Safe and Sound

SUWANNEE RIVER

LIVE OAK, FL
4
Star Rating
LIVE OAK, FL-based SUWANNEE RIVER is an NCUA-insured credit union founded in 1936. The credit union has assets of $18.5 million, according to December 31, 2017, regulatory filings.

With 7 full-time employees, the credit union currently holds loans and leases worth $8.5 million. Its 2,664 members currently have $16.4 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, SUWANNEE RIVER exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union faired on the three key criteria Bankrate used to evaluate American credit unions.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital is a useful measurement of a credit union's financial strength. It works as a bulwark against losses and as protection for members during times of financial instability for the credit union. When looking at safety and soundness, more capital is preferred.

On our test to measure capital adequacy, SUWANNEE RIVER received a score of 14 out of a possible 30 points, falling short of the national average of 15.65.

SUWANNEE RIVER's capitalization ratio of 14.00 percent in our test was worse than the average for all credit unions, an indication that it could have a harder time weathering financial trouble than its peers.

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 past-due loans.

Having a large number of these kinds of assets could eventually force a credit union to use capital to cover losses, shrinking 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 elevating the chances of a failure in the future.

On Bankrate's asset quality test, SUWANNEE RIVER scored 36 out of a possible 40 points, lower than 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 greater financial strength than other credit unions.

Earnings score

A credit union's ability to earn money affects its safety and soundness. A credit union can retain its earnings, expanding its capital buffer, or put them to work addressing problematic loans, potentially making the credit union better prepared to withstand economic trouble. Obviously, credit unions that are losing money have less ability to do those things.

SUWANNEE RIVER fell short of the national average on Bankrate's earnings test, achieving a score of 8 out of a possible 30.

One sign that SUWANNEE RIVER is beating its peers in this area was its earnings ratio of 0.00 percent in our test, higher than the average for all credit unions.

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.