A bank's ability to earn money affects its safety and soundness. A bank can retain its earnings, expanding its capital cushion, or put them to work addressing problematic loans, likely making the bank better prepared to withstand economic trouble. Losses, on the other hand, take away from a bank's ability to do those things.
Credit One Bank, National Association exceeded the national average on Bankrate's test of earnings, achieving a score of 30 out of a possible 30.
Return on equity, calculated by dividing net income (profit, essentially) by the total amount of equity, is one important way to measure a bank's earnings. Credit One Bank, National Association's most recent annualized quarterly return on equity was 100.91 percent, above the national average of 8.10 percent.
The bank reported net income of $142.8 million on total equity of $173.6 million for the twelve months ended December 31, 2017. The bank experienced an annualized return on average assets, or ROA, of 56.38 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.