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Is Your Bank Safe?
StarLoanServices.com strives at educating the consumer,
trying to help them learn how to manage and keep their finances
in order. Consumers are not the only ones that need to keep
close tabs of their finances, banks do also.
Below, we provide you with a ratings system
that will help you quickly and easily determine the financial
well-being of a bank, credit union or thrift before you decide
to open an account. It is a dependable resource that will help
you in your banking decisions.
Quality can be based on your evaluation of the institutions'
capitalization, asset quality, earnings and liquidity, otherwise
known as 'CAEL'.
Safe & Sound CAEL types
Capitalization - Determine the amount of assets
owned by the company or its shareholders, as opposed to being
owned by creditors.
Asset quality - Evaluates all of
the loans that make up a bank's portfolio. In particularly
focusing on the amount that are risky or
delinquent on payments.
Earnings - This is the
difference between expenses and revenues. It's the chief measure
of a bank's productivity.
Liquidity - This is the
measurement of how successfully a bank can meet the demands of
the everyday expenses needed for day-to-day operations,
including a spike in the amount of cash withdrawals performed by
customers.
Obtaining the information needed to determine
if your bank satisfies the above criteria may not be easy. You
can visit the
FDIC website to obtain information that will help you in
your evaluation.
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