About FNBH Bancorp

FNBH Bancorp, Inc. operates as the bank holding company First National Bank in Howell that provides a range of commercial and personal banking services. The company offers a variety of checking and savings accounts for personal, commercial and non-profit entities, certificates of deposit, commercial equipment and real estate lending, treasury management solutions for businesses, residential mortgage lending, consumer lending options (including indirect financing with local vehicle, recreational and marine dealers), and a host of value-added financial services for both businesses and households. The company primarily serves Livingston and the surrounding counties of Southeast Michigan, maintaining physical bank branch offices in five communities of Livingston County, specifically Brighton, Fowlerville, Green Oak Township, Hartland, and Howell. In addition, the bank’s residential mortgage administration office is located in Waterford in neighboring Oakland County. H.B. Realty Co. was established to purchase land for a future branch site of the bank and to hold title to the company’s other real estate when it is considered prudent to do so. Investment Securities As of December 31, 2020, the company’s investment securities included mortgage-backed/CMO – residential securities; mortgage-backed – commercial securities; U.S. agency securities; obligations of state and political subdivisions; and corporate bonds. As of December 31, 2020, the company’s investment securities available for sale portfolio consisted of 95 securities, nine of which were in an unrealized loss position. Loans As of December 31, 2020, the company’s loans included commercial loans; commercial real estate loans (such as construction, land development, and other land loans; owner occupied loans; and nonowner occupied loans); consumer real estate loans (such as commercial purpose loans, mortgage – residential loans, and home equity and home equity lines of credit); and consumer and other loans. The company’s four portfolio segments analyzed are Commercial, Commercial Real Estate, Consumer Real Estate, and Consumer and Other. The Commercial portfolio segment includes loans to finance commercial and industrial businesses that are not secured by real estate and discounted equipment finance leases. The Commercial Real Estate portfolio segment includes construction real estate loans to finance construction and land development and/or loans secured by vacant land; and commercial real estate loans secured by non-farm, non-residential real estate, which are further classified as either owner occupied or non-owner occupied based on the underlying collateral type. The Consumer Real Estate portfolio segment includes (commercial and non-commercial purpose) loans that are secured by 1 – 4 family residential real estate properties, including first mortgages on residential properties and home equity loans and lines of credit that are secured by first or second liens on residential properties. The Consumer and Other portfolio segment includes all loans not included in any other portfolio segments. These are primarily loans to consumers for household, family, and other personal expenditures, such as automobiles, boats, and recreational vehicles. Deposits The company participates as a member of IntraFi Network’s Insured Cash Sweep (ICS) deposit program. Through ICS, the company may accept deposits in excess of the FDIC insured maximum from a depositor and place the deposits through the ICS network into other member banks in increments of less than the FDIC insured maximum in order to provide the depositor full FDIC insurance coverage. The company receives an equal dollar amount of deposits from other ICS member banks in exchange for the deposits the company places into the ICS network. The company also participates as a member of IntraFi Network’s Certificate of Deposit Account Registry Service (CDARS) deposit product program. Through CDARS, the company may accept deposits in excess of the FDIC insured maximum from a depositor through a network of other CDARS member banks in increments of less than the FDIC insured maximum to provide the depositor full FDIC insurance coverage. The company receives an equal dollar amount of deposits from other CDARS member banks in exchange for the deposits the company places into the network. Regulation The bank is a member of the Federal Home Loan Bank System of Indianapolis (FHLBI) and the Federal Reserve Bank (FRB). History FNBH Bancorp, Inc. was founded in 1891.