Safe and Sound

WCG EMPLOYEES

MARTIN, TN
5
Star Rating
Founded in 1962, WCG EMPLOYEES is an NCUA-insured credit union based in MARTIN, TN. As of December 31, 2017, the credit union had assets of $965,537.

The credit union currently holds loans and leases worth $600,965. WCG EMPLOYEES's 269 members currently have $782,090 in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, WCG EMPLOYEES exhibited a superior condition, earning a full 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union did on the three important criteria Bankrate used to evaluate American credit unions on safety and soundness.

WHAT IS
SAFE AND SOUND?

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THE INSTITUTION'S SCORE

Capital Score

Capital acts as a cushion against losses and affords protection for members when a credit union is experiencing economic instability. Therefore, when it comes to measuring an an institution's financial fortitude, capital is essential. When it comes to safety and soundness, the more capital, the better.

WCG EMPLOYEES did better than the national average of 15.65 points on our test to measure capital adequacy, racking up 28 out of a possible 30 points.

WCG EMPLOYEES appears to be stronger than its peers, with a capitalization ratio of 28.00 percent in our test, higher than the average for all credit unions.

Asset Quality Score

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

A credit union with a large number of these types of assets could eventually have to use capital to cover losses, cutting down on its equity buffer. It also means that there are likely to be many assets that are in non-accrual status and thus aren't earning interest for the credit union, resulting in depressed earnings and potentially more risk of a failure in the future.

WCG EMPLOYEES beat out the national average of 38.09 on Bankrate's test of asset quality, racking up 40 out of a possible 40 points .

Earnings score

How successful a credit union is at earning money has an effect on its long-term survivability. Earnings can be retained by the credit union, increasing its capital cushion, or be used to deal with problematic loans, potentially making the credit union better prepared to withstand economic shocks. Obviously, credit unions that are losing money are less able to do those things.

WCG EMPLOYEES scored 2 out of a possible 30 on Bankrate's test of earnings, less than the national average of 10.11.

WCG EMPLOYEES had an earnings ratio of 0.00 percent in our test, better than the average for all credit unions, suggesting that it's running ahead of 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.