Workmen’s Circle: Overview of the Credit Union
Workmen’s Circle was first established in the year 1992 and is the 33rd largest credit union operating in the state of Georgia as measured by total assets. It is also larger than 65% 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 77% 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 1 branch and employs a total of 7 employees.
Who Can Join?
Individuals that (1) are employed or reside in Chatham County, Georgia (2) have employers that offers membership to the credit union as part of their benefits package (3) are related by blood, adoption, or marriage to a person within the field of membership of the credit union and (4) are living in the same household with a person within the field of membership of this credit union.
Overview of the Credit Union’s Assets and Liabilities
As previously indicated, the credit union currently has total assets of $103 million, which makes it larger than 65% of credit unions in the United States. Workmen’s Circle also has net loans outstanding to customers of $56 million and a deposit base of $83 million. Furthermore, the credit union has a loan to deposit ratio of 68% which is higher than credit unions of comparable size. Workmen’s Circle’s peer set of credit unions have a loan to deposit ratio of approximately 63%. A lower ratio is better since it means that a credit union’s lending activities are more comfortably covered by its deposit base. Lastly, Workmen’s Circle’s loan portfolio mainly consists of mortgages and lines of credit and other real estate loans which represent 77% and 16% of its loan book and had outstanding balances of $43 million and $9 million, respectively.
Contact and Other Helpful Information
- Main Office Address: 527 Stephenson Ave, Ste 1, Savannah, GA 31405-5922
- Website: http://www.workmenscirclecu.com
- Phone: (912) 356-9225
- Charter Number: 67892
- Charter Year: 1992
- Employees: 7
- Routing Number: N/A
- Membership: Workmen’s Circle has a membership base of 1,600 which is significantly smaller than the average credit union operating in the state of Georgia. The average credit union in the state has 23,804 members. Over the past two years, the credit union’s total membership has increased by 10%.
Workmen’s Circle: Financial Overview
As shown in the above chart, Workmen’s Circle’s assets have increased by 10.0% over the past year, while its mortgages and lines of credit – which is its largest category of lending – have increased by 3.1% over the past year. Furthermore, the company’s deposits have increased by 52.2% while its total loans have expanded by 2.4%. We like to look at a credit union’s net worth to get a sense of the performance of the entity over the years for its members. Workmen’s Circle has a total net worth of $20 million while the average credit union in the United States has a net worth of $41 million. This implies that the credit union has a net worth per member of $12,592 which is greater than the national average of $1,606.
Overview of the Credit Union’s Performance Metrics
In the above chart we have displayed three statistics that are important in evaluating a credit union’s performance and shown how Workmen’s Circle compares on these metrics, in addition to detailing how the credit union performed on each metric in the prior year. Starting with the company’s return on assets, on this metric Workmen’s Circle is well above the average credit union in its peer set and over the past year ROA has improved substantially with a total change of 0.23%. Return on assets tells us how productive a company is being with its asset base. 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 Workmen’s Circle its delinquency rate is below its peers and over the past 12 months the credit union’s delinquency rate has been relatively stable. Finally, the net worth ratio for the credit union is 19.6% which is well above its peer group average of 9.7%. This metric has declined on a year over year basis and stood at 19.9% a year ago. Based on the NCUA guidelines, the credit union is considered to be well capitalized.
Overall, we believe Workmen’s Circle deserves a rating of 4.7 out of 5.0, which is exceptional. Importantly, please be aware that none of the information presented is meant to be investment advice or advice of any form. All of the information and views expressed in this note and on this site are purely for informational purposes.