A credit union's ability to earn money has an effect on its safety and soundness. A credit union can retain its earnings, giving a boost to its capital cushion, or use them to address problematic loans, potentially making the credit union more resilient in tough times. Losses, on the other hand, take away from a credit union's ability to do those things.
FIRST CITY scored 10 out of a possible 30 on Bankrate's test of earnings, below the national average of 10.31.
The credit union had an earnings ratio of 5.00 percent in our test, better than the average for all credit unions, suggesting that it's outperforming its peers in this area.