Safe and Sound

CABLE

Marion, IN
3
Star Rating
CABLE is a Marion, IN-based, NCUA-insured credit union started in 1936. As of December 31, 2017, the credit union held assets of $894,645.

The credit union currently holds loans and leases worth $777,308. CABLE's 207 members currently have $675,124 in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, CABLE exhibited a generally satisfactory condition, earning 3 out of 5 stars for safety and soundness. Keep reading for an analysis of how the credit union did on the three major criteria Bankrate used to evaluate U.S. credit unions.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital is a crucial measurement of a credit union's financial fortitude. It acts as a bulwark against losses and as protection for members when a credit union is experiencing economic trouble. From a safety and soundness perspective, more capital is preferred.

CABLE achieved a score of 30 out of a possible 30 points on our test to measure capital adequacy, exceeding the national average of 15.65.

CABLE had a capitalization ratio of 30.00 percent in our test, higher than the average for all credit unions, a sign that it's more well prepared for financial trouble than its peers.

Asset Quality Score

Bankrate uses this test to estimate the impact of problem assets, such as past-due loans, on the credit union's loan loss reserves and overall capitalization.

Having lots of these types of assets suggests a credit union could have to use capital to cover losses, diminishing its equity cushion. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, resulting in depressed earnings and potentially more risk of a future failure.

CABLE fell short of the national average of 38.09 on Bankrate's asset quality test, racking up 24 out of a possible 40 points .

Troubled assets made up 0.00 percent of the credit union's total assets in our test, beneath the national average and suggestive of superior financial strength compared to other credit unions.

Earnings score

How successful a credit union is at making money has an effect on its safety and soundness. A credit union can retain its earnings, expanding its capital cushion, or put them to work addressing problematic loans, likely making the credit union better prepared to withstand financial shocks. Losses, on the other hand, diminish a credit union's ability to do those things.

On Bankrate's earnings test, CABLE scored 0 out of a possible 30, coming in below the national average of 10.11.

CABLE had an earnings ratio of 0.00 percent in our test, above the average for all credit unions, a sign that it's doing better than 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.