Asset Quality Score
In this test, Bankrate tries to determine the effect of troubled assets, such as unpaid loans, on the credit union's capitalization and allocated loan loss reserves.
A credit union with large numbers of these kinds of assets could eventually be required to use capital to absorb losses, diminishing its buffer 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, diminishing earnings and elevating the risk of a failure in the future.
SOUTH SIDE COMMUNITY finished below the national average of 38.09 on Bankrate's test of asset quality, racking up 4 out of a possible 40 points .
SOUTH SIDE COMMUNITY's ratio of problem assets was 1.00 percent in our test, identical to the national average.