A lender is unhealthy if their assets (including loans) don't significantly exceed their obligations (including deposits). A lender is also unhealthy if the value of its assets are overstated, for example, if many of the loans are shaky.
It's commonly accepted to consider loans to be assets for the purposes of determining solvency, but I believe this to be an error (and one of the causes of the ongoing financial difficulties since 2008).
A loan itself is not an asset - the
collateral (if it exists) is an asset.
If you really want to determine the
financial stability of a fractional lending institution no credit at all should be given for unsecured loans.