Safe and Sound

SHREVEPORT POLICE

SHREVEPORT, LA
5
Star Rating
SHREVEPORT, LA-based SHREVEPORT POLICE is an NCUA-insured credit union started in 1949. As of December 31, 2017, the credit union held assets of $5.7 million.

Members have $4.9 million on deposit tended by 2 full-time employees. With that footprint, the credit union has amassed loans and leases worth $4.9 million. Its 1,043 members currently have $5.1 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, SHREVEPORT POLICE exhibited a superior condition, earning a full 5 stars for safety and soundness. Here's a breakdown of how the credit union faired on the three key criteria Bankrate used to score American credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital works as a bulwark against losses and as protection for members during periods of financial instability for the credit union. Therefore, a credit union's level of capital is a key measurement of its financial strength. When looking at safety and soundness, the more capital, the better.

SHREVEPORT POLICE received a score of 12 out of a possible 30 points on our test to measure capital adequacy, less than the national average of 15.65.

SHREVEPORT POLICE's capitalization ratio of 12.00 percent in our test was less than the average for all credit unions, a sign that it could have a harder time weathering financial trouble than its peers.

Asset Quality Score

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

Having a large number of these types of assets could eventually require a credit union to use capital to absorb losses, cutting down on its equity cushion. Many of those assets are also likely to be in non-accrual status and no longer earning money, pushing down earnings and increasing the risk of a future failure.

SHREVEPORT POLICE scored 36 out of a possible 40 points on Bankrate's test of asset quality, falling short of the national average of 38.09.

A lower-than-average ratio of problem assets of 0.00 percent in our test was potentially indicative of greater financial strength than other credit unions.

Earnings score

A credit union's earnings performance affects its long-term survivability. A credit union can retain its earnings, increasing its capital cushion, or put them to work addressing problematic loans, likely making the credit union better prepared to withstand financial shocks. Losses, on the other hand, take away from a credit union's ability to do those things.

On Bankrate's earnings test, SHREVEPORT POLICE scored 30 out of a possible 30, exceeding the national average of 10.11.

The credit union had an earnings ratio of 0.00 percent in our test, better than 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.