Safe and Sound

A M E CHURCH

Baton Rouge, LA
2
Star Rating
A M E CHURCH is an NCUA-insured credit union founded in 1982 and currently based in Baton Rouge, LA. Regulatory filings show the credit union having $96,174 in assets, as of December 31, 2017.

A M E CHURCH's 382 members currently have $83,242 in shares with the credit union. With that footprint, the credit union currently holds loans and leases worth $28,964.

Overall, Bankrate believes that, as of December 31, 2017, A M E CHURCH exhibited a below-average condition, earning 2 out of 5 stars for safety and soundness. Here's a breakdown of how the credit union faired on the three key criteria Bankrate used to score American credit unions.

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THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring an institution's financial strength, capital is essential. It works as a cushion against losses and provides protection for members when a credit union is struggling financially. When it comes to safety and soundness, the higher the capital, the better.

A M E CHURCH beat out the national average of 15.65 points on our test to measure capital adequacy, achieving a score of 18 out of a possible 30 points.

A M E CHURCH appears to be stronger than its peers, with a capitalization ratio of 18.00 percent in our test, higher than the average for all credit unions.

Asset Quality Score

Bankrate uses this test to estimate the impact of problem assets, such as past-due loans, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.

A credit union with a large number of these kinds of assets could eventually have to use capital to absorb losses, diminishing its buffer of equity. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, decreasing earnings and increasing the risk of a failure in the future.

A M E CHURCH fell below the national average of 38.09 on Bankrate's test of asset quality, racking up 20 out of a possible 40 points .

A lower-than-average ratio of troubled assets of 0.00 percent in our test was potentially indicative of superior financial strength compared to other credit unions.

Earnings score

How successful a credit union is at earning money has an effect on its long-term survivability. Earnings may be retained by the credit union, giving a boost to its capital cushion, or be used to deal with problematic loans, likely making the credit union better able to withstand financial shocks. However, credit unions that are losing money have less ability to do those things.

On Bankrate's earnings test, A M E CHURCH scored 0 out of a possible 30, lower than the national average of 10.11.

One indication that A M E CHURCH is doing better than its peers in this area was its earnings ratio of 0.00 percent in our test, better than the average for all credit unions.

WHAT IS SAFE & SOUND?

Bankrate.com's Safe & Sound Ratings provide a star rating system to evaluate the current financial status of financial institutions. The information gathered about banks, credit unions and thrifts is updated as set forth in the Terms of Use of Safe & Sound Ratings and Reports. The Safe & Sound Ratings information is grouped by categories of banks, thrifts and credit unions.

Scoring methodology

Bankrate.com evaluates the financial condition of institutions and assigns a one- to five-star rating for each with five stars representing the highest rating. Institutions with satisfactory performance will generally receive a rating of three or more stars. The majority of institutions fall into the three- to four-star range. An institution with an "NR" rating may be too new to rate or may have limited the publicly available information in their regulatory filings. The "NR" is not an indication of financial strength or weakness. The Safe & Sound rating is believed to be reliable, but the information is not guaranteed. In addition, events since the information was collected may have altered the institution's financial condition.