Safe and Sound

GRANITE FURNITURE EMPLOYEES

Woods Cross, UT
4
Star Rating
Woods Cross, UT-based GRANITE FURNITURE EMPLOYEES is an NCUA-insured credit union founded in 1960. Regulatory filings show the credit union having $1.0 million in assets, as of December 31, 2017.

The credit union holds loans and leases worth $848,028. Its 191 members currently have $575,565 in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, GRANITE FURNITURE EMPLOYEES exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for an analysis of how the credit union did on the three major criteria Bankrate used to evaluate American credit unions.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital acts as a bulwark against losses and affords protection for members during periods of economic instability for the credit union. Therefore, when it comes to measuring an an institution's financial stability, capital is valuable. When looking at safety and soundness, the higher the capital, the better.

GRANITE FURNITURE EMPLOYEES beat out the national average of 15.65 points on our test to measure the adequacy of a credit union's capital, racking up 30 out of a possible 30 points.

GRANITE FURNITURE EMPLOYEES appears to be more well prepared for financial trouble than its peers, with a capitalization ratio of 30.00 percent in our test, better than the average for all credit unions.

Asset Quality Score

Bankrate uses this test to estimate the effect of problem assets, such as unpaid loans, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.

A credit union with extensive holdings of these types of assets may eventually be forced to use capital to cover losses, shrinking its equity buffer. It also means that there are likely to be many assets that are in non-accrual status and thus aren't earning money, resulting in reduced earnings and potentially more risk of a failure in the future.

GRANITE FURNITURE EMPLOYEES scored 32 out of a possible 40 points on Bankrate's asset quality test, failing to reach the national average of 38.09.

Troubled assets made up 0.00 percent of GRANITE FURNITURE EMPLOYEES's total assets in our test, beneath the national average and potentially indicative of superior financial strength compared to other credit unions.

Earnings score

A credit union's earnings performance has an effect on its long-term survivability. A credit union can retain its earnings, increasing its capital buffer, or use them to address problematic loans, likely making the credit union more resilient in times of trouble. Credit unions that are losing money, however, are less able to do those things.

GRANITE FURNITURE EMPLOYEES fell short of the national average on Bankrate's earnings test, achieving a score of 4 out of a possible 30.

One indication that the credit union is doing better than its peers in this area was its earnings ratio of 0.00 percent in our test, better than the average for all credit unions.

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.