Tucson area banks and credit unions strong as pandemic persists | Economic news



Hughes Federal Credit Union has been named one of Forbes Arizona’s “Best Banks and Credit Unions” for the second year in a row.

courtesy of Hughes Federal Credit Union

Southern Arizona and nationwide banks and credit unions remained strong in the second quarter, with many banks writing off large loan loss reserves they had built up in the face of the pandemic, according to Bauer’s latest report Financial, based in Florida.

Southern Arizona banks and credit unions maintained their Bauer “star” ratings in the second quarter ended June 30, with most being rated four stars (excellent) or five stars (superior) in the closely watched Bauer report. .

A major bank operating in southern Arizona, BBVA USA, posted a net loss of $ 652 million in the second quarter, after suffering a net loss of $ 1.9 billion for all of 2020 on depreciation charges related to the COVID-19 pandemic.

But BBVA maintained its five-star Bauer rating with strong cash reserves.

The Great Western Bank recorded a loss of $ 671 million last year after taking more than $ 700 million in charges related to COVID-19, but the bank reported income of around $ 61 million in the second quarter 2021.

Most U.S. banks have been able to write off losses from huge loan loss reserves they built up last year, as an expected attack of defaults died down, Bauer said. .

Among local banks, Commerce Bank of Arizona maintained its four-star Bauer rating and posted second-quarter profit of $ 945,000 after posting a net profit of $ 2.9 million last year.


Leave A Reply

Your email address will not be published.