Village Bank, headquartered on Midlothian Turnpike, is working on a capital raise and TARP buyback. Photo courtesy of CBRE.
A local bank is climbing up out of the cellar in the eyes of a well-known bank ratings firm.
Midlothian-based Village Bank saw an uptick in the rating of its third quarter performance, according to Bauer Financial, a Florida firm that rates all federally insured financial institutions.
Bauer’s quarterly ratings are based on an institution’s capital levels, profits and nonperforming assets. The agency uses a five-star ranking system.
Village received a two-star rating from Bauer for the third quarter, an improvement from the one-star rating the bank had received each quarter for more than a year. Bauer labels banks with its two-star rating as “problematic.” Those receiving one star are deemed “troubled.”
The improved rating for Village comes as it continues to work through a turnaround plan under a new CEO. The plan includes potentially raising capital from its shareholders and a Northern Virginia investor known for swooping in to help local banks right their ships.
Village wasn’t the only local bank to get some good news from Bauer to close out the calendar year.
The Richmond Fire Department Credit Union, which is merging with the local police credit union, received five stars from Bauer. Photo by Evelyn Rupert.
Glen Allen-based First Capital Bank improved to a four-star “excellent” rating, up from 3.5 stars.
Bank of Virginia, which a few years ago was among the lowest Bauer-rated banks in the area, continued its climb and went from three stars to a 3.5-star “good” rating.
Community Bankers Bank, a Midlothian-based institution that services community banks, jumped up to a five-star rating.
The remainder of the local market saw continued stability during the third quarter by Bauer’s estimation.
Holding steady at five stars were Xenith Bank, C&F Bank, Bank of Southside Virginia and New Horizon Bank.
Essex Bank and Union First Market Bank held on to their four-star ratings.
EVB, Virginia Commonwealth Bank and Franklin Federal Savings Bank all remained at 3.5 stars. Franklin Federal is on the verge of being acquired by Hampton Roads-based TowneBank. And EVB recently completed an acquisition of its own in a deal with a bank in Newport News.
Bauer also rates federally insured credit unions, of which the Richmond market has 29.
Of those, 13 were rated five stars and eight received four stars.
Virginia State University Federal Credit Union in South Chesterfield fell to a one-star rating. It is now the lowest-rated financial institution in the Richmond market, according to Bauer.
The locally based five-star rated credit unions are:
Argent Federal Credit Union
Hopewell Chemical Federal Credit Union
Kraftsman Federal Credit Union
Petersburg Fed Ref Credit Union Inc.
Vantage Point Federal Credit Union
Fort Lee Federal Credit Union
Cadmus Credit Union Inc.
Call Federal Credit Union
Dominion Credit Union
Richmond Fire Department Credit Union Inc.
Richmond Postal Credit Union
Virginia Boxer Federal Credit Union
Virginia Credit Union Inc.
Village Bank, headquartered on Midlothian Turnpike, is working on a capital raise and TARP buyback. Photo courtesy of CBRE.
A local bank is climbing up out of the cellar in the eyes of a well-known bank ratings firm.
Midlothian-based Village Bank saw an uptick in the rating of its third quarter performance, according to Bauer Financial, a Florida firm that rates all federally insured financial institutions.
Bauer’s quarterly ratings are based on an institution’s capital levels, profits and nonperforming assets. The agency uses a five-star ranking system.
Village received a two-star rating from Bauer for the third quarter, an improvement from the one-star rating the bank had received each quarter for more than a year. Bauer labels banks with its two-star rating as “problematic.” Those receiving one star are deemed “troubled.”
The improved rating for Village comes as it continues to work through a turnaround plan under a new CEO. The plan includes potentially raising capital from its shareholders and a Northern Virginia investor known for swooping in to help local banks right their ships.
Village wasn’t the only local bank to get some good news from Bauer to close out the calendar year.
The Richmond Fire Department Credit Union, which is merging with the local police credit union, received five stars from Bauer. Photo by Evelyn Rupert.
Glen Allen-based First Capital Bank improved to a four-star “excellent” rating, up from 3.5 stars.
Bank of Virginia, which a few years ago was among the lowest Bauer-rated banks in the area, continued its climb and went from three stars to a 3.5-star “good” rating.
Community Bankers Bank, a Midlothian-based institution that services community banks, jumped up to a five-star rating.
The remainder of the local market saw continued stability during the third quarter by Bauer’s estimation.
Holding steady at five stars were Xenith Bank, C&F Bank, Bank of Southside Virginia and New Horizon Bank.
Essex Bank and Union First Market Bank held on to their four-star ratings.
EVB, Virginia Commonwealth Bank and Franklin Federal Savings Bank all remained at 3.5 stars. Franklin Federal is on the verge of being acquired by Hampton Roads-based TowneBank. And EVB recently completed an acquisition of its own in a deal with a bank in Newport News.
Bauer also rates federally insured credit unions, of which the Richmond market has 29.
Of those, 13 were rated five stars and eight received four stars.
Virginia State University Federal Credit Union in South Chesterfield fell to a one-star rating. It is now the lowest-rated financial institution in the Richmond market, according to Bauer.
The locally based five-star rated credit unions are:
Argent Federal Credit Union
Hopewell Chemical Federal Credit Union
Kraftsman Federal Credit Union
Petersburg Fed Ref Credit Union Inc.
Vantage Point Federal Credit Union
Fort Lee Federal Credit Union
Cadmus Credit Union Inc.
Call Federal Credit Union
Dominion Credit Union
Richmond Fire Department Credit Union Inc.
Richmond Postal Credit Union
Virginia Boxer Federal Credit Union
Virginia Credit Union Inc.