Asset Quality Score
This test's purpose is to try to understand how the credit union's loan loss reserves and overall capitalization could be affected by problem assets, such as unpaid mortgages.
Having extensive holdings of these types of assets means a credit union may eventually have to use capital to cover losses, cutting down on its equity cushion. Many of those assets are also likely to be in non-accrual status and no longer earning interest for the credit union, resulting in lower earnings and potentially more risk of a failure in the future.
On Bankrate's asset quality test, SELECT EMPLOYEES scored 36 out of a possible 40 points, less than the national average of 38.09 points.
Troubled assets made up 0.00 percent of the credit union's total assets in our test, below the national average and suggestive of superior financial strength compared to other credit unions.