Independence Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 8.38% (2Q26), against the 2.50% a bank must hold above each risk-based minimum to pay dividends and discretionary bonuses without limits. The buffer is the smallest of the three cushions over the minimums; here the binding ratio is Total capital. The bank clears the requirement. Filed figure: 8.38% (RCOAH311).
What each ratio is made of, 2Q26
Open a ratio to see its numerator and denominator as filed, our recomputation, and how far it sits above each regulatory line.
Common equity Tier 1 ratio 15.16% +8.66 pp over well capitalized
Common equity Tier 1 is the loss-absorbing core: common stock, retained earnings and most of accumulated other comprehensive income, less goodwill, intangibles and other deductions. It is measured against risk-weighted assets.
| Common equity Tier 1 capital | $185.6M | 185,567 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.22B | 1,224,042 | RCOAA223 |
| Recomputed ratio | 15.16% | numerator / denominator | |
| Filed ratio | 15.16% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +8.66 pp | $106.0M | capital that could be lost first |
Tier 1 risk-based capital ratio 15.16% +7.16 pp over well capitalized
Tier 1 adds additional Tier 1 instruments, such as qualifying noncumulative perpetual preferred stock, to common equity Tier 1. Measured against risk-weighted assets.
| Tier 1 capital | $185.6M | 185,567 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.22B | 1,224,042 | RCOAA223 |
| Recomputed ratio | 15.16% | numerator / denominator | |
| Filed ratio | 15.16% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +7.16 pp | $87.6M | capital that could be lost first |
Total risk-based capital ratio 16.38% +6.38 pp over well capitalized
Total capital adds Tier 2, mostly qualifying subordinated debt and the allowance for credit losses up to 1.25% of risk-weighted assets, to Tier 1. Measured against risk-weighted assets.
| Total capital | $200.5M | 200,515 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.22B | 1,224,042 | RCOAA223 |
| Recomputed ratio | 16.38% | numerator / denominator | |
| Filed ratio | 16.38% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +6.38 pp | $78.1M | capital that could be lost first |
Tier 1 leverage ratio 13.39% +8.39 pp over well capitalized
Tier 1 capital over average total assets for the quarter, with no risk weighting. It caps how far a bank can grow on low-risk-weight assets.
| Tier 1 capital | $185.6M | 185,567 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $1.39B | 1,385,395 | RCOAA224 |
| Recomputed ratio | 13.39% | numerator / denominator | |
| Filed ratio | 13.39% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +8.39 pp | $116.3M | capital that could be lost first |
Amounts in the middle column are thousands of dollars as filed. Ratios are the standardized column of Schedule RC-R Part I.
The capital stack, $ thousands
From common equity to total capital, then the denominators the ratios divide by. Negatives in parentheses.
| Line | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q25 | Source |
|---|---|---|---|---|---|---|---|
| Common stock plus related surplus, net of treasury stock | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | RCOAP742 |
| Retained earnings | 118,391 | 112,453 | 110,222 | 105,188 | 99,915 | 97,374 | RCOAKW00 |
| Accumulated other comprehensive income | (18,719) | (18,524) | (17,913) | (18,859) | (25,089) | (23,568) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 168,672 | 162,929 | 161,309 | 155,329 | 143,826 | 142,806 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 16,895 | 16,700 | 16,089 | 17,035 | 23,265 | 21,744 | P859 - P840 |
| Common equity Tier 1 capital | 185,567 | 179,629 | 177,398 | 172,364 | 167,091 | 164,550 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 185,567 | 179,629 | 177,398 | 172,364 | 167,091 | 164,550 | RCOA8274 |
| Tier 2 capital | 14,948 | 14,594 | 14,381 | 13,367 | 13,064 | 12,963 | RCOA5311 |
| Allowance includable in Tier 2 capital | 14,948 | 14,594 | 14,381 | 13,367 | 13,064 | 12,963 | RCOA5310 |
| Total capital | 200,515 | 194,223 | 191,779 | 185,731 | 180,155 | 177,513 | RCOA3792 |
| Total risk-weighted assets | 1,224,042 | 1,167,503 | 1,150,200 | 1,176,147 | 1,121,622 | 1,077,312 | RCOAA223 |
| Average total assets for the leverage ratio | 1,385,395 | 1,373,483 | 1,365,445 | 1,347,306 | 1,325,639 | 1,297,700 | RCOAA224 |
Risk-weighted assets by exposure category, 2Q26
Each category's exposure is filed across the risk-weight columns of Schedule RC-R Part II; its risk-weighted assets are each allocation times its weight. The average risk weight says how much capital a dollar of that exposure consumes.
| Category | Exposure | Risk-weighted | Avg weight | Share of RWA | Source |
|---|---|---|---|---|---|
| Cash and balances due | $13.0M | $53K | 0.40% | 0.00% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $254.1M | $51.9M | 20.43% | 4.24% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $111.0M | $55.5M | 50.00% | 4.53% | RC-R Part II, item 4.a, 5.a |
| Loans: all other | $996.8M | $989.2M | 99.23% | 80.81% | RC-R Part II, item 4.d, 5.d |
| All other assets | $52.7M | $50.0M | 94.97% | 4.09% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $79.2M | $77.3M | 97.69% | 6.32% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $900 | NA | 0.00% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $1.22B | ties to item 31 ($1.22B) |
|---|---|---|
| Risk-weighted assets before deductions | $1.22B | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $1.22B | RCONG641, ties |
12 quarters against the asset-tier median
| Quarter | Framework | CET1 | Tier 1 | Total capital | Leverage | Tier median CET1 | Tier median Tier 1 | Tier median Total capital | Tier median Leverage |
|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | Risk-based | 15.16% | 15.16% | 16.38% | 13.39% | 13.52% | 13.55% | 14.66% | 10.52% |
| 1Q26 | Risk-based | 15.39% | 15.39% | 16.64% | 13.08% | 13.45% | 13.46% | 14.59% | 10.46% |
| 4Q25 | Risk-based | 15.42% | 15.42% | 16.67% | 12.99% | 13.36% | 13.37% | 14.44% | 10.38% |
| 3Q25 | Risk-based | 14.65% | 14.65% | 15.79% | 12.79% | 13.38% | 13.39% | 14.51% | 10.37% |
| 2Q25 | Risk-based | 14.90% | 14.90% | 16.06% | 12.60% | 13.21% | 13.21% | 14.27% | 10.30% |
| 1Q25 | Risk-based | 15.27% | 15.27% | 16.48% | 12.68% | 13.15% | 13.17% | 14.26% | 10.24% |
| 4Q24 | Risk-based | 15.92% | 15.92% | 17.14% | 12.76% | 13.02% | 13.05% | 14.10% | 10.07% |
| 3Q24 | Risk-based | 15.29% | 15.29% | 16.49% | 12.64% | 12.97% | 13.02% | 14.13% | 10.12% |
| 2Q24 | Risk-based | 14.68% | 14.68% | 15.84% | 12.61% | 12.93% | 12.94% | 14.06% | 10.10% |
| 1Q24 | Risk-based | 15.66% | 15.66% | 16.91% | 12.59% | 12.90% | 12.91% | 14.02% | 10.06% |
| 4Q23 | Risk-based | 15.63% | 15.63% | 16.88% | 12.48% | 12.81% | 12.82% | 13.92% | 10.01% |
| 3Q23 | Risk-based | 14.90% | 14.90% | 16.12% | 12.42% | 12.78% | 12.79% | 13.93% | 10.03% |
NA means not filed for that quarter: a community bank leverage ratio filer files no risk-based ratios. Tier medians are the served benchmark for banks in the same asset tier.
Against similar banks, 2Q26
| Bank | Assets | Framework | CET1 | Tier 1 | Total capital | Leverage |
|---|---|---|---|---|---|---|
| Independence Bank (this bank) | Risk-based | 15.16% | 15.16% | 16.38% | 13.39% | |
| Alliance Bank | $1.39B | Risk-based | 15.59% | 15.59% | 16.72% | 10.42% |
| Central National Bank | $1.39B | CBLR | NA | NA | NA | 11.00% |
| Dakota Community Bank & Trust, N.A. | $1.39B | Risk-based | 13.32% | 13.32% | 14.36% | 9.07% |
| Southwestern National Bank | $1.39B | Risk-based | 14.54% | 14.54% | 15.79% | 12.41% |
| Optimumbank | $1.39B | CBLR | NA | NA | NA | 10.54% |
| Ulster Savings Bank | $1.39B | Risk-based | 13.97% | 13.97% | 15.18% | 9.79% |
| Wallis Bank | $1.38B | CBLR | NA | NA | NA | 10.10% |
| Guardian Savings Bank | $1.39B | CBLR | NA | NA | NA | 11.39% |
| State Bank of India (California) | $1.38B | Risk-based | 15.94% | 15.94% | 17.19% | 14.05% |
| Peer 25th percentile | 13.97% | 13.97% | 15.18% | 10.10% | ||
| Peer median | 14.54% | 14.54% | 15.79% | 10.54% | ||
| Peer 75th percentile | 15.59% | 15.59% | 16.72% | 11.39% | ||
| This bank's percentile | 60 | 60 | 60 | 89 |
Peer ratios use the same basis as this bank: the standardized column of Schedule RC-R where served, the filed summary otherwise. Similar banks are the nearest banks by size in the same asset tier.
Source: FFIEC Call Report Schedule RC-R, Parts I and II, as filed. Well capitalized means at least 6.5% CET1, 8% Tier 1, 10% total capital and 5% leverage under the prompt corrective action rules; a community bank leverage ratio filer must instead hold the leverage ratio its framework requires. The same figures are in the API at /api/v1/banks/606653/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.