Safe and Sound

DANBURY CYANAMID EMPLOYEES

Danbury, CT
4
Star Rating
Founded in 1957, DANBURY CYANAMID EMPLOYEES is an NCUA-insured credit union based in DANBURY, CT. As of December 31, 2017, the credit union had assets of $6.9 million.

With 2 full-time employees, the credit union holds loans and leases worth $1.3 million. DANBURY CYANAMID EMPLOYEES's 1,135 members currently have $5.4 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, DANBURY CYANAMID EMPLOYEES exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a breakdown 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

When it comes to measuring an institution's financial resilience, capital is valuable. It acts as a bulwark against losses and affords protection for members when a credit union is struggling financially. When looking at safety and soundness, more capital is preferred.

On our test to measure the adequacy of a credit union's capital, DANBURY CYANAMID EMPLOYEES racked up 30 out of a possible 30 points, better than the national average of 15.65.

DANBURY CYANAMID EMPLOYEES's capitalization ratio of 30.00 percent in our test was better than the average for all credit unions, suggesting that it's on more solid financial footing than its peers.

Asset Quality Score

This test is intended to try to understand how the credit union's loan loss reserves and overall capitalization could be affected by troubled assets, such as unpaid mortgages.

Having extensive holdings of these types of assets suggests a credit union could eventually have to use capital to cover losses, decreasing its equity buffer. 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 diminished earnings and potentially more risk of a future failure.

DANBURY CYANAMID EMPLOYEES fell below the national average of 38.09 on Bankrate's asset quality test, racking up 36 out of a possible 40 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

A credit union's profitability has an effect on its safety and soundness. A credit union can retain its earnings, boosting its capital buffer, or put them to work addressing problematic loans, potentially making the credit union better prepared to withstand financial trouble. Obviously, credit unions that are losing money have less ability to do those things.

DANBURY CYANAMID EMPLOYEES fell behind the national average on Bankrate's test of earnings, achieving a score of 0 out of a possible 30.

One indication that the credit union is running ahead of 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.