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 loan loss reserves and overall capitalization.
A credit union with extensive holdings of these kinds of assets could eventually have to use capital to cover losses, diminishing 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, reducing earnings and increasing the chances of a future failure.
FAMILIES FIRST exceeded the national average of 38.09 on Bankrate's test of asset quality, racking up 40 out of a possible 40 points .
Troubled assets made up 0.00 percent of the credit union's total assets in our test, below the national average and suggestive of superior financial strength compared to other credit unions.