# Texas Ratios

The "All About Ratios" activities are designed to introduce ratios in a. The Texas Essential Knowledge and Skills indicates the following skills at the specified.

The flag of Texas is the official flag of the U.S. state of Texas.It is well known for its prominent single white star which gives the flag its commonly-used name: "Lone Star Flag." This lone star, in turn, gives rise to the state’s nickname: "The Lone Star State."

The Texas ratio uses math to warn of credit problems at a particular bank or finance institution. You calculate it by dividing the amount of a bank’s non-performing assets by the sum of the bank’s available capital. A ratio of more than one suggests the bank is at a high risk of failure.

The Texas ratio takes into account two important factors in a bank’s health: the number of bad loans it’s made and the cushion the bank’s owners have provided to cover those bad loans (i.e. common equity).. If too many of the bank’s loans are nonperforming (as described by the Texas ratio’s numerator), the bad loans will erode the bank’s equity cushion, which could cause the bank to fail.

There was a great article on bank failures written by Alistair Barr several days ago over at MarketWatch. While the whole article was of interest, I found the section describing Gerard Cassidy’s.

The federal deposit insurance Corporation (FDIC) maintains a list of problem banks that isn’t published or shared with anyone else. So how can the average depositor know if their bank is a problem bank about to fail? The Texas Ratio is one measure that might offer a clue.

The ratio is generally represented using percentages, so if your bank has a Texas Ratio over 100%, it may be worthwhile to investigate further the current health of your bank. Texas Ratio for credit unions is calculated in a slightly different manner due to the variation in data, and differences in reporting jargon as well.

Interest Rate On Conventional Loan What Is The Interest Rate For Fha Loans The contract interest rate for a 5/1 adjustable rate mortgage loan decreased from 2.94% to 2.87%, the lowest since June 2013. Rates on a 30-year fha-backed fixed rate loan fell from 3.71% to 3.66%,An amount paid to the lender, typically at closing, in order to lower the interest rate. Also known as mortgage points or discount points. One point equals one percent of the loan amount (for example, 2 points on a \$100,000 mortgage would equal \$2,000).Maximum Conventional Loan The national conforming loan limit for mortgages that finance single-family one-unit properties increased from \$33,000 in the early 1970s to \$417,000 for 2006-2008, with limits 50 percent higher for four statutorily-designated high cost areas: Alaska, Hawaii, Guam, and the U.S. Virgin Islands.5 Percent Conventional Loan This is even lower than FHA loans require. Conventional Loan – 5% – 20% down payment; Conventional 97 Loan – 3% down payment; First-Time Homebuyers. While conventional mortgages are the most popular type of home loan used today. FHA loans are the most popular type of mortgage used by first-time homebuyers. Mainly because of the low credit and down payment requirements.

December 2018 Texas Credit Union Ratios & Trends 2018 september 2018 texas credit Union Ratios & Trends 2018 June 2018 Texas Credit Union Ratios & Trends 2018 March 2018 Texas Credit Union Ratios & Trends 2018 _____ December 2018 Texas State Chartered Credit Union System Profile