Asset Quality Score
Bankrate uses this test to estimate the effect of problem assets, such as past-due mortgages, on the credit union's loan loss reserves and overall capitalization.
Having extensive holdings of these kinds of assets may eventually force a credit union to use capital to absorb losses, reducing its cushion of equity. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, decreasing earnings and elevating the chances of a future failure.
On Bankrate's asset quality test, FEDERAL EMPLOYEES OF CHIPPEWA CNTY scored 40 out of a possible 40 points, beating out the national average of 38.09 points.