Asset Quality Score
In this test, Bankrate tries to determine the effect of problem assets, such as unpaid loans, on the credit union's loan loss reserves and overall capitalization.
A credit union with large numbers of these kinds of assets may eventually be required to use capital to absorb losses, decreasing its equity buffer. It also means that there are likely to be many assets that are in non-accrual status and no longer earning money, resulting in lower earnings and potentially more risk of a failure in the future.
On Bankrate's asset quality test, SAFE scored 40 out of a possible 40 points, beating out the national average of 38.09 points.
A lower-than-average ratio of troubled assets of 0.00 percent in our test was potentially indicative of superior financial strength compared to other credit unions.