Safe and Sound

ANDERSON

ANDERSON, SC
3
Star Rating
Started in 1953, ANDERSON is an NCUA-insured credit union based in ANDERSON, SC. Regulatory filings show the credit union having $91.8 million in assets, as of December 31, 2017.

Thanks to the work of 35 full-time employees, the credit union has amassed loans and leases worth $65.5 million. ANDERSON's 13,196 members currently have $83.4 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, ANDERSON 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 key criteria Bankrate used to score American credit unions.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital is a key measurement of an institution's financial resilience. It acts as a buffer against losses and affords protection for members when a credit union is experiencing financial instability. When it comes to safety and soundness, more capital is preferred.

ANDERSON finished below the national average of 15.65 on our test to measure capital adequacy, receiving a score of 8 out of a possible 30 points.

ANDERSON appears to be on less solid financial footing than its peers in this area, with a capitalization ratio of 8.00 percent in our test, less than the average for all credit unions.

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 problem assets, such as unpaid loans.

Having a large number 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 no longer earning money, resulting in reduced earnings and potentially more risk of a failure in the future.

ANDERSON scored 36 out of a possible 40 points on Bankrate's asset quality test, coming in below the national average of 38.09.

Troubled assets made up 0.00 percent of ANDERSON's total assets in our test, less than the national average and suggestive of greater financial strength than other credit unions.

Earnings score

A credit union's earnings performance affects 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, potentially making the credit union more resilient in times of trouble. However, credit unions that are losing money have less ability to do those things.

ANDERSON scored 4 out of a possible 30 on Bankrate's earnings test, coming in below the national average of 10.11.

One indication that ANDERSON is outperforming 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.