Total revenue jumps 12.8% year-over-year at U.S. credit unions
Largely a result of rising loan demand and interest rate trends, the amount of income generated at credit unions expanded throughout 2018.
Total revenue in 2018 for U.S. credit unions grew 12.8% to $74.4 billion, a 3.2-percentage-point acceleration from 2017. Annual income at credit unions has increased 37.4%, or $20.2 billion, since the Great Recession. Largely a result of rising loan demand and interest rate trends, the amount of income generated at credit unions has expanded throughout 2018.
Buoyed by interest rate hikes, interest income rose 13.9% year-over-year to $54.7 billion at year-end 2018. Interest income, which consists of income from investments and loans, comprised 73.5% of credit union revenue. The Federal Reserve issued four rate hikes throughout the year, which subsequently pushed up interest rates on both sides of the balance sheet. Gaining more per dollar loaned and invested, credit unions increased loan income (less interest refunded) 13.1% annually to $47.6 billion as of Dec. 31, 2018. Investment income increased 20.3% to $7.1 billion.
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