Safe and Sound

GOLDENWEST

Ogden, UT
5
Star Rating
Founded in 1936, GOLDENWEST is an NCUA-insured credit union based in Ogden, UT. Regulatory filings show the credit union having assets of $1.42 billion, as of December 31, 2017.

Members have $1.05 billion on deposit tended by 423 full-time employees. With that footprint, the credit union currently holds loans and leases worth $1.05 billion. Its 127,840 members currently have $1.21 billion in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, GOLDENWEST exhibited a superior condition, earning a full 5 stars for safety and soundness. Here's an analysis of how the credit union faired on the three key criteria Bankrate used to score U.S. credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital works as a buffer against losses and affords protection for members when a credit union is struggling financially. Therefore, when it comes to measuring an a credit union's financial stability, capital is important. When looking at safety and soundness, the more capital, the better.

On our test to measure capital adequacy, GOLDENWEST achieved a score of 18 out of a possible 30 points, beating the national average of 15.65.

GOLDENWEST had a capitalization ratio of 18.00 percent in our test, higher than the average for all credit unions, suggesting that it's on more solid financial footing than its peers.

Asset Quality Score

This test is intended to estimate how the credit union's loan loss reserves and overall capitalization could be affected by problem assets, such as past-due mortgages.

Having extensive holdings of these kinds of assets suggests a credit union may have to use capital to absorb losses, decreasing its buffer of equity. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, reducing earnings and elevating the risk of a future failure.

On Bankrate's asset quality test, GOLDENWEST scored 40 out of a possible 40 points, above the national average of 38.09 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 greater financial strength than other credit unions.

Earnings score

How successful a credit union is at earning money affects its long-term survivability. Earnings may be retained by the credit union, increasing its capital buffer, or be used to address problematic loans, potentially making the credit union more resilient in tough times. Losses, on the other hand, lessen a credit union's ability to do those things.

GOLDENWEST scored 18 out of a possible 30 on Bankrate's earnings test, exceeding the national average of 10.11.

GOLDENWEST had an earnings ratio of 0.00 percent in our test, higher than the average for all credit unions, a sign 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.