Asset Quality Score
In this test, Bankrate tries to determine the impact of troubled assets, such as unpaid loans, on the credit union's capitalization and allocated loan loss reserves.
A credit union with a large number of these types of assets may eventually be forced to use capital to absorb losses, diminishing its cushion of equity. 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 risk of a future failure.
FRANKLIN-SOMERSET 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 .
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.