Safe and Sound

WRIGHT-PATT CREDIT UNION, INC.

Beavercreek, OH
5
Star Rating
WRIGHT-PATT CREDIT UNION, INC. is a BEAVERCREEK, OH-based, NCUA-insured credit union started in 1932. The credit union holds assets of $4.04 billion, according to December 31, 2017, regulatory filings.

Thanks to the work of 741 full-time employees, the credit union holds loans and leases worth $2.88 billion. Its 354,443 members currently have $3.44 billion in shares with the credit union.

Overall, Bankrate believes that, as of December 31, 2017, WRIGHT-PATT CREDIT UNION, INC. exhibited a superior condition, earning a full 5 stars for safety and soundness. Here's a breakdown of how the credit union did on the three major criteria Bankrate used to grade 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 buffer against losses and as protection for members when a credit union is struggling financially. Therefore, when it comes to measuring an an institution's financial fortitude, capital is important. From a safety and soundness perspective, the more capital, the better.

WRIGHT-PATT CREDIT UNION, INC. came in below the national average of 15.65 on our test to measure capital adequacy, racking up 14 out of a possible 30 points.

WRIGHT-PATT CREDIT UNION, INC. had a capitalization ratio of 14.00 percent in our test, below the average for all credit unions, suggesting that it's less well prepared for financial trouble than its peers.

Asset Quality Score

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

A credit union with extensive holdings of these types of assets may eventually be required to use capital to cover losses, shrinking 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 interest for the credit union, resulting in diminished earnings and potentially more risk of a future failure.

WRIGHT-PATT CREDIT UNION, INC. scored 40 out of a possible 40 points on Bankrate's asset quality test, beating out the national average of 38.09.

WRIGHT-PATT CREDIT UNION, INC.'s ratio of problem assets was 0.00 percent in our test, less than the national average and potentially indicative of greater financial strength than other credit unions.

Earnings score

A credit union's profitability affects 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, likely making the credit union better able to withstand financial shocks. However, credit unions that are losing money are less able to do those things.

On Bankrate's test of earnings, WRIGHT-PATT CREDIT UNION, INC. scored 18 out of a possible 30, beating out the national average of 10.11.

WRIGHT-PATT CREDIT UNION, INC. had an earnings ratio of 0.00 percent in our test, above the average for all credit unions, suggesting that it's beating 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.