Brisk loan growth, record membership levels and the highest net worthratio since 2008 topped the NCUA's second-quarter report forfederally insured credit unions.

The data, released Thursday, indicate a positive climate for themovement, according to NCUA Chair Debbie Matz.

“The brisk loan growth shows that federally insured creditunions are meeting the needs of more borrowers and putting theirassets to productive use,” Matz said, noting that the net worthratio rose to 10.5%, its highest level since 2008.

Most encouraging, perhaps, was membership growth. Membership in federally insured creditunions reached 95.2 million, a record high, in the second quarterof 2013. Membership grew by 560,670, or 0.6%. Nearly 2.1 millionAmericans have joined a credit union in the past four quarters.

“Credit union membership continues to reach a new milestone eachquarter,” Matz said.

Loan growth among federally insured credit unions was alsostrong, totaling $613.7 billion during the second quarter, anincrease of $13.8 billion over the previous quarter. Specifichighlights included:

• First mortgage real estate loans rose to $253.8 billion, up2.1% for the quarter and 5.6% year-over-year.
• New auto loans expanded to $66.4 billion, up 2.8% for thequarter and 10.7% for the past four quarters.
• Used auto loans rose to $121.3 billion, up 3.7% for the quarterand 9.3% for the year ending June 30.
• Net member business loan balances grew to $43.5 billion, up2.3% for the quarter and 8.3% for the prior 12 months.

The industry's net worth ratio stood at 10.5% of assets at theend of the second quarter, up 34 basis points from the same time in2012. The ratio is at its highest level since the fourth quarter of2008.

Net worth grew 8.3% over the previous four quarters, well abovethe 4.8% rise in assets over the same period. Overall net worthclimbed 2.0 percent from the first-quarter level, to $111billion.

Federally insured credit unions' total assets grew by $669.3million in the second quarter, an increase of 0.1% from the firstquarter. The industry's loans-to-shares ratio is now 67.5%, theNCUA said.

“Although the industry is performing well overall, smallercredit unions continue to face challenges with making loans,generating earnings and attracting members,” Matz said.