Asset Quality Score
In this test, Bankrate tries to estimate the impact of troubled assets, such as past-due mortgages, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.
Having extensive holdings of these kinds of assets could eventually force a credit union to use capital to cover losses, diminishing its equity cushion. It also means that there are likely to be many assets that are in non-accrual status and no longer earning interest for the credit union, resulting in diminished earnings and potentially more risk of a failure in the future.
On Bankrate's asset quality test, TUCOEMAS scored 40 out of a possible 40 points, beating the national average of 38.15 points.
TUCOEMAS's ratio of troubled assets was 5.00 percent in our test, lower than the national average and potentially indicative of greater financial strength than other credit unions.