Safe and Sound

UNISON

KAUKAUNA, WI
4
Star Rating
Founded in 1932, UNISON is an NCUA-insured credit union based in KAUKAUNA, WI. As of December 31, 2017, the credit union had assets of $212.2 million.

Thanks to the efforts of 55 full-time employees, the credit union holds loans and leases worth $139.2 million. UNISON's 17,611 members currently have $188.1 million in shares with the credit union.

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

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring an institution's financial fortitude, capital is key. It works as a buffer against losses and provides protection for members when a credit union is struggling financially. When it comes to safety and soundness, the higher the capital, the better.

UNISON 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.

UNISON appears to be weaker than its peers in this area, with a capitalization ratio of 12.00 percent in our test, less than the average for all credit unions.

Asset Quality Score

In this test, Bankrate tries to determine the effect of problem assets, such as past-due loans, on the credit union's loan loss reserves and overall capitalization.

Having large numbers of these kinds of assets suggests a credit union could eventually have to use capital to cover losses, diminishing its equity buffer. It also means that there are likely to be many assets that are in non-accrual status and no longer earning money, decreasing earnings and increasing the chances of a failure in the future.

On Bankrate's asset quality test, UNISON scored 40 out of a possible 40 points, beating the national average of 38.09 points.

UNISON's ratio of troubled assets was 0.00 percent in our test, lower than the national average and suggestive of superior financial strength compared to other credit unions.

Earnings score

How successful a credit union is at earning 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, likely making the credit union better prepared to withstand financial trouble. Conversely, losses diminish a credit union's ability to do those things.

UNISON underperformed the average on Bankrate's test of earnings, achieving a score of 4 out of a possible 30.

The credit union had an earnings ratio of 0.00 percent in our test, higher than the average for all credit unions, a sign 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.