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 extensive holdings of these kinds of assets could eventually be required 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 money, resulting in diminished earnings and potentially more risk of a future failure.
NEW RISING STAR scored 16 out of a possible 40 points on Bankrate's asset quality test, coming in below the national average of 38.09.
Troubled assets made up 0.00 percent of NEW RISING STAR's total assets in our test, less than the national average and potentially indicative of greater financial strength than other credit unions.