Credit unions experience fastest loan growth in their history
Latest CUNA Mutual Group report highlights $10.2 billion in loans added by credit unions
MADISON, WI (September 10, 2015) — Credit union members continue to show signs of economic health and confidence in the latest Credit Union Trends Report1from CUNA Mutual Group, the leading provider of lending, insurance and wealth management products for credit unions.
Credit unions added $10.2 billion in loans to their balance sheet in June – the fastest growth in credit union history. Consumer installment credit loan balances (auto, credit card, and other unsecured loans) rose at the fastest pace since September 2009: 13.7% during the 12 months ending in June, helping to pull the overall loan growth average to 10.9% for the year.
Credit union savings balances also improved. Savings balances rose 4.4% during the first half of 2015, compared to a 3.3% rise during the same period in 2014.
“Although the stock market has encountered a period of heightened volatility over the past several weeks, the fundamentals of the middle market economy have continued to improve based on what we’re seeing from credit union members,” said Steven Rick, Chief Economist, CUNA Mutual Group. “Credit union performance is a key barometer of the economic health of the hardworking American, and the strong growth in loans and savings tells us these consumers are feeling increasingly better about their financial outlook.”
The CUNA Mutual Group report included a number of additional key growth points for credit unions:
- Membership:Credit union membership grew at a robust pace. Memberships rose by 440,000, the highest monthly growth rate since July 2013 (0.43%). Total credit union memberships are now 103 million, which is 32.5% of the U.S. population. Memberships are up 3.3% over the past year due to rapid job creation and strong demand for new and used auto loans – the fastest growth rate in more than 20 years.
- Auto Loans:New auto loan balances rose 2.0% in June, the fastest monthly pace so far this year.
The full CUNA Mutual Group report can be found here.
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