Safe and Sound

HOLY TRINITY BAPTIST

Philadelphia, PA
5
Star Rating
Philadelphia, PA-based HOLY TRINITY BAPTIST is an NCUA-insured credit union started in 1966. The credit union has assets of $19,849, according to December 31, 2017, regulatory filings.

The credit union has amassed loans and leases worth $3,892. Its 98 members currently have $13,931 in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, HOLY TRINITY BAPTIST exhibited a superior condition, earning a full 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 score U.S. credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital works as a bulwark against losses and provides protection for members when a credit union is struggling financially. It follows then that when it comes to measuring an a credit union's financial stability, capital is useful. From a safety and soundness perspective, the higher the capital, the better.

HOLY TRINITY BAPTIST scored 30 out of a possible 30 points on our test to measure capital adequacy, beating the national average of 15.65.

HOLY TRINITY BAPTIST had a capitalization ratio of 30.00 percent in our test, higher than the average for all credit unions, an indication that it's on more solid financial footing than its peers.

Asset Quality Score

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

A credit union with lots of these types of assets may eventually have to use capital to cover losses, decreasing its cushion of equity. It also means that there are likely to be many assets that are in non-accrual status and no longer earning interest for the credit union, decreasing earnings and elevating the risk of a future failure.

HOLY TRINITY BAPTIST scored 40 out of a possible 40 points on Bankrate's asset quality test, above the national average of 38.09.

Earnings score

A credit union's profitability affects its safety and soundness. Earnings may be retained by the credit union, boosting its capital buffer, or be used to address problematic loans, likely making the credit union better able to withstand financial shocks. However, credit unions that are losing money are less able to do those things.

On Bankrate's earnings test, HOLY TRINITY BAPTIST scored 20 out of a possible 30, beating the national average of 10.11.

One sign 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.