DES MOINES, IA (June 16, 2014) -- The National Credit Union Administration (NCUA) released the Quarterly U.S. Map Review including Iowa credit union performance metrics, for the first quarter of 2014. According to the March 31, 2014 report, Iowa credit unions are ranked second in the nation in annual loan growth. Iowa credit unions also posted strong share and deposit growth.
Key Iowa credit union findings in the NCUA report include:
- Second-fastest growth compared to credit unions nationally in total loans year over year for first quarter 2014. Total Iowa credit union loans and leases increased 14.4 percent to $8.3B, compared with an 8.8 percent increase nationwide.
- Experienced 5.1 percent growth in share and deposits to $10.5B. Nationally, share and deposit accounts at credit unions grew 3.6 percent to $943.1B.
- Total assets stand at $12.2B. This is a 5.3 percent increase over March 2013. Nationally, federally insured credit unions’ total assets grew by $42.6B from first quarter 2013 to reach just more than $1.1T.
- Iowa membership increased 1.7 percent to 1,021,449, adding over 16,000 members in the last twelve months. Nationally, membership in federally insured credit unions grew 2.6 percent to more than 97.1M.
“Consumer confidence is building with continued low interest rates on consumer loans and an improved housing market,” said Patrick S. Jury, CEO/President, Iowa Credit Union League. “We’re finding that consumers are more willing to purchase big ticket items like a home or car, and Iowa credit unions are able to assist them with their financing needs."
Callahan & Associates released the Quarterly Performance Summary comparing Iowa credit unions to credit unions nationally for the first quarter of 2014. According to the March 31, 2014 report, credit unions in Iowa posted a strong financial performance, exceeding most national trends. One example is that Iowa credit unions report share growth at 5.11 percent, while Iowa commercial banks and Iowa savings banks are experiencing growth at -14.0 percent and 2.6 percent respectively.
Key Iowa credit union findings in the Callahan & Associates report include:
- Iowa credit union earnings rose by 4.7 percent to $28.4M for first quarter 2014 compared to $27.1M in March 2013.
- The ROA for first quarter 2014 remained steady at .94 percent compared to .96 percent in 2013.
- Credit union industry employment in Iowa grew by 108 jobs since March 2013, to top 3,000 employees as of the end of first quarter 2014.
- The average member relationship in Iowa credit unions (the outstanding combined loan and share balances per member, excluding business loans) increased by 6.4 percent to $17,573 at the end of March 2014.
- Iowa credit unions originated $529.5M in consumer loans for the first three months of 2014, an increase of 2.7 percent over the past twelve months. First mortgage originations declined 41.6 percent to $240M from $411.2M reported in March 2013. This decrease is less than the 57 percent decline nationally reported by the Mortgage Bankers Association. The decline is due to higher mortgage rates resulting in significantly lower refinance activity.
- Total revenue for Iowa credit unions increased 2.6 percent from the first three months of 2013 to more than $143.8M in the first three months of 2014.
- The average net interest margin (the difference between interest earned on loans and investments and interest paid on deposits) rose to 2.94 percent in the first quarter from 2.78 percent a year earlier for Iowa credit unions. Nationally, credit unions’ net interest margin rose to 2.80 percent from 2.77 percent.
- Two Iowa credit unions merged in first quarter 2014. Nationally, 64 credit unions have merged and/or dissolved over the same time period. Nationally, there are 6,623 credit unions and of those, 113 are domiciled in Iowa as of March 31, 2014.
Click to download the full NCUA Quarterly U.S. Map Review.
About the Iowa Credit Union League
The Iowa Credit Union League is the trade association that represents the interests of Iowa’s credit unions and their more than one million members. Credit unions are not-for-profit, financial cooperatives owned and operated by their members. Iowans use their credit union membership to receive higher interest rates on savings and lower interest rates on loans. For more information on ICUL and Iowa credit unions, visit www.IowaCreditUnions.com. Follow ICUL on Twitter at www.twitter.com/icul or on Facebook at www.facebook.com/iowacreditunions.To learn more about credit unions, visit www.ASmarterChoice.org.