ARLINGTON, Va.-Almost half of the NAFCU member credit unions surveyed for this month's Flash Report said they had a problem with liquidity last year, but were able to keep it manageable through their corporates and other avenues. "Over the past five years, loan and share growth have moved in opposite directions." the Flash read. "As a result many credit unions' loan-to-share ratios are at elevated levels." Loan growth jumped from 7% to 11% between 2001 and 2005 while share growth plummeted from 15.3% to 3.8% in the same period. Consequently, 48% of Flash respondents reported experiencing some sort of liquidity problem in 2005. To deal with the issue, 58% turned to their corporates and 45% said they liquidated investments. Forty-two percent adjusted their savings rates while 35% hit up the Federal Home Loan Banks. Loan participations were a less popular option with 26% participating loans out and 10% sold a portion of their assets. Eighty-two percent said they hiked their share rates for 2006. The Flash indicated that 94% increase share certificate rates, which NAFCU Senior Economist Jeff Taylor said is wise to generate longer term deposits. Also, 38% said they raised their regular share rates, 34% bumped up their money market share rates and 15% increased share draft rates. Eight percent offered more on IRAs while 2% indicated `other' increases. According to 70% of respondents, liquidity contingency planning is part of their strategic planning. The rest either included it in Asset Liability Committee meetings (29%) or specific liquidity contingency planning meetings (1%). A full 5% admitted they do not test their plans. Nearly a third (30%) said they test on a quarterly basis and 21% do so monthly. Others were less frequent. Regarding liquidity management, the Flash found that 89% of credit unions use cash flow projections and 88% specify alternative funding sources for unanticipated needs. Forty-two percent prepare loan sale outlets in the event they are needed to securitize a portion of their assets.