Asset Quality Score
This test is intended to estimate how the credit union's capitalization and allocated loan loss reserves could be affected by problem assets, such as past-due mortgages.
Having large numbers of these types of assets may eventually force a credit union to use capital to absorb losses, reducing its cushion of equity. It also means that there are likely to be many assets that are in non-accrual status and thus aren't earning money, diminishing earnings and elevating the risk of a future failure.
On Bankrate's asset quality test, HERITAGE scored 40 out of a possible 40 points, above the national average of 38.09 points.
HERITAGE's ratio of problem assets was 0.00 percent in our test, less than the national average and suggestive of superior financial strength compared to other credit unions.