Safe and Sound

WESTERN NEW YORK

WEST SENECA, NY
4
Star Rating
WESTERN NEW YORK is an NCUA-insured credit union founded in 1964 and currently based in WEST SENECA, NY. Regulatory filings show the credit union having $50.0 million in assets, as of December 31, 2017.

Members have $32.6 million on deposit tended by 14 full-time employees. With that footprint, the credit union currently holds loans and leases worth $32.6 million. WESTERN NEW YORK's 8,365 members currently have $45.0 million in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, WESTERN NEW YORK exhibited a good condition, earning 4 out of 5 stars for safety and soundness. Keep reading for a breakdown of how the credit union did on the three major criteria Bankrate used to grade U.S. credit unions.

WHAT IS
SAFE AND SOUND?

Find out

THE INSTITUTION'S SCORE

Capital Score

Capital works as a bulwark against losses and affords protection for members when a credit union is struggling financially. Therefore, an institution's level of capital is an essential measurement of its financial resilience. From a safety and soundness perspective, the more capital, the better.

WESTERN NEW YORK came in below the national average of 15.65 on our test to measure capital adequacy, scoring 10 out of a possible 30 points.

WESTERN NEW YORK had a capitalization ratio of 10.00 percent in our test, worse than the average for all credit unions, suggesting that it could have a harder time weathering financial trouble than its peers.

Asset Quality Score

This test's purpose is to estimate how the credit union's capitalization and allocated loan loss reserves could be affected by problem assets, such as unpaid mortgages.

Having a large number of these types of assets could eventually require a credit union to use capital to absorb losses, reducing its cushion of equity. Many of those assets are also likely to be in non-accrual status and thus aren't earning money, reducing earnings and increasing the risk of a future failure.

On Bankrate's asset quality test, WESTERN NEW YORK scored 40 out of a possible 40 points, beating the national average of 38.09 points.

Troubled assets made up 0.00 percent of the credit union's total assets in our test, beneath the national average and suggestive of greater financial strength than other credit unions.

Earnings score

A credit union's profitability has an effect on its long-term survivability. A credit union can retain its earnings, giving a boost to its capital cushion, or use them to address problematic loans, potentially making the credit union better able to withstand financial trouble. However, credit unions that are losing money have less ability to do those things.

On Bankrate's earnings test, WESTERN NEW YORK scored 12 out of a possible 30, exceeding the national average of 10.11.

WESTERN NEW YORK had an earnings ratio of 0.00 percent in our test, higher than the average for all credit unions, an indication that it's doing better than 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.