WEST PALM BEACH, Fla. – There's no shortage of issues facing state-chartered credit unions and affecting the legislative and regulatory climate state-chartered credit unions are operating in today – state budgetary crises, bankers' challenges and suits, new federal regulations, to name a few. But the latest data from the Massachusetts Credit Union Share Insurance Corp. and based on NCUC 5300 call reports, show that SCCUs – and the dual chartering system – are continuing to thrive. Although there are fewer state-chartered credit unions as of June 30, 2003 than there were 12 months ago – 3,782 and 3,902, respectively – SCCUs have managed to maintain a steady share of market in key areas such as loans, share and assets of the total credit union industry. An analysis of SCCUs' key ratios, however, shows a falloff in loans-to-shares and loans-to-assets, as well as net capital. However at a time when competition with auto manufacturers' incentives has taken a toll on CUs' auto loan portfolios, SCCUs' auto-to-total loan ratio has gone up, as has their mortgage loans. Member business lending continues to be a particularly strong area for SCCUs. -

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