Safe and Sound

FRESNO GRANGERS

FRESNO, CA
5
Star Rating
FRESNO GRANGERS is an NCUA-insured credit union founded in 1940 and currently based in FRESNO, CA. Regulatory filings show the credit union having $18.1 million in assets, as of June 30, 2017.

With 2 full-time employees, the credit union currently holds loans and leases worth $9.3 million. FRESNO GRANGERS's 805 members currently have $14.0 million in shares with the credit union.

Overall, Bankrate believes that, as of June 30, 2017, FRESNO GRANGERS exhibited a superior condition, earning a full 5 stars for safety and soundness. Here's a look at how the credit union did on the three key criteria Bankrate used to evaluate U.S. credit unions on safety and soundness.

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THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring an institution's financial fortitude, capital is key. It works as a buffer against losses and as protection for members during periods of financial instability for the credit union. From a safety and soundness perspective, the more capital, the better.

On our test to measure capital adequacy, FRESNO GRANGERS scored 30 out of a possible 30 points, exceeding the national average of 15.26.

FRESNO GRANGERS's capitalization ratio of 23.00 percent in our test was better than the average for all credit unions, suggesting that it's more well prepared for financial trouble than its peers.

Asset Quality Score

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

Having large numbers of these kinds of assets may eventually force a credit union to use capital to absorb losses, diminishing its cushion of equity. Many of those assets are also likely to be in non-accrual status and no longer earning money, diminishing earnings and elevating the chances of a failure in the future.

FRESNO GRANGERS scored 40 out of a possible 40 points on Bankrate's asset quality test, better than the national average of 38.15.

A lower-than-average ratio of troubled assets of 6.00 percent in our test was potentially indicative of superior financial strength compared to other credit unions.

Earnings score

A credit union's earnings performance has an effect on its long-term survivability. A credit union can retain its earnings, increasing its capital buffer, or use them to deal with problematic loans, potentially making the credit union more resilient in tough times. Obviously, credit unions that are losing money have less ability to do those things.

FRESNO GRANGERS fell behind the national average on Bankrate's earnings test, achieving a score of 6 out of a possible 30.

One indication that FRESNO GRANGERS is running ahead of its peers in this area was its earnings ratio of 2.00 percent in our test, higher 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.