Company: BOH
Filing Date: 2025-03-04
Form Type: 10-K
Source: 0000950170-25-031193
Chunk: 256

Company: BANK OF HAWAII CORP
Filing Date: 2025-03-04
Form: 10-K
Item: Item 8
Chunk 256
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 mortgage servicing activities include collecting principal, interest, and escrow payments from borrowers; making tax and insurance payments on behalf of borrowers; monitoring delinquencies and executing foreclosure proceedings; and accounting for and remitting principal and interest payments to investors. Servicing income, including late and ancillary fees, was $5.5 million for the year ended December 31, 2024, $5.6 million for 2023 and $6.0 million for 2022. Servicing income is recorded in noninterest income under Mortgage Banking in the Company’s consolidated statements of income. The Company’s residential mortgage investor loan servicing portfolio is primarily comprised of fixed rate loans concentrated in Hawaiʻi.For the years ended December 31, 2024, 2023 and 2022, the change in the fair value of the Company’s mortgage servicing rights accounted for under the fair value measurement method was as follows: 

        (dollars in thousands)
         
        2024

        2023

        2022

        Balance at Beginning of Year
         
        $
        678

        $
        717

        $
        800

        Changes in Fair Value Due to Payoffs

        (31
        )

        (39
        )

        (83
        )

        Balance at End of Year
         
        $
        647

        $
        678

        $
        717

79

For the years ended December 31, 2024, 2023 and 2022, the change in the carrying value of the Company’s mortgage servicing rights accounted for under the amortization method was as follows: 

        (dollars in thousands)
         
        2024

        2023

        2022

        Balance at Beginning of Year
         
        $
        20,201

        $
        21,902

        $
        21,451

        Servicing Rights that Resulted From Asset Transfers

        466

        528

        1,217

        Amortization

        (2,115
        )

        (2,229
        )

        (2,595
        )

        Valuation Allowance Recovery

        —

        —

        1,829

        Balance at End of Year
         
        $
        18,552

        $
        20,201

        $
        21,902

        Valuation Allowance:

        Balance at