Asset Quality Score
In this test, Bankrate tries to estimate the impact of troubled assets, such as past-due loans, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.
Having lots of these types of assets may eventually require a credit union to use capital to cover losses, cutting down on its cushion of equity. 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, resulting in depressed earnings and potentially more risk of a failure in the future.
On Bankrate's test of asset quality, UNITED NATIONS scored 40 out of a possible 40 points, beating the national average of 38.15 points.
A below-average ratio of problem assets of 4.00 percent in our test was potentially indicative of greater financial strength than other credit unions.