Safe and Sound


Star Rating
BRIARWOOD, NY-based MELROSE is an NCUA-insured credit union founded in 1922. Regulatory filings show the credit union having $1.62 billion in assets, as of June 30, 2017.

Thanks to the work of 77 full-time employees, the credit union has amassed loans and leases worth $1.70 billion. Its 22,659 members currently have $1.27 billion in shares with the credit union.

Overall, Bankrate did not have enough information on this institution to give it a star rating. Keep reading for a look at how the credit union did on the three important criteria Bankrate used to grade American credit unions.


Find out


Capital Score

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

MELROSE finished below the national average of 15.26 on our test to measure capital adequacy, achieving a score of 0 out of a possible 30 points.

MELROSE appears to be weaker than its peers in this area, with a capitalization ratio of 2.00 percent in our test, below 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 problem assets, such as past-due loans.

Having lots of these types of assets could eventually force a credit union to use capital to cover losses, reducing its equity buffer. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, reducing earnings and increasing the chances of a future failure.

On Bankrate's asset quality test, MELROSE scored 0 out of a possible 40 points, failing to reach the national average of 38.15 points.

Troubled assets made up 268.00 percent of MELROSE's total assets in our test, higher than the national average and something to watch.

Earnings score

A credit union's profitability has an effect on its safety and soundness. A credit union can retain its earnings, increasing its capital cushion, or put them to work addressing problematic loans, likely making the credit union better prepared to withstand economic trouble. Obviously, credit unions that are losing money have less ability to do those things.

On Bankrate's earnings test, MELROSE scored 0 out of a possible 30, coming in below the national average of 10.31.

MELROSE had an earnings ratio of -374.00 percent in our test, less than the average for all credit unions, suggesting that it's underperforming its peers in this area.

WHAT IS SAFE & SOUND?'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 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.