Asset Quality Score
In this test, Bankrate tries to determine the effect of troubled assets, such as past-due loans, on the credit union's reserves set aside to cover loan losses, as well as overall capitalization.
Having lots of these kinds of assets means a credit union may eventually have to use capital to cover losses, shrinking 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 money, decreasing earnings and increasing the chances of a failure in the future.
On Bankrate's asset quality test, UNO scored 40 out of a possible 40 points, exceeding the national average of 38.09 points.
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.