Overview of Gather Federal Credit Union
Gather Federal Credit Union officially got its credit union charter in the year 1954. The credit union falls under the category: community credit unions, urban or rural (not low-income). In terms of its lending activity, the credit union is mainly engaged in providing mortgages and lines of credit. These loans represent 48% of its total lending. Gather Federal Credit Union’s total assets are larger than 89% of credit unions in the United States. The National Credit Union Administration (NCUA) insures deposits at credit unions in addition to regulating and supervising them. The NCUA was formed by the U.S. Congress in 1970. The company has a total of 6 branches and employs a total of 90 employees.
Overview of the Credit Union’s Assets and Liabilities
The credit union currently has total assets of $717 million, total deposits of $649 million and net loans outstanding of $316 million. On average its members had a total of $17,723 deposited with the credit union – this is a helpful metric to monitor as it provides us with an idea of the level of engagement of the credit union’s membership base. In addition, the credit union has a loan to deposit ratio of 49%, which is lower than its peer group average of 74%. Generally speaking, a lower loan to deposit ratio is better as it implies that the credit union is funding more of its lending activities with deposits. Lastly, Gather Federal Credit Union’s loan portfolio mainly consists of mortgages and lines of credit and auto loans which represent 48% and 22% of its loan book and had outstanding balances of $152 million and $69 million, respectively.
Contact and Other Helpful Information
- Main Office Address: 4493 Pahee St, Lihue, HI 96766
- Website: http://www.gatherfcu.org
- Phone: (808) 245-6791
- Charter Number: 9381
- Charter Year: 1954
- Employees: 90
- Routing Number: 321379902
- Membership: Gather Federal Credit Union has a membership base of 36,609 which is significantly larger than the average credit union operating in the state of Hawaii. The average credit union in the state has 17,347 members. Over the past three years, the credit union’s total base of members has increased by 4%.
Gather Federal Credit Union: Financial Overview
As shown in the above chart, Gather Federal Credit Union’s assets have expanded by 19.5% over the past year, while its mortgages and lines of credit – which is its largest category of lending – have increased by 33.6% over the past year. Furthermore, the company’s deposits have increased by 22.0% while its total loans have increased by 8.0%. A credit union’s net worth is a good proxy for the value that a credit union has accrued over time. Based on the latest available information, Gather Federal Credit Union’s net worth stands at $68 million. This implies that the credit union has a net worth per member of $1,869 which is greater than the national average of $1,606.
Overview of the Credit Union’s Performance Metrics
The above chart shows some of the important metrics we look at when assessing a credit union, and compares these to the average credit union of comparable size. It also shows how these metrics have fared over the past year. If we take a look at Gather Federal Credit Union’s return on assets – which is usually a good measure of how efficiently a company is using its assets to produce profits – we see that the credit union is below the average comparable credit union and also that over the past year ROA has improved given the year over year change of 0.09%. We look at the delinquency rate within a loan portfolio as a way to assess the performance and quality of a credit union’s loan book. A lower delinquency rate indicates a better performing portfolio. Gather Federal Credit Union has a delinquency rate that is well above its peer group average and when compared with the prior year, we can see that it has improved substantially. The net worth ratio for the credit union is 9.5% and has declined compared with the prior year figure of 10.6%. The credit union is also below its peer group average of 9.8% on this metric. Finally, based on the NCUA guidelines, the company’s net worth ratio would classify it as well capitalized.
Overall, we believe Gather Federal Credit Union deserves a rating of 3.0 out of 5.0, which is above average. Finally, please note that the rating information presented is based on our proprietary scoring system. None of the work presented is intended to be investment advice or advice of any sort and is presented purely for informational purposes.