Minnesota credit union business loans outpace national trend in Q2 2014
ST PAUL, MN (September 12, 2014) — CUNA News Now © Final data reported by the National Credit Union Administration (NCUA) in the second quarter of 2014 shows that Minnesota’s credit union business loans grew 14.4 percent over the last year, surpassing the national figure of 12 percent over the same period.
“Credit unions are more willing to make smaller loans that help businesses get off the ground,” said Minnesota Credit Union Network President & CEO Mark D. Cummins. “With these loans Minnesota credit unions are helping not only businesses but also families and communities grow.”
Minnesota credit union membership also grew during the second quarter, increasing by nearly 10,000 to reach a new high of 1,636,000. Overall, credit unions have experienced positive membership growth since 2011 and steady asset growth each year since 2007, as outlined below:
Minnesota Credit Union Membership and Assets
|Members (in millions)||Assets (in billions)|
Another positive sign for Minnesota credit unions was the continuing decline in delinquent loans reported in the second quarter. Loan delinquencies in the second quarter decreased by over 5 percent from the same period in 2013.
“Minnesota consumers and businesses are feeling more confident about their long-term financial picture,” Cummins said. “And they’re continuing to choose credit unions because they are trusted, locally-owned financial partners.”
A recent Chicago Booth/Kellogg School Financial Trust Index study also shows that consumers trust credit unions. “People trust more local than national banks and trust more credit unions than local banks,” said study co-author and University of Chicago Booth School of Business Professor Luigi Zingales. “The more local an institution is, the more trusted it is.”
Credit unions submit quarterly data to the National Credit Union Administration (NCUA). This summary and analysis was compiled by the Minnesota Credit Union Network.
Credit unions support and strengthen communities
As local, not-for-profit cooperatives, credit unions return revenue to members in the form of fewer fees, lower rates on loans and higher rates on savings. Credit unions are not owned by a group of stockholders, meaning that all consumers – not just a select few – benefit.