NCUA state data show where CU growth is strongest

June 15, 2015

ALEXANDRIA, Va. (6/15/15)--Federally insured credit unions in all states reported loan growth during the year ending March 31, with median loan growth at 4%, according to state-level data compiled by the National Credit Union Administration.

No state had zero or negative growth, said NCUA’s Quarterly U.S. Map Review, which tracks performance indicators for federally insured credit unions throughout the nation, including two key state-level economic indicators: unemployment rates and home price changes.

Nationally, the year’s median asset growth and median shares and deposits grew slightly from the previous year ending March 31, 2014, and median delinquency rates declined, said NCUA.

Aggregate return on average assets in the first quarter was unchanged from first quarter 2014. Membership overall increased during the year and positive growth continued to concentrate in larger credit unions, said the report. Membership dropped at more than half of all credit unions the past four quarters.

The national median loan growth was 4% during the year ended in the first quarter of 2015, up from 2.7% the previous year. The highest median growth rates for loans occurred in Idaho, at 13.4%, and Arizona, at 9.6%. Median loan growth was slowest in Arkansas, with 0.5%.

The median loan-to-share ratio was 59%, compared with 57% the year before. It was highest among credit unions in Idaho, at 86%, followed by Wisconsin and Maine, both at 78%. It was lowest, at 41%, in both Hawaii and Delaware.

Median asset growth was 1.8% nationally for the same period, an increase from 1.5% the previous year. Median asset growth was highest for credit unions in Alaska, at 5.6%, and Idaho, at 4.8%. Having negative median asset growth were New Jersey, with -0.6%, and the District of Columbia, with -0.2%.

Other statistics:

  • Annualized aggregate return on average assets, which was positive in each state, was 78 basis points (bp) during first quarter 2015, with no change from first quarter 2014. Highest was in Utah (136 bp) and Iowa and Washington (both with 103 bp) while lowest was New Jersey (23 bp) and Connecticut (29 bp).
  •  Median growth rate for shares and deposits was 16% in the year ended March 2015, up from 1.5% the previous year. Highest rates were in Alaska, at 5.4%, and Montana, at 4.9%, while shares and deposits fell in New Jersey (-1%), Delaware (-0.4%) and Ohio (-0.1%).
  • Median delinquency rate was 0.7% nationally in first quarter 2015, down from 0.8% in first quarter 2014. The District of Columbia posted the highest rate, with 1.6%, followed by New Jersey (1.4%). The lowest rate was in North Dakota and New Hampshire (0.2% each).
  • While overall membership in federally insured credit unions continued to grow in the year ending in the first quarter of 2015, the growth continued to be concentrated in larger credit unions, said NCUA. Median membership growth rate was -0.4%. Nationally, 53% of federally insured credit unions lost membership over the year, with 75% of those in credit unions with assets of less than $50 million. Alaska and Idaho had the highest membership growth rate, at 3.1% and 1.9%, respectively. Growth was negative in 23 states with Pennsylvania and Virginia ranking lowest, both with -1.9%.