Safe and Sound

NEW HAMPSHIRE POSTAL

MANCHESTER, NH
5
Star Rating
Started in 1940, NEW HAMPSHIRE POSTAL is an NCUA-insured credit union headquartered in MANCHESTER, NH. As of December 31, 2017, the credit union held assets of $45.1 million.

With 8 full-time employees, the credit union holds loans and leases worth $13.5 million. NEW HAMPSHIRE POSTAL's 3,765 members currently have $36.2 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, NEW HAMPSHIRE POSTAL exhibited a superior condition, earning a full 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union did on the three major criteria Bankrate used to evaluate U.S. credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital works as a bulwark against losses and affords protection for members when a credit union is experiencing financial trouble. Therefore, when it comes to measuring an an institution's financial strength, capital is essential. From a safety and soundness perspective, the more capital, the better.

NEW HAMPSHIRE POSTAL exceeded the national average of 15.65 points on our test to measure the adequacy of a credit union's capital, racking up 30 out of a possible 30 points.

NEW HAMPSHIRE POSTAL appears to be more resilient than its peers, with a capitalization ratio of 30.00 percent in our test, above the average for all credit unions.

Asset Quality Score

Bankrate uses this test to estimate the effect of problem assets, such as past-due loans, on the credit union's loan loss reserves and overall capitalization.

Having lots of these types of assets could eventually force a credit union to use capital to absorb losses, reducing its cushion 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 risk of a failure in the future.

On Bankrate's asset quality test, NEW HAMPSHIRE POSTAL scored 40 out of a possible 40 points, better than the national average of 38.09 points.

The credit union's ratio of troubled assets was 0.00 percent in our test, beneath the national average and potentially indicative of superior financial strength compared to other credit unions.

Earnings score

A credit union's earnings performance affects its safety and soundness. A credit union can retain its earnings, expanding its capital cushion, or use them to deal with problematic loans, potentially making the credit union better able to withstand financial trouble. Conversely, losses take away from a credit union's ability to do those things.

On Bankrate's earnings test, NEW HAMPSHIRE POSTAL scored 4 out of a possible 30, below the national average of 10.11.

The credit union had an earnings ratio of 0.00 percent in our test, above the average for all credit unions, suggesting that it's outperforming 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.