Safe and Sound

VYSTAR

JACKSONVILLE, FL
4
Star Rating
VYSTAR is an NCUA-insured credit union founded in 1952 and currently based in JACKSONVILLE, FL. Regulatory filings show the credit union having assets of $7.30 billion, as of December 31, 2017.

Members have $5.07 billion on deposit tended by 1,314 full-time employees. With that footprint, the credit union has amassed loans and leases worth $5.07 billion. Its 591,209 members currently have $5.42 billion in shares with the credit union.

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

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THE INSTITUTION'S SCORE

Capital Score

When it comes to measuring an institution's financial stability, capital is crucial. It acts as a bulwark against losses and provides protection for members when a credit union is experiencing economic trouble. When looking at safety and soundness, more capital is preferred.

VYSTAR scored below the national average of 15.65 on our test to measure the adequacy of a credit union's capital, racking up 8 out of a possible 30 points.

VYSTAR's capitalization ratio of 8.00 percent in our test was lower than the average for all credit unions, suggesting that it's weaker than its peers.

Asset Quality Score

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

Having lots of these kinds of assets means a credit union could have to use capital to absorb losses, decreasing its buffer of equity. Many of those assets are also likely to be in non-accrual status and no longer earning interest for the credit union, resulting in depressed earnings and potentially more risk of a future failure.

On Bankrate's asset quality test, VYSTAR scored 40 out of a possible 40 points, beating out 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 greater financial strength than other credit unions.

Earnings score

A credit union's earnings performance has an effect on its long-term survivability. Earnings can be retained by the credit union, giving a boost to its capital buffer, or be used to address problematic loans, potentially making the credit union more resilient in times of trouble. Losses, on the other hand, diminish a credit union's ability to do those things.

VYSTAR beat the national average on Bankrate's earnings test, achieving a score of 18 out of a possible 30.

One indication that VYSTAR is running ahead of its peers in this area was its earnings ratio of 0.00 percent in our test, better than the average for all credit unions.

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.