Safe and Sound

LONG ISLAND REALTORS

WEST BABYLON, NY
2
Star Rating
Started in 1972, LONG ISLAND REALTORS is an NCUA-insured credit union headquartered in WEST BABYLON, NY. As of December 31, 2017, the credit union had assets of $15.8 million.

With 3 full-time employees, the credit union has amassed loans and leases worth $12.8 million. LONG ISLAND REALTORS's 2,032 members currently have $14.0 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, LONG ISLAND REALTORS exhibited a below-average condition, earning 2 out of 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union did on the three key criteria Bankrate used to grade American credit unions.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital acts as a buffer against losses and affords protection for members during times of economic trouble for the credit union. It follows then that when it comes to measuring an an institution's financial strength, capital is crucial. When looking at safety and soundness, the higher the capital, the better.

LONG ISLAND REALTORS fell below the national average of 15.65 on our test to measure capital adequacy, racking up 10 out of a possible 30 points.

LONG ISLAND REALTORS appears to be on less solid financial footing than its peers in this area, with a capitalization ratio of 10.00 percent in our test, worse than the average for all credit unions.

Asset Quality Score

This test's purpose is to estimate how the credit union's loan loss reserves and overall capitalization could be affected by troubled assets, such as past-due mortgages.

Having a large number of these kinds of assets suggests a credit union may have to use capital to cover losses, shrinking its equity buffer. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, resulting in lower earnings and potentially more risk of a future failure.

LONG ISLAND REALTORS scored below the national average of 38.09 on Bankrate's asset quality test, racking up 20 out of a possible 40 points .

Troubled assets made up 0.00 percent of LONG ISLAND REALTORS's total assets in our test, lower than the national average and suggestive of superior financial strength compared to other credit unions.

Earnings score

A credit union's profitability has an effect on its safety and soundness. Earnings can be retained by the credit union, increasing its capital cushion, or be used to deal with problematic loans, likely making the credit union better able to withstand financial trouble. Conversely, losses lessen a credit union's ability to do those things.

On Bankrate's test of earnings, LONG ISLAND REALTORS scored 10 out of a possible 30, lower than the national average of 10.11.

One indication that the credit union is doing better than its peers in this area was its earnings ratio of 0.00 percent in our test, better 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.