Credit Union Asset Growth, Deposits Drop
Shares and deposits, as well as asset growth, decreased at federally insured credit unions in the year ending Sept. 30, 2014 compared to the prior year, according to state level data compiled by the NCUA.
The membership growth rate at larger federally insured credit unions remained the same. The NCUA said membership increased at credit unions with assets of more than $500 million but declined at smaller credit unions.
The NCUA’s Quarterly U.S. Map Review, which is conducted by the NCUA’s Office of the Chief Economist, tracks performance indicators at federally insured credit unions in 50 states and the District of Columbia. The review considered state-level unemployment rates and home price changes.
The median loan growth rate was 3.5% at the end of the third quarter of 2014, up from 1.8% the previous year, with Idaho (9.5%) and Arizona (9.2%) in the lead. Kansas experienced the lowest growth rate at 0.3%.
The median ratio of loans outstanding to total shares and deposits stood at 60% nationally at the end of the third quarter of 2014 compared to 58% during the same period last year.
The highest ratio was among credit unions in Idaho at 86% and the lowest was Hawaii at 42%.
The median asset growth rate was 1.4% nationally at the end of the third quarter of this year compared to 2% during the same time last year.
North Dakota led the way in asset growth at 5.7% and New Jersey had the lowest median asset growth at -0.8%.
The median growth rate for shares and deposits was 1.1% compared to 2.2% the prior year.
North Dakota had the highest growth rate at 5.2% and New Jersey had the lowest at -1.2%.
Membership expanded at credit unions with assets of more than $500 million but the median membership growth rate was -0.4%, which was the same rate as the year before.
According to the NCUA, 54% of credit unions had fewer members at the end of the third quarter of 2014 than the prior year.
Idaho had the highest median membership growth rate at 2.7% while Pennsylvania, Montana and New Jersey ranked the lowest at negative 1.5%.
Utah (161 basis points) and North Dakota (109 basis points) had the highest aggregate returns on average assets.
New Jersey (34 basis points) credit unions had the lowest aggregate ROAA.
The national average was 83 annualized basis points in the first three quarters of 2014, up from 80 basis points the previous year.