Asset Quality Score
In this test, Bankrate tries to determine the effect of troubled assets, such as unpaid loans, on the credit union's capitalization and allocated loan loss reserves.
A credit union with lots of these kinds of assets could eventually have to use capital to absorb losses, shrinking its equity buffer. 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, diminishing earnings and elevating the risk of a future failure.
KC FAIRFAX scored below the national average of 38.09 on Bankrate's asset quality test, racking up 36 out of a possible 40 points .
Troubled assets made up 0.00 percent of KC FAIRFAX's total assets in our test, below the national average and suggestive of superior financial strength compared to other credit unions.