Safe and Sound

PITNEY BOWES EMPLOYEES

Shelton, CT
4
Star Rating
PITNEY BOWES EMPLOYEES is an NCUA-insured credit union founded in 1936 and currently based in Shelton, CT. As of December 31, 2017, the credit union held assets of $64.2 million.

Members have $21.2 million on deposit tended by 9 full-time employees. With that footprint, the credit union has amassed loans and leases worth $21.2 million. PITNEY BOWES EMPLOYEES's 5,035 members currently have $53.5 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, PITNEY BOWES EMPLOYEES exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union faired on the three important criteria Bankrate used to evaluate U.S. credit unions.

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THE INSTITUTION'S SCORE

Capital Score

Capital works as a cushion against losses and as protection for members when a credit union is experiencing financial trouble. Therefore, when it comes to measuring an a credit union's financial resilience, capital is key. When it comes to safety and soundness, more capital is better.

On our test to measure the adequacy of a credit union's capital, PITNEY BOWES EMPLOYEES achieved a score of 24 out of a possible 30 points, above the national average of 15.65.

PITNEY BOWES EMPLOYEES had a capitalization ratio of 24.00 percent in our test, higher than the average for all credit unions, suggesting that it's more well prepared for financial trouble than its peers.

Asset Quality Score

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

Having large numbers of these kinds of assets suggests a credit union may eventually have to use capital to absorb losses, decreasing its equity cushion. It also means that there are likely to be many assets that are in non-accrual status and no longer earning interest for the credit union, resulting in lower earnings and potentially more risk of a future failure.

On Bankrate's asset quality test, PITNEY BOWES EMPLOYEES scored 40 out of a possible 40 points, above the national average of 38.09 points.

A below-average ratio of problem assets of 0.00 percent in our test was potentially indicative of superior financial strength compared to other credit unions.

Earnings score

A credit union's ability to earn money affects its long-term survivability. A credit union can retain its earnings, boosting its capital cushion, or put them to work addressing problematic loans, potentially making the credit union better prepared to withstand financial shocks. Conversely, losses take away from a credit union's ability to do those things.

On Bankrate's earnings test, PITNEY BOWES EMPLOYEES scored 2 out of a possible 30, less than the national average of 10.11.

PITNEY BOWES EMPLOYEES had an earnings ratio of 0.00 percent in our test, above the average for all credit unions, suggesting that it's running ahead of 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.