Credit union loan growth continues, say CUNA monthly estimates

Credit union loans outstanding increased in February, as year-over-year loan balances rose significantly, according to Credit Union National Association’s monthly sample of credit unions.

Loan balances rose 0.6% through February compared with -0.1% in the period one year earlier.  Year-over-year loan balances are up a very strong 8%, the fastest pace since 2005.

“Credit union loan growth was strong in the first two months of 2014, as members were out shopping for new and used cars and buying houses with adjustable-rate mortgages,” Steve Rick, CUNA senior economist, told News Now .

Adjustable rate mortgages led loan growth, rising 1.6%, followed by new auto loans (0.7%), used auto loans (0.6%), and home equity loans (0.1%). On the decline were credit card loans (-1.7%), unsecured personal loans (-1.3%), other mortgages (-0.2%), and fixed-rate first mortgages (-0.01%).

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