Company: COFS
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0000950170-25-036839
Chunk: 114

Company: CHOICEONE FINANCIAL SERVICES INC
Filing Date: 2025-03-11
Form: 10-K
Item: Item 8
Chunk 114
---
        Inputs

        Indicated

        (Level 1)

        (Level 2)

        (Level 3)

        Collateral Dependent Loans

        December 31, 2024
         
        $
        1,887

        $
        -

        $
        -

        $
        1,887

        December 31, 2023
         
        $
        387

        $
        -

        $
        -

        $
        387

        Other Real Estate

        December 31, 2024
         
        $
        473

        $
        -

        $
        -

        $
        473

        December 31, 2023
         
        $
        122

        $
        -

        $
        -

        $
        122

       Collateral dependent loans classified as Level 3 are loans for which the repayment is expected to be provided substantially through the sale or operation of the collateral when the borrower is experiencing financial difficulty.  The fair value of the collateral should be adjusted for estimated costs to sell if the repayment depends on the sale of the collateral. The net carrying amount of the loan should not exceed the fair value of the collateral (less costs to sell, if applicable).  The fair value of other real estate owned was based on appraisals or other reviews of property values, adjusted for estimated costs to sell.

 86

Note 20 – Off-Balance Sheet ActivitiesSome financial instruments, such as loan commitments, credit lines, letters of credit, and overdraft protection, are issued to meet customers’ financing needs. These are agreements to provide credit or to support the credit of others, as long as conditions established in the contract are met, and usually have expiration dates. Commitments may expire without being used. Off-balance sheet risk to credit loss exists up to the face amount of these instruments, although material losses are not anticipated. The same credit policies are used to make such commitments as are used for loans, including obtaining collateral at exercise of the commitment.The contractual amount of financial instruments with off-balance sheet risk was as follows at December 31: 

        2024

        2023

        Fixed

        Variable

        Fixed

        Variable

        (Dollars in thousands)
         
        Rate

        Rate

        Rate

        Rate

        Unused lines of credit and letters of credit
         
        $
        29,394

        $
        369,200

        $