With a 24.4% increase in member business loans over the past year, credit unions in Pennsylvania experienced significant growth in the second quarter.
According to the Pennsylvania Credit Union Association, MBLs rose 7% for the quarter, up from 4% in the first quarter of this year. The state’s growth rate outpaced the national growth rate of 8.2%, data from the association’s Pennsylvania Credit Union Profile, Second Quarter 2013 revealed.
In second place behind MBLs were first mortgages, which rose 3.4% for the state’s credit unions.
Members were also in the auto buying mood with new and used auto loan balances rising 2.9% and 3.9%, respectively, in the second quarter compared to 2.8% and 2.9% in 2012, according to the PCUA.
“We are forecasting overall credit union loan balances to rise 5.5% this year, the fastest pace since 2008 and 6.5% in 2014,” the Pennsylvania CU Profile read.
The increase in loan balances combined with the simultaneous drop in the dollar amount of delinquent loans, brought down the national credit union loan delinquency rate (delinquent loans to total loans) from 1.21% in the second quarter of 2012 to 1.04% in the second quarter of 2013, according to the profile report.