Safe and Sound

FLORIDA STATE UNIVERSITY

TALLAHASSEE, FL
4
Star Rating
FLORIDA STATE UNIVERSITY is an NCUA-insured credit union started in 1991 and currently based in TALLAHASSEE, FL. Regulatory filings show the credit union having assets of $206.6 million, as of June 30, 2017.

Thanks to the efforts of 77 full-time employees, the credit union currently holds loans and leases worth $176.4 million. Its 23,182 members currently have $180.9 million in shares with the credit union.

Overall, Bankrate believes that, as of June 30, 2017, FLORIDA STATE UNIVERSITY exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Here's a look at how the credit union faired on the three major criteria Bankrate used to evaluate American credit unions.

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THE INSTITUTION'S SCORE

Capital Score

Capital is a valuable measurement of a credit union's financial strength. It works as a bulwark against losses and provides protection for members when a credit union is experiencing financial instability. When it comes to safety and soundness, the more capital, the better.

FLORIDA STATE UNIVERSITY received a score of 10 out of a possible 30 points on our test to measure capital adequacy, coming in below the national average of 15.26.

FLORIDA STATE UNIVERSITY had a capitalization ratio of 9.00 percent in our test, lower than the average for all credit unions, a sign that it's on less solid financial footing than its peers.

Asset Quality Score

In this test, Bankrate tries to estimate the effect of troubled assets, such as unpaid mortgages, on the credit union's capitalization and allocated loan loss reserves.

A credit union with extensive holdings of these kinds of assets may eventually be forced to use capital to cover losses, diminishing its equity buffer. It also means that there are likely to be many assets that are in non-accrual status and no longer earning money, decreasing earnings and elevating the risk of a failure in the future.

FLORIDA STATE UNIVERSITY scored below the national average of 38.15 on Bankrate's test of asset quality, racking up 36 out of a possible 40 points .

The credit union's ratio of troubled assets was 13.00 percent in our test, exceeding the national average and a potential cause for concern.

Earnings score

How successful a credit union is at earning money has an effect on its long-term survivability. A credit union can retain its earnings, boosting its capital buffer, or put them to work addressing problematic loans, potentially making the credit union more resilient in times of trouble. Conversely, losses take away from a credit union's ability to do those things.

On Bankrate's earnings test, FLORIDA STATE UNIVERSITY scored 18 out of a possible 30, beating the national average of 10.31.

One indication that the credit union is outperforming its peers in this area was its earnings ratio of 9.00 percent in our test, better than the average for all credit unions.








WHAT IS SAFE & SOUND?

Bankrate.com's Safe & Sound Ratings provide a star rating system to evaluate the current financial status of financial institutions. The information gathered about banks, credit unions and thrifts is updated as set forth in the Terms of Use of Safe & Sound Ratings and Reports. The Safe & Sound Ratings information is grouped by categories of banks, thrifts and credit unions.

Scoring methodology

Bankrate.com evaluates the financial condition of institutions and assigns a one- to five-star rating for each with five stars representing the highest rating. Institutions with satisfactory performance will generally receive a rating of three or more stars. The majority of institutions fall into the three- to four-star range. An institution with an "NR" rating may be too new to rate or may have limited the publicly available information in their regulatory filings. The "NR" is not an indication of financial strength or weakness. The Safe & Sound rating is believed to be reliable, but the information is not guaranteed. In addition, events since the information was collected may have altered the institution's financial condition.