Safe and Sound

MARINE

ONALASKA, WI
4
Star Rating
MARINE is an NCUA-insured credit union founded in 1949 and currently based in ONALASKA, WI. Regulatory filings show the credit union having assets of $755.5 million, as of December 31, 2017.

Members have $610.4 million on deposit tended by 379 full-time employees. With that footprint, the credit union currently holds loans and leases worth $610.4 million. Its 75,828 members currently have $435.2 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, MARINE exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for an analysis of how the credit union did on the three major criteria Bankrate used to evaluate U.S. credit unions.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital acts as a bulwark against losses and affords protection for members during times of financial instability for the credit union. Therefore, a credit union's level of capital is an essential measurement of its financial fortitude. When it comes to safety and soundness, more capital is better.

On our test to measure the adequacy of a credit union's capital, MARINE received a score of 12 out of a possible 30 points, lower than the national average of 15.65.

MARINE had a capitalization ratio of 12.00 percent in our test, lower than the average for all credit unions, a sign that it could have a harder time weathering financial trouble than its peers.

Asset Quality Score

Bankrate uses this test to determine the effect of troubled assets, such as past-due mortgages, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.

A credit union with large numbers of these types of assets may eventually have to use capital to absorb losses, decreasing its buffer 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, reducing earnings and increasing the chances of a failure in the future.

MARINE scored 28 out of a possible 40 points on Bankrate's test of asset quality, failing to reach the national average of 38.09.

MARINE's ratio of problem assets was 0.00 percent in our test, lower than the national average and potentially indicative of superior financial strength compared to other credit unions.

Earnings score

How successful a credit union is at earning money has an effect on its safety and soundness. Earnings can be retained by the credit union, giving a boost to its capital buffer, or be used to deal with problematic loans, likely making the credit union better able to withstand economic shocks. Losses, on the other hand, reduce a credit union's ability to do those things.

On Bankrate's earnings test, MARINE scored 16 out of a possible 30, beating 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.