Banks in Georgia appear to have offered better average rates on15- and 30-year mortgages as credit unions take the lead on carloan rates.

That's according to the Georgia Credit Union Benefits Index,which is based on data collected during December 2009 from morethan 160 CUs and banks compiled through rate tracking firmDatatrac. Georgia's banks had better average rates on theirmortgages at 4.66% on 15-year mortgages and 5.07% on 30-yearmortgages. The state's CUs offered average rates of 5.32% and5.69%, respectively, the tracking index from the Georgia CreditUnion Affiliates revealed.

While banks showed more appealing mortgage rates, CUs hadstronger average rates on home equity lines and second mortgages at4.61% compared to 5.57% at banks. The cooperatives also faredbetter with car loans. The average rate for a 60-month new car loanwas 5.34% for CUs, compared to 6.56% for banks. A 48-month used carloan had an average rate of 5.54% compared to 7.09% at banks.

The state's CUs also edged out banks on credit cards with theaverage rate at 11.35% compared to 11.96% at banks. The averagerate for a personal or unsecured loan was slightly higher for CUsat 11.08% and 11.01% at banks. While the number of loans granteddecreased in 2009 compared to 2008, the average loan amount wasslightly higher last year at $12,235 compared to $11,029 in2008.

True to form, Georgia's CU also continued to offer higher rateson savings accounts. The average rate paid on a savings accountwith a $1,000 balance was 0.58% for CUs, compared to 0.42% forbanks. Money market accounts were 1.74% for CUs and 1.25% for banksand the average rate paid on individual retirement accounts was2.08% for cooperatives compared to 1.59% for banks.

“Credit union usage continues to translate into substantialsavings for Georgians,” said Michael Mercer, president/CEO of GCUA.“Many Georgia consumers are switching to credit unions becausesavings are funneled back directly to our members, providing adirect and positive impact to their wallets.”

While the number of loans granted decreased in 2009 as comparedto 2008, the average loan amount was slightly higher in2009-$12,235 in 2009 as compared to $11,029 in 2008, according tothe Georgia index. The majority of loans generated by CUs were forconsumer purchases, especially for used vehicles, but also for newvehicles, home mortgages, home equity lines of credit and creditcards.

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