Safe and Sound

MUTUAL SAVINGS

ATLANTA, GA
4
Star Rating
MUTUAL SAVINGS is an NCUA-insured credit union founded in 1991 and currently based in ATLANTA, GA. The credit union holds $71.9 million in assets, according to December 31, 2017, regulatory filings.

With 12 full-time employees, the credit union currently holds loans and leases worth $44.1 million. MUTUAL SAVINGS's 6,325 members currently have $61.7 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, MUTUAL SAVINGS exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Here's a breakdown of how the credit union did on the three key criteria Bankrate used to score 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 experiencing economic trouble. It follows then that an institution's level of capital is a key measurement of its financial resilience. From a safety and soundness perspective, more capital is preferred.

MUTUAL SAVINGS scored above the national average of 15.65 points on our test to measure capital adequacy, racking up 16 out of a possible 30 points.

MUTUAL SAVINGS had a capitalization ratio of 16.00 percent in our test, equal to the average for all credit unions, an indication that it's right in line with its peers.

Asset Quality Score

This test's purpose is to estimate how the credit union's capitalization and allocated loan loss reserves could be affected by problem assets, such as unpaid mortgages.

A credit union with large numbers of these kinds of assets could eventually be forced to use capital to cover losses, diminishing its cushion of equity. Many of those assets are also likely to be in non-accrual status and no longer earning interest for the credit union, resulting in reduced earnings and potentially more risk of a future failure.

On Bankrate's asset quality test, MUTUAL SAVINGS scored 40 out of a possible 40 points, beating the national average of 38.09 points.

Troubled assets made up 0.00 percent of MUTUAL SAVINGS's total assets in our test, below the national average and suggestive of superior financial strength compared to other credit unions.

Earnings score

How successful a credit union is at making money affects its safety and soundness. A credit union can retain its earnings, boosting its capital cushion, or put them to work addressing problematic loans, potentially making the credit union more resilient in tough times. Conversely, losses take away from a credit union's ability to do those things.

MUTUAL SAVINGS scored 6 out of a possible 30 on Bankrate's earnings test, falling short of the national average of 10.11.

One sign that the credit union is outperforming its peers in this area was its earnings ratio of 0.00 percent in our test, higher 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.