Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 516

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1B
Chunk 516
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 —  
     —  
     — 
  
    Due from five to ten years 
     5,766  
     5,299  
     4.32%
  
    Due after ten years 
     —  
     —  
     — 
  
    Total 
    $5,766  
    $5,299  
     4.32%

The Company had no investment in
securities of issuers outside of the United States as of December 31, 2024, or 2023 and no single investments that exceed 10% of equity.

    100

Allowance
for Credit Losses for HTM Securities

Management measures expected credit losses
on held-to-maturity debt securities on a collective basis by major security type. The held-to-maturity investment portfolio consists
solely of bank holding company subordinated debt. Accrued interest receivable on held-to-maturity debt securities totaled $56,000 at
December 31, 2024, and is excluded from the estimate of credit losses. Refer to Note 1 – Nature of Operations and Significant Accounting
Policies for additional information on the Company’s methodology on estimating credit losses. The following table presents the
activity in the allowance for credit losses for debt securities held-to-maturity by major security type (dollars in thousands):

Schedule
of Allowance for Credit Losses for Securities Held-To-Maturity

    For the year ended December 31, 2024 
    Corporate Bonds 
  
    Allowance for credit losses: 

    Beginning balance December 31, 2023 
    $115 
  
    Provision for credit losses 
     (14)
  
    Securities charged off (recoveries) 
     — 
  
    Total ending allowance balance December 31, 2024 
     101 

    For year ended December 31, 2023      
    Corporate Bonds 
  
    Allowance for credit losses: 

    Beginning balance December 31, 2022 
    $— 
  
    Impact of ASU 2016-13 adoption 
     38 
  
    Provision for credit losses 
     77 
  
    Securities charged-off (recoveries) 
     — 
  
    Total ending allowance balance December 31, 2023 
    $115 

The Company monitors the credit quality
of held-to-maturity securities on a quarterly basis using an industry recognized risk