THE INSTITUTION'S SCORE
Capital works as a buffer against losses and as protection for depositors when a bank is experiencing financial trouble. Therefore, a bank's level of capital is a key measurement of a bank's financial strength. When looking at safety and soundness, the more capital, the better.
On our test to measure capital adequacy, FNB Bank, National Association received a score of 12 out of a possible 30 points, lower than the national average of 13.13.
One widely followed measure of this buffer is a bank's Tier 1 capital ratio. FNB Bank, National Association's Tier 1 capital ratio was 17.06 percent, exceeding the 6 percent level regulators consider adequate, but less than the national average of 25.65 percent. The higher the capital ratio, the better the bank will be able to stand up to economic difficulties.
Overall, FNB Bank, National Association held equity amounting to 11.91 percent of its assets, which was lower than the national average of 12.03 percent.