Advances from Federal Home Loan Bank

12 Months Ended

Dec. 31, 2024

Advance from Federal Home Loan Bank [Abstract]

11. Advances from Federal Home Loan Bank

The Bank has the ability to borrow funds from the FHLB. The Bank pledges its single-family residential mortgage loan portfolio, certain commercial real estate loans, and certain agriculture real estate loans as security for these advances. Advances secured by residential mortgages must have collateral of at least 152% of the borrowings. Advances secured by commercial real estate loans, and agriculture real estate loans must have collateral of at least 145% and 159% of the borrowings, respectively. Total loans pledged to the FHLB at December 31, 2024 and December 31, 2023 were $2.9 billion and $3.1 billion, respectively. The Bank could obtain advances of up to approximately $1.8 billion from the FHLB at December 31, 2024.

Each advance is payable at its maturity date, with a prepayment penalty for fixed rate advances. At December 31, 2023, the Bank had $280.0 million outstanding in FHLB advances. At December 31, 2024, advances from the FHLB were as follows (in thousands):


2025	$	507,000
2026		—
2027		—

2028		—
2029		—
Thereafter		—
Totals	$	507,000

The weighted average interest rate on advances from the FHLB is 4.48% at December 31, 2024.

PREMIER FINANCIAL CORP 10-K