Rates & Ratios: CU Loans Grow 0.4%

CUs report second-consecutive month of loan growth.

July 15, 2011

Credit union loans outstanding increased 0.4% during May 2011 compared to a 0.2% increase in April 2011, according to CUNA’s economics and statistics department.

Unsecured personal loans led loan growth, increasing 1.7%, followed by credit card loans, 1%, adjustable-rate mortgages, 0.9%, used auto loans, 0.7%, and fixed-rate mortgages, 0.3%.

On the decline were new auto loans (-0.6%) and home equity loans (-0.2%).

Credit union savings balances decreased 0.7% in May compared to a 0.7% increase during April. The exception: money market accounts, which grew 0.6%.

Share drafts led the overall savings decline, decreasing 4.7%, followed by one-year certificates (-0.5%), individual retirement accounts (-0.4%) and regular shares (-0.1%).

Other measures during May:

  • Asset quality: Credit unions’ 60+ day delinquency rate remained at 1.6%.
  • Liquidity: The loan-to-savings ratio remained at 69%. The liquidity ratio (the ratio of surplus funds maturing in less than one year to borrowings plus other liabilities) fell slightly to 18%.
  • Capital: The movement’s overall capital-to-asset ratio remained at 10%. The total dollar amount of capital is $97 billion.

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