Mortgage Banking Activities
 12 Months Ended
Dec. 31, 2014
Transfers and Servicing [Abstract]  
Mortgage banking activities
Mortgage banking activities

Net MSRs at December 31, 2014 and 2013 were $2.2 million. Transactions in the Company’s MSRs for the years ended December 31, 2014 and 2013 were as follows (dollars in thousands).
 
 
2014
 
2013
Balance at beginning of year
$
2,232

 
$
1,308

Additions
685

 
1,166

Amortization
(669
)
 
(399
)
Change in valuation allowance
—

 
157

Balances at end of year
$
2,248

 
$
2,232


 
Mortgage banking income, net, consisted of the following for the periods shown (dollars in thousands):
 
2014
 
2013
 
2012
Origination and processing fees
$
748

 
$
651

 
$
594

Gain on sales of mortgage loans, net
1,539

 
3,337

 
3,845

MSR valuation allowance
—

 
157

 
(157
)
Servicing fees
678

 
515

 
171

Amortization
(669
)
 
(399
)
 
(134
)
Mortgage banking income, net
$
2,296

 
$
4,261

 
$
4,319