Safe and Sound

BEAUREGARD SCHOOL EMPLOYEES

DERIDDER, LA
4
Star Rating
Started in 1967, BEAUREGARD SCHOOL EMPLOYEES is an NCUA-insured credit union based in DERIDDER, LA. Regulatory filings show the credit union having $22.4 million in assets, as of December 31, 2017.

Members have $13.6 million on deposit tended by 3 full-time employees. With that footprint, the credit union currently holds loans and leases worth $13.6 million. BEAUREGARD SCHOOL EMPLOYEES's 2,110 members currently have $19.6 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, BEAUREGARD SCHOOL EMPLOYEES exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a look at how the credit union faired on the three important criteria Bankrate used to grade American credit unions.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring an institution's financial fortitude, capital is valuable. It works as a buffer against losses and provides protection for members when a credit union is experiencing financial instability. When looking at safety and soundness, the more capital, the better.

BEAUREGARD SCHOOL EMPLOYEES beat out the national average of 15.65 points on our test to measure capital adequacy, achieving a score of 16 out of a possible 30 points.

BEAUREGARD SCHOOL EMPLOYEES's capitalization ratio of 16.00 percent in our test puts it right in line with the average for all credit unions.

Asset Quality Score

In this test, Bankrate tries to estimate the impact of troubled 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 lots of these kinds of assets may eventually be required to use capital to absorb losses, decreasing its equity buffer. It also means that there are likely to be many assets that are in non-accrual status and no longer earning interest for the credit union, resulting in reduced earnings and potentially more risk of a future failure.

On Bankrate's test of asset quality, BEAUREGARD SCHOOL EMPLOYEES scored 36 out of a possible 40 points, falling short of the national average of 38.09 points.

A below-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 earning money affects its long-term survivability. A credit union can retain its earnings, giving a boost to its capital buffer, or use them to deal with problematic loans, likely making the credit union more resilient in times of trouble. Conversely, losses reduce a credit union's ability to do those things.

On Bankrate's earnings test, BEAUREGARD SCHOOL EMPLOYEES scored 8 out of a possible 30, coming in below the national average of 10.11.

BEAUREGARD SCHOOL EMPLOYEES had an earnings ratio of 0.00 percent in our test, above the average for all credit unions, an indication that it's running ahead of 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.