Company: ISBA
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0000842517-25-000099
Chunk: 27

Company: ISABELLA BANK CORP
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 27
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3,015 0.22 %63,080 4.43 %AgriculturalAgricultural mortgage65,699 4.80 %67,550 4.75 %Agricultural other28,660 2.10 %32,144 2.26 %Total agricultural94,359 6.90 %99,694 7.01 %Residential real estateSenior lien337,542 24.68 %332,743 23.37 %Junior lien9,409 0.69 %8,655 0.61 %Home equity lines of credit40,397 2.95 %39,474 2.77 %Total residential real estate387,348 28.32 %380,872 26.75 %ConsumerSecured - direct33,220 2.42 %35,050 2.46 %Secured - indirect45,081 3.30 %49,136 3.45 %Unsecured3,247 0.24 %3,398 0.24 %Total consumer81,548 5.96 %87,584 6.15 %Total$1,367,724 100.00 %$1,423,571 100.00 %We grant commercial, agricultural, residential real estate, and consumer loans to customers primarily in Bay, Clare, Gratiot, Isabella, Mecosta, Midland, Montcalm, and Saginaw counties in Michigan. The ability of borrowers to honor their repayment obligations is often dependent upon the real estate, agricultural, manufacturing, retail, gaming, tourism, health care, higher education, and general economic conditions of this region. Substantially all of our consumer and residential real estate loans are secured by various items of property, while commercial loans are secured primarily by real estate, business assets, and personal guarantees.  A portion of loans are unsecured.Loans that we have the intent and ability to hold in our portfolio are reported at their outstanding principal balance adjusted for any charge-offs, the ACL, and deferred fees or costs. Unless a loan has a nonaccrual status, interest income is accrued over the term of the loan based on the principal amount outstanding. Loan origination fees and certain direct loan origination costs are capitalized and recognized as a component of interest income over the term of the loan using the appropriate amortization method