Safe and Sound

NORTON-TROY EMPLOYEES

WATERVLIET, NY
4
Star Rating
Founded in 1939, NORTON-TROY EMPLOYEES is an NCUA-insured credit union headquartered in WATERVLIET, NY. As of December 31, 2017, the credit union had assets of $6.9 million.

With 2 full-time employees, the credit union currently holds loans and leases worth $1.9 million. Its 676 members currently have $5.9 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, NORTON-TROY EMPLOYEES exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Here's a look at how the credit union did on the three major criteria Bankrate used to grade U.S. credit unions.

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THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring an institution's financial fortitude, capital is key. It works as a cushion against losses and as protection for members during times of economic instability for the credit union. When it comes to safety and soundness, more capital is preferred.

NORTON-TROY EMPLOYEES beat out the national average of 15.65 points on our test to measure the adequacy of a credit union's capital, racking up 18 out of a possible 30 points.

NORTON-TROY EMPLOYEES appears to be stronger than its peers, with a capitalization ratio of 18.00 percent in our test, better than the average for all credit unions.

Asset Quality Score

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

Having a large number of these types of assets suggests a credit union could have to use capital to cover losses, diminishing 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, diminishing earnings and increasing the chances of a future failure.

NORTON-TROY EMPLOYEES did better than the national average of 38.09 on Bankrate's asset quality test, racking up 40 out of a possible 40 points .

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

Earnings score

How successful a credit union is at making money affects its long-term survivability. Earnings can be retained by the credit union, expanding its capital cushion, or be used to deal with problematic loans, likely making the credit union more resilient in times of trouble. Conversely, losses lessen a credit union's ability to do those things.

NORTON-TROY EMPLOYEES underperformed the average on Bankrate's earnings test, achieving a score of 2 out of a possible 30.

One sign that NORTON-TROY EMPLOYEES 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.