Safe and Sound

MINNEQUA WORKS

Pueblo, CO
4
Star Rating
MINNEQUA WORKS is an NCUA-insured credit union started in 1937 and currently based in Pueblo, CO. Regulatory filings show the credit union having assets of $178.7 million, as of December 31, 2017.

Members have $65.1 million on deposit tended by 40 full-time employees. With that footprint, the credit union has amassed loans and leases worth $65.1 million. Its 15,790 members currently have $156.2 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, MINNEQUA WORKS exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Here's an analysis of how the credit union faired on the three key criteria Bankrate used to evaluate American credit unions.

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THE INSTITUTION'S SCORE

Capital Score

Capital acts as a cushion against losses and provides protection for members when a credit union is struggling financially. Therefore, when it comes to measuring an a credit union's financial resilience, capital is key. From a safety and soundness perspective, more capital is preferred.

MINNEQUA WORKS fell below the national average of 15.65 on our test to measure the adequacy of a credit union's capital, racking up 14 out of a possible 30 points.

MINNEQUA WORKS's capitalization ratio of 14.00 percent in our test was below the average for all credit unions, suggesting that it's weaker than its peers.

Asset Quality Score

In this test, Bankrate tries 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.

Having extensive holdings of these kinds of assets could eventually require a credit union to use capital to cover losses, diminishing its equity cushion. Many of those assets are also likely to be in non-accrual status and thus aren't earning interest for the credit union, pushing down earnings and elevating the risk of a future failure.

MINNEQUA WORKS beat out the national average of 38.09 on Bankrate's asset quality test, racking up 40 out of a possible 40 points .

A below-average ratio of problem assets of 0.00 percent in our test was potentially indicative of greater financial strength than other credit unions.

Earnings score

A credit union's ability to earn money affects its long-term survivability. Earnings may be retained by the credit union, boosting its capital buffer, or be used to address problematic loans, potentially making the credit union better prepared to withstand economic trouble. Obviously, credit unions that are losing money have less ability to do those things.

MINNEQUA WORKS beat the national average on Bankrate's earnings test, achieving a score of 12 out of a possible 30.

MINNEQUA WORKS had an earnings ratio of 0.00 percent in our test, higher than the average for all credit unions, an indication that it's running ahead of its peers in this area.

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.