The recession continued to take a toll on credit unions during the first quarter of 2009 in many categories, though an increase in savings and overall membership eased some of the pain, the NCUA reported today.
Net worth declined 3.9% to $83.1 billion and loans decreased .l1% to $565.2 billion, according to data provided in call reports.
Assets increased 5.6% to $856.4 billion; investments increased 14.5% to $189.8 billion. Shares increased 6.4% to $724.5 billion and membership increased .7% to 89.2 million.
Delinquent loans as a percentage of total loans increased from 1.37% at year-end 2008 to 1.44% at March 31, 2009. Delinquency in the 6-12 month category rose by 33.4% and by 14.4% in the 12 month and over category. Net charge-offs to average loans grew from 0.85% to 1.11% during the first quarter.
On the brighter side, first mortgage real estate loans and lines of credit grew 1.5% and used auto loans grew 0.8%. But credit cards and other types of unsecured credit declined over 3%, and new vehicle loans continued to decline, down 1.6% during the first quarter of 2009.
"While the economy and expected National Credit Union Share Insurance Fund stabilization expense negatively affected net income during the first quarter, credit unions continued to reflect strong capital levels. I also continue to caution credit unions that adverse economic conditions and unstable financial markets remain significant factors to consider as part of risk-based financial planning," NCUA Chairman Michael Fryzel said in a statement.
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