Overall credit union financial performance was consistent with positive U.S. economic data in April, according to the CUNA monthly credit union estimates.
“Credit unions continue to contribute to the expansion of the U.S. economy,” said CUNA Senior Economist Perc Pineda. “On an annualized basis lending increased 6% and savings grew 10.8%. Assets increased 1.1% from March to April. More importantly, memberships are now at 106.7 million--that’s a 0.3% increase (352,000 members) from March to April.”
Credit union loans outstanding grew 0.5% in April, with increases in the following categories:
“My sense is that the increase in home equity loans reflect borrowers and lenders confidence of stable home values. In fact, home prices are higher about 5% from a year ago,” Pineda said. “So, wealth effect from appreciating real asset values will positively affect personal consumption expenditures, which in April rose by 1% or 12% on an annualized basis.”
The loan-to-savings ratio decreased to 76.4% in April from 76.7% in March. The liquidity ratio (the ratio of surplus funds maturing in less than one year to borrowings plus other liabilities) increased to 17.4% in April from 16.8% in March.
Credit union savings balances increased 0.9% in April, compared with a 1.6% increase in March, with increases in the following categories:
Credit unions’ 60-plus day delinquency remained at 0.7% in April.