Asset Quality Score
This test is intended to try to understand how the credit union's reserves set aside to cover loan losses, as well as overall capitalization could be affected by troubled assets, such as past-due loans.
A credit union with lots of these kinds of assets may eventually have to use capital to absorb losses, decreasing 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, resulting in reduced earnings and potentially more risk of a future failure.
On Bankrate's test of asset quality, VARICK MEMORIAL scored 12 out of a possible 40 points, less than the national average of 38.09 points.
VARICK MEMORIAL's ratio of problem assets was 1.00 percent in our test, identical to the national average.