Safe and Sound

LONGVIEW CONSOLIDATED

LONGVIEW, TX
5
Star Rating
LONGVIEW CONSOLIDATED is an NCUA-insured credit union started in 1977 and currently headquartered in LONGVIEW, TX. Regulatory filings show the credit union having $9.9 million in assets, as of June 30, 2017.

Thanks to the efforts of 4 full-time employees, the credit union holds loans and leases worth $7.5 million. Its 1,896 members currently have $7.7 million in shares with the credit union.

Overall, Bankrate believes that, as of June 30, 2017, LONGVIEW CONSOLIDATED exhibited a superior condition, earning a full 5 stars for safety and soundness. Here's a look at how the credit union faired on the three key criteria Bankrate used to grade American credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital is an essential measurement of an institution's financial fortitude. It acts as a cushion against losses and as protection for members during periods of economic trouble for the credit union. When looking at safety and soundness, the higher the capital, the better.

LONGVIEW CONSOLIDATED racked up 30 out of a possible 30 points on our test to measure the adequacy of a credit union's capital, above the national average of 15.26.

LONGVIEW CONSOLIDATED appears to be on more solid financial footing than its peers, with a capitalization ratio of 21.00 percent in our test, higher than the average for all credit unions.

Asset Quality Score

This test's purpose is to try to understand how the credit union's loan loss reserves and overall capitalization could be affected by troubled assets, such as unpaid loans.

Having extensive holdings of these kinds of assets suggests a credit union may eventually have to use capital to absorb losses, reducing its equity cushion. It also means that there are likely to be many assets that are in non-accrual status and thus aren't earning interest for the credit union, pushing down earnings and increasing the chances of a failure in the future.

LONGVIEW CONSOLIDATED scored above the national average of 38.15 on Bankrate's asset quality test, racking up 40 out of a possible 40 points .

A below-average ratio of troubled assets of 1.00 percent in our test was potentially indicative of greater financial strength than other credit unions.

Earnings score

How successful a credit union is at earning money affects its long-term survivability. A credit union can retain its earnings, expanding its capital cushion, or put them to work addressing problematic loans, potentially making the credit union more resilient in tough times. Conversely, losses reduce a credit union's ability to do those things.

LONGVIEW CONSOLIDATED fell behind the national average on Bankrate's test of earnings, achieving a score of 4 out of a possible 30.

LONGVIEW CONSOLIDATED had an earnings ratio of 2.00 percent in our test, better than the average for all credit unions, suggesting that it's beating its peers in this area.

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.