While savings at credit unions were up 2.2% year-to-date to $787 billion, compared to first quarter data over the past four years, growth may have reached its peak for the industry.
"Most would consider quarter-only growth of 2.2% as good, but when you consider over the past four years 72% of all annual deposit growth occurred in the first quarter, we believe the savings growth peak is behind us," said CUNA Mutual Group Chief Economist Dave Colby.
Despite historically low deposit yields with share drafts at 0.4%, regular shares at 0.5%, and money market accounts at 0.9%, members continued to favor these highly liquid accounts, according to CUNA Mutual's May Credit Union Trends Report, which tracked data through March. Since March 2009, 129% of savings gains were attributable to these accounts. Certificate of deposit balances were down 6.2% over the same period.
Recommended For You
A fifth payroll Friday and tax refunds temporarily boosted April results, but savings and asset growth is slowing in the CU marketplace, according to Colby. Total assets were up 1.1% YTD and 4.3% over the past year to $914 billion. "Reduced borrowing is offsetting deposit inflows," Colby noted.
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
