Asset Quality Score
This test's purpose is to try to understand how the credit union's reserves set aside to cover loan losses, as well as overall capitalization could be affected by problem assets, such as past-due mortgages.
Having a large number of these types of assets means a credit union may have to use capital to absorb losses, diminishing its cushion of equity. 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, reducing earnings and increasing the risk of a failure in the future.
On Bankrate's asset quality test, S E L H scored 40 out of a possible 40 points, better than the national average of 38.09 points.
Troubled assets made up 0.00 percent of S E L H's total assets in our test, less than the national average and potentially indicative of superior financial strength compared to other credit unions.