Safe and Sound

GREENWICH MUNICIPAL EMPLOYEES

Greenwich, CT
4
Star Rating
GREENWICH MUNICIPAL EMPLOYEES is an NCUA-insured credit union started in 1969 and currently headquartered in Greenwich, CT. Regulatory filings show the credit union having $25.1 million in assets, as of December 31, 2017.

Members have $6.7 million on deposit tended by 3 full-time employees. With that footprint, the credit union has amassed loans and leases worth $6.7 million. GREENWICH MUNICIPAL EMPLOYEES's 2,045 members currently have $22.7 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, GREENWICH MUNICIPAL EMPLOYEES exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union did on the three key criteria Bankrate used to grade American credit unions.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital acts as a buffer against losses and affords protection for members during periods of economic instability for the credit union. It follows then that when it comes to measuring an a credit union's financial fortitude, capital is crucial. When it comes to safety and soundness, the higher the capital, the better.

GREENWICH MUNICIPAL EMPLOYEES received a score of 8 out of a possible 30 points on our test to measure capital adequacy, less than the national average of 15.65.

GREENWICH MUNICIPAL EMPLOYEES had a capitalization ratio of 8.00 percent in our test, less than the average for all credit unions, suggesting that it could have a harder time weathering financial trouble than its peers.

Asset Quality Score

This test's purpose is to try to understand how the credit union's reserves set aside to cover loan losses, as well as overall capitalization could be affected by troubled assets, such as unpaid loans.

A credit union with large numbers of these types of assets could eventually be forced to use capital to absorb losses, cutting down on its buffer of equity. It also means that there are likely to be many assets that are in non-accrual status and no longer earning money, resulting in lower earnings and potentially more risk of a failure in the future.

GREENWICH MUNICIPAL EMPLOYEES exceeded the national average of 38.09 on Bankrate's asset quality test, racking up 40 out of a possible 40 points .

A lower-than-average ratio of problem assets of 0.00 percent in our test was potentially indicative of superior financial strength compared to other credit unions.

Earnings score

How successful a credit union is at earning money affects its long-term survivability. A credit union can retain its earnings, boosting its capital buffer, or put them to work addressing problematic loans, likely making the credit union more resilient in times of trouble. However, credit unions that are losing money are less able to do those things.

GREENWICH MUNICIPAL EMPLOYEES scored 18 out of a possible 30 on Bankrate's earnings test, beating out the national average of 10.11.

GREENWICH MUNICIPAL EMPLOYEES had an earnings ratio of 0.00 percent in our test, higher than the average for all credit unions, an indication that it's doing better than 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.