Safe and Sound

ALIQUIPPA TEACHERS

Beaver, PA
5
Star Rating
ALIQUIPPA TEACHERS is an NCUA-insured credit union started in 1937 and currently based in Beaver, PA. As of December 31, 2017, the credit union held assets of $147,195.

ALIQUIPPA TEACHERS's 166 members currently have $104,249 in shares with the credit union. With that footprint, the credit union has amassed loans and leases worth $90,642.

Overall, Bankrate believes that, as of December 31, 2017, ALIQUIPPA TEACHERS exhibited a superior condition, earning a full 5 stars for safety and soundness. Here's an analysis of how the credit union faired on the three important criteria Bankrate used to score American credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital works as a buffer against losses and as protection for members when a credit union is struggling financially. Therefore, a credit union's level of capital is a useful measurement of its financial resilience. From a safety and soundness perspective, the higher the capital, the better.

ALIQUIPPA TEACHERS scored 30 out of a possible 30 points on our test to measure capital adequacy, above the national average of 15.65.

ALIQUIPPA TEACHERS appears to be stronger than its peers, with a capitalization ratio of 30.00 percent in our test, higher than the average for all credit unions.

Asset Quality Score

This test is intended to try to understand how the credit union's capitalization and allocated loan loss reserves could be affected by troubled assets, such as past-due loans.

Having lots of these types of assets may eventually require a credit union to use capital to absorb 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 reduced earnings and potentially more risk of a future failure.

ALIQUIPPA TEACHERS beat out the national average of 38.09 on Bankrate's test of asset quality, racking up 40 out of a possible 40 points .

Earnings score

How successful a credit union is at making money affects its long-term survivability. A credit union can retain its earnings, increasing its capital cushion, or use them to address problematic loans, potentially making the credit union better able to withstand economic shocks. Obviously, credit unions that are losing money are less able to do those things.

ALIQUIPPA TEACHERS underperformed the average on Bankrate's earnings test, achieving a score of 2 out of a possible 30.

ALIQUIPPA TEACHERS had an earnings ratio of 0.00 percent in our test, higher than the average for all credit unions, suggesting that it's outperforming its peers in this area.

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.