Safe and Sound

COLUMBIA POST OFFICE

Columbia, SC
4
Star Rating
Columbia, SC-based COLUMBIA POST OFFICE is an NCUA-insured credit union started in 1927. The credit union has $34.4 million in assets, according to December 31, 2017, regulatory filings.

The credit union currently holds loans and leases worth $7.6 million. Its 1,519 members currently have $29.8 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, COLUMBIA POST OFFICE exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Here's an analysis of how the credit union did on the three key criteria Bankrate used to evaluate American credit unions.

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SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital is a valuable measurement of an institution's financial fortitude. It works as a bulwark against losses and affords protection for members when a credit union is experiencing financial instability. When looking at safety and soundness, the more capital, the better.

COLUMBIA POST OFFICE beat out the national average of 15.65 points on our test to measure the adequacy of a credit union's capital, achieving a score of 18 out of a possible 30 points.

COLUMBIA POST OFFICE's capitalization ratio of 18.00 percent in our test was above the average for all credit unions, suggesting that it's stronger than its peers.

Asset Quality Score

Bankrate uses this test to determine the impact of problem assets, such as unpaid mortgages, 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 may eventually have to use capital to absorb losses, cutting down on its equity cushion. It also means that there are likely to be many assets that are in non-accrual status and no longer earning money, resulting in diminished earnings and potentially more risk of a future failure.

COLUMBIA POST OFFICE did better than the national average of 38.09 on Bankrate's asset quality test, racking up 40 out of a possible 40 points .

A below-average ratio of troubled assets of 0.00 percent in our test was potentially indicative of superior financial strength compared to other credit unions.

Earnings score

A credit union's ability to earn money affects its safety and soundness. A credit union can retain its earnings, giving a boost to its capital cushion, or use them to deal with problematic loans, potentially making the credit union better able to withstand economic shocks. Losses, on the other hand, take away from a credit union's ability to do those things.

COLUMBIA POST OFFICE scored 8 out of a possible 30 on Bankrate's earnings test, lower than the national average of 10.11.

One sign that the credit union is beating its peers in this area was its earnings ratio of 0.00 percent in our test, above 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.