Asset Quality Score
In this test, Bankrate tries to determine the impact of problem assets, such as unpaid loans, on the credit union's capitalization and allocated loan loss reserves.
Having large numbers of these types of assets could eventually require a credit union to use capital to absorb losses, decreasing its equity cushion. Many of those assets are also likely to be in non-accrual status and thus aren't earning interest for the credit union, resulting in depressed earnings and potentially more risk of a future failure.
DC fell short of the national average of 38.09 on Bankrate's test of asset quality, racking up 36 out of a possible 40 points .
The credit union's ratio of problem assets was 0.00 percent in our test, lower than the national average and suggestive of greater financial strength than other credit unions.