Rates & Ratios: Mortgages Lead Loan Growth

July 6, 2010

Credit union loans outstanding increased 0.1% during May 2010, compared to a decrease of 0.1% during April 2010, according to the Credit Union National Association’s economics and statistics department.

Fixed-rate mortgages led loan growth, increasing 0.9%, followed by credit card loans and used auto loans, which increased 0.8% and 0.6%, respectively.

Unsecured personal loans increased 0.4%, while both adjustable-rate mortgages and home equity loans increased 0.2%. New auto loans outstanding decreased 1.5%.

On the other side of the balance sheet, credit union savings balances decreased 0.1% during May 2010, compared to a 1.1% increase during April 2010.

Individual retirement accounts grew 1.7%, followed by money market accounts (0.9%) and regular shares (0.2%). One-year certificates and share drafts decreased 0.8% and 2.3%, respectively.

Other findings:

  • Credit unions’ 60+ day delinquencies remained at 1.8%;
  • Credit unions’ loan-to-savings ratio remained at 73%. The liquidity ratio (the ratio of surplus funds maturing in less than one year to borrowings plus other liabilities) remained at 19%; and
  • The movement’s overall capital-to-asset ratio remained at 10%. The total dollar amount of capital is $91 billion.

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