Safe and Sound

ALLEGHENY HEALTH SERVICES EMPLOYEES

PITTSBURGH, PA
3
Star Rating
Started in 1973, ALLEGHENY HEALTH SERVICES EMPLOYEES is an NCUA-insured credit union headquartered in PITTSBURGH, PA. As of December 31, 2017, the credit union held assets of $12.4 million.

Thanks to the efforts of 3 full-time employees, the credit union currently holds loans and leases worth $6.0 million. ALLEGHENY HEALTH SERVICES EMPLOYEES's 3,621 members currently have $11.3 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, ALLEGHENY HEALTH SERVICES EMPLOYEES exhibited a generally satisfactory condition, earning 3 out of 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union faired on the three important criteria Bankrate used to grade U.S. credit unions.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital works as a cushion against losses and affords protection for members when a credit union is experiencing economic instability. Therefore, when it comes to measuring an a credit union's financial stability, capital is useful. When looking at safety and soundness, the higher the capital, the better.

ALLEGHENY HEALTH SERVICES EMPLOYEES received a score of 8 out of a possible 30 points on our test to measure the adequacy of a credit union's capital, falling short of the national average of 15.65.

ALLEGHENY HEALTH SERVICES EMPLOYEES's capitalization ratio of 8.00 percent in our test was below the average for all credit unions, suggesting that it's weaker than its peers.

Asset Quality Score

This test is intended to estimate how the credit union's reserves set aside to cover loan losses, as well as overall capitalization could be affected by troubled assets, such as unpaid mortgages.

A credit union with lots of these kinds of assets may eventually be required to use capital to cover losses, cutting down on its equity buffer. Many of those assets are also likely to be in non-accrual status and no longer earning money, resulting in reduced earnings and potentially more risk of a future failure.

On Bankrate's asset quality test, ALLEGHENY HEALTH SERVICES EMPLOYEES scored 40 out of a possible 40 points, above the national average of 38.09 points.

A lower-than-average ratio of problem 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 making money affects its long-term survivability. A credit union can retain its earnings, expanding its capital cushion, or use them to deal with problematic loans, likely making the credit union better prepared to withstand economic shocks. However, credit unions that are losing money are less able to do those things.

On Bankrate's test of earnings, ALLEGHENY HEALTH SERVICES EMPLOYEES scored 4 out of a possible 30, lower than the national average of 10.11.

One sign that ALLEGHENY HEALTH SERVICES EMPLOYEES 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.