Asset Quality Score
Bankrate uses this test to determine the impact of troubled assets, such as unpaid loans, on the credit union's capitalization and allocated loan loss reserves.
A credit union with a large number of these kinds of assets could eventually be forced to use capital to absorb losses, reducing its equity cushion. It also means that there are likely to be many assets that are in non-accrual status and thus aren't earning interest for the credit union, resulting in reduced earnings and potentially more risk of a future failure.
CAROLINA COOPERATIVE scored 40 out of a possible 40 points on Bankrate's test of asset quality, beating out the national average of 38.09.
CAROLINA COOPERATIVE's ratio of problem assets was 0.00 percent in our test, less than the national average and potentially indicative of superior financial strength compared to other credit unions.