Asset Quality Score
In this test, Bankrate tries to estimate the impact of problem assets, such as unpaid loans, on the credit union's loan loss reserves and overall capitalization.
Having lots of these types of assets could eventually force a credit union to use capital to cover 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 interest for the credit union, pushing down earnings and elevating the chances of a failure in the future.
On Bankrate's asset quality test, LAKES COMMUNITY scored 40 out of a possible 40 points, exceeding the national average of 38.09 points.
Troubled assets made up 0.00 percent of the credit union's total assets in our test, beneath the national average and suggestive of superior financial strength compared to other credit unions.