THE INSTITUTION'S SCORE
Capital acts as a buffer against losses and as protection for members when a credit union is experiencing economic trouble. Therefore, when it comes to measuring an an institution's financial strength, capital is important. When looking at safety and soundness, the more capital, the better.
On our test to measure the adequacy of a credit union's capital, GEORGETOWN KRAFT received a score of 14 out of a possible 30 points, less than the national average of 15.65.
GEORGETOWN KRAFT's capitalization ratio of 14.00 percent in our test was less than the average for all credit unions, suggesting that it's less well prepared for financial trouble than its peers.