PenFed Credit Union, the nation’s second-largest federal credit union, today proudly announced that it has surpassed $26 billion in assets – just two months after surpassing $25 billion in assets.
“It took more than 50 years for PenFed to book its first billion dollars in assets. To grow a billion dollars in just two months is a testament to PenFed’s 2,700 financial professionals who are executing our business strategy to generate 80% of transactions through the web and mobile applications, 15% on phone calls, and 5% in branches,” said James Schenck, PenFed Credit Union President/CEO and PenFed Foundation CEO. “While banks and others have pulled back lending to Main Street Americans or shuttered their branch operations over the past 90 days, our business model of 80/15/5 empowered PenFed to serve members and welcome new members around the country in real time with market-leading rates and service without missing a beat.”
PenFed’s growth during the first five months of 2020 exceeded 10% total membership growth and 15% consumer lending growth.
PenFed’s mortgage lending has grown 200% during the first five months, including new purchase mortgages as well as refinancing. Most of those mortgages are not counting toward PenFed’s asset growth, as the credit union executes an originate-to-sell strategy in order to generate liquidity and mitigate interest rate risk while retaining servicing.
Counting all consumer, mortgage, and commercial real estate lending during the first five months of 2020, PenFed’s total lending has grown 71% over the same period in 2019.
In April, PenFed surpassed another significant growth milestone: reaching 2 million members.