Asset Quality Score
In this test, Bankrate tries to estimate the effect of troubled assets, such as unpaid loans, on the credit union's loan loss reserves and overall capitalization.
Having a large number of these types of assets means a credit union may have to use capital to absorb losses, diminishing its buffer of equity. Many of those assets are also likely to be in non-accrual status and thus aren't earning interest for the credit union, resulting in diminished earnings and potentially more risk of a future failure.
PENTAGON scored 40 out of a possible 40 points on Bankrate's asset quality test, beating out the national average of 38.09.
Troubled assets made up 0.00 percent of PENTAGON's total assets in our test, less than the national average and potentially indicative of superior financial strength compared to other credit unions.