Asset Quality Score
Bankrate uses this test to estimate the impact of problem assets, such as past-due mortgages, on the credit union's loan loss reserves and overall capitalization.
Having a large number of these types of assets may eventually force a credit union to use capital to cover losses, cutting down on its equity cushion. Many of those assets are also likely to be in non-accrual status and no longer earning interest for the credit union, pushing down earnings and increasing the chances of a failure in the future.
SESLOC scored 36 out of a possible 40 points on Bankrate's asset quality test, less than the national average of 38.15.
SESLOC's ratio of problem assets was 7.00 percent in our test, the same as the national average.