Credit union loan balances increased in August by 1.0%, compared to a 0.8% increase in July of 2021 and a 0.3% increase in August of 2020. Fixed-rate mortgages led loan growth during the month, rising 1.4%, followed by unsecured personal loans (1.3%), used auto loans (1.2%), credit card loans (0.9%), and home equity loans (0.1%).
On the decline during the month were other mortgage loans (-1.3%), adjustable-rate mortgages (-0.8%), and new auto loans (-0.1%).
Credit union savings balances increased 0.1 % in August, compared to a 1.2% increase in July of 2021 and a 0.3% increase in August of 2020. Money market accounts led savings growth during the month, rising 1.7%, followed by regular shares (0.2%).
On the decline during the month were share drafts (-1.1%), one-year certificates (-0.9%), and individual retirement accounts (-0.1%).
Credit unions’ 60+ day delinquency remained at 0.5% in August.
The loan-to-savings ratio increased from 69.9% in July to 70.4% in August. The liquidity ratio (the ratio of surplus funds maturing in less than one year to borrowings plus other liabilities) declined from 22.0% in July to 21.7% in August.
Total credit union memberships grew 0.2% during August to 130.2 million.
The movement’s overall capital-to-asset ratio increased from 10.0% in July to 10.1% in August. The total dollar amount of capital increased by 1.0% to $206.7 billion.
Credit Union Magazine’s Winter 2022 issue highlights data-driven marketing, the board’s role in cybersecurity, elder abuse scams, credit unions’ auto lending advantage, and more.
