Credit unions can expect stronger than average opportunities forlending this year and preparations are already underway to growportfolio revenue.

CU Times spoke to three lending officers and while theexecutives acknowledged they could not predict the future, allagreed on not paying too much attention to negative economic news,choosing instead, to focus on tapping into 2015's potentiallystrong loan demand.

“It might be easier to ask what aren't we doing,” AhmedCampbell, vice president of credit operations at the $2 billionMunicipal Credit Union in New York, said.

The cooperative was working across a wide variety of productsand is particularly revving up for a possible surge in autoloans.

“We're sensing a really deep, pent-up demand for automobiles,”Campbell said.

Some of Municipal's 364,000 members had been holding off onreplacing aging cars for most of the recession and were lookingforward to getting some new wheels as well as used vehicles.

Campbell said the credit union will continue to work withmembers who desire new cars. In addition, it plans to target itssweet spot of used car loans for those with B or C credit paper. These borrowersare often either at the most risk for getting an unfair orpredatory loan from another lender or not getting enough financingto buy the vehicle they really need.

“Auto loans are really a place where we can have our strongestimpacts,” Campbell said.

Municipal is also working on its mortgage program for purchasemoney loans, which he acknowledged remains a challenge with NewYork's high real estate prices. The credit union expects a strongdemand for home equity loans too.

“We have members who have been putting off making necessaryrepairs of renovations for a while,” Campbell said.

The $724 million, 49,000-member Point Breeze Credit Union in Hunt Valley, Md., is preparing fora stronger lending environment in 2015, however, local factorsmight create some limits, according to Tricia Harrison, chieflending officer.

“I think the economic recovery might be lagging for us a bit,”she said, pointing to a looming budget gap facing Maryland'sgovernment that will have to be addressed sometime thisyear.

Nonetheless, Point Breeze is preparing to help its members withrobust auto loan, credit card and home equity loan programs whilecontinuing its efforts to educate borrowers on loans and otherrelated responsibilities.

Aaron Bresko, chief lending officer at the $1.6 billion,225,000-member GTE Financial, said the Tampa, Fla.-based credit union wasfocused on helping members take out loans and using financialservices to help them recover from the recession.

A recent decision from Fannie Mae and Freddie Mac on buying housing finance loans ofup 97% of property value provided a green light for the creditunion to begin offering more of these loans, Bresko said.

Read more: GTE Financial eases LTV requirements…

GTE Financial will offer higher LTV loans aspurchase money notes to buy new property and to help homeowners whostill need to refinance existing loans but were not been able to doso. The credit union has also started offering construction loansand loans for undeveloped investment properties.

Bresko said GTE Financial has been working hard with its creditcard processing partner to market its credit card. The credit unionhas been recognized as having the lowest rate credit card in theTampa Bay area, he added.

“We want to keep making that better known,” Bresko said.

Indeed, the signs are pointing to a better forecast compared tothe past few years.

Consumer finance website WalletHub asked a panel of economists, consumer and publicpolicy experts for their 2015 predictions and where they expectedthe U.S. gross domestic product to end up.

The GDP will come in at roughly 3%, which will driveunemployment to 5% and wages by 3%, according to the panel.Meanwhile, auto makers will sell 17 million new cars this year,easing more older cars into the used car market and drive up thedemand for both new and used car loans.

Home sales, in many ways, have been the slowest part of theeconomic recovery, but will post an increase this year, theWalletHub panel said.

However, WalletHub Senior Editor John Kiernan said the rosyeconomic forecast retained some of the gray edges associated withunpredictability and many good things impacting the economy canhave unintended negative consequences.

“Oil prices,” Kiernan said. “A drop in oil prices and gas pricescan help fuel consumer confidence and consumer spending along withloan demand. But low prices also raise geopolitical issues thatcould derail growth, so that's one.”

He added, “The continued poor economic performance in Europe,one of our major trading partners, could also rain on the U.S.parade, so that's another, and nothing carries a guarantee.”

Read more about what credit unions are expecting in 2015 inthe Jan. 14 issue of Credit Union Times.