How profitable a bank is has an effect on its safety and soundness. A bank can retain its earnings, expanding its capital cushion, or use them to address problematic loans, potentially making the bank more resilient in times of trouble. However, banks that are losing money are less able to do those things.
TCF National Bank exceeded the national average on Bankrate's earnings test, achieving a score of 20 out of a possible 30.
One widely used measure of a bank's earnings is return on equity, or net income (essentially profit) divided by the total amount of equity. TCF National Bank's most recent annualized quarterly return on equity was 11.09 percent, above the national average of 8.10 percent.
The bank recorded net income of $271.1 million on total equity of $2.58 billion for the twelve months ended December 31, 2017. The bank experienced an annualized return on average assets, or ROA, of 1.22 percent, above the 1 percent deemed satisfactory in accordance with industry standards, and above the average for U.S. banks of 1.00 percent.