Hanmi Financial Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Loans (Tables)

Loans (Tables)

9 Months Ended

Sep. 30, 2021

Loans consisted of the following as of the dates indicated:

	September 30, 2021			December 31, 2020
	(in thousands)
Real estate loans:
Commercial property
Retail	$	942,996		$	824,606
Hospitality		725,864			859,953
Other ⁽¹⁾		1,783,477			1,610,377
Total commercial property loans		3,452,337			3,294,936
Construction		76,168			58,882
Residential/consumer loans		354,861			345,831
Total real estate loans		3,883,366			3,699,649
Commercial and industrial loans		516,357			757,255
Leases receivable		459,142			423,264
Loans receivable		4,858,865			4,880,168
Allowance for credit losses		(76,613	)		(90,426	)
Loans receivable, net	$	4,782,252		$	4,789,742

⁽¹⁾	Includes, among other types, mixed-use, apartment, office, industrial, gas stations, faith-based facilities and warehouse; all other property types represent less than one percent of total loans receivable.

Activity for Loans Held for Sale

The following is the activity for loans held for sale for the three months ended September 30, 2021 and 2020:

	Real Estate			Commercial and Industrial			Total
	(in thousands)
September 30, 2021
Balance at beginning of period	$	13,092		$	22,938		$	36,030
Originations and transfers		28,537			15,228			43,765
Sales		(27,513	)		(34,956	)		(62,469	)
Principal paydowns and amortization		(4	)		559			555
Balance at end of period	$	14,112		$	3,769		$	17,881

September 30, 2020
Balance at beginning of period	$	12,661		$	5,281		$	17,942
Originations		12,049			12,107			24,156
Sales		(20,621	)		(8,639	)		(29,260	)
Principal paydowns and amortization		—			(5	)		(5	)
Balance at end of period	$	4,089		$	8,745		$	12,834

The following is the activity for loans held for sale for the nine months ended September 30, 2021 and 2020:

	Real Estate			Commercial and Industrial			Total
	(in thousands)
September 30, 2021
Balance at beginning of period	$	8,042		$	526		$	8,568
Originations and transfers		71,005			162,637			233,642
Sales		(64,930	)		(160,293	)		(225,223	)
Principal payoffs and amortization		(5	)		899			894
Balance at end of period	$	14,112		$	3,769		$	17,881

September 30, 2020
Balance at beginning of period	$	2,943		$	3,077		$	6,020
Originations		31,204			23,091			54,295
Sales		(30,053	)		(17,419	)		(47,472	)
Principal payoffs and amortization		(5	)		(5	)		(10	)
Balance at end of period	$	4,089		$	8,745		$	12,834

Allowance for Credit Losses by Portfolio Segment

The following table details the information on the allowance for credit losses by portfolio segment as of and for the three months ended September 30, 2021 and 2020:

	Real Estate			Commercial and Industrial			Leases Receivable			Total
	(in thousands)
September 30, 2021
Balance at beginning of period	$	63,029		$	8,059		$	12,284		$	83,372
Less loans charged off		—			186			791			977
Recoveries on loans receivable previously charged off		(1,162	)		(330	)		(350	)		(1,842	)
Provision (recovery) for credit losses		(8,128	)		507			(3	)		(7,624	)
Ending balance	$	56,063		$	8,710		$	11,840		$	76,613
Individually evaluated	$	8		$	13		$	2,173		$	2,194
Collectively evaluated	$	56,055		$	8,697		$	9,667		$	74,419

Loans receivable	$	3,883,366		$	516,357		$	459,142		$	4,858,865
Individually evaluated	$	13,988		$	313		$	6,923		$	21,224
Collectively evaluated	$	3,869,378		$	516,044		$	452,219		$	4,837,641

September 30, 2020
Balance at beginning of period	$	56,418		$	13,388		$	16,524		$	86,330
Less loans charged off		687			383			1,081			2,151
Recoveries on loans receivable previously charged off		(1,497	)		(35	)		(213	)		(1,745	)
Provision (recovery) for credit losses		(6,744	)		7,809			(368	)		697
Ending balance	$	50,484		$	20,849		$	15,287		$	86,620
Individually evaluated	$	35		$	1,623		$	2,087		$	3,745
Collectively evaluated	$	50,449		$	19,226		$	13,200		$	82,875

Loans receivable	$	3,635,330		$	765,484		$	433,323		$	4,834,137
Individually evaluated	$	48,220		$	13,293		$	7,338		$	68,851
Collectively evaluated	$	3,587,110		$	752,191		$	425,985		$	4,765,286

The following table details the information on the allowance for credit losses by portfolio segment as of and for the nine months ended September 30, 2021 and 2020:

	Real Estate			Commercial and Industrial			Leases Receivable			Total
	(in thousands)
September 30, 2021
Balance at beginning of period	$	51,876		$	21,410		$	17,140			90,426
Less loans charged off		1,491			550			3,893			5,934
Recoveries on loans receivable previously charged off		(1,597	)		(602	)		(694	)		(2,893	)
Provision (recovery) for credit losses		4,081			(12,752	)		(2,101	)		(10,772	)
Ending balance	$	56,063		$	8,710		$	11,840		$	76,613
Individually evaluated	$	8		$	13		$	2,173		$	2,194
Collectively evaluated	$	56,055		$	8,697		$	9,667		$	74,419

Loans receivable	$	3,883,366		$	516,357		$	459,142		$	4,858,865
Individually evaluated	$	13,988		$	313		$	6,923		$	21,224
Collectively evaluated	$	3,869,378		$	516,044		$	452,219		$	4,837,641

September 30, 2020
Balance at beginning of period	$	36,435		$	16,206		$	8,767		$	61,408
Adjustment related to adoption of ASU 2016-13		14,027			(2,497	)		5,902			17,432
Adjusted balance as of January 1, 2020		50,462			13,709			14,669			78,840
Less loans charged off		14,920			12,972			3,306			31,198
Recoveries on loans receivable previously charged off		(1,653	)		(179	)		(401	)		(2,233	)
Provision for credit losses		13,289			19,932			3,523			36,744
Ending balance	$	50,484		$	20,849		$	15,287		$	86,620
Individually evaluated	$	35		$	1,623		$	2,087		$	3,745
Collectively evaluated	$	50,449		$	19,226		$	13,200		$	82,875

Loans receivable	$	3,635,330		$	765,484		$	433,323		$	4,834,137
Individually evaluated	$	48,220		$	13,293		$	7,338		$	68,851
Collectively evaluated	$	3,587,110		$	752,191		$	425,985		$	4,765,286

The table below illustrates the allowance for credit losses by loan portfolio segment and each loan portfolio segment as a percentage of total loans.

	September 30, 2021							December 31, 2020
	Allowance Amount		Total Loans		Percentage of Total Loans			Allowance Amount		Total Loans		Percentage of Total Loans
	(in thousands)
Real estate loans:
Commercial property
Retail	$	5,294	$	942,996		19.4	%	$	4,855	$	824,606		16.9	%
Hospitality		29,600		725,864		14.9	%		28,801		859,953		17.6	%
Other		12,842		1,783,477		36.7	%		13,991		1,610,377		33.0	%
Total commercial property loans		47,736		3,452,337		71.0	%		47,647		3,294,936		67.5	%
Construction		7,565		76,168		1.6	%		2,876		58,882		1.2	%
Residential/consumer loans		762		354,861		7.3	%		1,353		345,831		7.1	%
Total real estate loans		56,063		3,883,366		79.9	%		51,876		3,699,649		75.8	%
Commercial and industrial loans		8,710		516,357		10.6	%		21,410		757,255		15.5	%
Leases receivable		11,840		459,142		9.5	%		17,140		423,264		8.7	%
Total	$	76,613	$	4,858,865		100.0	%	$	90,426	$	4,880,168		100.0	%

Summary of Amortized Cost Basis of Collateral Dependent Loans By Class of Loans

The following table represents the amortized cost basis of collateral-dependent loans by class of loans as of September 30, 2021 and December 31, 2020, for which repayment is expected to be obtained through the sale of the underlying collateral.

	September 30, 2021		December 31, 2020
	Amortized Cost		Amortized Cost
	(in thousands)
Real estate loans:
Commercial property
Retail	$	2,628	$	6,330
Hospitality		—		20,612
Other ⁽¹⁾		128		8,410
Total commercial property loans		2,756		35,352
Construction		7,046		24,854
Residential/consumer loans		2,523		2,867
Total real estate loans		12,325		63,073
Commercial and industrial loans		—		41
Total	$	12,325	$	63,114

⁽¹⁾	Includes, among other types, mixed-use, apartment, office, industrial, gas stations, faith-based facilities and warehouse; all other property types represent less than one percent of total loans receivable.

Credit Quality of Loan Portfolio

	Term Loans
	Amortized Cost Basis by Origination Year ⁽¹⁾
	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
	(in thousands)
September 30, 2021
Real estate loans:
Commercial property
Risk Rating
Pass / Pass-Watch	$	827,018	$	722,970	$	485,633	$	434,177	$	298,246	$	495,077	$	48,666	$	3,311,787
Special Mention		—		18,937		16,444		—		2,713		56,380		1,864		96,338
Classified		—		—		5,477		22,586		3,672		12,477		—		44,212
Total commercial property		827,018		741,907		507,554		456,763		304,631		563,934		50,530		3,452,337

Construction
Risk Rating
Pass / Pass Watch		38,304		13,450		—		—		—		—		—		51,754
Special Mention		—		—		—		—		—		17,368		—		17,368
Classified		—		—		—		—		—		7,046		—		7,046
Total construction		38,304		13,450		—		—		—		24,414		—		76,168

Residential/consumer loans
Risk Rating
Pass / Pass-Watch		116,334		19,299		250		23,202		93,590		89,701		6,795		349,171
Special Mention		—		—		—		930		391		2,237		—		3,558
Classified		—		—		—		—		1,819		313		—		2,132
Total residential/consumer loans		116,334		19,299		250		24,132		95,800		92,251		6,795		354,861

Total real estate loans
Risk Rating
Pass / Pass-Watch		981,656		755,719		485,883		457,379		391,836		584,778		55,461		3,712,712
Special Mention		—		18,937		16,444		930		3,104		75,985		1,864		117,264
Classified		—		—		5,477		22,586		5,491		19,836		—		53,390
Total real estate loans		981,656		774,656		507,804		480,895		400,431		680,599		57,325		3,883,366

Commercial and industrial loans:
Risk Rating
Pass / Pass-Watch		191,318		72,473		34,474		13,864		11,899		7,196		149,708		480,932
Special Mention		—		4,448		4,602		4,017		70		13		151		13,301
Classified		—		—		13,825		221		32		6,004		2,042		22,124
Total commercial and industrial loans		191,318		76,921		52,901		18,102		12,001		13,213		151,901		516,357

Leases receivable:
Risk Rating
Pass / Pass-Watch		171,682		88,342		116,991		57,878		14,673		2,653		—		452,219
Special Mention		—		—		—		—		—		—		—		—
Classified		148		474		4,174		1,418		410		299		—		6,923
Total leases receivable		171,830		88,816		121,165		59,296		15,083		2,952		—		459,142

Total loans receivable:
Risk Rating
Pass / Pass-Watch		1,344,656		916,534		637,348		529,121		418,408		594,627		205,169		4,645,863
Special Mention		—		23,385		21,046		4,947		3,174		75,998		2,015		130,565
Classified		148		474		23,476		24,225		5,933		26,139		2,042		82,437
Total loans receivable	$	1,344,804	$	940,393	$	681,870	$	558,293	$	427,515	$	696,764	$	209,226	$	4,858,865

	Term Loans
	Amortized Cost Basis by Origination Year ⁽¹⁾
	2020		2019		2018		2017		2016		Prior		Revolving Loans Amortized Cost Basis		Total

December 31, 2020
Real estate loans:
Commercial property
Risk Rating
Pass / Pass-Watch	$	920,876	$	513,962	$	479,221	$	343,659	$	418,361	$	459,367	$	31,283	$	3,166,729
Special Mention		13,680		2,484		8,630		1,671		14,971		11,907		—		53,343
Classified		—		3,528		7,303		4,712		21,351		37,840		130		74,864
Total commercial property		934,556		519,974		495,154		350,042		454,683		509,114		31,413		3,294,936

Construction
Risk Rating
Pass / Pass-Watch		33,415		613		—		—		—		—		—		34,028
Special Mention		—		—		—		—		—		—		—		—
Classified		—		—		—		—		24,854		—		—		24,854
Total construction		33,415		613		—		—		24,854		—		—		58,882

Residential/consumer loans
Risk Rating
Pass / Pass-Watch		27,997		962		37,123		127,987		82,124		54,003		7,353		337,549
Special Mention		—		—		930		829		537		2,782		—		5,078
Classified		—		—		—		2,259		301		644		—		3,204
Total residential/consumer loans		27,997		962		38,053		131,075		82,962		57,429		7,353		345,831

Total real estate loans
Risk Rating
Pass / Pass-Watch		982,288		515,537		516,344		471,646		500,485		513,370		38,636		3,538,306
Special Mention		13,680		2,484		9,560		2,500		15,508		14,689		—		58,421
Classified		—		3,528		7,303		6,971		46,506		38,484		130		102,922
Total real estate loans		995,968		521,549		533,207		481,117		562,499		566,543		38,766		3,699,649

Commercial and industrial loans:
Risk Rating
Pass / Pass-Watch		406,486		73,159		54,110		17,834		4,464		9,910		146,722		712,685
Special Mention		6,950		4,509		4,436		1,110		31		1,074		447		18,557
Classified		—		890		5,115		9,465		4,380		1,519		4,644		26,013
Total commercial and industrial loans		413,436		78,558		63,661		28,409		8,875		12,503		151,813		757,255

Leases receivable:
Risk Rating
Pass / Pass-Watch		113,712		165,242		91,408		30,405		10,096		1,167		—		412,030
Special Mention		—		—		—		—		—		—		—		—
Classified		452		5,728		3,137		876		804		237		—		11,234
Total leases receivable		114,164		170,970		94,545		31,281		10,900		1,404		—		423,264

Total loans receivable:
Risk Rating
Pass / Pass-Watch		1,502,486		753,938		661,862		519,885		515,045		524,447		185,358		4,663,021
Special Mention		20,630		6,993		13,996		3,610		15,539		15,763		447		76,978
Classified		452		10,146		15,555		17,312		51,690		40,240		4,774		140,169
Total loans receivable	$	1,523,568	$	771,077	$	691,413	$	540,807	$	582,274	$	580,450	$	190,579	$	4,880,168

⁽¹⁾	Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision. Certain prior period amounts have been reclassified to conform to current period presentation.

	Term Loans
	Amortized Cost Basis by Origination Year ⁽¹⁾
	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
	(in thousands)
September 30, 2021
Real estate loans:
Commercial property
Payment performance
Performing	$	827,018	$	741,907	$	507,554	$	456,743	$	303,236	$	560,930	$	50,530	$	3,447,918
Nonperforming		—		—		—		20		1,395		3,004		—		4,419
Total commercial property		827,018		741,907		507,554		456,763		304,631		563,934		50,530		3,452,337

Construction
Payment performance
Performing		38,304		13,450		—		—		—		17,368		—		69,122
Nonperforming		—		—		—		—		—		7,046		—		7,046
Total construction		38,304		13,450		—		—		—		24,414		—		76,168

Residential/consumer loans
Payment performance
Performing		116,334		19,299		250		24,132		93,590		91,938		6,795		352,338
Nonperforming		—		—		—		—		2,210		313		—		2,523
Total residential/consumer loans		116,334		19,299		250		24,132		95,800		92,251		6,795		354,861

Total real estate loans
Payment performance
Performing		981,656		774,656		507,804		480,875		396,826		670,236		57,325		3,869,378
Nonperforming		—		—		—		20		3,605		10,363		—		13,988
Total real estate loans		981,656		774,656		507,804		480,895		400,431		680,599		57,325		3,883,366

Commercial and industrial loans:
Payment performance
Performing		191,318		76,921		52,862		18,102		11,995		12,945		151,901		516,044
Nonperforming		—		—		39		—		6		268		—		313
Total commercial and industrial loans		191,318		76,921		52,901		18,102		12,001		13,213		151,901		516,357

Leases receivable:
Payment performance
Performing		171,668		88,342		116,991		57,878		14,673		2,653		—		452,205
Nonperforming		162		474		4,174		1,418		410		299		—		6,937
Total leases receivable		171,830		88,816		121,165		59,296		15,083		2,952		—		459,142

Total loans receivable:
Payment performance
Performing		1,344,642		939,919		677,657		556,855		423,494		685,834		209,226		4,837,627
Nonperforming		162		474		4,213		1,438		4,021		10,930		—		21,238
Total loans receivable	$	1,344,804	$	940,393	$	681,870	$	558,293	$	427,515	$	696,764	$	209,226	$	4,858,865

	Term Loans
	Amortized Cost Basis by Origination Year ⁽¹⁾
	2020		2019		2018		2017		2016		Prior		Revolving Loans Amortized Cost Basis		Total

December 31, 2020
Real estate loans:
Commercial property
Payment performance
Performing	$	934,556	$	519,582	$	495,132	$	347,656	$	437,230	$	499,410	$	31,283	$	3,264,849
Nonperforming		—		392		22		2,386		17,453		9,704		130		30,087
Total commercial property		934,556		519,974		495,154		350,042		454,683		509,114		31,413		3,294,936

Construction
Payment performance
Performing		33,415		613		—		—		—		—		—		34,028
Nonperforming		—		—		—		—		24,854		—		—		24,854
Total construction		33,415		613		—		—		24,854		—		—		58,882

Residential/consumer loans
Payment performance
Performing		27,997		962		38,053		129,670		82,661		56,785		7,353		343,481
Nonperforming		—		—		—		1,405		301		644		—		2,350
Total residential/consumer loans		27,997		962		38,053		131,075		82,962		57,429		7,353		345,831

Total real estate loans
Payment performance
Performing		995,968		521,157		533,185		477,326		519,891		556,195		38,636		3,642,358
Nonperforming		—		392		22		3,791		42,608		10,348		130		57,291
Total real estate loans		995,968		521,549		533,207		481,117		562,499		566,543		38,766		3,699,649

Commercial and industrial loans:
Payment performance
Performing		413,436		77,668		59,726		19,002		8,875		12,227		151,813		742,747
Nonperforming		—		890		3,935		9,407		—		276		—		14,508
Total commercial and industrial loans		413,436		78,558		63,661		28,409		8,875		12,503		151,813		757,255

Leases receivable:
Payment performance
Performing		113,712		165,242		91,408		30,405		10,096		1,167		—		412,030
Nonperforming		452		5,728		3,137		876		804		237		—		11,234
Total leases receivable		114,164		170,970		94,545		31,281		10,900		1,404		—		423,264

Total loans receivable:
Payment performance
Performing		1,523,116		764,067		684,319		526,733		538,862		569,589		190,449		4,797,135
Nonperforming		452		7,010		7,094		14,074		43,412		10,861		130		83,033
Total loans receivable	$	1,523,568	$	771,077	$	691,413	$	540,807	$	582,274	$	580,450	$	190,579	$	4,880,168

⁽²⁾	Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision. Certain prior period amounts have been reclassified to conform to current period presentation.

Analysis of Past Due Loans, Disaggregated by Loan Class

The following is an aging analysis of loans, disaggregated by loan class, as of the dates indicated:

	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Total Past Due		Current		Total		Accruing 90 Days or More Past Due
	(in thousands)
September 30, 2021
Real estate loans:
Commercial property
Retail	$	—	$	—	$	—	$	—	$	942,996	$	942,996	$	—
Hospitality		—		—		—		—		725,864		725,864		—
Other		1,945		—		128		2,073		1,781,404		1,783,477		—
Total commercial property loans		1,945		—		128		2,073		3,450,264		3,452,337		—
Construction		—		—		—		—		76,168		76,168		—
Residential/consumer loans		1,641		—		1,404		3,045		351,816		354,861		—
Total real estate loans		3,586		—		1,532		5,118		3,878,248		3,883,366		—
Commercial and industrial loans		—		13		—		13		516,344		516,357		—
Leases receivable		2,891		1,532		1,636		6,059		453,083		459,142		13
Total loans receivable	$	6,477	$	1,545	$	3,168	$	11,190	$	4,847,675	$	4,858,865	$	13

December 31, 2020
Real estate loans:
Commercial property
Retail	$	—	$	—	$	—	$	—	$	824,606	$	824,606	$	—
Hospitality		—		—		11,076		11,076		848,877		859,953		—
Other		—		—		731		731		1,609,646		1,610,377		—
Total commercial property loans		—		—		11,807		11,807		3,283,129		3,294,936		—
Construction		—		12,807		—		12,807		46,075		58,882		—
Residential/consumer loans		4,693		461		564		5,718		340,113		345,831		—
Total real estate loans		4,693		13,268		12,371		30,332		3,669,317		3,699,649		—
Commercial and industrial loans		282		27		12,487		12,796		744,459		757,255		—
Leases receivable		4,051		1,786		4,675		10,512		412,752		423,264		—
Total loans receivable	$	9,026	$	15,081	$	29,533	$	53,640	$	4,826,528	$	4,880,168	$	—

Summary of Interest Foregone on Individually Evaluated Loans

The following is a summary of interest foregone on nonaccrual loans for the periods indicated:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
	(in thousands)
Interest income that would have been recognized had individually evaluated loans performed in accordance with their original terms	$	627		$	1,482		$	2,830		$	4,092
Less: Interest income recognized on individually evaluated loans		(106	)		(204	)		(362	)		(1,319	)
Interest foregone on individually evaluated loans	$	521		$	1,278		$	2,468		$	2,773

Schedule of Amortized Cost Basis of Loans on Nonaccrual Status and Loans Past Due 90 Days and Still Accruing

The following table represents the amortized cost basis of loans on nonaccrual status and loans past due 90 days and still accruing as of September 30, 2021 and December 31, 2020.

	September 30, 2021
	Nonaccrual Loans With No Allowance for Credit Losses		Nonaccrual Loans With Allowance for Credit Losses		Loans Past Due 90 Days Still Accruing		Total Nonperforming Loans
	(in thousands)
Real estate loans:
Commercial property
Retail	$	2,628	$	—	$	—	$	2,628
Hospitality		—		—		—		—
Other		1,440		351		—		1,791
Total commercial property loans		4,068		351		—		4,419
Construction		7,046		—		—		7,046
Residential/consumer loans		2,523		—		—		2,523
Total real estate loans		13,637		351		—		13,988
Commercial and industrial loans		11		302		—		313
Leases receivable		785		6,139		13		6,937
Total	$	14,433	$	6,792	$	13	$	21,238

	December 31, 2020
	Nonaccrual Loans With No Allowance for Credit Losses		Nonaccrual Loans With Allowance for Credit Losses		Loans Past Due 90 Days Still Accruing		Total Nonperforming Loans
	(in thousands)
Real estate loans:
Commercial property
Retail	$	6,331	$	—	$	—	$	6,331
Hospitality		20,611		—		—		20,611
Other		2,236		909		—		3,145
Total commercial property loans		29,178		909		—		30,087
Construction		24,854		—		—		24,854
Residential/consumer loans		2,350		—		—		2,350
Total real estate loans		56,382		909		—		57,291
Commercial and industrial loans		58		14,450		—		14,508
Leases receivable		2,318		8,916		—		11,234
Total	$	58,758	$	24,275	$	—	$	83,033

Non-Performing Assets

The following table details nonperforming assets as of the dates indicated:

	September 30, 2021		December 31, 2020
	(in thousands)
Nonaccrual loans	$	21,225	$	83,033
Loans receivable 90 days or more past due and still accruing		13		—
Total nonperforming loans receivable		21,238		83,033
Other real estate owned ("OREO")		675		2,360
Total nonperforming assets	$	21,913	$	85,393

Troubled Debt Restructurings

The following table details TDRs as of September 30, 2021 and December 31, 2020:

	Nonaccrual TDRs										Accrual TDRs
	Deferral of Principal		Deferral of Principal and Interest		Reduction of Principal and Interest		Extension of Maturity		Total		Deferral of Principal		Deferral of Principal and Interest		Reduction of Principal and Interest		Extension of Maturity		Total
	(in thousands)
September 30, 2021
Real estate loans	$	393	$	2,756	$	7,437	$	—	$	10,586	$	559	$	—	$	—	$	—	$	559
Commercial and industrial loans		—		130		—		—		130		—		—		1		11		12
Total	$	393	$	2,886	$	7,437	$	—	$	10,716	$	559	$	—	$	1	$	11	$	571

December 31, 2020
Real estate loans	$	1,095	$	3,334	$	12,492	$	—	$	16,921	$	513	$	—	$	67	$	7,290	$	7,870
Commercial and industrial loans		—		144		—		—		144		—		—		4		56		60
Total	$	1,095	$	3,478	$	12,492	$	—	$	17,065	$	513	$	—	$	71	$	7,346	$	7,930

Summary of Loans by Class Modified as TDRs

The following table presents the number of loans by class modified as TDRs that occurred during the periods indicated, with their pre- and post-modification recorded amounts.

	Three Months ended						Twelve Months ended
	September 30, 2021						December 31, 2020
	Number of Loans		Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment		Number of Loans		Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment
	(in thousands except for number of loans)
Real estate loans		—	$	—	$	—		5	$	4,479	$	3,676
Commercial and industrial loans		—		—		—		—		—		—
Total		—	$	—	$	—		5	$	4,479	$	3,676

	Nine Months ended						Twelve Months ended
	September 30, 2021						December 31, 2020
	Number of Loans		Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment		Number of Loans		Pre- Modification Outstanding Recorded Investment		Post- Modification Outstanding Recorded Investment
	(in thousands except for number of loans)
Real estate loans		—	$	—	$	—		5	$	4,479	$	3,676
Commercial and industrial loans		—		—		—		—		—		—
Total		—	$	—	$	—		5	$	4,479	$	3,676