Safe and Sound

ILLIANA FINANCIAL

CALUMET CITY, IL
4
Star Rating
ILLIANA FINANCIAL is a CALUMET CITY, IL-based, NCUA-insured credit union started in 1936. As of December 31, 2017, the credit union had assets of $229.6 million.

Thanks to the work of 55 full-time employees, the credit union currently holds loans and leases worth $121.2 million. Its 23,488 members currently have $191.4 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, ILLIANA FINANCIAL exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a look at how the credit union faired on the three important criteria Bankrate used to grade American credit unions.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring a credit union's financial resilience, capital is valuable. It works as a bulwark against losses and as protection for members when a credit union is struggling financially. When it comes to safety and soundness, the higher the capital, the better.

ILLIANA FINANCIAL beat out the national average of 15.65 points on our test to measure the adequacy of a credit union's capital, achieving a score of 20 out of a possible 30 points.

ILLIANA FINANCIAL had a capitalization ratio of 20.00 percent in our test, better than the average for all credit unions, suggesting that it's more well prepared for financial trouble than its peers.

Asset Quality Score

Bankrate uses this test to determine the impact of problem assets, such as past-due mortgages, on the credit union's capitalization and allocated loan loss reserves.

Having extensive holdings of these types of assets suggests a credit union could 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 no longer earning interest for the credit union, reducing earnings and increasing the risk of a failure in the future.

ILLIANA FINANCIAL scored above the national average of 38.09 on Bankrate's test of asset quality, racking up 40 out of a possible 40 points .

Troubled assets made up 0.00 percent of ILLIANA FINANCIAL's total assets in our test, lower than the national average and potentially indicative of greater financial strength than other credit unions.

Earnings score

How successful a credit union is at earning money has an effect on its safety and soundness. Earnings may be retained by the credit union, boosting its capital buffer, or be used to deal with problematic loans, likely making the credit union better able to withstand financial trouble. Credit unions that are losing money, however, are less able to do those things.

ILLIANA FINANCIAL scored 8 out of a possible 30 on Bankrate's test of earnings, less than the national average of 10.11.

The credit union had an earnings ratio of 0.00 percent in our test, better than the average for all credit unions, suggesting 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.