CU Loans See October Decline

Fixed-rate mortgages fell 2.1%.

December 8, 2010

Credit union loans outstanding decreased 0.2% during October 2010 compared to a decrease of 0.1% during September, according to the Credit Union National Association’s economics and statistics department.

On the decline were fixed-rate mortgages (2.1%), unsecured personal loans (1.4%), new auto loans (0.9%), credit cards (0.2%), and home equity loans (0.1%).

Adjustable-rate mortgages increased 3.1% while used auto loans outstanding grew 0.1%.

Credit union savings balances increased 0.7% in October 2010 compared to a 0.3% decrease during September.

Share drafts led savings growth, increasing 3.1%, followed by regular shares and money market accounts, which increased 1.3% and 0.7%, respectively.

Individual retirement accounts and one-year certificates each decreased 0.2%.

Other October findings:

  • Asset quality: Credit unions’ 60+-day delinquencies decreased to 1.7%;
  • Liquidity: The loan-to-savings ratio decreased slightly to 72%, while the liquidity ratio (the ratio of surplus funds maturing in less than one year to borrowings plus other liabilities) increased to 19%; and
  • Capital: The movement’s overall capital-to-asset ratio remained at 10%. The total dollar amount of capital is $93 billion.

View Rates & Ratios now.