LANSING, MI (July 1, 2019) — Strong first-quarter growth in the national economy was reflected in Michigan credit union operating results, which included solid membership growth, continued strong asset quality and healthy earnings.
According to the National Credit Union Administration, Michigan memberships grew by 1.0%, outpacing the 0.7% increase in the fourth quarter of 2018. Overall, memberships in Michigan credit unions increased by 2.6% in the year ending March 2019, and now report a total of 5.42 million memberships.
Annualized membership growth (by region):
In their Q1 Member Benefits Report, the Credit Union National Association (CUNA) estimates the 5.42 million Michiganders who belong to credit unions received a total of $419 million in direct financial benefits during the 12 months ending March 2019. This amount equates to $79 per member or $166 per member household.
CUNA calculates these stats based on average savings differences between credit union and bank pricing, and result from financial benefits, such as higher CD rates and fee-free checking, as well as lower rates and fees on products like home, car and auto loans.
Michigan credit union loan portfolios grew by 1.2% in the first quarter of 2019, bringing the 12-month loan growth to 9.1%. This quarterly growth rate surpassed the national rate of 0.6%. Alongside automobile, mortgage and share drafts, commercial loans also outperformed the national rate — 5.2% in Q1 — showcasing credit unions as a driving force for Michigan’s economy.
Annualized loan growth (by loan type):
“Rises in credit union memberships and loan portfolios speaks well for our state’s economy. When credit unions report membership growth, that means more Michigan consumers are gaining access to healthy financial products and services, including low deposit and loan rates and small business services integral to the state’s communities,” said MCUL President/CEO Dave Adams. “Memberships continue to rise and account for well above half of the state’s population. Through the rest of 2019, MCUL is working diligently to raise awareness, while our member credit unions are expanding and evolving products and services to continue to provide this access to the underserved consumers that need smart alternatives to predatory lenders and big banks.”
Find the complete Q1 2019 NCUA Call Report Data here.
You can also find more Q1 data on Michigan credit unions’ low rates and high dividends in the Q1 Member Benefits Report.
Organized in 1934, the Michigan Credit Union League & Affiliates [mcul.org] (MCUL) is a trade association representing Michigan’s credit unions. Based in Lansing, Michigan, MCUL works to strengthen the credit union community and its image by providing advocacy on important issues, coordinating cooperative initiatives and by providing high-quality solutions that help credit unions succeed and enrich the lives of their members.
Shawn Glinis
734.793.3449 | Shawn.Glinis@mcul.org
