Safe and Sound

SACRED HEART PARISH HALLETTSVILLE

Hallettsville, TX
4
Star Rating
SACRED HEART PARISH HALLETTSVILLE is an NCUA-insured credit union founded in 1940 and currently based in Hallettsville, TX. The credit union has assets of $41.2 million, according to December 31, 2017, regulatory filings.

Thanks to the work of 8 full-time employees, the credit union holds loans and leases worth $20.2 million. Its 2,554 members currently have $37.2 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, SACRED HEART PARISH HALLETTSVILLE exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a look at how the credit union did on the three major criteria Bankrate used to score American credit unions.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital acts as a bulwark against losses and provides protection for members during times of financial trouble for the credit union. Therefore, a credit union's level of capital is a crucial measurement of its financial strength. When looking at safety and soundness, the more capital, the better.

On our test to measure the adequacy of a credit union's capital, SACRED HEART PARISH HALLETTSVILLE received a score of 10 out of a possible 30 points, below the national average of 15.65.

SACRED HEART PARISH HALLETTSVILLE's capitalization ratio of 10.00 percent in our test was less than the average for all credit unions, an indication that it could be less resilient in a crisis than its peers.

Asset Quality Score

In this test, Bankrate tries to estimate the effect of troubled assets, such as past-due loans, on the credit union's loan loss reserves and overall capitalization.

A credit union with a large number of these kinds of assets could eventually be required to use capital to absorb losses, cutting down on its buffer of equity. Many of those assets are also likely to be in non-accrual status and no longer earning interest for the credit union, reducing earnings and increasing the chances of a failure in the future.

SACRED HEART PARISH HALLETTSVILLE scored 40 out of a possible 40 points on Bankrate's asset quality test, exceeding the national average of 38.09.

SACRED HEART PARISH HALLETTSVILLE's ratio of problem assets was 0.00 percent in our test, below the national average and suggestive of greater financial strength than other credit unions.

Earnings score

A credit union's ability to earn money has an effect on its safety and soundness. A credit union can retain its earnings, expanding its capital buffer, or use them to deal with problematic loans, likely making the credit union more resilient in tough times. However, credit unions that are losing money have less ability to do those things.

SACRED HEART PARISH HALLETTSVILLE scored 12 out of a possible 30 on Bankrate's test of earnings, beating out the national average of 10.11.

SACRED HEART PARISH HALLETTSVILLE had an earnings ratio of 0.00 percent in our test, above the average for all credit unions, suggesting that it's beating 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.