Question-and-Answer Session
Operator
Your first question comes from the line of Aaron Deer.
Melanie Dressel
Hi, Aaron.
Aaron Deer - Sandler O'Neill & Partners
Hi, Melanie. Hi, Gary. Hi, Andy. I guess if you could --- I missed some of your prepared comments, maybe you have commented on this. But, can you talk a little bit about what's behind the balance sheet shrinkage, versus the loan side, the deposit side, and if you kind of intentionally reducing originations, given the environment?
Melanie Dressel
I'll ask Mark Nelson, our Chief Operating Officer, to answer that one, Aaron.
Mark Nelson
Hi, Aaron. Well, yes, it is intentional. When we are starting to talk on the asset side, we are focusing, clearly, on making sure our pricing is right on anything new that we do. We are focusing heavily on relationship based commercial real estate, not speculative construction type projects. We are seeing a lot of irrational pricing in the marketplace today, and we have just decided to take that kind of business out of our pipeline and be much more conservative.
On the deposit side, as we have mentioned in previous conferences, our deposits tend to be very seasonal, and on first quarter we see a run out of business deposits, primarily early in the quarter, with year end payments. We tend to see the same thing again in April, and early May tax payments drive that largely.
We had a pretty good number at the end of March. We are only $7 million off of that, all in core deposits at end. Actually, after the big run out in April, we saw really good buildup back by the end of June. And so, we feel that's very consistent with our seasonal patterns that we have seen in previous years.
Aaron Deer - Sandler O'Neill & Partners
That's helpful. And then, I was surprised to see the resilience of the margin, I guess for couple reasons. One is, just given some of the modest sensitivity you have, and given where rates have gone, but also because I expected to see greater interest reversals than the $335,000 that you mentioned. At what point do you trigger an interest reversal, because I would have thought that with the nonaccruals that you had, that number would have been higher?
Melanie Dressel
Go ahead, Andy.
Andy McDonald
The interest reversal is actually a little bit higher than that. But we had one credit that actually came back in as a recurring loan. So, we talked about the interest reversals being netted. So, the total interest reversal was $578,000 for the quarter. But we brought back in a nonrecurring loan, which added back $243,000 to earnings. But typically, what we do is, we'll reverse interests going back to the last payment that was made.
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