Safe and Sound

ESQUIRE-GOODFELLOWSHIP

Brooklyn, NY
4
Star Rating
ESQUIRE-GOODFELLOWSHIP is an NCUA-insured credit union founded in 1955 and currently headquartered in Brooklyn, NY. The credit union has $339,889 in assets, according to December 31, 2017, regulatory filings.

Its 105 members currently have $241,210 in shares with the credit union. With that footprint, the credit union has amassed loans and leases worth $42,538.

Overall, Bankrate believes that, as of December 31, 2017, ESQUIRE-GOODFELLOWSHIP exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Here's a breakdown of how the credit union did on the three major criteria Bankrate used to evaluate U.S. credit unions.

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THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring a credit union's financial stability, capital is key. It acts as a bulwark against losses and as protection for members during periods of economic trouble for the credit union. From a safety and soundness perspective, the higher the capital, the better.

ESQUIRE-GOODFELLOWSHIP did better than the national average of 15.65 points on our test to measure the adequacy of a credit union's capital, racking up 30 out of a possible 30 points.

ESQUIRE-GOODFELLOWSHIP appears to be stronger than its peers, with a capitalization ratio of 30.00 percent in our test, above the average for all credit unions.

Asset Quality Score

In this test, Bankrate tries to estimate the effect of problem assets, such as past-due 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 required to use capital to cover losses, diminishing 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, reducing earnings and increasing the chances of a future failure.

ESQUIRE-GOODFELLOWSHIP scored 40 out of a possible 40 points on Bankrate's test of asset quality, beating out the national average of 38.09.

Troubled assets made up 0.00 percent of ESQUIRE-GOODFELLOWSHIP's total assets in our test, less than the national average and suggestive of greater financial strength than other credit unions.

Earnings score

A credit union's ability to earn money affects its long-term survivability. Earnings can be retained by the credit union, boosting its capital buffer, or be used to address problematic loans, potentially making the credit union better prepared to withstand economic shocks. Losses, on the other hand, diminish a credit union's ability to do those things.

ESQUIRE-GOODFELLOWSHIP fell short of the national average on Bankrate's test of earnings, achieving a score of 0 out of a possible 30.

ESQUIRE-GOODFELLOWSHIP had an earnings ratio of 0.00 percent in our test, better than the average for all credit unions, an indication that it's outperforming its peers in this area.

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.