Asset Quality Score
Bankrate uses this test to estimate the effect of troubled assets, such as past-due loans, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.
A credit union with a large number of these types of assets could eventually have to use capital to cover losses, reducing its buffer of equity. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, resulting in depressed earnings and potentially more risk of a failure in the future.
On Bankrate's test of asset quality, LAUDERDALE COUNTY TEACHERS scored 40 out of a possible 40 points, exceeding the national average of 38.09 points.
LAUDERDALE COUNTY TEACHERS's ratio of problem assets was 0.00 percent in our test, beneath the national average and suggestive of greater financial strength than other credit unions.