This page shows the financial health of Iowa’s state-chartered banks. These floating averages reports are a way to look at data that is always moving forward in time. Instead of looking at a fixed period, like a single calendar year from January to December, it looks at a "rolling window" of the most recent months. Below these reports, we have included a helpful guide that explains the math and technical terms in simple language.
Reports
Understanding the Ratios
A ratio is a way to compare two numbers to see how a bank is performing. Each ratio is an average of the banks that were examined in the specified time period. Below is a description of each ratio used in this table.
End Date
What it means: This column shows the final day of the 12-month or 2-month "window" being measured. As each month passes, the "End Date" moves forward to show you the most current one-year or two-month picture of bank health.
Bank Count
What it means: This column tells you exactly how many different bank examinations were used to calculate the averages for that period. Because banks are examined at different times throughout the year, this number can change slightly from month to month. It helps you see how much data is backing up the percentages shown in the rest of the table.
Classified Loans to Total Loans (%)
Column Header: Cls Lns/Ttl Lns
Formula: (Total Loans Classified / Total Loans and Leases) * 100
What it means: This looks only at the bank’s loans. It shows what percentage of those loans are in trouble or might not be paid back.
Classified Assets to Tier 1 Capital plus ALLL (%)
Column Header: Class/Capital
Formula: Total Sub Classified / ((Total Equity Capital - AOCI Opt-Out) + ALLL - Intangible Assets) * 100
What it means: This compares risky items to the bank's "emergency savings". It uses a special rule called the AOCI opt-out (formerly FASB 115) to keep the numbers steady even when the bond market changes. It also includes money set aside just for bad loans, known as the ALLL.
Tier 1 Leverage Capital Ratio (%)
Column Header: Tier 1 Leverage Capital Ratio
Formula: (Tier 1 Capital / Adjusted Avg. Total Assets) * 100
What it means: This is a basic test of strength. It shows if a bank has enough of its own core money to support everything it owns.
Loans to Deposits Ratio (%)
Column Header: Loans/Deposits
Formula: (Total Loans and Leases / Total Deposits) * 100
What it means: This shows how much of the customers' deposited money has been lent back out to the community.
Past Due Loans to Total Loans (%)
Column Header: Past Due
Formula: (Total Past Due Loans / Total Loans and Leases) * 100
What it means: This shows the percentage of loans that are 30 days or more behind on payments.
Key Terms to Know
ALLL (Allowance for Loan and Lease Losses) Money a bank sets aside specifically to cover loans that don't get paid back.
AOCI Opt-Out (formerly FASB 115) A math adjustment that keeps a bank's capital numbers steady even when bond values change.
Sub Classified Items that bank checkers have officially flagged as having problems.