Richmond remained home to two of the lowest rated banks and one of the lowest rated credit unions in Virginia through the first quarter, according to ratings released last week.
As was the case at the end of the fourth quarter 2010, Richmond-based Central Virginia Bank and Virginia Business Bank were among the five banks in Virginia to receive a zero rating based on their performance in the first quarter – the lowest score from Bauer Financial, a Florida-based firm that rates all federally insured financial institutions each quarter.
Life Line Credit Union, a $9 million institution whose members include employees and volunteers of various area medical organizations, such as Bon Secours Richmond Health Corp., Central Virginia Health Network and Virginia Health Source, was one of only two zero-rated credit union in the state.
Bauer’s ratings are based on financial information the banks and credit unions submitted to federal regulators from the first quarter and include capital levels, profits and non-performing assets. The agency ranks institutions using a five-star system.
Those receiving four or five stars are considered “recommended” Bauer. Those receiving two stars or less are considered troubled or problematic.
The only five-star banks headquartered in the Richmond region were Peoples Bank of Virginia, Bank of McKenney and Bank of Southside Virginia. Several received a 3 1/2-star “good” rating, including Union First Market Bank, First Capital Bank, C&F Bank and Franklin Federal Savings Bank.
More than 20 local credit unions received four or five stars for the first quarter, according to to Bauer.
For Central Virginia Bank and Virginia Business Bank, this is the third consecutive quarter they each received a zero rating. Both banks are under written agreements with regulators to work out their issues, mostly involving troubled loans.
EVB, despite having entered a written agreement during the first quarter, saw its rating improve during the period from two stars to three during the quarter.
Capital One Bank improved from 3 1/2 to four stars.
Virginia Commonwealth Bank of Petersburg fell from 3 1/2 f to 3 stars.
According to Bauer, 49.1 percent of Virginia banks and credit unions are considered recommended, having received either four or five stars. That’s down from 51.7 percent in the first quarter 2010.
Troubled or problematic institutions in Virginia rose to 11.4 percent during the first quarter, up from a flat 11 percent a year ago.
Other zero-star banks in Virginia are Bank of the Commonwealth in Norfolk, First State Bank in Danville, and Millenium Bank in Sterling.
Nationwide, Bauer said the number of troubled and problematic bank according its ratings now stands at 915.
Bauer’s ratings found that 12.1 percent of the banks nationwide rated two-stars or below, down from 13.2 percent last quarter and 13.7 percent a year ago.
Four and Five Star Banks
Peoples Bank of Virginia
Bank of McKenney
Capital One Bank
Bank of Southside Virginia
Four and Five Star Credit Unions
Partners Financial FCU
Henrico FCU
Chesterfield FCU
Peoples Advantage FCU
Entrust FCU
Nabisco Employees CU
RF&P Richmond FCU
Richmond Postal CU
Spruance Cellophane CU
Virginia Boxer FCU
Virginia CU
Dupont Fibers FCU
Hopewell Chemical FCU
Kraftsman FCU
Vantage Point FCU
Assurance FCU
Cadmus CU
Call FCU
Dominion CU
New Generations FCU
Resources FCU
Richmond Fire Dept. CU
Richmond remained home to two of the lowest rated banks and one of the lowest rated credit unions in Virginia through the first quarter, according to ratings released last week.
As was the case at the end of the fourth quarter 2010, Richmond-based Central Virginia Bank and Virginia Business Bank were among the five banks in Virginia to receive a zero rating based on their performance in the first quarter – the lowest score from Bauer Financial, a Florida-based firm that rates all federally insured financial institutions each quarter.
Life Line Credit Union, a $9 million institution whose members include employees and volunteers of various area medical organizations, such as Bon Secours Richmond Health Corp., Central Virginia Health Network and Virginia Health Source, was one of only two zero-rated credit union in the state.
Bauer’s ratings are based on financial information the banks and credit unions submitted to federal regulators from the first quarter and include capital levels, profits and non-performing assets. The agency ranks institutions using a five-star system.
Those receiving four or five stars are considered “recommended” Bauer. Those receiving two stars or less are considered troubled or problematic.
The only five-star banks headquartered in the Richmond region were Peoples Bank of Virginia, Bank of McKenney and Bank of Southside Virginia. Several received a 3 1/2-star “good” rating, including Union First Market Bank, First Capital Bank, C&F Bank and Franklin Federal Savings Bank.
More than 20 local credit unions received four or five stars for the first quarter, according to to Bauer.
For Central Virginia Bank and Virginia Business Bank, this is the third consecutive quarter they each received a zero rating. Both banks are under written agreements with regulators to work out their issues, mostly involving troubled loans.
EVB, despite having entered a written agreement during the first quarter, saw its rating improve during the period from two stars to three during the quarter.
Capital One Bank improved from 3 1/2 to four stars.
Virginia Commonwealth Bank of Petersburg fell from 3 1/2 f to 3 stars.
According to Bauer, 49.1 percent of Virginia banks and credit unions are considered recommended, having received either four or five stars. That’s down from 51.7 percent in the first quarter 2010.
Troubled or problematic institutions in Virginia rose to 11.4 percent during the first quarter, up from a flat 11 percent a year ago.
Other zero-star banks in Virginia are Bank of the Commonwealth in Norfolk, First State Bank in Danville, and Millenium Bank in Sterling.
Nationwide, Bauer said the number of troubled and problematic bank according its ratings now stands at 915.
Bauer’s ratings found that 12.1 percent of the banks nationwide rated two-stars or below, down from 13.2 percent last quarter and 13.7 percent a year ago.
Four and Five Star Banks
Peoples Bank of Virginia
Bank of McKenney
Capital One Bank
Bank of Southside Virginia
Four and Five Star Credit Unions
Partners Financial FCU
Henrico FCU
Chesterfield FCU
Peoples Advantage FCU
Entrust FCU
Nabisco Employees CU
RF&P Richmond FCU
Richmond Postal CU
Spruance Cellophane CU
Virginia Boxer FCU
Virginia CU
Dupont Fibers FCU
Hopewell Chemical FCU
Kraftsman FCU
Vantage Point FCU
Assurance FCU
Cadmus CU
Call FCU
Dominion CU
New Generations FCU
Resources FCU
Richmond Fire Dept. CU