Overview of Tomah Area Credit Union

Tomah Area Credit Union was first established in the year 1939 and is the 56th largest credit union operating in the state of Wisconsin as measured by total assets. It is also larger than 63% of all credit unions in the country. In terms of its lending activities, the credit union primarily focuses on providing mortgages and lines of credit and these loans represent 67% of its outstanding lending. 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 2 branches and employs a total of 23 employees.

Details on the Credit Union’s Balance Sheet

The credit union has total assets of $94 million. It has a deposit base of $85 million which works out to $12,284 of deposits per member compared with the state-wide average of $13,864 and national average of $13,595. Tomah Area Credit Union also has net loans outstanding of $51 million. The credit union also has a loan to deposit ratio of 59% which is higher than the average credit union of similar size. The loan to deposit ratio is a good way to assess how liquid a bank or credit union’s balance sheet is. Lastly, Tomah Area Credit Union’s loan portfolio mainly consists of mortgages and lines of credit and auto loans which represent 67% and 16% of its loan book and had outstanding balances of $34 million and $8 million, respectively.

Contact and Other Helpful Information

  • Main Office Address: 940 N Superior Ave, Po Box 940, Tomah, WI 54660
  • Website: http://www.tacuonline.com
  • Phone: (608) 372-4736
  • Charter Number: 66615
  • Charter Year: 1939
  • Employees: 23
  • Routing Number: 275982050
  • Membership: The credit union has a membership base of 6,948 which is significantly smaller than the average credit union operating within the state. Credit unions in Wisconsin each have on average 30,757 members. Over the past three years, the credit union’s total base of members has increased by 0%.

Tomah Area Credit Union: Financial Overview

tomah area credit union-balance-sheet-metrics

The above chart summarizes the trends in key balance sheet items for Tomah Area Credit Union. First off, it is noteworthy that across the board, all four items have increased over the past year. The credit union’s assets have expanded by 11.4% while its total loans have declined by 1.1%. In addition, the company’s mortgages and lines of credit have expanded by 4.2% while its deposits have increased by 20.4%. ‘Net worth’ is a good way to assess the long-term performance of a credit union as it represents the accumulated value of the entity over time. Importantly this is value that accrues to the credit union’s owners: its members. Tomah Area Credit Union has a total net worth of $8 million. This implies that the credit union has a net worth per member of $1,159 which is below the national average of $1,606.

Overview of the Credit Union’s Performance Metrics

tomah area credit union-selected-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. Beginning with Tomah Area Credit Union’s return on assets (aka ROA), on this statistic the credit union performs approximately inline with the average comparable credit union. When we look at the year over year trends, we can see that ROA has been relatively stable given the 0.03% change. A credit union’s ROA is a good way of assessing how well the entity is using its assets to generate returns. The delinquency rate is a measure of what percentage of an entity’s loan book has fallen past due i.e. is delinquent. All else equal, a higher rate implies a worse performing loan portfolio. In the case of Tomah Area Credit Union its delinquency rate is approximately inline with its peers and over the past 12 months the credit union’s delinquency rate has deteriorated. The net worth ratio for the credit union is 8.5% and has declined compared with the prior year figure of 8.8%. The credit union is also below its peer group average of 10.2% on this metric. Finally, based on the NCUA guidelines, the company’s net worth ratio would classify it as well capitalized.

Conclusion

Overall, we believe Tomah Area Credit Union deserves a rating of 2.6 out of 5.0, which is average. As a final note, please remember that our rating is the product of a proprietary scoring methodology which uses nationwide data for credit unions and our survey work. Importantly, none of the work presented herein is intended to be investment advice or advice of any sort and is presented purely for informational purposes.

Other Credit Unions in Wisconsin

Credit Union NameWebsiteTotal Members
Connexus Credit Unionhttp://www.connexuscu.org389,326
Landmark Credit Unionhttps://www.landmarkcu.com364,792
University of Wisconsinhttp://www.uwcu.org310,221
Royal Credit Unionhttp://www.rcu.org251,235
Summit Credit Unionhttp://www.summitcreditunion.com223,603
Simplicity Credit Unionhttp://www.simplicity.coop27,035
Oakdale Credit Unionhttp://oakdalecu.coop11,137
Southern Lakes Credit Unionhttp://southernlakescu.org9,884
Taylor Credit Unionhttp://taylorcu.org7,853
Brokaw Credit Unionwww.brokawcu.com5,919
Bay Shore Credit Unionhttp://www.bayshorecu.org3,516
Holy Family Memorialhttp://hfmcu.org1,689