Asset Quality Score
In this test, Bankrate tries to determine the effect 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.
Having lots of these kinds of assets suggests a credit union could eventually have to use capital to cover losses, reducing its equity buffer. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, resulting in lower earnings and potentially more risk of a future failure.
BEAVER AVENUE finished below the national average of 38.09 on Bankrate's asset quality test, racking up 12 out of a possible 40 points .
The credit union's ratio of troubled assets was 1.00 percent in our test, identical to the national average.