Months Ended
June 30, 2023March 31, 2023
(dollars in thousands; unaudited)As Previously ReportedAdjustmentAs RestatedAs Previously ReportedAdjustmentAs Restated
Net change in CCBX credit enhancement asset$(39,086)$(2,001)$(41,087)$(18,553)$(770)$(19,323)
Net change in CCBX payable7,295(783)6,51210,375(319)10,056
Net change in other assets and liabilities5,5627836,3453,1773193,496
Net cash provided by operating activities81,115(2,001)79,11446,631(770)45,861
Increase in loans receivable, net
(585,510)2,001(583,509)(295,583)770(294,813)
Net cash used by investing activities(493,834)2,001(491,833)(273,123)770(272,353)
v3.25.1
Description of Business and Summary of Significant Accounting Policies - Additional Information (Details)
12 Months Ended
Dec. 31, 2024
USD ($)
segment
branch
$ / shares
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Description Of Business And Summary Of Accounting Policies [Line Items]        
Number of reportable segments | segment 3      
Number of branches | branch 14      
Investment percentage in capital stock of FHLB, outstanding advances 4.50%      
Investment percentage in capital stock of FHLB, total assets 0.06%      
Federal home loan bank stock shares redeemed per share par value (in usd per share) | $ / shares $ 1      
Investment in federal home loan bank stock $ 2,200,000 $ 1,900,000    
Contribution of investments 72,000 75,000 $ 349,000  
Realized investment losses (29,000) (278,000) 53,000  
Equity interest investments 910,000 809,000 $ 456,000 $ 160,000
Loans held for sale 20,600,000 0    
Reserve for unfunded commitments 2,500,000 582,000    
Unrecognized tax benefits 0 0    
Unrecognized tax benefits, income tax penalties and interest expense 0 0    
Advertising costs 162,000 517,000    
Community Bank        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Reserve for unfunded commitments 1,200,000      
CCBX        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Reserve for unfunded commitments $ 1,300,000      
Minimum        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Estimated useful lives of the assets 3 years      
Maximum        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Estimated useful lives of the assets 39 years      
SBA and USDA        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Loans held for sale $ 0 0    
Federal Reserve Bank Stock        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Investment in federal reserve bank stock 4,900,000 4,800,000    
Pacific Coast Banker's Bancshares        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Investment at cost 100,000 100,000    
Specialized Bank Technology Company        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Investment at cost 2,200,000 350,000    
Technology Company        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Unrealized loss (gain) on equity investment 47,000 50,000    
Investment Equity Funds        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Contribution of investments 72,000      
Capital commitment of an investment 480,000      
CCBX Loans        
Description Of Business And Summary Of Accounting Policies [Line Items]        
Loans receivable 1,550,000,000      
Loans held for sale $ 20,600,000 $ 20,600,000    
v3.25.1
Description of Business and Summary of Significant Accounting Policies - Equity Investments Without a Readily Determinable Fair Value (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Equity Securities, Summary of Carrying Value [Roll Forward]      
Purchases $ 0 $ 50 $ 350
Level 3      
Equity Securities, Summary of Carrying Value [Roll Forward]      
Carrying value, beginning of period 2,622 2,572 2,322
Observable price change (3) 0 (100)
Carrying value, end of period $ 2,619 $ 2,622 $ 2,572
v3.25.1
Description of Business and Summary of Significant Accounting Policies - Equity Investments Held at Fair Value (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Equity Method Investments Held at Fair Value [Roll Forward]      
Carrying value, beginning of period $ 809 $ 456 $ 160
Purchases/capital calls/capital returns, net 72 75 349
Net change recognized in earnings 29 278 (53)
Carrying value, end of period $ 910 $ 809 $ 456
v3.25.1
Investments Securities - Amortized Cost and Fair Values of Investment Securities (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Available-for-sale    
Amortized Cost $ 37 $ 100,041
Gross Unrealized Gains 0 0
Gross Unrealized Losses (2) (537)
Fair Value 35 99,504
Allowance for Credit Losses 0 0
Held-to-maturity    
Amortized Cost 47,286 50,860
Fair Value 46,705  
Total investment securities    
Amortized Cost 47,323 150,901
Gross Unrealized Gains 149 467
Gross Unrealized Losses (732) (823)
Fair Value 46,740 150,545
Allowance for Credit Losses 0 0
U.S. Treasury securities    
Available-for-sale    
Amortized Cost   99,996
Gross Unrealized Gains   0
Gross Unrealized Losses   (535)
Fair Value   99,461
Allowance for Credit Losses   0
U.S. Agency collateralized mortgage obligations    
Available-for-sale    
Amortized Cost 37 45
Gross Unrealized Gains 0 0
Gross Unrealized Losses (2) (2)
Fair Value 35 43
Allowance for Credit Losses 0 0
U.S. Agency residential mortgage-backed securities    
Held-to-maturity    
Amortized Cost 47,286 50,860
Gross Unrealized Gains 149 467
Gross Unrealized Losses (730) (286)
Fair Value 46,705 51,041
Allowance for Credit Losses $ 0 $ 0
v3.25.1
Investments Securities - Amortized Cost and Fair Value of Debt Securities by Contractual Maturity (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Amortized Cost    
Amortized Cost $ 37 $ 100,041
Fair Value    
Fair Value 35 99,504
Amortized Cost    
Amortized Cost 47,286 $ 50,860
Fair Value    
Fair Value 46,705  
U.S. Agency residential mortgage-backed securities and collateralized mortgage obligations    
Amortized Cost    
Without single maturity date 37  
Fair Value    
Without single maturity date 35  
Amortized Cost    
Without single maturity date 47,286  
Fair Value    
Without single maturity date $ 46,705  
v3.25.1
Investments Securities - Additional Information (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2024
USD ($)
investment
security
Dec. 31, 2023
USD ($)
investment
security
Investments, Debt and Equity Securities [Abstract]    
AFS, accrued interest   $ 718
HTM, accrued interest $ 218 234
Debt Securities, Held-to-Maturity, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] Accrued interest receivable  
Debt Securities, Available-for-Sale, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] Accrued interest receivable  
Investment securities with amortized cost $ 19,200 21,800
Investment securities with amortized cost pledged to secure public deposits $ 24,000 25,000
Number of securities matured | security 2  
Proceeds from maturity $ 100,000  
Number of securities purchased | security 0  
Unrealized loss $ (732) $ (823)
Number of investment securities sold | investment 0 0
Number of securities in unrealized loss position | security 16 9
v3.25.1
Investments Securities - Summary of Investment Securities Continuous Unrealized Loss Position (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Fair Value    
Less Than 12 Months $ 0  
12 Months or Greater 35  
Total 35  
Gross Unrealized Losses    
Less Than 12 Months 0  
12 Months or Greater 2  
Total 2  
Fair Value    
Less Than 12 Months 27,781  
12 Months or Greater 10,327  
Total 38,108  
Gross Unrealized Losses    
Less Than 12 Months 219  
12 Months or Greater 513  
Total 732 $ 823
U.S. Agency collateralized mortgage obligations    
Fair Value    
Less Than 12 Months 0  
12 Months or Greater 35  
Total 35  
Gross Unrealized Losses    
Less Than 12 Months 0  
12 Months or Greater 2  
Total 2  
U.S. Agency residential mortgage-backed securities    
Fair Value    
Less Than 12 Months 27,781  
Fair Value    
Less Than 12 Months 27,781  
12 Months or Greater 10,292  
Total 38,073  
Gross Unrealized Losses    
Less Than 12 Months 219  
12 Months or Greater 511  
Total $ 730  
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Composition of Loan Portfolio - Post CECL Adoption (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process $ 3,493,019       $ 3,028,842      
Financing Receivable, Unamortized Loan Cost (Fee) and Purchase Premium (Discount) (6,454)       (7,300)      
Loans receivable 3,486,565 $ 3,413,894 $ 3,321,813 $ 3,195,101 3,021,542 $ 2,963,746 $ 3,005,603 $ 2,836,434
Real Estate Portfolio Segment | Residential real estate                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Loans receivable 202,064       225,391      
Real Estate Portfolio Segment | Commercial real estate                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Loans receivable 1,374,801       1,303,533      
Consumer and other loans                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Loans receivable 13,542       1,628      
Community Bank                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 1,889,000       1,837,154      
Community Bank | Commercial and industrial loans                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 150,395       149,502      
Community Bank | Construction, land and land development loans                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 148,198       157,100      
Community Bank | Real Estate Portfolio Segment | Residential real estate                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 202,064       225,391      
Community Bank | Real Estate Portfolio Segment | Commercial real estate                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 1,374,801       1,303,533      
Community Bank | Consumer and other loans                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 13,542       1,628      
CCBX                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 1,604,019       1,191,688      
CCBX | Commercial and industrial loans | Commercial and industrial loans - capital call lines                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 109,017       87,494      
CCBX | Commercial and industrial loans | All other commercial & industrial loans                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 33,961       54,295      
CCBX | Real Estate Portfolio Segment | Residential real estate                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 267,707       238,035      
CCBX | Consumer and other loans                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process 664,780       306,027      
CCBX | Consumer and other loans | Credit cards                
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process $ 528,554       $ 505,837      
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Composition of Loan Portfolio - Pre CECL Adoption (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Loans And Leases Receivable Disclosure [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process $ 3,493,019       $ 3,028,842      
Financing Receivable, Unamortized Loan Cost (Fee) and Purchase Premium (Discount) (6,454)       (7,300)      
Loans receivable 3,486,565 $ 3,413,894 $ 3,321,813 $ 3,195,101 3,021,542 $ 2,963,746 $ 3,005,603 $ 2,836,434
Real Estate Portfolio Segment | Residential real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 202,064       225,391      
Real Estate Portfolio Segment | Commercial real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 1,374,801       1,303,533      
Consumer and other loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable $ 13,542       $ 1,628      
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Additional Information (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
loan
Dec. 31, 2022
USD ($)
Sep. 30, 2024
USD ($)
Jun. 30, 2024
USD ($)
Mar. 31, 2024
USD ($)
Sep. 30, 2023
USD ($)
Jun. 30, 2023
USD ($)
Mar. 31, 2023
USD ($)
Loans And Leases Receivable Disclosure [Line Items]                  
Transfer from loans to loans held for sale $ 1,545,470 $ 599,946 $ 152,546            
Accrued interest $ 20,500 23,500              
Financing Receivable, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] Accrued interest receivable                
Balance of SBA and USDA loans and participations serviced $ 4,100 8,700              
Overdrafts included in loans 7,400 2,800              
Total loans receivable, net 3,309,571 2,904,161   $ 3,242,220 $ 3,172,935 $ 3,055,160 $ 2,862,551 $ 2,894,790 $ 2,747,311
Balance of main street lending program loans and participations serviced 50,300 53,400              
Main street lending program loans outstanding 2,600 2,800              
Purchased loans 6,100 8,100              
Unamortized premiums 117 154              
Purchased participation loans 29,200 53,500              
90 Days or More Past Due and Still Accruing $ 43,093 46,522              
Threshold period for past due loans (in days) 90 days                
Net charge-offs $ 176,994 117,381 74,029 171,674 148,878 139,941 101,195 110,813 89,123
Loans receivable 3,486,565 3,021,542   $ 3,413,894 $ 3,321,813 $ 3,195,101 $ 2,963,746 $ 3,005,603 $ 2,836,434
Loans receivable 3,486,565 $ 3,021,542              
Number of restructured contracts | loan   0              
Modified, commitment to lend 201                
Owner-Occupied Real Estate                  
Loans And Leases Receivable Disclosure [Line Items]                  
Commercial real estate loans 386,800                
Non-Owner-Occupied Real Estate                  
Loans And Leases Receivable Disclosure [Line Items]                  
Commercial real estate loans 565,500                
Multi-Family Residential Loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Commercial real estate loans 412,000                
Farmland Loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Commercial real estate loans $ 10,500                
Accounting Standards Update 2016-13                  
Loans And Leases Receivable Disclosure [Line Items]                  
Net charge-offs     3,852            
CCBX                  
Loans And Leases Receivable Disclosure [Line Items]                  
Company's responsibility for credit losses (in percent) 5.00%                
Loans receivable $ 324,600                
Amount of loans that company is responsible for credit loss $ 20,600                
Partner's responsibility for credit losses (in percent) 95.00%                
Partner's responsibility for fraud losses (in percentage) 100.00%                
Percentage of revenue earned by company on loans they are responsible for credit losses 100.00%                
Amount covered by credit enhancements $ 41,800 $ 44,300              
Federal Home Loan Bank Advances                  
Loans And Leases Receivable Disclosure [Line Items]                  
Total loans receivable, net $ 933,900 1,010,000              
Minimum                  
Loans And Leases Receivable Disclosure [Line Items]                  
Sustained repayment performance period of loan placed on nonaccrual 6 months                
Community Bank Overdrafts                  
Loans And Leases Receivable Disclosure [Line Items]                  
Overdrafts included in loans $ 147 255              
CCBX Overdrafts                  
Loans And Leases Receivable Disclosure [Line Items]                  
Overdrafts included in loans 7,300 2,500              
CCBX Loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Transfer from loans to loans held for sale 1,550,000                
Proceeds from sales of loans held for sale 1,520,000                
Consumer and other loans 1,190,000 811,900              
Commercial and industrial loans 5,400 6,300              
Residential real estate loans 267,700 238,000              
Unsecured C C B X Loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Commercial and industrial loans 29,900 52,700              
Commercial and industrial loans - capital call lines                  
Loans And Leases Receivable Disclosure [Line Items]                  
Commercial and industrial loans 109,000                
Commercial and industrial loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Capital call lines, provided to venture capital firms   87,500              
Net charge-offs 11,051 8,894 4,831            
Loans receivable 150,395 149,502              
Commercial and industrial loans | Accounting Standards Update 2016-13                  
Loans And Leases Receivable Disclosure [Line Items]                  
Net charge-offs     $ 1,428            
Consumer Loans | CCBX Loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Purchased loans 208,000 45,700              
Consumer and other loans $ 202,700 $ 39,400              
Consumer Portfolio Segment | Installment/Closed-End Consumer Loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Threshold period for past due loans (in days) 120 days                
Consumer Portfolio Segment | Revolving/Open-End Consumer Loans                  
Loans And Leases Receivable Disclosure [Line Items]                  
Threshold period for past due loans (in days) 180 days                
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Summary of an Age Analysis of Past Due Loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans $ 3,493,019 $ 3,028,842
90 Days or More Past Due and Still Accruing 43,093 46,522
Less net deferred origination fees and premiums (6,454) (7,300)
Loans receivable 3,486,565 3,021,542
Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,889,000 1,837,154
90 Days or More Past Due and Still Accruing 0 0
CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,604,019 1,191,688
90 Days or More Past Due and Still Accruing 43,093 46,522
30-89 Days Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 52,881 64,662
30-89 Days Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 104 46
30-89 Days Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 52,777 64,616
90 Days or More Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 45,343 53,667
90 Days or More Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 7,145
90 Days or More Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 45,343 46,522
Total Past Due    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 98,224 118,329
Total Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 104 7,191
Total Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 98,120 111,138
Current    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 3,394,795 2,910,513
Current | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,888,896 1,829,963
Current | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,505,899 1,080,550
Commercial and industrial loans | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 150,395 149,502
90 Days or More Past Due and Still Accruing 0 0
Commercial and industrial loans | 30-89 Days Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 97 0
Commercial and industrial loans | 90 Days or More Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Commercial and industrial loans | Total Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 97 0
Commercial and industrial loans | Current | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 150,298 149,502
Commercial and industrial loans | Commercial and industrial loans - capital call lines | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 109,017 87,494
90 Days or More Past Due and Still Accruing 0 0
Commercial and industrial loans | Commercial and industrial loans - capital call lines | 30-89 Days Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Commercial and industrial loans | Commercial and industrial loans - capital call lines | 90 Days or More Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Commercial and industrial loans | Commercial and industrial loans - capital call lines | Total Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Commercial and industrial loans | Commercial and industrial loans - capital call lines | Current | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 109,017 87,494
Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 33,961 54,295
90 Days or More Past Due and Still Accruing 1,006 2,086
Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | 30-89 Days Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,950 3,432
Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | 90 Days or More Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,006 2,086
Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | Total Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 2,956 5,518
Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | Current | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 31,005 48,777
Construction, land and land development loans | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 148,198 157,100
90 Days or More Past Due and Still Accruing 0 0
Construction, land and land development loans | 30-89 Days Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Construction, land and land development loans | 90 Days or More Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Construction, land and land development loans | Total Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Construction, land and land development loans | Current | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 148,198 157,100
Real Estate Portfolio Segment | Residential real estate | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 202,064 225,391
90 Days or More Past Due and Still Accruing 0 0
Real Estate Portfolio Segment | Residential real estate | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 267,707 238,035
90 Days or More Past Due and Still Accruing 2,608 1,115
Real Estate Portfolio Segment | Residential real estate | 30-89 Days Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 44
Real Estate Portfolio Segment | Residential real estate | 30-89 Days Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 3,335 3,198
Real Estate Portfolio Segment | Residential real estate | 90 Days or More Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Real Estate Portfolio Segment | Residential real estate | 90 Days or More Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 2,608 1,115
Real Estate Portfolio Segment | Residential real estate | Total Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 44
Real Estate Portfolio Segment | Residential real estate | Total Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 5,943 4,313
Real Estate Portfolio Segment | Residential real estate | Current | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 202,064 225,347
Real Estate Portfolio Segment | Residential real estate | Current | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 261,764 233,722
Real Estate Portfolio Segment | Commercial real estate | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,374,801 1,303,533
90 Days or More Past Due and Still Accruing 0 0
Real Estate Portfolio Segment | Commercial real estate | 30-89 Days Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Real Estate Portfolio Segment | Commercial real estate | 90 Days or More Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 7,145
Real Estate Portfolio Segment | Commercial real estate | Total Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 7,145
Real Estate Portfolio Segment | Commercial real estate | Current | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 1,374,801 1,296,388
Consumer and other loans | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 13,542 1,628
90 Days or More Past Due and Still Accruing 0 0
Consumer and other loans | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 664,780 306,027
Consumer and other loans | 30-89 Days Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 7 2
Consumer and other loans | 90 Days or More Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 0 0
Consumer and other loans | Total Past Due | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 7 2
Consumer and other loans | Current | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 13,535 1,626
Consumer and other loans | Credit cards | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 528,554 505,837
90 Days or More Past Due and Still Accruing 34,490 34,835
Consumer and other loans | Credit cards | 30-89 Days Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 27,652 28,383
Consumer and other loans | Credit cards | 90 Days or More Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 36,505 34,835
Consumer and other loans | Credit cards | Total Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 64,157 63,218
Consumer and other loans | Credit cards | Current | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 464,397 442,619
Consumer and other loans | Other consumer and other loans | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 664,780 306,027
90 Days or More Past Due and Still Accruing 4,989 8,486
Consumer and other loans | Other consumer and other loans | 30-89 Days Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 19,840 29,603
Consumer and other loans | Other consumer and other loans | 90 Days or More Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 5,224 8,486
Consumer and other loans | Other consumer and other loans | Total Past Due | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans 25,064 38,089
Consumer and other loans | Other consumer and other loans | Current | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Loans $ 639,716 $ 267,938
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Analysis of Nonaccrual Loans by Category (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual $ 19,563 $ 7,315
Nonaccrual with No ACL 100 7,315
Nonaccrual with ACL 19,463  
Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 100 7,315
Nonaccrual with No ACL 100 7,315
Nonaccrual with ACL 0  
CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 19,463 0
Nonaccrual with No ACL 0 0
Nonaccrual with ACL 19,463  
Commercial and industrial loans | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 100 0
Nonaccrual with No ACL 100 0
Nonaccrual with ACL 0  
Commercial and industrial loans | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 234 0
Nonaccrual with No ACL 0 0
Nonaccrual with ACL 234  
Real Estate Portfolio Segment | Residential real estate | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 0 170
Nonaccrual with No ACL 0 170
Nonaccrual with ACL 0  
Real Estate Portfolio Segment | Commercial real estate | Community Bank    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 0 7,145
Nonaccrual with No ACL 0 7,145
Nonaccrual with ACL 0  
Consumer and other loans | Credit cards | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 10,262 0
Nonaccrual with No ACL 0 0
Nonaccrual with ACL 10,262  
Consumer and other loans | Consumer And Other Consumer Loans | CCBX    
Financing Receivable Recorded Investment Past Due [Line Items]    
Total Nonaccrual 8,967 0
Nonaccrual with No ACL 0 $ 0
Nonaccrual with ACL $ 8,967  
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Loans Experiencing Financial Difficulty and Modified (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Community Bank    
Financing Receivable, Modified [Line Items]    
Total $ 101  
Total Class of Financing Receivable 0.01%  
Weighted Average Interest Rate Reduction 9.75%  
Community Bank | Commercial and industrial loans    
Financing Receivable, Modified [Line Items]    
Total $ 101  
Total Class of Financing Receivable 0.07%  
Weighted Average Interest Rate Reduction 9.75%  
Community Bank | Principal Forgiveness & Interest Rate Reduction    
Financing Receivable, Modified [Line Items]    
Total $ 101  
Community Bank | Principal Forgiveness & Interest Rate Reduction | Commercial and industrial loans    
Financing Receivable, Modified [Line Items]    
Total 101  
Community Bank | Principal Forgiveness    
Financing Receivable, Modified [Line Items]    
Total 82  
Community Bank | Principal Forgiveness | Commercial and industrial loans    
Financing Receivable, Modified [Line Items]    
Total 82  
CCBX    
Financing Receivable, Modified [Line Items]    
Total $ 45,931 $ 25,749
Total Class of Financing Receivable 1.32% 0.85%
Weighted Average Interest Rate Reduction 14.60% 20.50%
Weighted Average Term Extension (years) 1 year 7 months 6 days 9 months 18 days
Total $ 29,513 $ 9,333
CCBX | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans    
Financing Receivable, Modified [Line Items]    
Total $ 2,025 $ 1,292
Total Class of Financing Receivable 5.96% 2.38%
Weighted Average Interest Rate Reduction 0.00% 0.00%
Weighted Average Term Extension (years) 1 year 4 months 24 days 10 months 24 days
Total $ 1,147 $ 492
CCBX | Real Estate Portfolio Segment | Residential real estate    
Financing Receivable, Modified [Line Items]    
Weighted Average Interest Rate Reduction   0.00%
CCBX | Consumer and other loans | Credit cards    
Financing Receivable, Modified [Line Items]    
Total $ 28,354 $ 4,202
Total Class of Financing Receivable 5.36% 0.83%
Weighted Average Interest Rate Reduction 14.60% 20.50%
Total $ 22,467 $ 3,924
CCBX | Consumer and other loans | Other consumer and other loans    
Financing Receivable, Modified [Line Items]    
Total $ 15,552 $ 20,255
Total Class of Financing Receivable 2.34% 6.62%
Weighted Average Interest Rate Reduction 0.00% 0.00%
Weighted Average Term Extension (years) 1 year 8 months 12 days 9 months 18 days
Total $ 5,899 $ 4,917
CCBX | Principal Forgiveness    
Financing Receivable, Modified [Line Items]    
Total 11,067 1
Total 14,077 42
Total 10,417 3,642
CCBX | Principal Forgiveness | 30-89 Days Past Due    
Financing Receivable, Modified [Line Items]    
Total 10,772 5,451
CCBX | Principal Forgiveness | 90 Days or More Past Due    
Financing Receivable, Modified [Line Items]    
Total 11,708 2,371
CCBX | Principal Forgiveness | Total Past Due    
Financing Receivable, Modified [Line Items]    
Total 22,480 7,822
CCBX | Principal Forgiveness | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans    
Financing Receivable, Modified [Line Items]    
Total 0 0
Total 138 0
Total 0 487
CCBX | Principal Forgiveness | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | 30-89 Days Past Due    
Financing Receivable, Modified [Line Items]    
Total 281 268
CCBX | Principal Forgiveness | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | 90 Days or More Past Due    
Financing Receivable, Modified [Line Items]    
Total 139 219
CCBX | Principal Forgiveness | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | Total Past Due    
Financing Receivable, Modified [Line Items]    
Total 420 487
CCBX | Principal Forgiveness | Real Estate Portfolio Segment | Residential real estate    
Financing Receivable, Modified [Line Items]    
Total   42
CCBX | Principal Forgiveness | Consumer and other loans | Credit cards    
Financing Receivable, Modified [Line Items]    
Total 11,067 1
Total 7,938 0
Total 10,417 0
CCBX | Principal Forgiveness | Consumer and other loans | Credit cards | 30-89 Days Past Due    
Financing Receivable, Modified [Line Items]    
Total 9,436 1,747
CCBX | Principal Forgiveness | Consumer and other loans | Credit cards | 90 Days or More Past Due    
Financing Receivable, Modified [Line Items]    
Total 11,181 1,436
CCBX | Principal Forgiveness | Consumer and other loans | Credit cards | Total Past Due    
Financing Receivable, Modified [Line Items]    
Total 20,617 3,183
CCBX | Principal Forgiveness | Consumer and other loans | Other consumer and other loans    
Financing Receivable, Modified [Line Items]    
Total 0 0
Total 6,001 0
Total 0 3,155
CCBX | Principal Forgiveness | Consumer and other loans | Other consumer and other loans | 30-89 Days Past Due    
Financing Receivable, Modified [Line Items]    
Total 1,055 3,436
CCBX | Principal Forgiveness | Consumer and other loans | Other consumer and other loans | 90 Days or More Past Due    
Financing Receivable, Modified [Line Items]    
Total 388 716
CCBX | Principal Forgiveness | Consumer and other loans | Other consumer and other loans | Total Past Due    
Financing Receivable, Modified [Line Items]    
Total 1,443 4,152
CCBX | Term Extension    
Financing Receivable, Modified [Line Items]    
Total 8,663 14,818
Total 5,254 3,924
CCBX | Term Extension | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans    
Financing Receivable, Modified [Line Items]    
Total 1,790 1,247
Total 1,070 0
CCBX | Term Extension | Consumer and other loans | Credit cards    
Financing Receivable, Modified [Line Items]    
Total 0 0
Total 0 3,924
CCBX | Term Extension | Consumer and other loans | Other consumer and other loans    
Financing Receivable, Modified [Line Items]    
Total 6,873 13,571
Total 4,184 0
CCBX | Interest Rate Reduction    
Financing Receivable, Modified [Line Items]    
Total 17,287 4,201
Total 12,050 1,148
CCBX | Interest Rate Reduction | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans    
Financing Receivable, Modified [Line Items]    
Total 0 0
Total 0 5
CCBX | Interest Rate Reduction | Consumer and other loans | Credit cards    
Financing Receivable, Modified [Line Items]    
Total 17,287 4,201
Total 12,050 0
CCBX | Interest Rate Reduction | Consumer and other loans | Other consumer and other loans    
Financing Receivable, Modified [Line Items]    
Total 0 0
Total 0 1,143
CCBX | Principal Forgiveness & Payment Delay    
Financing Receivable, Modified [Line Items]    
Total 8,880 3,865
Total 1,792 619
CCBX | Principal Forgiveness & Payment Delay | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans    
Financing Receivable, Modified [Line Items]    
Total 235 27
Total 77 0
CCBX | Principal Forgiveness & Payment Delay | Consumer and other loans | Credit cards    
Financing Receivable, Modified [Line Items]    
Total 0 0
Total 0 0
CCBX | Principal Forgiveness & Payment Delay | Consumer and other loans | Other consumer and other loans    
Financing Receivable, Modified [Line Items]    
Total 8,645 3,838
Total 1,715 619
CCBX | Principal Forgiveness, Payment Delay & Term Extension    
Financing Receivable, Modified [Line Items]    
Total 34 2,864
CCBX | Principal Forgiveness, Payment Delay & Term Extension | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans    
Financing Receivable, Modified [Line Items]    
Total 0 18
CCBX | Principal Forgiveness, Payment Delay & Term Extension | Consumer and other loans | Credit cards    
Financing Receivable, Modified [Line Items]    
Total 0 0
CCBX | Principal Forgiveness, Payment Delay & Term Extension | Consumer and other loans | Other consumer and other loans    
Financing Receivable, Modified [Line Items]    
Total $ 34 $ 2,846
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Summary of Risk Category of Loans by Class of Loans (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Financing Receivable, Credit Quality Indicator [Line Items]                
Loans receivable $ 3,486,565 $ 3,021,542 $ 3,413,894 $ 3,321,813 $ 3,195,101 $ 2,963,746 $ 3,005,603 $ 2,836,434
Total Community Bank Loans Portfolio Segment                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 174,585 367,855            
2024, current period gross write-offs 31 18            
2023 414,984 455,021            
2023, current period gross write-offs 92 0            
2022 408,442 309,306            
2022, current period gross write-offs 0 0            
2021 280,944 192,002            
2021, current period gross write-offs 0 0            
2020 165,017 179,206            
2020, current period gross write-offs 41 0            
Prior 352,547 261,254            
Prior, current period gross write-offs 390 46            
Revolving Loans Amortized Cost Basis 69,313 69,583            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 23,168 2,927            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 1,889,000 1,837,154            
Total, current period gross write-offs 554 64            
Total Community Bank Loans Portfolio Segment | Pass                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 156,945 367,855            
2023 414,806 450,666            
2022 404,174 297,806            
2021 274,979 188,443            
2020 164,855 171,800            
Prior 350,561 259,115            
Revolving Loans Amortized Cost Basis 67,354 65,464            
Revolving Loans Converted To Term 23,168 2,757            
Loans receivable 1,856,842 1,803,906            
Total Community Bank Loans Portfolio Segment | Other Loan Especially Mentioned                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 15,359 0            
2023 178 4,355            
2022 4,268 11,500            
2021 5,965 2,635            
2020 162 506            
Prior 1,986 2,139            
Revolving Loans Amortized Cost Basis 1,859 3,368            
Revolving Loans Converted To Term 0 0            
Loans receivable 29,777 24,503            
Total Community Bank Loans Portfolio Segment | Substandard                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 2,281 0            
2023 0 0            
2022 0 0            
2021 0 924            
2020 0 6,900            
Prior 0 0            
Revolving Loans Amortized Cost Basis 100 751            
Revolving Loans Converted To Term 0 170            
Loans receivable 2,381 8,745            
Total Community Bank Loans Portfolio Segment | Doubtful                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Commercial and industrial loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 12,016 15,882            
2024, current period gross write-offs 0 0            
2023 11,672 56,428            
2023, current period gross write-offs 92 0            
2022 43,490 15,566            
2022, current period gross write-offs 0 0            
2021 13,177 10,155            
2021, current period gross write-offs 0 0            
2020 8,109 12,429            
2020, current period gross write-offs 0 0            
Prior 7,634 1,442            
Prior, current period gross write-offs 167 46            
Revolving Loans Amortized Cost Basis 32,801 36,580            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 21,496 1,020            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 150,395 149,502            
Total, current period gross write-offs 259 46            
Commercial and industrial loans | Pass                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 12,016 15,882            
2023 11,654 56,428            
2022 43,490 15,566            
2021 13,139 10,044            
2020 8,109 12,429            
Prior 7,634 1,442            
Revolving Loans Amortized Cost Basis 31,022 33,412            
Revolving Loans Converted To Term 21,496 1,020            
Loans receivable 148,560 146,223            
Commercial and industrial loans | Other Loan Especially Mentioned                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 18 0            
2022 0 0            
2021 38 111            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 1,679 3,168            
Revolving Loans Converted To Term 0 0            
Loans receivable 1,735 3,279            
Commercial and industrial loans | Substandard                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 100 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 100 0            
Commercial and industrial loans | Doubtful                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Real Estate Portfolio Segment | Construction, land and land development loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 34,089 75,129            
2024, current period gross write-offs 0 0            
2023 70,457 49,275            
2023, current period gross write-offs 0 0            
2022 34,937 24,400            
2022, current period gross write-offs 0 0            
2021 5,180 5,184            
2021, current period gross write-offs 0 0            
2020 755 914            
2020, current period gross write-offs 0 0            
Prior 2,180 1,598            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 600 600            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 0 0            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 148,198 157,100            
Total, current period gross write-offs 0 0            
Real Estate Portfolio Segment | Construction, land and land development loans | Pass                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 34,089 75,129            
2023 70,297 49,275            
2022 34,937 20,811            
2021 4,501 2,859            
2020 755 914            
Prior 2,180 1,598            
Revolving Loans Amortized Cost Basis 600 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 147,359 150,586            
Real Estate Portfolio Segment | Construction, land and land development loans | Other Loan Especially Mentioned                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 160 0            
2022 0 3,589            
2021 679 2,325            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 839 5,914            
Real Estate Portfolio Segment | Construction, land and land development loans | Substandard                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 600            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 600            
Real Estate Portfolio Segment | Construction, land and land development loans | Doubtful                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Real Estate Portfolio Segment | Residential real estate                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 15,475 32,352            
2024, current period gross write-offs 0 0            
2023 30,332 42,460            
2023, current period gross write-offs 0 0            
2022 38,660 41,157            
2022, current period gross write-offs 0 0            
2021 37,834 30,287            
2021, current period gross write-offs 0 0            
2020 25,844 31,982            
2020, current period gross write-offs 0 0            
Prior 27,159 22,469            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 26,745 24,496            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 15 188            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 202,064 225,391            
Total, current period gross write-offs 0 0            
Real Estate Portfolio Segment | Residential real estate | Pass                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 13,194 32,352            
2023 30,332 41,362            
2022 37,576 39,137            
2021 37,834 30,259            
2020 25,838 31,982            
Prior 27,159 22,429            
Revolving Loans Amortized Cost Basis 26,565 24,396            
Revolving Loans Converted To Term 15 18            
Loans receivable 198,513 221,935            
Real Estate Portfolio Segment | Residential real estate | Other Loan Especially Mentioned                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 1,098            
2022 1,084 2,020            
2021 0 28            
2020 6 0            
Prior 0 40            
Revolving Loans Amortized Cost Basis 180 100            
Revolving Loans Converted To Term 0 0            
Loans receivable 1,270 3,286            
Real Estate Portfolio Segment | Residential real estate | Substandard                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 2,281 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 170            
Loans receivable 2,281 170            
Real Estate Portfolio Segment | Residential real estate | Doubtful                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Real Estate Portfolio Segment | Commercial real estate                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 111,558 244,169            
2024, current period gross write-offs 0 0            
2023 302,470 306,586            
2023, current period gross write-offs 0 0            
2022 283,086 228,178            
2022, current period gross write-offs 0 0            
2021 224,751 145,697            
2021, current period gross write-offs 0 0            
2020 130,060 133,843            
2020, current period gross write-offs 41 0            
Prior 312,237 235,581            
Prior, current period gross write-offs 223 0            
Revolving Loans Amortized Cost Basis 8,982 7,760            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 1,657 1,719            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 1,374,801 1,303,533            
Total, current period gross write-offs 264 0            
Real Estate Portfolio Segment | Commercial real estate | Pass                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 96,199 244,169            
2023 302,470 303,329            
2022 279,902 222,287            
2021 219,503 144,602            
2020 129,904 126,437            
Prior 310,251 233,482            
Revolving Loans Amortized Cost Basis 8,982 7,509            
Revolving Loans Converted To Term 1,657 1,719            
Loans receivable 1,348,868 1,283,534            
Real Estate Portfolio Segment | Commercial real estate | Other Loan Especially Mentioned                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 15,359 0            
2023 0 3,257            
2022 3,184 5,891            
2021 5,248 171            
2020 156 506            
Prior 1,986 2,099            
Revolving Loans Amortized Cost Basis 0 100            
Revolving Loans Converted To Term 0 0            
Loans receivable 25,933 12,024            
Real Estate Portfolio Segment | Commercial real estate | Substandard                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 924            
2020 0 6,900            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 151            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 7,975            
Real Estate Portfolio Segment | Commercial real estate | Doubtful                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Consumer and other loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 1,447 323            
2024, current period gross write-offs 31 18            
2023 53 272            
2023, current period gross write-offs 0 0            
2022 8,269 5            
2022, current period gross write-offs 0 0            
2021 2 679            
2021, current period gross write-offs 0 0            
2020 249 38            
2020, current period gross write-offs 0 0            
Prior 3,337 164            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 185 147            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 0 0            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 13,542 1,628            
Total, current period gross write-offs 31 18            
Consumer and other loans | Pass                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 1,447 323            
2023 53 272            
2022 8,269 5            
2021 2 679            
2020 249 38            
Prior 3,337 164            
Revolving Loans Amortized Cost Basis 185 147            
Revolving Loans Converted To Term 0 0            
Loans receivable 13,542 1,628            
Consumer and other loans | Other Loan Especially Mentioned                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Consumer and other loans | Substandard                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Consumer and other loans | Doubtful                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable $ 0 $ 0            
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Summary of Amortized Cost of CCBX Loans (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Financing Receivable, Credit Quality Indicator [Line Items]                
Loans receivable $ 3,486,565 $ 3,021,542 $ 3,413,894 $ 3,321,813 $ 3,195,101 $ 2,963,746 $ 3,005,603 $ 2,836,434
Total CCBX Loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 433,174 260,522            
2024, current period gross write-offs 14,262 21,663            
2023 184,676 59,895            
2023, current period gross write-offs 46,197 45,617            
2022 53,102 7,199            
2022, current period gross write-offs 16,658 11,589            
2021 2,639 106            
2021, current period gross write-offs 3,582 100            
2020 59 415            
2020, current period gross write-offs 29 346            
Prior 207 319            
Prior, current period gross write-offs 282 217            
Revolving Loans Amortized Cost Basis 920,795 835,614            
Revolving Loans Amortized Cost Basis, current period gross write-offs 147,527 72,401            
Revolving Loans Converted To Term 9,367 27,618            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 1,604,019 1,191,688            
Total, current period gross write-offs 228,537 151,933            
Commercial and industrial loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 12,016 15,882            
2024, current period gross write-offs 0 0            
2023 11,672 56,428            
2023, current period gross write-offs 92 0            
2022 43,490 15,566            
2022, current period gross write-offs 0 0            
2021 13,177 10,155            
2021, current period gross write-offs 0 0            
2020 8,109 12,429            
2020, current period gross write-offs 0 0            
Prior 7,634 1,442            
Prior, current period gross write-offs 167 46            
Revolving Loans Amortized Cost Basis 32,801 36,580            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 21,496 1,020            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 150,395 149,502            
Total, current period gross write-offs 259 46            
Commercial and industrial loans | Commercial and industrial loans - capital call lines | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2024, current period gross write-offs 0 0            
2023 0 0            
2023, current period gross write-offs 0 0            
2022 0 0            
2022, current period gross write-offs 0 0            
2021 0 0            
2021, current period gross write-offs 0 0            
2020 0 0            
2020, current period gross write-offs 0 0            
Prior 0 0            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 109,017 87,494            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 0 0            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 109,017 87,494            
Total, current period gross write-offs 0 0            
Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 1,049 43,599            
2024, current period gross write-offs 503 3,848            
2023 23,830 7,110            
2023, current period gross write-offs 11,845 2,502            
2022 4,093 9            
2022, current period gross write-offs 1,956 15            
2021 5 11            
2021, current period gross write-offs 2 16            
2020 12 0            
2020, current period gross write-offs 5 0            
Prior 0 0            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 4,972 3,566            
Revolving Loans Amortized Cost Basis, current period gross write-offs 986 224            
Revolving Loans Converted To Term 0 0            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 33,961 54,295            
Total, current period gross write-offs 15,297 6,605            
Real Estate Portfolio Segment | Residential real estate                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 15,475 32,352            
2024, current period gross write-offs 0 0            
2023 30,332 42,460            
2023, current period gross write-offs 0 0            
2022 38,660 41,157            
2022, current period gross write-offs 0 0            
2021 37,834 30,287            
2021, current period gross write-offs 0 0            
2020 25,844 31,982            
2020, current period gross write-offs 0 0            
Prior 27,159 22,469            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 26,745 24,496            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 15 188            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 202,064 225,391            
Total, current period gross write-offs 0 0            
Real Estate Portfolio Segment | Residential real estate | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2024, current period gross write-offs 0 0            
2023 0 0            
2023, current period gross write-offs 0 0            
2022 0 0            
2022, current period gross write-offs 0 0            
2021 0 0            
2021, current period gross write-offs 0 0            
2020 0 0            
2020, current period gross write-offs 0 0            
Prior 0 0            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 258,387 213,550            
Revolving Loans Amortized Cost Basis, current period gross write-offs 5,006 4,641            
Revolving Loans Converted To Term 9,320 24,485            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 267,707 238,035            
Total, current period gross write-offs 5,006 4,641            
Consumer and other loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 1,447 323            
2024, current period gross write-offs 31 18            
2023 53 272            
2023, current period gross write-offs 0 0            
2022 8,269 5            
2022, current period gross write-offs 0 0            
2021 2 679            
2021, current period gross write-offs 0 0            
2020 249 38            
2020, current period gross write-offs 0 0            
Prior 3,337 164            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 185 147            
Revolving Loans Amortized Cost Basis, current period gross write-offs 0 0            
Revolving Loans Converted To Term 0 0            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 13,542 1,628            
Total, current period gross write-offs 31 18            
Consumer and other loans | Credit cards | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2024, current period gross write-offs 0 0            
2023 0 0            
2023, current period gross write-offs 0 0            
2022 0 0            
2022, current period gross write-offs 0 0            
2021 0 0            
2021, current period gross write-offs 0 0            
2020 0 0            
2020, current period gross write-offs 0 0            
Prior 0 0            
Prior, current period gross write-offs 0 0            
Revolving Loans Amortized Cost Basis 528,507 502,704            
Revolving Loans Amortized Cost Basis, current period gross write-offs 130,825 61,358            
Revolving Loans Converted To Term 47 3,133            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 528,554 505,837            
Total, current period gross write-offs 130,825 61,358            
Consumer and other loans | Other consumer and other loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 432,125 216,923            
2024, current period gross write-offs 13,759 17,815            
2023 160,846 52,785            
2023, current period gross write-offs 34,352 43,115            
2022 49,009 7,190            
2022, current period gross write-offs 14,702 11,574            
2021 2,634 95            
2021, current period gross write-offs 3,580 84            
2020 47 415            
2020, current period gross write-offs 24 346            
Prior 207 319            
Prior, current period gross write-offs 282 217            
Revolving Loans Amortized Cost Basis 19,912 28,300            
Revolving Loans Amortized Cost Basis, current period gross write-offs 10,710 6,178            
Revolving Loans Converted To Term 0 0            
Revolving Loans Converted To Term, current period gross write-offs 0 0            
Loans receivable 664,780 306,027            
Total, current period gross write-offs 77,409 79,329            
Performing Financial Instruments | Total CCBX Loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 431,447 254,960            
2023 176,496 56,544            
2022 48,919 6,724            
2021 1,907 106            
2020 59 408            
Prior 192 309            
Revolving Loans Amortized Cost Basis 873,076 799,677            
Revolving Loans Converted To Term 9,367 26,438            
Loans receivable 1,541,463 1,145,166            
Performing Financial Instruments | Commercial and industrial loans | Commercial and industrial loans - capital call lines | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 109,017 87,494            
Revolving Loans Converted To Term 0 0            
Loans receivable 109,017 87,494            
Performing Financial Instruments | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 1,049 42,266            
2023 22,974 6,833            
2022 3,952 9            
2021 5 11            
2020 12 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 4,729 3,090            
Revolving Loans Converted To Term 0 0            
Loans receivable 32,721 52,209            
Performing Financial Instruments | Real Estate Portfolio Segment | Residential real estate | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 255,779 212,435            
Revolving Loans Converted To Term 9,320 24,485            
Loans receivable 265,099 236,920            
Performing Financial Instruments | Consumer and other loans | Credit cards | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 483,755 469,049            
Revolving Loans Converted To Term 47 1,953            
Loans receivable 483,802 471,002            
Performing Financial Instruments | Consumer and other loans | Other consumer and other loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 430,398 212,694            
2023 153,522 49,711            
2022 44,967 6,715            
2021 1,902 95            
2020 47 408            
Prior 192 309            
Revolving Loans Amortized Cost Basis 19,796 27,609            
Revolving Loans Converted To Term 0 0            
Loans receivable 650,824 297,541            
Nonperforming Financial Instruments | Total CCBX Loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 1,727 5,562            
2023 8,180 3,351            
2022 4,183 475            
2021 732 0            
2020 0 7            
Prior 15 10            
Revolving Loans Amortized Cost Basis 47,719 35,937            
Revolving Loans Converted To Term 0 1,180            
Loans receivable 62,556 46,522            
Nonperforming Financial Instruments | Commercial and industrial loans | Commercial and industrial loans - capital call lines | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 0 0            
Revolving Loans Converted To Term 0 0            
Loans receivable 0 0            
Nonperforming Financial Instruments | Commercial and industrial loans | CCBX Other Commercial and Industrial Loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 1,333            
2023 856 277            
2022 141 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 243 476            
Revolving Loans Converted To Term 0 0            
Loans receivable 1,240 2,086            
Nonperforming Financial Instruments | Real Estate Portfolio Segment | Residential real estate | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 2,608 1,115            
Revolving Loans Converted To Term 0 0            
Loans receivable 2,608 1,115            
Nonperforming Financial Instruments | Consumer and other loans | Credit cards | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 0 0            
2023 0 0            
2022 0 0            
2021 0 0            
2020 0 0            
Prior 0 0            
Revolving Loans Amortized Cost Basis 44,752 33,655            
Revolving Loans Converted To Term 0 1,180            
Loans receivable 44,752 34,835            
Nonperforming Financial Instruments | Consumer and other loans | Other consumer and other loans | CCBX Loans                
Financing Receivable, Credit Quality Indicator [Line Items]                
2024 1,727 4,229            
2023 7,324 3,074            
2022 4,042 475            
2021 732 0            
2020 0 7            
Prior 15 10            
Revolving Loans Amortized Cost Basis 116 691            
Revolving Loans Converted To Term 0 0            
Loans receivable $ 13,956 $ 8,486            
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Summary of Loans by Credit Quality Risk Rating (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Loans And Leases Receivable Disclosure [Line Items]                
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, Fee, and Loan in Process $ 3,493,019       $ 3,028,842      
Financing Receivable, Unamortized Loan Cost (Fee) and Purchase Premium (Discount) (6,454)       (7,300)      
Loans receivable 3,486,565 $ 3,413,894 $ 3,321,813 $ 3,195,101 3,021,542 $ 2,963,746 $ 3,005,603 $ 2,836,434
Commercial and industrial loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 150,395       149,502      
Real Estate Portfolio Segment | Residential real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 202,064       225,391      
Real Estate Portfolio Segment | Commercial real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 1,374,801       1,303,533      
Consumer and other loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 13,542       1,628      
Pass | Commercial and industrial loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 148,560       146,223      
Pass | Real Estate Portfolio Segment | Residential real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 198,513       221,935      
Pass | Real Estate Portfolio Segment | Commercial real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 1,348,868       1,283,534      
Pass | Consumer and other loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 13,542       1,628      
Substandard [Member] | Commercial and industrial loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 100       0      
Substandard [Member] | Real Estate Portfolio Segment | Residential real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 2,281       170      
Substandard [Member] | Real Estate Portfolio Segment | Commercial real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 0       7,975      
Substandard [Member] | Consumer and other loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 0       0      
Doubtful | Commercial and industrial loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 0       0      
Doubtful | Real Estate Portfolio Segment | Residential real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 0       0      
Doubtful | Real Estate Portfolio Segment | Commercial real estate                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable 0       0      
Doubtful | Consumer and other loans                
Loans And Leases Receivable Disclosure [Line Items]                
Loans receivable $ 0       $ 0      
v3.25.1
Loans and Allowance for Loan Losses (“ACL") - Summary of Allocation of Allowance for Loan Loss as well as Activity in Allowance for Loan Loss Attributed to Various Segments in Loan (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance $ 117,381 $ 74,029              
Provision for credit losses or (recapture) 275,663 184,043 $ 79,064            
Loans receivable allowance including provision losses or (recapture) 393,044 261,924              
Loans charged-off (229,091) (151,997)              
Recoveries of loans previously charged-off 13,041 7,454              
Net charge-offs (216,050) (144,543)              
ALLL ending balance 176,994 117,381 74,029            
Loans                  
Allowance for credit losses 176,994 117,381 74,029 $ 171,674 $ 148,878 $ 139,941 $ 101,195 $ 110,813 $ 89,123
PROVISION (RECAPTURE) FOR UNFUNDED COMMITMENTS 1,944 (51)              
Collateral Dependent Loans                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 0                
ALLL ending balance 0 0              
Loans                  
Total 100 7,315              
Allowance for credit losses 0 0              
Collateral Dependent Loans | Real Estate, Collateral Dependent Loans                  
Loans                  
Total   7,315              
Collateral Dependent Loans | Business Assets                  
Loans                  
Total 100                
Accounting Standards Update 2016-13                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance   3,852              
ALLL ending balance     3,852            
Loans                  
Allowance for credit losses     3,852            
Unfunded Loan Commitment                  
Loans                  
PROVISION (RECAPTURE) FOR UNFUNDED COMMITMENTS 1,900 (51)              
Commercial and industrial loans                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 8,894 4,831              
Provision for credit losses or (recapture) 16,605 9,264              
Loans receivable allowance including provision losses or (recapture) 25,499 15,523              
Loans charged-off (15,556) (6,651)              
Recoveries of loans previously charged-off 1,108 22              
Net charge-offs (14,448) (6,629)              
ALLL ending balance 11,051 8,894 4,831            
Loans                  
Allowance for credit losses 11,051 8,894 4,831            
Commercial and industrial loans | Collateral Dependent Loans                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL ending balance 0                
Loans                  
Total 100                
Allowance for credit losses 0                
Commercial and industrial loans | Collateral Dependent Loans | Business Assets                  
Loans                  
Total 100                
Commercial and industrial loans | Accounting Standards Update 2016-13                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance   1,428              
ALLL ending balance     1,428            
Loans                  
Allowance for credit losses     1,428            
Construction, land and land development loans                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 6,386 7,425              
Provision for credit losses or (recapture) (2,947) 550              
Loans receivable allowance including provision losses or (recapture) 3,439 6,386              
Loans charged-off 0 0              
Recoveries of loans previously charged-off 0 0              
Net charge-offs 0 0              
ALLL ending balance 3,439 6,386 7,425            
Loans                  
Allowance for credit losses 3,439 6,386 7,425            
Construction, land and land development loans | Accounting Standards Update 2016-13                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance   (1,589)              
ALLL ending balance     (1,589)            
Loans                  
Allowance for credit losses     (1,589)            
Real Estate Portfolio Segment | Residential real estate                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 13,049 4,142              
Provision for credit losses or (recapture) 4,199 11,921              
Loans receivable allowance including provision losses or (recapture) 17,248 17,686              
Loans charged-off (5,006) (4,641)              
Recoveries of loans previously charged-off 8 4              
Net charge-offs (4,998) (4,637)              
ALLL ending balance 12,250 13,049 4,142            
Loans                  
Allowance for credit losses 12,250 13,049 4,142            
Real Estate Portfolio Segment | Residential real estate | Collateral Dependent Loans                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 0                
ALLL ending balance   0              
Loans                  
Total   170              
Allowance for credit losses   0              
Real Estate Portfolio Segment | Residential real estate | Collateral Dependent Loans | Real Estate, Collateral Dependent Loans                  
Loans                  
Total   170              
Real Estate Portfolio Segment | Residential real estate | Accounting Standards Update 2016-13                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance   1,623              
ALLL ending balance     1,623            
Loans                  
Allowance for credit losses     1,623            
Real Estate Portfolio Segment | Commercial real estate                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 7,441 5,470              
Provision for credit losses or (recapture) 1,279 731              
Loans receivable allowance including provision losses or (recapture) 8,720 7,441              
Loans charged-off (264) 0              
Recoveries of loans previously charged-off 0 0              
Net charge-offs (264) 0              
ALLL ending balance 8,456 7,441 5,470            
Loans                  
Allowance for credit losses 8,456 7,441 5,470            
Real Estate Portfolio Segment | Commercial real estate | Collateral Dependent Loans                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 0                
ALLL ending balance   0              
Loans                  
Total   7,145              
Allowance for credit losses   0              
Real Estate Portfolio Segment | Commercial real estate | Collateral Dependent Loans | Real Estate, Collateral Dependent Loans                  
Loans                  
Total   7,145              
Real Estate Portfolio Segment | Commercial real estate | Accounting Standards Update 2016-13                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance   1,240              
ALLL ending balance     1,240            
Loans                  
Allowance for credit losses     1,240            
Consumer and other loans                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 81,611 50,996              
Provision for credit losses or (recapture) 256,527 161,577              
Loans receivable allowance including provision losses or (recapture) 338,138 214,888              
Loans charged-off (208,265) (140,705)              
Recoveries of loans previously charged-off 11,925 7,428              
Net charge-offs (196,340) (133,277)              
ALLL ending balance 141,798 81,611 50,996            
Loans                  
Allowance for credit losses 141,798 81,611 50,996            
Consumer and other loans | Accounting Standards Update 2016-13                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance   2,315              
ALLL ending balance     2,315            
Loans                  
Allowance for credit losses     2,315            
Unallocated                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance 0 1,165              
Provision for credit losses or (recapture) 0 0              
Loans receivable allowance including provision losses or (recapture) 0 0              
Loans charged-off 0 0              
Recoveries of loans previously charged-off 0 0              
Net charge-offs 0 0              
ALLL ending balance 0 0 1,165            
Loans                  
Allowance for credit losses $ 0 0 1,165            
Unallocated | Accounting Standards Update 2016-13                  
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward]                  
ALLL beginning balance   $ (1,165)              
ALLL ending balance     (1,165)            
Loans                  
Allowance for credit losses     $ (1,165)            
v3.25.1
Loans and Allowance for Loan Losses ("ACL") - Summary of Collateral Dependent Loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Dec. 31, 2022
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Allowance for credit losses $ (176,994) $ (171,674) $ (148,878) $ (139,941) $ (117,381) $ (101,195) $ (110,813) $ (89,123) $ (74,029)
Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated 100       7,315        
Allowance for credit losses 0       0        
Business Assets | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated 100                
Real Estate, Collateral Dependent Loans | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated         7,315        
Commercial and industrial loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Allowance for credit losses (11,051)       (8,894)       (4,831)
Commercial and industrial loans | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated 100                
Allowance for credit losses 0                
Commercial and industrial loans | Business Assets | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated 100                
Real Estate Portfolio Segment | Residential real estate                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Allowance for credit losses (12,250)       (13,049)       (4,142)
Real Estate Portfolio Segment | Residential real estate | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated         170        
Allowance for credit losses         0        
Real Estate Portfolio Segment | Residential real estate | Real Estate, Collateral Dependent Loans | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated         170        
Real Estate Portfolio Segment | Commercial real estate                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Allowance for credit losses $ (8,456)       (7,441)       $ (5,470)
Real Estate Portfolio Segment | Commercial real estate | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated         7,145        
Allowance for credit losses         0        
Real Estate Portfolio Segment | Commercial real estate | Real Estate, Collateral Dependent Loans | Collateral Dependent Loans                  
Financing Receivable, Allowance for Credit Loss [Line Items]                  
Loans individually evaluated         $ 7,145        
v3.25.1
Premises and Equipment - Summary of Investment in Premises and Equipment (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Property Plant And Equipment [Line Items]    
Premises and equipment, gross $ 44,118 $ 34,238
Less accumulated depreciation and amortization (16,687) (12,148)
Premises and equipment, net 27,431 22,090
Land    
Property Plant And Equipment [Line Items]    
Premises and equipment, gross 3,599 3,599
Buildings    
Property Plant And Equipment [Line Items]    
Premises and equipment, gross 11,798 11,780
Leasehold Improvements    
Property Plant And Equipment [Line Items]    
Premises and equipment, gross 5,038 5,038
Furniture    
Property Plant And Equipment [Line Items]    
Premises and equipment, gross 2,297 2,308
Equipment    
Property Plant And Equipment [Line Items]    
Premises and equipment, gross 5,723 5,587
Software    
Property Plant And Equipment [Line Items]    
Premises and equipment, gross 15,663 5,806
Projects in process    
Property Plant And Equipment [Line Items]    
Premises and equipment, gross $ 0 $ 120
v3.25.1
Premises and Equipment - Additional Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Abstract]      
Depreciation $ 1,500 $ 1,600 $ 1,500
Amortization on software $ 3,000 $ 754 $ 329
v3.25.1
Leases - Additional Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Lessee Lease Description [Line Items]      
Weighted average discount rate used to discount operating lease liabilities 4.00%    
Weighted average discount rate used to discount finance leases 4.75%    
Operating leases weighted-average remaining lease term 8 years 4 months 24 days    
Finance lease weighted-average remaining lease term 1 year 9 months 18 days    
Operating lease rental expense $ 1,200 $ 1,200 $ 1,400
Right-of-use amortization (2) 43 0 0
Interest expense (3) 5 0 0
Lease and sublease income $ 204 $ 205 $ 157
Minimum      
Lessee Lease Description [Line Items]      
Operating leases lease term 1 month    
Operating lease, option to renewal period 29 days    
Maximum      
Lessee Lease Description [Line Items]      
Operating leases lease term 21 years 2 months 12 days    
Operating lease, option to renewal period 10 years    
v3.25.1
Leases - Summary of Minimum Annual Lease Payments under Lease Terms (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Leases [Abstract]  
2025 $ 977
2026 977
2027 913
2028 692
2029 459
2030 and thereafter 2,304
Total lease payments 6,322
Less: amounts representing interest 984
Present value of lease liabilities 5,338
2025 36
2026 27
2027 0
2028 0
2029 0
2030 and thereafter 0
Total lease payments 63
Less: amounts representing interest 3
Present value of lease liabilities $ 60
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] Lease liabilities
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration] Lease liabilities
v3.25.1
Leases - Summary of Components of Total Lease Expense and Operating Cash Flows (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Lease expense:      
Operating lease expense (1) $ 1,020 $ 1,074 $ 1,281
Variable lease expense 362 236 193
Right-of-use amortization (2) 43 0 0
Interest expense (3) 5 0 0
Total lease expense 1,430 1,310 1,474
Cash paid:      
Cash paid from operating leases 1,396 1,334 1,473
Cash paid from finance leases $ 47 $ 0 $ 0
v3.25.1
Deposits - Composition of Consolidated Deposits (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Deposits [Abstract]    
Demand, noninterest bearing $ 527,524 $ 625,202
Interest bearing demand and money market 2,529,084 2,640,240
Savings 66,826 76,562
Other deposits 444,351 1
Time deposits less than $250,000 11,252 13,917
Time deposits $250,000 and over 6,295 4,441
Deposits $ 3,585,332 $ 3,360,363
v3.25.1
Deposits - Schedule of Maturity Distribution of Time Deposits (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Deposits [Abstract]  
Twelve months $ 13,960
One to two years 2,319
Two to three years 293
Three to four years 696
Four to five years 279
Thereafter 0
Total time deposits $ 17,547
v3.25.1
Deposits - Additional Information (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Deposit Liability [Line Items]    
Deposits $ 3,585,332 $ 3,360,363
Reciprocal NOW and Money Market Accounts    
Deposit Liability [Line Items]    
Deposits $ 414,000 $ 340,100
v3.25.1
Federal Home Loan Bank Advances and Other Borrowings - Additional Information (Details) - USD ($)
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Federal Home Loan Bank Advances And Other Borrowings [Line Items]                
Federal home loan bank advances, collateral pledged $ 303,000,000.0       $ 321,500,000      
Available borrowing capacity 173,300,000              
Total loans receivable, net 3,309,571,000 $ 3,242,220,000 $ 3,172,935,000 $ 3,055,160,000 2,904,161,000 $ 2,862,551,000 $ 2,894,790,000 $ 2,747,311,000
Federal Home Loan Bank Advances                
Federal Home Loan Bank Advances And Other Borrowings [Line Items]                
Total loans receivable, net 933,900,000       1,010,000,000.00      
Federal Home Loan Bank Advances | Commercial real estate                
Federal Home Loan Bank Advances And Other Borrowings [Line Items]                
Total loans receivable, net 654,800,000       685,700,000      
PCBB                
Federal Home Loan Bank Advances And Other Borrowings [Line Items]                
Unsecured line of credit 50,000,000.0              
Outstanding borrowing 0       0      
Borrower-in-Custody                
Federal Home Loan Bank Advances And Other Borrowings [Line Items]                
Unsecured line of credit 468,700,000       435,500,000      
Outstanding borrowing 0       0      
FHLB Overnight and Long-Term Borrowings                
Federal Home Loan Bank Advances And Other Borrowings [Line Items]                
Federal home loan bank advances 0              
FHLB Long-term Borrowings                
Federal Home Loan Bank Advances And Other Borrowings [Line Items]                
Federal home loan bank advances $ 0       $ 0      
v3.25.1
Summary of FHLB Borrowings (Details) - FHLB Long-term Borrowings - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Federal Home Loan Bank Advances And Other Borrowings [Line Items]    
Maximum amount outstanding at any month-end during period: FHLB Advances $ 0 $ 0
Average outstanding balance during period: FHLB Advances $ 2,443 $ 1
Weighted average interest rate during period: FHLB Advances 5.66% 5.60%
Federal Home Loan Bank ("FHLB") advances $ 0 $ 0
Weighted average interest rate at end of period: FHLB Advances 0.00% 0.00%
v3.25.1
Subordinated Debt - Schedule of Subordinated Debt (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Nov. 01, 2022
Aug. 18, 2021
Subordinated Borrowing [Line Items]        
Total liability, at carrying value $ 44,293 $ 44,144    
Subordinated Debt        
Subordinated Borrowing [Line Items]        
Total liability, at par 45,000 45,000 $ 20,000 $ 25,000
Less: unamortized debt issuance costs (707) (856)    
Total liability, at carrying value $ 44,293 $ 44,144    
v3.25.1
Subordinated Debt - Additional Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Nov. 01, 2022
Aug. 18, 2021
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Subordinated Borrowing [Line Items]          
Accrued interest payable     $ 962 $ 892  
Subordinated Debt          
Subordinated Borrowing [Line Items]          
Total liability, at par $ 20,000 $ 25,000 45,000 45,000  
Debt instrument, maturity date Nov. 01, 2032 Sep. 01, 2031      
Debt instrument, term 5 years 5 years      
Interest rate 7.00% 3.375%      
Debt instrument, variable rate 2.90% 2.76%      
Interest expense, debt     2,400 2,400 $ 1,200
Accrued interest payable     $ 515 $ 515  
v3.25.1
Junior Subordinated Debentures - Schedule of Junior Subordinated Debentures (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Dec. 15, 2004
Debt Instrument [Line Items]      
Total liability, at carrying value $ 3,591 $ 3,590  
Junior Subordinated Debentures      
Debt Instrument [Line Items]      
Total liability, at par 3,609 3,609 $ 3,600
Less: unamortized debt issuance costs (18) (19)  
Total liability, at carrying value $ 3,591 $ 3,590  
v3.25.1
Junior Subordinated Debentures - Additional Information (Details) - USD ($)
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 15, 2004
Debt Instrument [Line Items]        
Accrued interest payable $ 962,000 $ 892,000    
Junior Subordinated Debentures        
Debt Instrument [Line Items]        
Total liability, at par $ 3,609,000 $ 3,609,000   $ 3,600,000
Effective interest rate 6.72% 7.75%    
Interest expenses $ 279,000 $ 271,000 $ 143,000  
Accrued interest payable 11,000 $ 13,000    
Principal payments due in next five years $ 0      
Junior Subordinated Debentures | London Interbank Offered Rate (LIBOR) 1        
Debt Instrument [Line Items]        
Debt instrument, variable rate 2.10%      
Junior Subordinated Debentures | SOFR        
Debt Instrument [Line Items]        
Debt instrument, variable rate 0.26%      
Junior Subordinated Debentures | SOFR | Maximum        
Debt Instrument [Line Items]        
Debt instrument, variable rate 2.10%      
v3.25.1
Income Taxes - Components of Income Tax (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Current tax expense (benefit) $ 11,960 $ (1,325) $ 21,014
Deferred tax expense (benefit) 138 13,879 (11,018)
Total tax expense $ 12,098 $ 12,554 $ 9,996
v3.25.1
Income Taxes - Additional Information (Details) - USD ($)
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Line Items]    
Net income tax receivable $ 7,100,000 $ 9,100,000
Income tax penalties and interest 0 $ 0
Deferred tax assets valuation allowance 0  
Federal    
Income Tax Disclosure [Line Items]    
Operating loss carryforwards 0  
Tax credit carryforwards $ 0  
v3.25.1
Income Taxes - Summary of Reconciliation of Income Tax Expense (Benefit) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Amount      
Federal income tax at statutory rate $ 12,037 $ 11,998 $ 10,630
State income taxes 1,284 1,275 523
Effect of tax-exempt interest income (71) (77) (84)
Stock-based compensation (993) (728) (987)
Bank owned life insurance earnings (102) (39) (76)
Excess executive compensation 167 145 128
Other (224) (20) (138)
Total tax expense $ 12,098 $ 12,554 $ 9,996
Rate      
Federal income tax at statutory rate 21.00% 21.00% 21.00%
State income taxes 2.20% 2.20% 1.00%
Effect of tax-exempt interest income (0.10%) (0.10%) (0.20%)
Bank owned life insurance earnings (0.20%) (0.10%) (0.20%)
Stock-based compensation (1.70%) (1.30%) (1.90%)
Excess executive compensation 0.30% 0.30% 0.30%
Other (0.40%) 0.00% (0.30%)
Effective income tax rate reconciliation 21.10% 22.00% 19.70%
v3.25.1
Income Taxes - Schedule of Net Deferred Tax Asset Temporary Differences and Carryforward Items (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Deferred tax assets:    
Allowance for credit losses $ 40,734 $ 27,244
Lease liability 1,245 1,431
Accrued expenses 582 755
Deferred compensation 76 112
Stock based compensation 1,220 983
Net unrealized loss on available-for-sale securities 0 69
Other 1,630 544
Total deferred tax assets 45,487 31,138
Deferred tax liabilities:    
Right of use asset (1,203) (1,386)
Depreciation and amortization (365) (693)
Credit enhancement recovery (40,101) (25,030)
Other (218) (223)
Total deferred tax liabilities (41,887) (27,332)
Net deferred tax asset $ 3,600 $ 3,806
v3.25.1
Related Party Transactions - Summary of Loan Transations (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Loans and Leases Receivable, Related Parties [Roll Forward]    
Beginning Balance January 1 $ 13,043 $ 13,427
Additions 1 0
Payments (403) (384)
Ending Balance December 31 $ 12,641 $ 13,043
v3.25.1
Related Party Transactions - Additional Information (Details)
$ in Thousands
1 Months Ended 12 Months Ended
May 31, 2023
USD ($)
Mar. 31, 2023
USD ($)
Dec. 31, 2024
USD ($)
facility
Dec. 31, 2023
USD ($)
facility
Dec. 31, 2022
USD ($)
Related Party Transaction [Line Items]          
Related party deposits held     $ 3,900 $ 4,000  
Payments for legal services     $ 971 $ 1,000 $ 864
Number of facilities under lease | facility     1 1  
Operating lease rental expense     $ 1,200 $ 1,200 1,400
Everett Branch Facility          
Related Party Transaction [Line Items]          
Operating monthly rental payments $ 19 $ 46      
Operating lease rental expense       $ 316 $ 546
v3.25.1
Commitments and Contingencies - Additional Information (Details) - USD ($)
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Loss Contingencies [Line Items]    
Reserve for unfunded commitments $ 2,500,000 $ 582,000
Commitments to extend credit, cancelable 1,300,000,000  
Commitment losses 0 0
CCBX    
Loss Contingencies [Line Items]    
Reserve for unfunded commitments 1,300,000  
Commitments to extend credit, cancelable $ 1,300,000,000 $ 1,630,000,000
v3.25.1
Commitments and Contingencies - Schedule of Financial Instruments Contract Amount Represents Credit Risk (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Total commitments to extend credit    
Loss Contingencies [Line Items]    
Commitments to extend credit $ 1,962,828 $ 2,344,419
Standby letters of credit    
Loss Contingencies [Line Items]    
Commitments to extend credit 1,042 1,096
Equity investment commitment    
Loss Contingencies [Line Items]    
Commitments to extend credit 480 653
Commercial and industrial loans - capital call lines    
Loss Contingencies [Line Items]    
Commitments to extend credit 550,948 608,837
Construction – commercial real estate loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 36,873 92,709
Construction – residential real estate loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 10,929 20,825
Residential real estate loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 499,516 465,887
Commercial real estate loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 34,222 54,289
Credit cards    
Loss Contingencies [Line Items]    
Commitments to extend credit 717,198 1,014,959
Consumer and other loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 18,553 779
Commercial and industrial loans    
Loss Contingencies [Line Items]    
Commitments to extend credit $ 94,589 $ 86,134
v3.25.1
Commitments and Contingencies - Summary of Commitments to Extend Credit on CCBX Loans (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
CCBX Loans    
Loss Contingencies [Line Items]    
Commitments to extend credit $ 1,756,426 $ 2,051,898
Commercial and industrial loans - capital call lines | CCBX Loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 550,948 608,837
Residential real estate loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 499,516 465,887
Residential real estate loans | CCBX Loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 453,369 418,761
Consumer and other loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 18,553 779
Consumer and other loans | CCBX Loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 733,005 1,015,156
Commercial and industrial loans    
Loss Contingencies [Line Items]    
Commitments to extend credit 94,589 86,134
Commercial and industrial loans | CCBX Loans    
Loss Contingencies [Line Items]    
Commitments to extend credit $ 19,104 $ 9,144
v3.25.1
Commitment and Contingencies - Schedule of CCBX Partners Maximum Aggregate Customer Loan Balances (Details) - CCBX Loans
$ in Thousands
Dec. 31, 2024
USD ($)
Other Commitments [Line Items]  
Maximum Portfolio Size $ 3,805,000
Home equity lines of credit  
Other Commitments [Line Items]  
Maximum Portfolio Size 375,000
Credit cards  
Other Commitments [Line Items]  
Maximum Portfolio Size 820,000
Installment loans  
Other Commitments [Line Items]  
Maximum Portfolio Size 1,774,533
Other consumer and other loans  
Other Commitments [Line Items]  
Maximum Portfolio Size 5,398
Capital call lines  
Other Commitments [Line Items]  
Maximum Portfolio Size 350,000
All other commercial & industrial loans  
Other Commitments [Line Items]  
Maximum Portfolio Size $ 480,069
v3.25.1
Concentration of Credit Risk - Additional Information (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Concentration Risk [Line Items]    
Uninsured deposits in bank $ 10,100 $ 6,300
Maximum    
Concentration Risk [Line Items]    
Cash, FDIC insured amount $ 250  
Banking regulations, credit limitation percentage based on banks capital and surplus 20.00%  
v3.25.1
Stock-Based Compensation - Additional Information (Details) - USD ($)
12 Months Ended
May 21, 2021
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Intrinsic value of options exercised   $ 6,700,000 $ 2,700,000  
Total unrecognized compensation cost related to nonvested stock options granted   523,000    
Compensation expense   $ 4,844,000 3,688,000 $ 2,517,000
Stock Option Awards        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period   2 years 9 months 18 days    
Compensation expense   $ 274,000 319,000 331,000
Restricted Stock Units (RSUs)        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Total unrecognized compensation cost related to nonvested stock options granted   $ 15,200,000    
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period   4 years    
Compensation expense   $ 3,900,000 2,900,000 1,900,000
Number of shares granted (in shares)   238,901,000    
Restricted Stock        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Stock options granted to employees (in shares)   0    
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period   3 years 1 month 6 days    
Compensation expense   $ 9,000 9,000 9,000
Total unrecognized compensation cost related to nonvested restricted stock awards   $ 28,000    
2018 Omnibus Incentive Plan        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Common stock, additional shares authorized (in shares) 600,000      
Shares available to be granted (in shares)   196,447    
Stock options granted to employees (in shares)   0    
2018 Omnibus Incentive Plan | Restricted Stock Units (RSUs) | Two-year Cliff Vesting Period        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Number of shares granted (in shares)   163,901    
2018 Omnibus Incentive Plan | Restricted Stock | Director        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Market value of shares grants per year   $ 60,000    
2018 Omnibus Incentive Plan | Restricted Stock | Board Chair        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Market value of shares grants per year   90,000    
2018 Omnibus Incentive Plan | Restricted Stock | Committee Chairs        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Market value of shares grants per year   15,000    
2018 Omnibus Incentive Plan | Restricted Stock | Non-Financial Risk and Compensation Committee Chair        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Market value of shares grants per year   12,500    
2018 Omnibus Incentive Plan | Restricted Stock | Asset Liability & Investment, Credit and Nominating & Governance Chair        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Market value of shares grants per year   $ 10,000    
2018 Omnibus Incentive Plan | Performance Shares | Two-year Cliff Vesting Period        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Number of shares granted (in shares)   60,000    
2018 Omnibus Incentive Plan | Performance Shares | Share-Based Payment Arrangement, Tranche Two        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Number of shares granted (in shares)   15,000    
2018 Omnibus Incentive Plan | Minimum | Two-year Cliff Vesting Period        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Stock options vesting period   3 years    
2018 Omnibus Incentive Plan | Maximum        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Common stock, additional shares authorized (in shares)   500,000    
2018 Omnibus Incentive Plan | Maximum | Two-year Cliff Vesting Period        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Stock options vesting period   5 years    
Directors Stock Compensation Plan        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Unrecognized compensation cost related to nonvested stock options/ RSA granted, weighted-average period   5 months    
Directors Stock Compensation Plan | Restricted Stock        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Compensation expense   $ 625,000 $ 432,000 $ 295,000
Number of shares granted (in shares)   16,698,000    
Directors Stock Compensation Plan | Restricted Stock | Director        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Total unrecognized compensation cost related to nonvested stock options granted   $ 298,000    
Two Thousand And Six Stock Option And Equity Compensation Plan And Directors Stock Bonus Plan        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Common stock, additional shares authorized (in shares)   0    
v3.25.1
Stock-Based Compensation - Summary of Stock Option Activity (Details) - 2018 Omnibus Incentive Plan - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Number of Shares    
Outstanding, beginning of period (in shares) 354,969  
Granted (in shares) 0  
Exercised (in shares) (167,455)  
Expired (in shares) (20)  
Forfeited or expired (in shares) (1,140)  
Outstanding, end of period (in shares) 186,354 354,969
Vested or expected to vest, end of period (in shares) 186,354  
Exercisable, end of period (in shares) 68,905  
Weighted- Average Exercise Price    
Outstanding, beginning of period (in usd per share) $ 9.11  
Granted (in dollars per share) 0  
Exercised (in dollars per share) 8.33  
Expired (in dollars per share) 14.91  
Forfeited or expired (in dollars per share) 9.67  
Outstanding, end of period (in usd per share) 9.80 $ 9.11
Vested or expected to vest, end of period (in dollars per share) 9.80  
Exercisable, end of period (in dollars per share) $ 9.66  
Additional Disclosures    
Weighted average remaining contractual term, outstanding, beginning of period 2 years 9 months 18 days 3 years 3 months 18 days
Weighted average remaining contractual term, outstanding, end of period 2 years 9 months 18 days 3 years 3 months 18 days
Weighted average remaining contractual term, vested or expected to vest, end of period 2 years 9 months 18 days  
Weighted average remaining contractual term, exercisable, end of period 2 years 7 months 6 days  
Aggregate intrinsic value, outstanding, beginning of period $ 12,531  
Aggregate intrinsic value, outstanding, end of period 13,996 $ 12,531
Aggregate intrinsic value, vested or expected to vest, end of period (in dollars) 13,996  
Aggregate intrinsic value, exercisable, end of period (in dollars) $ 5,185  
v3.25.1
Stock-Based Compensation - Summary of Nonvested Restricted Stock Units (Details) - Restricted Stock Units (RSUs)
12 Months Ended
Dec. 31, 2024
$ / shares
shares
Number of Shares  
Nonvested shares, beginning balance (in shares) | shares 409,271,000
Granted (in shares) | shares 238,901,000
Forfeited (in shares) | shares (17,982,000)
Vested (in shares) | shares (66,806,000)
Nonvested shares, ending balance (in shares) | shares 563,384,000
Weighted- Average Grant Date Fair Value  
Nonvested shares, beginning balance (in usd per share) | $ / shares $ 31.22
Granted (in usd per share) | $ / shares 44.06
Forfeited (in usd per share) | $ / shares 36.98
Vested (in usd per share) | $ / shares 33.61
Nonvested shares, ending balance (in usd per share) | $ / shares $ 36.20
v3.25.1
Stock-Based Compensation - Summary of Nonvested Shares (Details) - Restricted Stock - Directors Stock Compensation Plan
12 Months Ended
Dec. 31, 2024
$ / shares
shares
Number of Shares  
Nonvested shares, beginning balance (in shares) | shares 16,038,000
Granted (in shares) | shares 16,698,000
Forfeited (in shares) | shares 0
Vested (in shares) | shares (14,038,000)
Nonvested shares, ending balance (in shares) | shares 18,698,000
Weighted- Average Grant Date Fair Value  
Nonvested shares, beginning balance (in usd per share) | $ / shares $ 32.41
Granted (in usd per share) | $ / shares 43.66
Forfeited (in usd per share) | $ / shares 0
Vested (in usd per share) | $ / shares 34.49
Nonvested shares, ending balance (in usd per share) | $ / shares $ 40.90
v3.25.1
Employee Benefit Plans - Additional Information (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2024
USD ($)
employee
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Retirement Benefits [Abstract]      
Contribution amount $ 1,800 $ 1,600 $ 1,300
Number of former employees covered under deferred compensation plan | employee 2    
Cash surrender value of life insurance $ 13,400 12,900  
Deferred compensation 332 479  
Compensation expense 29 39 48
Payment of accrued employee benefits made during period $ 175 $ 175 $ 175
v3.25.1
Regulatory Matters - Additional Information (Details) - USD ($)
Dec. 31, 2024
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]    
Deferred tax regulatory assets $ 0 $ 0
Common equity Tier 1 capital conservation buffer 2.50%  
v3.25.1
Regulatory Matters - Summary of Company and Banks's Actual and Required Capital Amounts and Ratios (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Leverage Capital (to average assets)    
Actual, amount $ 442,193 $ 298,920
Actual, ratio 0.1078 0.0810
Minimum required for capital adequacy purposes, amount $ 164,052 $ 147,616
Minimum required for capital adequacy purposes, ratio 0.0400 0.0400
Common Equity Tier 1 risk-based capital ratio (to risk-weighted assets)    
Actual, amount $ 438,693 $ 295,450
Actual, ratio 0.1204 0.0910
Minimum required for capital adequacy purposes, amount $ 163,952 $ 146,137
Minimum required for capital adequacy purposes, ratio 0.0450 0.0450
Tier 1 Capital (to risk-weighted assets)    
Actual, amount $ 442,193 $ 298,920
Actual, ratio 0.1214 0.0920
Minimum required for capital adequacy purposes, amount $ 218,602 $ 194,849
Minimum required for capital adequacy purposes, ratio 0.0600 0.0600
Total Capital (to risk-weighted assets)    
Actual, amount $ 534,390 $ 385,464
Actual, ratio 0.1467 0.1187
Minimum required for capital adequacy purposes, amount $ 291,470 $ 259,799
Minimum required for capital adequacy purposes, ratio 0.0800 0.0800
Bank Only    
Leverage Capital (to average assets)    
Actual, amount $ 436,116 $ 333,848
Actual, ratio 0.1064 0.0906
Minimum required for capital adequacy purposes, amount $ 163,919 $ 147,469
Minimum required for capital adequacy purposes, ratio 0.0400 0.0400
Required to be well capitalized under the prompt corrective action provisions, amount $ 204,899 $ 184,336
Required to be well capitalized under the prompt corrective action provisions, ratio 0.0500 0.0500
Common Equity Tier 1 risk-based capital ratio (to risk-weighted assets)    
Actual, amount $ 436,116 $ 333,848
Actual, ratio 0.1199 0.1030
Minimum required for capital adequacy purposes, amount $ 163,717 $ 145,875
Minimum required for capital adequacy purposes, ratio 0.0450 0.0450
Required to be well capitalized under the prompt corrective action provisions, amount $ 236,480 $ 210,708
Required to be well capitalized under the prompt corrective action provisions, ratio 0.0650 0.0650
Tier 1 Capital (to risk-weighted assets)    
Actual, amount $ 436,116 $ 333,848
Actual, ratio 0.1199 0.1030
Minimum required for capital adequacy purposes, amount $ 218,289 $ 194,500
Minimum required for capital adequacy purposes, ratio 0.0600 0.0600
Required to be well capitalized under the prompt corrective action provisions, amount $ 291,052 $ 259,334
Required to be well capitalized under the prompt corrective action provisions, ratio 0.0800 0.0800
Total Capital (to risk-weighted assets)    
Actual, amount $ 483,247 $ 375,320
Actual, ratio 0.1328 0.1158
Minimum required for capital adequacy purposes, amount $ 291,052 $ 259,334
Minimum required for capital adequacy purposes, ratio 0.0800 0.0800
Required to be well capitalized under the prompt corrective action provisions, amount $ 363,816 $ 324,167
Required to be well capitalized under the prompt corrective action provisions, ratio 0.1000 0.1000
v3.25.1
Fair Value Measurements - Summary of Estimated Fair Values of Financial Instruments (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Financial assets    
Investment securities $ 47,321 $ 150,364
Other investments 10,800 10,227
Carrying Value    
Financial assets    
Cash and due from banks 36,533 31,345
Interest earning deposits with other banks 415,980 451,783
Investment securities 47,321 150,364
Other investments 10,800 10,227
Loans held for sale 20,600  
Loans receivable 3,486,565 3,021,542
Accrued interest receivable 21,104 23,458
Financial liabilities    
Deposits 3,585,332 3,360,363
Subordinated debt 44,293 44,144
Junior subordinated debentures 3,591 3,590
Accrued interest payable 962 892
Estimated Fair Value    
Financial assets    
Cash and due from banks 36,533 31,345
Interest earning deposits with other banks 415,980 451,783
Investment securities 46,740 150,545
Other investments 10,800 10,227
Loans held for sale 20,600  
Loans receivable 3,460,131 2,936,917
Accrued interest receivable 21,104 23,458
Financial liabilities    
Deposits 3,584,967 3,359,867
Subordinated debt 45,505 43,908
Junior subordinated debentures 3,508 3,491
Accrued interest payable 962 892
Estimated Fair Value | Level 1    
Financial assets    
Cash and due from banks 36,533 31,345
Interest earning deposits with other banks 415,980 451,783
Investment securities 0 99,461
Other investments 0 0
Loans held for sale 0  
Loans receivable 0 0
Accrued interest receivable 0 0
Financial liabilities    
Deposits 0 0
Subordinated debt 0 0
Junior subordinated debentures 0 0
Accrued interest payable 0 0
Estimated Fair Value | Level 2    
Financial assets    
Cash and due from banks 0 0
Interest earning deposits with other banks 0 0
Investment securities 46,740 51,084
Other investments 8,181 7,605
Loans held for sale 20,600  
Loans receivable 0 0
Accrued interest receivable 21,104 23,458
Financial liabilities    
Deposits 3,584,967 3,359,867
Subordinated debt 45,505 43,908
Junior subordinated debentures 3,508 3,491
Accrued interest payable 962 892
Estimated Fair Value | Level 3    
Financial assets    
Cash and due from banks 0 0
Interest earning deposits with other banks 0 0
Investment securities 0 0
Other investments 2,619 2,622
Loans held for sale  
Loans receivable 3,460,131 2,936,917
Accrued interest receivable 0 0
Financial liabilities    
Deposits 0 0
Subordinated debt 0 0
Junior subordinated debentures 0 0
Accrued interest payable $ 0 $ 0
v3.25.1
Fair Value Measurements - Summary of Assets Measured at Fair Value on Recurring Basis (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value $ 35 $ 99,504
Estimated Fair Value | Recurring    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value 35 99,504
Estimated Fair Value | Recurring | U.S. Treasury securities    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value   99,461
Estimated Fair Value | Recurring | U.S. Agency collateralized mortgage obligations    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value 35 43
Estimated Fair Value | Recurring | Level 1    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value 0 99,461
Estimated Fair Value | Recurring | Level 1 | U.S. Treasury securities    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value   99,461
Estimated Fair Value | Recurring | Level 1 | U.S. Agency collateralized mortgage obligations    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value 0 0
Estimated Fair Value | Recurring | Level 2    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value 35 43
Estimated Fair Value | Recurring | Level 2 | U.S. Treasury securities    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value   0
Estimated Fair Value | Recurring | Level 2 | U.S. Agency collateralized mortgage obligations    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value 35 43
Estimated Fair Value | Recurring | Level 3    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value 0 0
Estimated Fair Value | Recurring | Level 3 | U.S. Treasury securities    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value   0
Estimated Fair Value | Recurring | Level 3 | U.S. Agency collateralized mortgage obligations    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Fair Value $ 0 $ 0
v3.25.1
Fair Value Measurements - Summary of Financial Assets and Liabilities Measured at Fair Value on Nonrecurring Basis (Details) - Nonrecurring - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value $ 2,719 $ 9,937
Collateral dependent loans    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 100 7,315
Equity securities    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 2,619 2,622
Level 1    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 0 0
Level 1 | Collateral dependent loans    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 0 0
Level 2    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 0 0
Level 2 | Collateral dependent loans    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 0 0
Level 3    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 2,719 9,937
Level 3 | Collateral dependent loans    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value 100 7,315
Level 3 | Equity securities    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Total fair value $ 2,619 $ 2,622
v3.25.1
Fair Value Measurements - Summary of Carrying Value of Equity Securities Without Readily Determinable Fair Values (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Equity Securities, Summary of Carrying Value [Roll Forward]      
Purchases $ 0 $ 50 $ 350
Level 3      
Equity Securities, Summary of Carrying Value [Roll Forward]      
Carrying value, beginning of period 2,622 2,572 2,322
Observable price change (3) 0 (100)
Carrying value, end of period $ 2,619 $ 2,622 $ 2,572
v3.25.1
Fair Value Measurements - Summary of Assets and Liabilities Classified as Level 3 and Measured at Fair Value on Nonrecurring Basis (Details)
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Level 3 | Measurement Input, Discount Rate | Valuation, Market Approach    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]    
Impaired loans, measurement input 8.00% 8.00%
v3.25.1
Revenue from Contracts with Customers - Summary of Noninterest Income by Revenue Stream (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Disaggregation Of Revenue [Line Items]                          
Total noninterest income $ 78,790 $ 69,138 $ 86,176 $ 33,691 $ 57,892 $ 48,654 $ 155,314 $ 106,546 $ 234,104 $ 140,237 $ 308,205 $ 204,122 $ 122,943
Interchange income                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     2,002 2,176 2,055
Merchant service fees                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     487 498 508
Overdraft fees                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     198 213 310
Other                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     1,051 967 931
Loan referral fees                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     168 683 810
BaaS program income                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     20,075 13,240 11,193
Other income                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     692 323 603
BaaS enhancements / guarantees                          
Disaggregation Of Revenue [Line Items]                          
Revenue not from contract with customer                     282,673 184,929 105,945
Gain (loss) on equity investment                          
Disaggregation Of Revenue [Line Items]                          
Revenue not from contract with customer                     27 279 (153)
Gain on sale of loans, net                          
Disaggregation Of Revenue [Line Items]                          
Revenue not from contract with customer                     0 253 0
Loan servicing fees                          
Disaggregation Of Revenue [Line Items]                          
Revenue not from contract with customer                     142 171 223
Earnings on life insurance                          
Disaggregation Of Revenue [Line Items]                          
Revenue not from contract with customer                     486 185 361
Lease and sublease income                          
Disaggregation Of Revenue [Line Items]                          
Revenue not from contract with customer                     204 205 157
Total Noninterest Income Subject to Topic 606                          
Disaggregation Of Revenue [Line Items]                          
Revenue from contract with customer                     24,673 18,100 16,410
Total Noninterest Income Not Subject to Topic 606                          
Disaggregation Of Revenue [Line Items]                          
Revenue not from contract with customer                     $ 283,532 $ 186,022 $ 106,533
v3.25.1
Revenue from Contract with Customers - BaaS Fees (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Program income - within the scope of Topic 606      
Disaggregation Of Revenue [Line Items]      
Revenue from contract with customer $ 20,075 $ 13,240 $ 11,193
Increase (decrease) in revenue from contracts with customer 6,835 2,047  
Reimbursement of expenses 2,489 1,122 991
Increase (decrease) in reimbursement of expenses 1,367 131  
Guarantees - not within the scope of Topic 606:      
Disaggregation Of Revenue [Line Items]      
Total BaaS enhancements / indemnifications 282,673 184,929 105,945
Increase (decrease) in reimbursements and guarantees 97,744 78,984  
Servicing and other BaaS fees | Program income - within the scope of Topic 606      
Disaggregation Of Revenue [Line Items]      
Revenue from contract with customer 4,743 3,855 4,408
Increase (decrease) in revenue from contracts with customer 888 (553)  
Transaction | Program income - within the scope of Topic 606      
Disaggregation Of Revenue [Line Items]      
Revenue from contract with customer 5,910 4,011 3,211
Increase (decrease) in revenue from contracts with customer 1,899 800  
Interchange      
Disaggregation Of Revenue [Line Items]      
Revenue from contract with customer 2,002 2,176 2,055
Interchange | Program income - within the scope of Topic 606      
Disaggregation Of Revenue [Line Items]      
Revenue from contract with customer 6,933 4,252 2,583
Increase (decrease) in revenue from contracts with customer 2,681 1,669  
BaaS credit enhancement | Guarantees - not within the scope of Topic 606:      
Disaggregation Of Revenue [Line Items]      
Revenue not from contract with customer 272,839 177,764 76,374
Increase (decrease) in revenue not from contracts with customer 95,075 101,390  
BaaS fraud enhancement | Guarantees - not within the scope of Topic 606:      
Disaggregation Of Revenue [Line Items]      
Revenue not from contract with customer 9,834 7,165 29,571
Increase (decrease) in revenue not from contracts with customer 2,669 (22,406)  
Total BaaS fees      
Disaggregation Of Revenue [Line Items]      
Revenue not from contract with customer 282,673 184,929 105,945
Total BaaS fees | Guarantees - not within the scope of Topic 606:      
Disaggregation Of Revenue [Line Items]      
Revenue not from contract with customer 302,748 198,169 $ 117,138
Increase (decrease) in revenue not from contracts with customer $ 104,579 $ 81,031  
v3.25.1
Revenue from Contracts with Customers - Additional Information (Details) - Loan referral fees
12 Months Ended
Dec. 31, 2024
Minimum  
Disaggregation Of Revenue [Line Items]  
Interest rate swap agreement extended period 20 years
Maximum  
Disaggregation Of Revenue [Line Items]  
Interest rate swap agreement extended period 25 years
v3.25.1
Earnings Per Common Share - Schedule of Computation of Basic and Diluted Earnings Per Common Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]      
Net income $ 45,219 $ 44,579 $ 40,625
Basic weighted average number common shares outstanding (in shares) 13,508,047 13,261,664 12,949,266
Dilutive effect of share-based compensation (in shares) 368,859 378,518 565,686
Diluted weighted average number common shares outstanding (in shares) 13,876,906 13,640,182 13,514,952
Basic earnings per share (in usd per share) $ 3.35 $ 3.36 $ 3.14
Diluted earnings per share (in usd per share) $ 3.26 $ 3.27 $ 3.01
Stock Options and Restricted Stock      
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]      
Antidilutive stock options and restricted stock outstanding (in shares) 132,164 130,837 147,423
v3.25.1
Segment Reporting - Additional Information (Details)
12 Months Ended
Dec. 31, 2024
location
partner
segment
branch
Segment Reporting Information [Line Items]  
Number of operating segments | segment 3
Number of reportable segments | segment 3
Number of branches | branch 14
CCBX  
Segment Reporting Information [Line Items]  
Number of Partners | partner 24
Snohomish County  
Segment Reporting Information [Line Items]  
Number of Full-Service Banking Locations 12
King County  
Segment Reporting Information [Line Items]  
Number of Full-Service Banking Locations 1
Island County  
Segment Reporting Information [Line Items]  
Number of Full-Service Banking Locations 1
v3.25.1
Segment Reporting - Summary of Financial Information of Reportable Segments and Reconciliation to Consolidated Financial Results (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
ASSETS                          
Cash and Due from Banks                     $ 452,513 $ 483,128  
Intrabank assets                     0 0  
Securities                     47,321 150,364  
Loans held for sale                     20,600 0  
Total loans receivable $ 3,413,894 $ 3,321,813 $ 3,195,101 $ 2,963,746 $ 3,005,603 $ 2,836,434 $ 3,321,813 $ 3,005,603 $ 3,413,894 $ 2,963,746 3,486,565 3,021,542  
Allowance for credit losses (171,674) (148,878) (139,941) (101,195) (110,813) (89,123) (148,878) (110,813) (171,674) (101,195) (176,994) (117,381) $ (74,029)
All other assets                     291,203 212,352  
Total assets 4,064,472 3,959,549 3,863,062 3,676,822 3,534,500 3,450,714 3,959,549 3,534,500 4,064,472 3,676,822 4,121,208 3,750,005  
LIABILITIES                          
Deposits                     3,585,332 3,360,363  
Total borrowings                     47,884 47,734  
Intrabank liabilities                     0 0  
All other liabilities                     49,288 46,930  
Total liabilities 3,732,542 3,642,856 3,559,353 3,392,372 3,261,838 3,191,951 3,642,856 3,261,838 3,732,542 3,392,372 3,682,504 3,455,027  
Total interest income 105,165 97,422 91,742 86,627 82,311 69,222 189,164 151,533 294,329 238,160 396,777 323,219 192,170
Interest income (expense) intrabank transfer                     0 0 0
Total interest expense                     123,749 91,644 20,395
Net interest income 72,273 66,172 62,206 60,525 60,975 53,602 128,378 114,577 200,651 175,102 273,028 231,575 171,775
Provision for credit losses                     275,663 184,043 79,064
Provision for unfunded commitments                     1,944 (51)  
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments 2,016 3,847 (20,952) 33,272 8,722 9,905 (17,105) 18,627 (15,089) 51,899 (4,579) 47,583 92,711
Service charges and fees                     3,738 3,854 3,804
Other income                     1,719 2,099 2,001
Total noninterest income 78,790 69,138 86,176 33,691 57,892 48,654 155,314 106,546 234,104 140,237 308,205 204,122 122,943
Salaries and employee benefits                     70,084 66,461 52,228
Occupancy                     3,936 4,172 4,219
Data processing and software licenses                     15,313 9,349 6,816
Legal and professional expenses                     15,506 14,803 6,760
Other expenses                     13,100 12,874 12,145
BaaS loan and fraud expense 34,782 30,795 27,030 24,149 22,195 18,664 57,825 40,859 92,607 65,008 128,370 86,913 82,865
Total noninterest expense 64,424 57,964 56,509 53,909 49,832 43,121 114,473 92,953 178,897 146,862 246,309 194,572 165,033
Net income before income taxes                     57,317 57,133 50,621
Income tax (benefit) expense                     12,098 12,554 9,996
NET INCOME                     45,219 44,579 40,625
BaaS program income                          
LIABILITIES                          
Revenue from contract with customer                     20,075 13,240 11,193
BaaS indemnification income                          
LIABILITIES                          
Revenue from contract with customer                     282,673 184,929 105,945
BaaS loan expense                          
LIABILITIES                          
BaaS loan and fraud expense $ 32,698 $ 29,011 $ 26,107 $ 21,299 $ 20,658 $ 16,665 $ 55,118 $ 37,323 $ 87,816 $ 58,622 118,536 79,748 53,294
BaaS fraud expense                          
LIABILITIES                          
BaaS loan and fraud expense                     9,834 7,165 29,571
Operating Segments                          
ASSETS                          
Loans held for sale                     20,600 0  
Operating Segments | Community Bank                          
ASSETS                          
Cash and Due from Banks                     4,510 4,702  
Intrabank assets                     0 0  
Securities                     0 0  
Loans held for sale                     0 0  
Total loans receivable                     1,882,988 1,830,154  
Allowance for credit losses                     (18,924) (21,595)  
All other assets                     28,273 30,169  
Total assets                     1,896,847 1,843,430  
LIABILITIES                          
Deposits                     1,521,244 1,497,601  
Total borrowings                     0 0  
Intrabank liabilities                     367,540 338,614  
All other liabilities                     8,062 7,215  
Total liabilities                     1,896,846 1,843,430  
Total interest income                     123,735 106,983 80,544
Interest income (expense) intrabank transfer                     (21,265) (10,404) 796
Total interest expense                     26,897 17,354 2,896
Net interest income                     75,573 79,225 78,444
Provision for credit losses                     (2,130) 1,322 719
Provision for unfunded commitments                     757 (211)  
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments                     76,946 78,114 77,725
Service charges and fees                     3,691 3,810 3,757
Other income                     751 1,165 1,411
Total noninterest income                     4,442 4,975 5,168
Salaries and employee benefits                     24,432 24,104 20,476
Occupancy                     3,401 3,741 3,843
Data processing and software licenses                     4,759 4,595 3,285
Legal and professional expenses                     99 1,580 213
Other expenses                     3,845 3,954 5,202
Total noninterest expense                     36,536 37,974 33,019
Net income before income taxes                     44,852 45,115 49,874
Income tax (benefit) expense                     8,870 9,913 10,068
NET INCOME                     35,982 35,202 39,806
Operating Segments | Community Bank | BaaS program income                          
LIABILITIES                          
Revenue from contract with customer                     0 0 0
Operating Segments | Community Bank | BaaS indemnification income                          
LIABILITIES                          
Revenue from contract with customer                     0 0 0
Operating Segments | Community Bank | BaaS loan expense                          
LIABILITIES                          
BaaS loan and fraud expense                     0 0 0
Operating Segments | Community Bank | BaaS fraud expense                          
LIABILITIES                          
BaaS loan and fraud expense                     0 0 0
Operating Segments | CCBX                          
ASSETS                          
Cash and Due from Banks                     10,894 9,601  
Intrabank assets                     411,768 653,178  
Securities                     0 0  
Loans held for sale                     20,600 0  
Total loans receivable                     1,603,577 1,191,388  
Allowance for credit losses                     (158,070) (95,786)  
All other assets                     211,038 138,543  
Total assets                     2,099,807 1,896,924  
LIABILITIES                          
Deposits                     2,064,088 1,862,762  
Total borrowings                     0 0  
Intrabank liabilities                     0 0  
All other liabilities                     35,720 34,162  
Total liabilities                     2,099,808 1,896,924  
Total interest income                     248,286 197,306 102,808
Interest income (expense) intrabank transfer                     30,221 19,071 4,106
Total interest expense                     94,035 71,646 16,108
Net interest income                     184,472 144,731 90,806
Provision for credit losses                     277,793 182,721 78,345
Provision for unfunded commitments                     1,187 160  
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments                     (94,508) (38,150) 12,461
Service charges and fees                     47 44 47
Other income                     76 433 356
Total noninterest income                     302,871 198,646 117,541
Salaries and employee benefits                     28,909 25,159 18,007
Occupancy                     333 321 257
Data processing and software licenses                     4,029 2,321 1,806
Legal and professional expenses                     8,904 9,645 3,163
Other expenses                     4,727 3,759 1,285
Total noninterest expense                     175,272 128,118 107,383
Net income before income taxes                     33,091 32,378 22,619
Income tax (benefit) expense                     7,999 7,116 4,248
NET INCOME                     25,092 25,262 18,371
Operating Segments | CCBX | BaaS program income                          
LIABILITIES                          
Revenue from contract with customer                     20,075 13,240 11,193
Operating Segments | CCBX | BaaS indemnification income                          
LIABILITIES                          
Revenue from contract with customer                     282,673 184,929 105,945
Operating Segments | CCBX | BaaS loan expense                          
LIABILITIES                          
BaaS loan and fraud expense                     118,536 79,748 53,294
Operating Segments | CCBX | BaaS fraud expense                          
LIABILITIES                          
BaaS loan and fraud expense                     9,834 7,165 29,571
Operating Segments | Treasury & Administration                          
ASSETS                          
Cash and Due from Banks                     437,109 468,825  
Intrabank assets                     (411,768) (653,178)  
Securities                     47,321 150,364  
Loans held for sale                     0 0  
Total loans receivable                     0 0  
Allowance for credit losses                     0 0  
All other assets                     51,892 43,640  
Total assets                     124,554 9,651  
LIABILITIES                          
Deposits                     0 0  
Total borrowings                     47,884 47,734  
Intrabank liabilities                     (367,540) (338,614)  
All other liabilities                     5,506 5,553  
Total liabilities                     (314,150) (285,327)  
Total interest income                     24,756 18,930 8,818
Interest income (expense) intrabank transfer                     (8,956) (8,667) (4,902)
Total interest expense                     2,817 2,644 1,391
Net interest income                     12,983 7,619 2,525
Provision for credit losses                     0 0 0
Provision for unfunded commitments                     0 0  
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments                     12,983 7,619 2,525
Service charges and fees                     0 0 0
Other income                     892 501 234
Total noninterest income                     892 501 234
Salaries and employee benefits                     16,743 17,198 13,745
Occupancy                     202 110 119
Data processing and software licenses                     6,525 2,433 1,725
Legal and professional expenses                     6,503 3,578 3,384
Other expenses                     4,528 5,161 5,658
Total noninterest expense                     34,501 28,480 24,631
Net income before income taxes                     (20,626) (20,360) (21,872)
Income tax (benefit) expense                     (4,771) (4,475) (4,320)
NET INCOME                     (15,855) (15,885) (17,552)
Operating Segments | Treasury & Administration | BaaS program income                          
LIABILITIES                          
Revenue from contract with customer                     0 0 0
Operating Segments | Treasury & Administration | BaaS indemnification income                          
LIABILITIES                          
Revenue from contract with customer                     0 0 0
Operating Segments | Treasury & Administration | BaaS loan expense                          
LIABILITIES                          
BaaS loan and fraud expense                     0 0 0
Operating Segments | Treasury & Administration | BaaS fraud expense                          
LIABILITIES                          
BaaS loan and fraud expense                     $ 0 $ 0 $ 0
v3.25.1
Parent Company Only Condensed Financial Information - Summary of Condensed Financial Information of Coastal Financial Corporation on Balance Sheet (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
ASSETS                
Other investments $ 10,800       $ 10,227      
Other assets 13,646       11,987      
Total assets 4,121,208 $ 4,064,472 $ 3,959,549 $ 3,863,062 3,750,005 $ 3,676,822 $ 3,534,500 $ 3,450,714
LIABILITIES AND SHAREHOLDERS’ EQUITY                
Junior subordinated debentures, net of issuances costs 3,591       3,590      
Subordinated debt, net of debt issuance costs 44,293       44,144      
Other liabilities 13,425       9,145      
Total liabilities and shareholders’ equity 4,121,208 $ 4,064,472 $ 3,959,549 $ 3,863,062 3,750,005 $ 3,676,822 $ 3,534,500 $ 3,450,714
Coastal Financial Corporation                
ASSETS                
Cash 47,739       5,479      
Investment in trust equities 109       109      
Investment in subsidiaries 436,451       333,690      
Other investments 3,529       3,430      
Other assets (252)       532      
Total assets 487,576       343,240      
LIABILITIES AND SHAREHOLDERS’ EQUITY                
Junior subordinated debentures, net of issuances costs 3,591       3,590      
Subordinated debt, net of debt issuance costs 44,293       44,144      
Interest and dividends payable 526       528      
Other liabilities 462       0      
Shareholders' equity 438,704       294,978      
Total liabilities and shareholders’ equity $ 487,576       $ 343,240      
v3.25.1
Parent Company Only Condensed Financial Information - Summary of Condensed Financial Information of Coastal Financial Corporation on Statement of Income (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
INTEREST INCOME                          
Total interest income $ 105,165 $ 97,422 $ 91,742 $ 86,627 $ 82,311 $ 69,222 $ 189,164 $ 151,533 $ 294,329 $ 238,160 $ 396,777 $ 323,219 $ 192,170
INTEREST EXPENSE                          
Interest on borrowed funds                     2,817 2,644 1,391
Total interest expense                     123,749 91,644 20,395
Net interest income 72,273 66,172 62,206 60,525 60,975 53,602 128,378 114,577 200,651 175,102 273,028 231,575 171,775
PROVISION FOR CREDIT LOSSES                     277,607 183,992 79,064
Net interest income/(expense) after provision for credit losses 2,016 3,847 (20,952) 33,272 8,722 9,905 (17,105) 18,627 (15,089) 51,899 (4,579) 47,583 92,711
NONINTEREST INCOME                          
Unrealized gain (loss) on equity investment                     27 279 (153)
Other income                     1,524 884 1,344
Total noninterest income 78,790 69,138 86,176 33,691 57,892 48,654 155,314 106,546 234,104 140,237 308,205 204,122 122,943
NONINTEREST EXPENSE                          
Other expense                     6,484 5,224 4,652
Total noninterest expense $ 64,424 $ 57,964 $ 56,509 $ 53,909 $ 49,832 $ 43,121 $ 114,473 $ 92,953 $ 178,897 $ 146,862 246,309 194,572 165,033
Income tax (benefit) expense                     12,098 12,554 9,996
NET INCOME                     45,219 44,579 40,625
Coastal Financial Corporation                          
INTEREST INCOME                          
Interest earned loans receivable                     0 0 (14)
Interest bearing other investments                     8 8 4
Total interest income                     8 8 (10)
INTEREST EXPENSE                          
Interest on borrowed funds                     2,673 2,644 1,322
Total interest expense                     2,673 2,644 1,322
Net interest income                     (2,665) (2,636) (1,332)
PROVISION FOR CREDIT LOSSES                     0 0 350
Net interest income/(expense) after provision for credit losses                     (2,665) (2,636) (1,682)
NONINTEREST INCOME                          
Unrealized gain (loss) on equity investment                     27 279 (153)
Other income                     9 30 23
Total noninterest income                     36 309 (130)
NONINTEREST EXPENSE                          
Other expense                     1,088 914 711
Total noninterest expense                     1,088 914 711
Loss before income taxes and undistributed net income of subsidiary                     (3,717) (3,241) (2,523)
Equity in undistributed income of consolidated subsidiaries                     48,076 47,148 42,674
Income tax (benefit) expense                     (860) (672) (474)
NET INCOME                     $ 45,219 $ 44,579 $ 40,625
v3.25.1
Parent Company Only Condensed Financial Information - Summary of Condensed Financial Information of Coastal Financial Corporation on Cash Flow (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Mar. 31, 2024
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES                  
Net income             $ 45,219 $ 44,579 $ 40,625
Adjustments to reconcile net income to net cash used by operating activities:                  
Stock-based compensation             4,844 3,688 2,517
Unrealized holding (gain) loss on equity investment             (27) (279) 153
Net cash provided by operating activities $ 56,764 $ 45,861 $ 128,840 $ 79,114 $ 191,464 $ 142,837 259,786 191,540 67,098
CASH FLOWS FROM INVESTING ACTIVITIES                  
Investments in loans receivable             (201,995) (91,465) (168,464)
Net cash used by investing activities (127,665) (272,353) 319,587 (491,833) (458,763) (482,810) (608,566) (594,012) (987,948)
CASH FLOWS FROM FINANCING ACTIVITIES                  
Proceeds from exercise of stock options             1,396 618 1,468
Proceeds from public offering, net             91,801 0 0
Net cash provided by financing activities             318,165 543,461 449,828
NET CHANGE IN CASH, DUE FROM BANKS AND RESTRICTED CASH             (30,615) 140,989 (471,022)
CASH, DUE FROM BANKS AND RESTRICTED CASH, beginning of year 483,128 342,139 483,128 342,139 483,128 342,139 483,128 342,139 813,161
CASH, DUE FROM BANKS AND RESTRICTED CASH, end of year             452,513 483,128 342,139
Coastal Financial Corporation                  
CASH FLOWS FROM OPERATING ACTIVITIES                  
Net income             45,219 44,579 40,625
Adjustments to reconcile net income to net cash used by operating activities:                  
Equity in undistributed income of consolidated subsidiaries             (48,076) (47,148) (42,674)
Stock-based compensation             625 432 295
Unrealized holding (gain) loss on equity investment             (27) (279) 153
Decrease (increase) in other assets             784 (683) 274
Increase in other liabilities             611 124 106
Net cash provided by operating activities             (864) (2,975) (1,221)
CASH FLOWS FROM INVESTING ACTIVITIES                  
Investments in subsidiaries             (50,000) (14,945) (20,925)
Investments in loans receivable             0 0 350
Investments in other, net             (72) (123) (699)
Net cash used by investing activities             (50,072) (15,068) (21,274)
CASH FLOWS FROM FINANCING ACTIVITIES                  
Proceeds from exercise of stock options             1,395 618 1,468
Proceeds from public offering, net             91,801 0 0
Proceeds from subordinated debt             0 0 19,625
Net cash provided by financing activities             93,196 618 21,093
NET CHANGE IN CASH, DUE FROM BANKS AND RESTRICTED CASH             42,260 (17,425) (1,402)
CASH, DUE FROM BANKS AND RESTRICTED CASH, beginning of year $ 5,479 $ 22,904 $ 5,479 $ 22,904 $ 5,479 $ 22,904 5,479 22,904 24,306
CASH, DUE FROM BANKS AND RESTRICTED CASH, end of year             $ 47,739 $ 5,479 $ 22,904
v3.25.1
Revision of Prior Period Financial Statements - Corrected Consolidated Balance Sheets (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Dec. 31, 2022
Error Corrections and Prior Period Adjustments Restatement [Line Items]                  
Loans receivable $ 3,486,565 $ 3,413,894 $ 3,321,813 $ 3,195,101 $ 3,021,542 $ 2,963,746 $ 3,005,603 $ 2,836,434  
Allowance for credit losses (176,994) (171,674) (148,878) (139,941) (117,381) (101,195) (110,813) (89,123) $ (74,029)
Total loans receivable, net 3,309,571 3,242,220 3,172,935 3,055,160 2,904,161 2,862,551 2,894,790 2,747,311  
CCBX credit enhancement asset 181,890 173,600 149,096 142,412 112,894 95,266 98,929 77,165  
Accrued interest receivable 21,104 22,315 21,620 22,485 23,458 21,985 20,798 19,002  
Total assets 4,121,208 4,064,472 3,959,549 3,863,062 3,750,005 3,676,822 3,534,500 3,450,714  
CCBX payable 29,171 37,839 32,539 30,899 30,290 36,786 26,931 30,475  
Total liabilities 3,682,504 3,732,542 3,642,856 3,559,353 3,455,027 3,392,372 3,261,838 3,191,951  
Total liabilities and shareholders' equity $ 4,121,208 4,064,472 3,959,549 3,863,062 3,750,005 3,676,822 3,534,500 3,450,714  
As Previously Reported                  
Error Corrections and Prior Period Adjustments Restatement [Line Items]                  
Loans receivable   3,418,832 3,326,460 3,199,554 3,026,092 2,967,035 3,007,553 2,837,204  
Allowance for credit losses   (170,263) (147,914) (139,258) (116,958) (101,085) (110,762) (89,123)  
Total loans receivable, net   3,248,569 3,178,546 3,060,296 2,909,134 2,865,950 2,896,791 2,748,081  
CCBX credit enhancement asset   167,251 143,485 137,276 107,921 91,867 96,928 76,395  
Accrued interest receivable   23,664 23,617 24,681 26,819 23,428 21,581 19,321  
Total assets   4,065,821 3,961,546 3,865,258 3,753,366 3,678,265 3,535,283 3,451,033  
CCBX payable   39,188 34,536 33,095 33,651 38,229 27,714 30,794  
Total liabilities   3,733,891 3,644,853 3,561,549 3,458,388 3,393,815 3,262,621 3,192,270  
Total liabilities and shareholders' equity   4,065,821 3,961,546 3,865,258 3,753,366 3,678,265 3,535,283 3,451,033  
Adjustment                  
Error Corrections and Prior Period Adjustments Restatement [Line Items]                  
Loans receivable   (4,938) (4,647) (4,453) (4,550) (3,289) (1,950) (770)  
Allowance for credit losses   (1,411) (964) (683) (423) (110) (51) 0  
Total loans receivable, net   (6,349) (5,611) (5,136) (4,973) (3,399) (2,001) (770)  
CCBX credit enhancement asset   6,349 5,611 5,136 4,973 3,399 2,001 770  
Accrued interest receivable   (1,349) (1,997) (2,196) (3,361) (1,443) (783) (319)  
Total assets   (1,349) (1,997) (2,196) (3,361) (1,443) (783) (319)  
CCBX payable   (1,349) (1,997) (2,196) (3,361) (1,443) (783) (319)  
Total liabilities   (1,349) (1,997) (2,196) (3,361) (1,443) (783) (319)  
Total liabilities and shareholders' equity   $ (1,349) $ (1,997) $ (2,196) $ (3,361) $ (1,443) $ (783) $ (319)  
v3.25.1
Revision of Prior Period Financial Statements - Corrected Consolidated Statements of Income (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Jun. 30, 2023
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Interest and fees on loans $ 99,676 $ 90,879 $ 85,891 $ 81,948 $ 78,824 $ 65,542 $ 176,770 $ 144,366 $ 276,446 $ 226,314 $ 372,021 $ 304,289 $ 183,352
Total interest income 105,165 97,422 91,742 86,627 82,311 69,222 189,164 151,533 294,329 238,160 396,777 323,219 192,170
Net interest income 72,273 66,172 62,206 60,525 60,975 53,602 128,378 114,577 200,651 175,102 273,028 231,575 171,775
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments 2,016 3,847 (20,952) 33,272 8,722 9,905 (17,105) 18,627 (15,089) 51,899 (4,579) 47,583 92,711
Noninterest income 78,790 69,138 86,176 33,691 57,892 48,654 155,314 106,546 234,104 140,237 308,205 204,122 122,943
Point of sale expense 73 72 90 180 111 100 162 211 235 391 325 481 368
Noninterest Expense Excluding Baa S Loan And Baa S Fraud Expense 29,642 27,169 29,479 29,760 27,637 24,457 56,648 52,094 86,290 81,854 117,939 107,659 82,168
BaaS loan and fraud expense 34,782 30,795 27,030 24,149 22,195 18,664 57,825 40,859 92,607 65,008 128,370 86,913 82,865
Noninterest income 64,424 57,964 56,509 53,909 49,832 43,121 114,473 92,953 178,897 146,862 246,309 194,572 165,033
BaaS loan expense                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
BaaS loan and fraud expense 32,698 29,011 26,107 21,299 20,658 16,665 55,118 37,323 87,816 58,622 118,536 79,748 53,294
BaaS program income                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Revenue from contract with customer 5,158 5,316 4,046 3,513 3,245 2,922 9,362 6,167 14,520 9,680 20,075 13,240 11,193
BaaS program income | Reimbursement of expenses                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Revenue from contract with customer 565 857 254 264 323 268 1,111 591 1,677 855 $ 2,489 1,122 $ 991
As Previously Reported                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Interest and fees on loans 99,590 90,944 84,621 83,652 80,199 66,431 175,565 146,630 275,155 230,282   311,441  
Total interest income 105,079 97,487 90,472 88,331 83,686 70,111 187,959 153,797 293,038 242,128   330,371  
Net interest income 72,187 66,237 60,936 62,229 62,350 54,491 127,173 116,841 199,360 179,070   238,727  
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments 1,930 3,912 (22,222) 34,976 10,097 10,794 (18,310) 20,891 (16,380) 55,867   54,735  
Noninterest income 80,068 69,918 86,955 34,579 58,595 49,307 156,873 107,902 236,941 142,481   207,175  
Point of sale expense 1,351 852 869 1,068 814 753 1,721 1,567 3,072 2,635   3,534  
Noninterest Expense Excluding Baa S Loan And Baa S Fraud Expense 30,920 27,949 30,258 30,648 28,340 25,110 58,207 53,450 89,127 84,098   110,712  
BaaS loan and fraud expense 34,696 30,860 25,760 25,853 23,570 19,553 56,620 43,123 91,316 68,976   94,065  
Noninterest income 65,616 58,809 56,018 56,501 51,910 44,663 114,827 96,573 180,443 153,074   204,777  
As Previously Reported | BaaS loan expense                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
BaaS loan and fraud expense 32,612 29,076 24,837 23,003 22,033 17,554 53,913 39,587 86,525 62,590   86,900  
As Previously Reported | BaaS program income                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Revenue from contract with customer 6,436 6,096 4,825 4,401 3,948 3,575 10,921 7,523 17,357 11,924   16,293  
As Previously Reported | BaaS program income | Reimbursement of expenses                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Revenue from contract with customer 1,843 1,637 1,033 1,152 1,026 921 2,670 1,947 4,514 3,099   4,175  
Adjustment                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Interest and fees on loans 86 (65) 1,270 (1,704) (1,375) (889) 1,205 (2,264) 1,291 (3,968)   (7,152)  
Total interest income 86 (65) 1,270 (1,704) (1,375) (889) 1,205 (2,264) 1,291 (3,968)   (7,152)  
Net interest income 86 (65) 1,270 (1,704) (1,375) (889) 1,205 (2,264) 1,291 (3,968)   (7,152)  
Net interest income/(expense) after provision for credit losses - loans and unfunded commitments 86 (65) 1,270 (1,704) (1,375) (889) 1,205 (2,264) 1,291 (3,968)   (7,152)  
Noninterest income (1,278) (780) (779) (888) (703) (653) (1,559) (1,356) (2,837) (2,244)   (3,053)  
Point of sale expense (1,278) (780) (779) (888) (703) (653) (1,559) (1,356) (2,837) (2,244)   (3,053)  
Noninterest Expense Excluding Baa S Loan And Baa S Fraud Expense (1,278) (780) (779) (888) (703) (653) (1,559) (1,356) (2,837) (2,244)   (3,053)  
BaaS loan and fraud expense 86 (65) 1,270 (1,704) (1,375) (889) 1,205 (2,264) 1,291 (3,968)   (7,152)  
Noninterest income (1,192) (845) 491 (2,592) (2,078) (1,542) (354) (3,620) (1,546) (6,212)   (10,205)  
Adjustment | BaaS loan expense                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
BaaS loan and fraud expense 86 (65) 1,270 (1,704) (1,375) (889) 1,205 (2,264) 1,291 (3,968)   (7,152)  
Adjustment | BaaS program income                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Revenue from contract with customer (1,278) (780) (779) (888) (703) (653) (1,559) (1,356) (2,837) (2,244)   (3,053)  
Adjustment | BaaS program income | Reimbursement of expenses                          
Error Corrections and Prior Period Adjustments Restatement [Line Items]                          
Revenue from contract with customer $ (1,278) $ (780) $ (779) $ (888) $ (703) $ (653) $ (1,559) $ (1,356) $ (2,837) $ (2,244)   $ (3,053)  
v3.25.1
Revision of Prior Period Financial Statements - Corrected Consolidated Statement of Cash Flows (Details) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Mar. 31, 2024
Mar. 31, 2023
Jun. 30, 2024
Jun. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Error Corrections and Prior Period Adjustments Restatement [Line Items]                  
Net change in CCBX credit enhancement asset $ (34,491) $ (19,323) $ (41,175) $ (41,087) $ (65,679) $ (37,424) $ (68,995) $ (55,052) $ (44,665)
Net change in CCBX payable (2,752) 10,056 (1,112) 6,512 4,188 16,367 (1,119) 9,871 18,578
Net change in other assets and liabilities 1,884 3,496 4,191 6,345 5,597 (11,856) 3,110 (12,558) (10,441)
Net cash provided by operating activities 56,764 45,861 128,840 79,114 191,464 142,837 259,786 191,540 67,098
Increase in loans receivable, net (306,128) (294,813) (640,176) (583,509) (1,212,291) (819,822) (2,024,548) (1,047,310) (912,518)
Net cash used by investing activities (127,665) (272,353) 319,587 (491,833) (458,763) (482,810) (608,566) (594,012) (987,948)
Net change in cash, due from banks and restricted cash             (30,615) 140,989 (471,022)
CASH, DUE FROM BANKS AND RESTRICTED CASH, beginning of year 483,128 342,139 483,128 342,139 483,128 342,139 483,128 342,139 813,161
CASH, DUE FROM BANKS AND RESTRICTED CASH, end of year             $ 452,513 483,128 $ 342,139
As Previously Reported                  
Error Corrections and Prior Period Adjustments Restatement [Line Items]                  
Net change in CCBX credit enhancement asset (29,355) (18,553) (35,564) (39,086) (59,330) (34,025)   (50,079)  
Net change in CCBX payable (556) 10,375 885 7,295 5,537 17,810   13,232  
Net change in other assets and liabilities (312) 3,177 2,194 5,562 4,248 (13,299)   (15,919)  
Net cash provided by operating activities 61,900 46,631 134,451 81,115 197,813 146,236   196,513  
Increase in loans receivable, net (311,264) (295,583) (645,787) (585,510) (1,218,640) (823,221)   (1,052,283)  
Net cash used by investing activities (132,801) (273,123) 313,976 (493,834) (465,112) (486,209)   (598,985)  
Adjustment                  
Error Corrections and Prior Period Adjustments Restatement [Line Items]                  
Net change in CCBX credit enhancement asset (5,136) (770) (5,611) (2,001) (6,349) (3,399)   (4,973)  
Net change in CCBX payable (2,196) (319) (1,997) (783) (1,349) (1,443)   (3,361)  
Net change in other assets and liabilities 2,196 319 1,997 783 1,349 1,443   3,361  
Net cash provided by operating activities (5,136) (770) (5,611) (2,001) (6,349) (3,399)   (4,973)  
Increase in loans receivable, net 5,136 770 5,611 2,001 6,349 3,399   4,973  
Net cash used by investing activities $ 5,136 $ 770 $ 5,611 $ 2,001 $ 6,349 $ 3,399   $ 4,973