Safe and Sound

PRINCE GEORGE'S COMMUNITY

BOWIE, MD
5
Star Rating
Started in 1967, PRINCE GEORGE'S COMMUNITY is an NCUA-insured credit union headquartered in Bowie, MD. The credit union holds assets of $165.7 million, according to December 31, 2017, regulatory filings.

Members have $114.4 million on deposit tended by 47 full-time employees. With that footprint, the credit union holds loans and leases worth $114.4 million. PRINCE GEORGE'S COMMUNITY's 16,066 members currently have $145.8 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, PRINCE GEORGE'S COMMUNITY exhibited a superior condition, earning a full 5 stars for safety and soundness. Keep reading for a look at how the credit union faired on the three key criteria Bankrate used to grade American credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital works as a buffer against losses and as protection for members during times of financial trouble for the credit union. Therefore, a credit union's level of capital is an important measurement of its financial fortitude. From a safety and soundness perspective, more capital is preferred.

PRINCE GEORGE'S COMMUNITY received a score of 14 out of a possible 30 points on our test to measure capital adequacy, less than the national average of 15.65.

PRINCE GEORGE'S COMMUNITY appears to be weaker than its peers in this area, with a capitalization ratio of 14.00 percent in our test, worse than the average for all credit unions.

Asset Quality Score

In this test, Bankrate tries to determine the impact of problem assets, such as unpaid loans, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.

Having a large number of these types of assets could eventually force a credit union 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.

PRINCE GEORGE'S COMMUNITY exceeded the national average of 38.09 on Bankrate's asset quality test, racking up 40 out of a possible 40 points .

Troubled assets made up 0.00 percent of PRINCE GEORGE'S COMMUNITY's total assets in our test, less than the national average and suggestive of greater financial strength than other credit unions.

Earnings score

A credit union's profitability has an effect on its long-term survivability. Earnings can be retained by the credit union, boosting its capital buffer, or be used to address 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 earnings test, PRINCE GEORGE'S COMMUNITY scored 18 out of a possible 30, above the national average of 10.11.

One indication that the credit union is doing better than its peers in this area was its earnings ratio of 0.00 percent in our test, above 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.