Safe and Sound

JOHN WESLEY AME ZION CHURCH

WASHINGTON, DC
NR
Star Rating
Started in 1976, JOHN WESLEY AME ZION CHURCH is an NCUA-insured credit union based in WASHINGTON, DC. The credit union has assets of $53,647, according to December 31, 2017, regulatory filings.

Its 138 members currently have $48,946 in shares with the credit union. With that footprint, the credit union holds loans and leases worth $5,022.

Overall, Bankrate did not have enough information on this institution to give it a star rating. Here's a breakdown of how the credit union faired on the three major criteria Bankrate used to grade U.S. credit unions.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital works as a buffer against losses and provides protection for members when a credit union is experiencing financial instability. Therefore, an institution's level of capital is a crucial measurement of its financial strength. When looking at safety and soundness, the more capital, the better.

On our test to measure capital adequacy, JOHN WESLEY AME ZION CHURCH received a score of 8 out of a possible 30 points, lower than the national average of 15.65.

JOHN WESLEY AME ZION CHURCH appears to be weaker than its peers in this area, with a capitalization ratio of 8.00 percent in our test, worse than the average for all credit unions.

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 troubled assets, such as past-due loans.

Having large numbers of these types of assets means a credit union could have to use capital to absorb losses, diminishing 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, decreasing earnings and increasing the chances of a future failure.

On Bankrate's asset quality test, JOHN WESLEY AME ZION CHURCH scored 40 out of a possible 40 points, beating out the national average of 38.09 points.

Earnings score

How successful a credit union is at earning money has an effect on its long-term survivability. A credit union can retain its earnings, boosting its capital cushion, or put them to work addressing problematic loans, likely making the credit union more resilient in tough times. Losses, on the other hand, take away from a credit union's ability to do those things.

JOHN WESLEY AME ZION CHURCH did below-average on Bankrate's earnings test, achieving a score of 0 out of a possible 30.

One sign that JOHN WESLEY AME ZION CHURCH is beating its peers in this area was its earnings ratio of -1.00 percent in our test, higher 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.