A Five-Star Financial Institution
Kennebec Savings Bank has received a five-star rating from BauerFinancial, the nation’s leading independent bank rating firm, for over 108 straight quarters. According to BauerFinancial, only 4% of the nation’s banks have achieved this rating for over 27 straight years.
Safe and Sound
To achieve recommended status from Bauer (a four- or five-star rating), a bank must be financially sound, operating well above its regulatory capital requirements. This includes having a tangible capital ratio greater than 6%, a total risk-based capital ratio greater than 10%, and usually must be profitable for the quarter. Five-star banks typically have twice the capital required by regulation.
The star rating system, which Bauer introduced in 1988, is recognized as “the nation’s bank rating service.” Bauer provides these ratings free to consumers. Financial institutions do not pay for this service, nor do they have the option of avoiding it. All banks and credit unions are rated, without prejudice.