Asset Quality Score
Bankrate uses this test to determine the impact of troubled assets, such as past-due mortgages, on the credit union's capitalization and allocated loan loss reserves.
A credit union with lots of these kinds of assets could eventually be forced to use capital to absorb losses, decreasing its cushion of equity. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, diminishing earnings and elevating the chances of a future failure.
On Bankrate's asset quality test, EMPLOYEES FIRST scored 40 out of a possible 40 points, beating the national average of 38.09 points.
EMPLOYEES FIRST's ratio of problem assets was 0.00 percent in our test, below the national average and suggestive of superior financial strength compared to other credit unions.