THE INSTITUTION'S SCORE
Capital acts as a bulwark against losses and affords protection for members during times of economic instability for the credit union. Therefore, an institution's level of capital is a valuable measurement of its financial resilience. From a safety and soundness perspective, the more capital, the better.
VELOCITY came in below the national average of 15.65 on our test to measure the adequacy of a credit union's capital, achieving a score of 12 out of a possible 30 points.
VELOCITY had a capitalization ratio of 12.00 percent in our test, lower than the average for all credit unions, suggesting that it could be less resilient in a crisis than its peers.