Safe and Sound

PORT WASHINGTON TEACHERS

Port Washington, NY
5
Star Rating
PORT WASHINGTON TEACHERS is an NCUA-insured credit union started in 1950 and currently based in Port Washington, NY. As of December 31, 2017, the credit union held assets of $10.8 million.

Members have $3.1 million on deposit tended by 2 full-time employees. With that footprint, the credit union holds loans and leases worth $3.1 million. PORT WASHINGTON TEACHERS's 969 members currently have $7.3 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, PORT WASHINGTON TEACHERS exhibited a superior condition, earning a full 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 American credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital is a crucial measurement of a credit union's financial strength. It works as a cushion against losses and affords protection for members during times of financial instability for the credit union. From a safety and soundness perspective, more capital is preferred.

PORT WASHINGTON TEACHERS exceeded the national average of 15.65 points on our test to measure the adequacy of a credit union's capital, achieving a score of 30 out of a possible 30 points.

PORT WASHINGTON TEACHERS had a capitalization ratio of 30.00 percent in our test, above 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 capitalization and allocated loan loss reserves could be affected by problem assets, such as past-due loans.

Having large numbers of these types of assets suggests a credit union could have to use capital to cover losses, shrinking its equity cushion. It also means that there are likely to be many assets that are in non-accrual status and no longer earning money, reducing earnings and increasing the chances of a future failure.

On Bankrate's asset quality test, PORT WASHINGTON TEACHERS scored 40 out of a possible 40 points, beating the national average of 38.09 points.

A below-average ratio of troubled 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 profitability affects its long-term survivability. A credit union can retain its earnings, expanding its capital cushion, or put them to work addressing problematic loans, potentially making the credit union more resilient in times of trouble. Credit unions that are losing money, however, have less ability to do those things.

On Bankrate's test of earnings, PORT WASHINGTON TEACHERS scored 4 out of a possible 30, coming in below the national average of 10.11.

The credit union had an earnings ratio of 0.00 percent in our test, better than the average for all credit unions, a sign that it's doing better than 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.