Home equity, personal and auto loans led growth in January

Overall credit union loans outstanding increased 0.7% in January of 2022, compared to a 0.9% increase in December of 2021 and a 0.09% decrease in January of 2021, according to CUNA’s latest Monthly Credit Union Estimates.

Home equity loans led loan growth during the month rising (1.9%), followed by unsecured personal loans (1.6%), other loans (1.5%), fixed-rate mortgage loans (1.0%), used auto loans (0.9%), and new auto loans (0.3%). On the decline during the month were adjustable-rate mortgages (-1.6%), other mortgage loans (-1.2%), and credit card loans (-0.6%).

Credit union savings balances decreased -0.1% in January, compared to a 1.4% increase in December of 2021 and a 0.7% increase in January of 2021. Money market accounts led savings growth during the month, rising 0.8%, followed by regular shares (0.8%). On the decline were share drafts (-2.9%), one-year certificates (-0.5%), and individual retirement accounts (-0.4%).

Credit unions’ 60+ day delinquency remained at 0.5% in January. Liquidity The loan-to-savings ratio rose to 70.9% in January of 2022 compared to 70.4% in December 2021. The liquidity ratio (the ratio of surplus funds maturing in less than one year to borrowings plus other liabilities) declined from 19% in December of 2021 to 18.4% in January of 2022.

 

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