Asset Quality Score
This test's purpose is to estimate how the credit union's capitalization and allocated loan loss reserves could be affected by problem assets, such as unpaid mortgages.
A credit union with extensive holdings of these types of assets could eventually be required to use capital to absorb losses, shrinking its equity cushion. It also means that there are likely to be many assets that are in non-accrual status and thus aren't earning money, pushing down earnings and increasing the risk of a future failure.
On Bankrate's asset quality test, TEXAS HEALTH RESOURCES scored 36 out of a possible 40 points, falling short of the national average of 38.09 points.
The credit union's ratio of troubled assets was 0.00 percent in our test, less than the national average and suggestive of superior financial strength compared to other credit unions.