Madison, WI – The National Credit Union Foundation is proud to announce that its strong financial health and ongoing accountability and transparency have earned a 100/100 rating from Charity Navigator’s Encompass Rating System. This score designates the Foundation as an official “Give with Confidence” charity, indicating that our organization is using its donations effectively based on Charity Navigator’s criteria. Charity Navigator is America’s largest and most-utilized independent charity evaluator. Since 2001, the organization has been an unbiased and trusted source of information for more than 8.5 million users annually.
The Encompass Rating System is a comprehensive evaluation tool that analyzes nonprofit performance based on four key indicators. In July 2020, Charity Navigator released the first indicator, Finance & Accountability, to highlight nonprofit organizations demonstrating fiscal responsibility. This is determined by five metrics: Program Expense Ratio, Independent Audit or Financial Review, Board Composition, Liabilities to Assets, and Website Listing. In October of 2020, this was quickly followed by the second indicator, Impact & Results, assessing how well a nonprofit delivers on its mission. The additional indicators, to be rolled out in the next 18-24 months, are Leadership & Adaptability and Culture & Community.
The Encompass Rating System enables Charity Navigator to increase the number of nonprofits it evaluates, growing from 9,000 to 160,000 nonprofits evaluated as of July 2020. In order to be more inclusive of smaller and more recently established nonprofits, the system uses a combination of automated methods and technology-supported manual research and analysis to provide donors and nonprofits with four clearly-visualized indicators of organizational effectiveness.
“We are delighted to provide the National Credit Union Foundation with third-party accreditation that validates their operational excellence,” said Michael Thatcher, President and CEO of Charity Navigator. “We are eager to see the good work that the organization is able to accomplish in the years ahead.”