credit union trends report - CUNA Mutual [PDF]

CREDIT UNION TRENDS REPORT CUNA Mutual Group – Economics ● June 2014 (April 2014 data)

Highlights Quarterly data revisions should be available next month, impacting results back to the beginning of the year. We will highlight any significant changes.  At the end of April, CUNA estimates show 6,703 CUs. Current results are consistent with NCUA reported data. The YTD decline is 92 CUs and we have lost 296 CUs since April 2013. Expect the annual net decline to top 300 in 2014.  CU system assets slipped in April, but at $1.12 trillion are 4.4% above their April 2013 level. Caution: not all CUs are growing. A total of 2,509 CUs reported asset declines between Q1 2013 and Q1 2014. This is a higher count and share of assets than last year.  Almost all loan portfolio segments show growth. Big increases in vehicle loans and real estate secured loans led the way. In total, loans are up 2.4% YTD and an amazing 8.9% since April 2013. Between Q1 2013 and Q1 2014, the 219 $1 billion plus CUs accounted for 65% of all loan growth. On the opposite end, there were 2,509 CUs reporting loan portfolio declines.  CU membership reached 99.6 million, up 2.8 million since April 2013. 73% of the increase comes from 219 CUs with assets in excess of $1 billion. Roughly 53% of all CUs (3,582) reported membership declines between Q1 2013 and Q1 2014.  At 70.5%, the loan-to-share ratio is up 337 basis points since April 2013 and at its highest level since early 2011. The industry capital-to-asset ratio inched up to 10.5% due in part to annual capital growth of 5.5%. The loan delinquency rate appears to have stabilized in the 0.9%-1.0% range. This implies little or no ROA boosts from future loan loss reserve releases.

ENVIRONMENT

The nation’s CUs helped their members (including a surge in new members) weather the severe economic downturn and they have helped lead the way into a modest economic recovery. CU member households are now in better financial condition because of where they do their “banking.” CUs continue to build financial strength and are now well positioned to withstand almost any economic or credit market shock. I wish the same was true for the U.S. economy. Today’s CU leaders deserve a big thank you, from all Americans. Looking forward, I see my retirement. I have worked with CUs and CUNA Mutual for more than 37 years and it’s been great. Throughout my career, my goal was always to have a positive impact. I hope that in your minds I did. Who knows what the next chapter of my life will bring, but it will include my CU. Total Lending CUs added $6.9 billion (1.0% month-only gain) to their loan portfolios in April as total loans rose to $676 billion. Member loans held by CUs are up 2.4% YTD. The bars in Figure 1 show the current increase is 2.7 times higher than same period 2013 results. The year-over-year annual loan portfolio gain was 8.9% at the end of April, the strongest growth since June 2006.  The line in Figure shows continued strong growth in the CU consumer installment credit (CUCIC) portfolio. The 2014 YTD gain is double 2013 results and annual growth of 10.8% easily tops 2013’s gain.  During the past year, vehicle loans accounted for 46% of all CU loan growth, followed closely by real estate secured loans at 44% and member business loans at 19%.  A closer look at detailed NCUA Q1 2014 data reveals the 219 CUs (3.2% of all CUs) with assets in excess of $1 billion, accounted for 65% of all loan growth between Q1 2013 and Q1 2014, despite 14 of these CUs reporting declines. In total, 2,509 CUs (37% of all CUs holding 11% of industry assets) reported loan portfolio declines between Q1 2013 and Q1 2014. This is a large improvement from 2013 results. Roughly 47% of the CUs with assets below $50 million, reported loan portfolio declines.

Growth in CU Loans and CUCIC 10-Year Average Growth Rates Loans = 5.5% CUCIC = 2.7%

10

April 2013 – April 2014 Growth Loans = 8.9% CUCIC = 10.8%

Percent

8 6 4 2 0 -2 -4 -6 06

07

08

09

Loans

10

11

12

CUCIC

Source data: CUNA Economics & Statistics and CUNA Mutual Group - Economics

Figure 1

13

13 14 April YTD

Credit Union Consumer Installment Credit (CUCIC) Annual CUCIC growth moved up to an exceptional 10.8%, as shown by the blue line in Figure 2. At $275 billion, this key portfolio segment (40.7% of all CU loans) is up 3.5% YTD and almost $27 billion since April 2013. Roughly 96% of the increase is attributable to the expansion of the vehicle portfolio, but all other sub portfolios are in positive growth territory as well. Growth is forecast to continue, but at a slower rate.  The CU share of this $3.1 trillion lending arena is 8.79%, up 33 basis points (bp) from last year. Growth in the broader market less CUs (red dashed line) and the broader market less CUs and Government Student Loans (GSLs – green line) continues to be very weak for this point in an economic expansion.  The April spike in total market credit card balances was well covered in the financial media. What wasn’t explained is total credit card balances (less CUs) remain $186 billion (19%) below their previous peak. While CU credit card balances are up 6.9% year-over-year, the broader market (excluding CUs) is up just 2.2%. The CU share of this $827 billion lending segment is now 5.1%, up from 4.9% at this time last year.

Growth in Consumer Installment Credit April 2014 Percent

12

CUs 10.8%

8 Total Market Excl. CUs 6.2%

4 0

Total Market Excl. CUs & GSLs 2.7%

-4 -8 10 12

11 06

11 12

12 06

12 12

13 06

13 12

14 06

14 12


Figure 2 Vehicle Loans A year ago, we were touting 7.5% annual growth in the vehicle loan portfolio, today the gain came in at 13.7%, as shown in the left graphic of Figure 3. During the past year, this portfolio increased by almost $26 billion and accounted for 46% of all CU loan growth, despite equaling just 31.4% of all loans.  Digging deeper into NCUA 5300-level data we see the 23% expansion of the indirect loan portfolio accounted for 76% of vehicle loan growth over the past 12 months. Indirect loans (point-of-purchase financing) now equal 54% of all vehicle loans, up from 51% at this time last year.  Used vehicle loan growth of 12.3% (see the right graphic in Figure 3) is at its highest rate in more than 10 years. The 16.3% new vehicle loan portfolio growth rate is the best since early 2006. May should be another good month based on recently released reports of new light vehicle sales.

Vehicle Lending Growth Comparisons Annual Growth 19

Percent

CU New vs. Used Vehicle

April 2014

20

New 16.3%

15

13.7%

14

Percent

10 5

9

Used 12.3%

0

4

-5 -10

-1

-15

-6 10 12

-20

11 12

12 12

13 12

14 12

10 12

11 12


Figure 3 2 ● Credit Union Trends Report

12 12

13 12

Real Estate-Secured Lending – 1st Mortgages and Other Real Estate It’s no surprise that 1st mortgage loan originations are down almost $14 billion (44%) from Q1 2013, as shown by the leftmost bars in Figure 4. This is consistent with the broader market and is primarily attributable to higher interest rates which put refinance opportunities “out of the money.” Additionally, these higher rates push potential demand out of the market because payments have moved above qualifying levels. It will take some time before purchase money mortgage demand fills the void left by several refinance booms.  In the first quarter of 2013, CUs sold 1st mortgages equal to 58% of originations. Through March of 2014, the $5.7 billion in 1st mortgage loan sales (see center bars in Figure 4) equal just 32% of originations. This lower level of sales has allowed CUs to grow their 1st mortgage portfolio 9.6% since April 2013. A closer look at YTD results shows no change in fixed-rate 1st mortgages and a 6.9% gain in adjustable-rate 1st‘s. This looks like a movement toward dampening interest rate risk.  Figure 4 also shows home equity/other mortgage originations 10% above same period 2013 results (see right-most bars in Figure 4). Almost all of this is home equity lending. While the 2nd mortgage portfolio is down YTD and annually, home equity lending is up. The home equity loan portfolio is up 0.8% YTD and 1.5% since April 2013. The national average home equity loan rate continues to fall and now stands at 4.14%.  In total, real estate secured loans (1st‘s, 2nd‘s and home equity loans) are up 7.2% year-over-year and represent 52% of all CU loans outstanding.

CU Real Estate Lending Activity YTD Q1 2013 35

Q1 2014

$31.1

$ in Billions

30 25 20

$17.5

$18.0

15 10

$5.7

5

$4.0

$4.4

0

$ Originated

$ Sold

1st Mortgages

$ Originated

HE/Other Mortgage

Source data: NCUA 5300 and CUNA Mutual Group - Economics

Figure 4 Surplus Funds (Cash + Investments) Surplus funds stood at $400 billion at the end of April. This reflects $9.1 billion (2.2%) month-only decline. This is attributable to stronger loan growth and a continued work-down of excess deposits from five payroll Fridays in January. Surplus funds now equal 35.8% of assets. This implies a larger share of assets is now earning loan yields versus shortterm investment yields.  Q1 2014 NCUA data show the 4.85% yield on average loans is 367 basis points (bp) above the yield on average investments. More in loans and less in surplus funds is good for interest margins, the bottom line and capital growth.  CUs appear to have extended maturities to improve yield during the past year. CUNA estimates show 42.2% of surplus funds have a maturity of one year or less; a year ago this share was almost 46%.  Expect a surge in surplus funds with May data due to five payroll Fridays. Savings and Assets Member savings fell $5.2 billion in April as liquid deposit account balances were drawn down once again from the five payroll Fridays in January. Note: this will be reversed with May results. YTD, member savings deposits are up $30 billion (3.2%) and annual growth comes in at 3.7%. The bars in Figure 5 show savings growth results are consistent with 2013 results. In aggregate, CUs have more than adequate liquidity and continue to manage their cost of funds lower, given the low investment yields at the margin. NCUA data shows the Q1 2014 annualized cost of funds was 53 bp, down from 59 bp for full-year 2013 and 61 bp in Q1 2013.  From a member perspective, the 0.80% national average rate paid on a 1-year CDs isn’t worth tying up the money. Thus, 114% of the year-over-year change in deposits went into share drafts, regular shares and money market accounts. CDs declined 2.0% during the past 12 months and are now $44 billion (18%) below their March 2009 peak.  Total system assets slipped $2.8 billion in April, but at $1.120 trillion are up $47 billion or 4.4% from April 2013, as shown by the line in Figure 5.

3 ● Credit Union Trends Report

 Just released NCUA 5300 Call Report data shows not all CUs are growing. Between Q1 2013 and Q1 2014, 2,509 CUs (37% of all CUs, but just 12% of system assets) reported asset declines. Caution: Results between Q1 2012 and Q1 2013 indicate 1,951 CUs (28% of all CUs and 9% of system assets) reported asset declines. Asset gains in the 219 CUs (3.2% of all CUs) with assets in excess of $1 billion accounted for 66% of industry asset growth during the past 12 months.

Growth in CU Savings and Assets April 2013 – April 2014 Savings = 3.7% Assets = 4.4%

10-Year Average Growth Rates Savings = 5.5% Assets = 5.6%

12

Percent

10 8 6 4 2 0 04

05

06

07

08

09

10

Savings

11

12

13

14 Apr

Assets


Figure 5 Capital and Other Key Measures Annualized Q1 2014 NCUA data show CUs produced an ROA of 78 bp. Current results are equal to the full-year 2013 ROA and helped CUs add $4.1 billion to their capital based through the first four months of 2014. Since April 2013, total industry capital is up $6.1 billion or 5.5%, as shown in the left graphic of Figure 6. When you combine solid capital growth with managed asset growth (achieved through deposit pricing), you get an improved capital-to-asset (C/A) ratio. The industry C/A ratio now stands at 10.5%, up 11 bp in the past year, as shown in the right graphic of Figure 6. The C/A ratio has now recovered 108 bp from its cyclical low in May 2009.  At the current capital level, the industry as a whole remains financial strong and should easily be able to withstand economic and credit shocks. Looking deeper into detailed Q1 2014 NCUA data we see 68 credit unions (1.0% of all CUs) below the NCUA “adequately capitalized” threshold of 6.00%. Collectively these CU hold just 0.3% of industry asset. Two years ago, the Q1 below 6.00% count was 145 CUs holding 0.8% of industry assets.  CUs reported a strong April gain in their loan portfolios and the year-over-year increase of 8.9% helped boost the industry loan-to-share (LS) ratio to 70.5%, the highest level since early 2011, as shown by the blue line in the right graphic of Figure 6. The L/S ratio is up 337 bp during since April 2013.  The loan delinquency rate (loans two or more months delinquent as a percent of total loans outstanding) is holding steady in the 0.9%-1.0% range, significantly better than its 10 year average.

Credit Union Capital Growth and Key Ratios April 2014 Key Ratios

Capital Growth 5.5%

L/S = 70.5% C/A = 10.5% Percent

Percent

90

Percent 10

12.0

85

8

80

6

75

4

70

2

65

0

60 12 12

13 06

13 12

14 06

14 12

11.5 Capital-to-Asset (Right Scale)

10.5 10.0


9.5

Loan-to-Share (Left Scale) 10 12

11 06

11 12


Figure 6

11.0

12 06

12 12

13 06

13 12

9.0 14 06

14 12

Credit Unions and Members CUNA’s current estimates indicate 6,703 CUs at the end of April. This represents a net loss of 44 CUs in April and 92 CUs YTD. Both counts are similar to NCUA reported data. On an annual basis, the industry count is down by 296 institutions. Figure 7 shows market contraction modestly above recent annual results, but consistent with our forecast.  Q1 data shows 219 CUs (3.2% of all CUs) with assets above $1 billion. In Q1 2013, this top asset class had 208 CUs. Today’s billion dollar plus CUs hold 53% of industry assets, up two percentage points from last year. As a group, these CUs had a combined ROA (Q1 annualized) of 98 bp versus an industry average of 78 bp. They also increased their net worth ratio by 37 bp to 10.43%  As forecast, small CUs continue to struggle in this economic and regulatory environment. At the end of Q1 2013, there were 3,313 CUs with assets less than $20 million. At the end of Q1 2014, this count had fallen by 239 CUs to 3,074. While some grew above this $20 million threshold, it is very important to remember this group represents 46% of all CUs, but holds just 2% of industry assets.

Annual Net Decline in Number of CUs April 2013 – April 2014 Decline = 296 500 Number of CUs 400

Forecast 363

331

353 308

300

266

257

234

246

10

11

281

275

12

13

296

301

14

14

200 100 0 04

05

06

07

08

09

Apr Source data: CUNA Economics & Statistics and CUNA Mutual Group - Economics

Figure 7 At 1.2 million, the YTD membership gain shown in Figure 8 is 42% above the same period results in 2013 and half way to the 2.4 million membership increase record set last year. While NCUA data shows slightly lower membership counts, we are almost certain to top the 100 million membership mark in 2014. Membership will equal 31% of the population, up from 21% thirty years ago.  While we believe there may be a slight downward revision in Q1 2014 data, at 99.6 million, total CU memberships are up 2.8 million since April 2013.  The industry total number does not tell the whole story. Detailed data shows 73% of all membership gains between Q1 2013 and Q1 2014 were attributable to the 219 CUs with assets in excess of $1 billion. These CUs represent 3.2% of all CUs, but hold 45% of all members. Additional analysis indicates 3,582 CUs reported membership declines between Q1 2013 and Q1 2014. 76% of the CUs reporting membership declines had assets of below $50 million.

Net Gain in Total CU Membership April 2014 = 99.6 Million Millions of Members

3.0 2.4

2.5 2.0

2.0 1.5

1.2

1.0

1.0

1.2

1.4 1.1

1.4

1.3

1.2 0.9

0.6

0.5 0.0 04

05

06

07

08

09

10

11

12

13

13

14

YTD April Source data: CUNA Economics & Statistics and CUNA Mutual Group - Economics

Figure 8 5 ● Credit Union Trends Report

National Monthly Credit Union Aggregates YR/MO 12 04 12 05 12 06 12 07 12 08 12 09 12 10 12 11 12 12 13 01 13 02 13 03 13 04 13 05 13 06 13 07 13 08 13 09 13 10 13 11 13 12 14 01 14 02 14 03 14 04

|------------------ ($ Billions) ---------------------| LOANS ASSETS SAVINGS CAPITAL 590.3 1,017.9 878.8 103.1 594.3 1,020.4 880.3 103.9 597.7 1,028.7 887.4 104.5 600.9 1,023.1 880.7 105.5 605.0 1,036.3 892.3 106.4 607.8 1,034.1 888.3 107.0 610.9 1,031.1 886.6 107.6 611.8 1,043.0 896.8 108.3 615.1 1,043.1 896.6 108.7 615.7 1,043.9 896.3 109.2 614.8 1,060.8 913.7 109.8 616.5 1,077.3 929.3 110.5 620.6 1,072.5 924.4 111.3 624.5 1,080.9 932.4 111.0 630.2 1,077.8 928.7 110.1 636.3 1,073.7 824.0 110.2 642.7 1,083.1 931.3 109.8 647.1 1,078.2 924.9 111.3 651.8 1,082.3 926.0 112.3 654.9 1,088.9 932.1 112.7 660.1 1,083.7 929.2 113.3 663.0 1,096.5 939.9 114.8 664.3 1,118.5 960.6 115.8 669.2 1,122.4 964.2 116.2 676.1 1,119.5 959.0 117.5

(Millions) MEMBERS 94.8 95.1 95.3 95.5 95.8 96.0 95.8 95.9 96.0 96.1 96.4 96.7 96.8 97.2 97.3 97.7 97.9 98.1 98.1 98.1 98.4 98.6 99.0 99.4 99.6

CREDIT UNIONS 7,259 7,240 7,219 7,191 7,162 7,144 7,115 7,116 7,070 7,057 7,047 7,008 6,999 6,987 6,930 6,902 6,880 6,864 6,834 6,828 6,795 6,763 6,754 6,763 6,703

LOAN / SAVINGS 67.2 67.5 67.3 68.2 67.8 68.4 68.9 68.2 68.6 68.7 67.3 66.3 67.1 67.0 67.9 68.9 69.0 70.0 70.4 70.3 71.0 70.5 69.2 69.4 70.5

CAPITAL/ ASSET RATIO 10.1 10.2 10.2 10.3 10.3 10.4 10.4 10.4 10.4 10.5 10.4 10.3 10.4 10.3 10.2 10.3 10.1 10.3 10.4 10.4 10.5 10.5 10.3 10.4 10.5

# OF CUs DECLINE (274) (267) (266) (289) (287) (293) (298) (275) (281) (282) (260) (270) (261) (252) (289) (289) (282) (280) (281) (288) (275) (294) (293) (261) (296)

Delinquency Ratio* 1.373% 1.287% 1.198% 1.175% 1.180% 1.172% 1.129% 1.143% 1.153% 1.117% 1.081% 1.013% 1.001% 1.002% 1.033% 1.020% 1.018% 1.013% 1.009% 1.028% 1.005% 0.992% 0.951% 0.901% 0.915%

Credit Union Growth Rates Percent Change Previous Year YR/MO 12 04 12 05 12 06 12 07 12 08 12 09 12 10 12 11 12 12 13 01 13 02 13 03 13 04 13 05 13 06 13 07 13 08 13 09 13 10 13 11 13 12 14 01 14 02 14 03 14 04

LOANS 2.8 3.1 3.4 3.8 4.2 4.4 4.6 4.7 4.8 4.9 4.9 5.0 5.1 5.1 5.4 5.9 6.2 6.5 6.7 7.0 7.3 7.7 8.1 8.6 8.9

ASSETS 5.2 6.0 6.9 6.0 7.8 6.5 6.1 7.3 6.2 6.5 6.2 5.3 5.4 5.9 4.8 4.9 4.5 4.3 5.0 4.4 3.9 5.0 5.4 4.2 4.4

SAVINGS 5.2 6.2 6.9 6.0 8.0 6.2 6.1 7.3 6.1 6.3 6.1 5.0 5.2 5.9 4.7 4.9 4.4 4.1 4.4 3.9 3.6 4.9 5.1 3.8 3.7

CAPITAL 7.5 7.0 6.9 6.9 6.8 7.9 7.8 7.9 8.5 8.1 8.4 8.3 8.0 6.8 5.4 4.4 3.3 4.0 4.3 4.1 4.2 5.1 5.4 5.2 5.5

MEMBERS 2.0 2.2 2.3 2.5 2.6 2.7 2.4 2.2 2.1 2.1 2.2 2.1 2.1 2.2 2.1 2.4 2.2 2.2 2.4 2.4 2.5 2.6 2.7 2.8 2.9

* Loans two or more months delinquent as a percent of total loans.


# OF CUs (3.6) (3.6) (3.6) (3.9) (3.9) (3.9) (4.0) (3.7) (3.8) (3.8) (3.6) (3.7) (3.6) (3.5) (4.0) (4.0) (3.9) (3.9) (4.0) (4.0) (3.9) (4.2) (4.2) (3.7) (4.2)

Distribution of Credit Union Loans Estimated $ (Billions) Outstanding YR/MO 12 04 12 05 12 06 12 07 12 08 12 09 12 10 12 11 12 12 13 01 13 02 13 03 13 04 13 05 13 06 13 07 13 08 13 09 13 10 13 11 13 12 14 01 14 02 14 03 14 04

TOTAL NEW USED TOTAL LOANS | VEHICLE LOANS | 590.3 59.8 110.8 170.6 594.3 60.4 111.9 172.3 597.7 61.0 113.1 174.0 600.9 61.6 113.9 175.5 605.0 62.3 115.1 177.4 607.8 63.0 116.1 179.1 610.9 63.6 117.0 180.5 611.8 64.0 116.8 180.8 615.1 64.4 117.3 181.7 615.7 64.7 117.7 182.4 614.8 65.2 117.9 183.1 616.5 65.7 119.0 184.6 620.6 66.2 120.4 186.6 624.5 66.5 121.4 187.9 630.2 67.5 123.4 190.9 636.3 68.6 124.9 193.5 642.7 69.5 126.1 195.6 647.1 70.1 127.2 197.3 651.8 71.3 128.9 200.2 654.9 72.0 129.5 201.5 660.1 72.5 129.6 202.1 663.0 73.8 130.6 204.4 664.3 74.3 131.3 205.6 669.2 75.6 132.8 208.4 676.1 77.0 135.2 212.2

UNSEC CREDIT Ex. CC’S CARDS 25.3 37.0 25.3 37.3 25.8 37.6 26.1 38.0 27.1 38.4 26.6 38.6 26.9 38.8 27.3 39.2 27.3 40.3 27.4 39.8 27.0 39.3 26.7 39.3 27.2 39.5 27.4 39.9 27.6 40.3 28.2 40.8 28.6 41.3 28.7 41.5 29.0 41.6 29.3 42.0 29.8 43.4 29.7 42.7 29.4 42.0 28.9 42.1 29.5 42.2

CUCIC 227.7 229.4 231.2 234.7 237.1 236.7 238.8 242.6 244.0 246.4 248.2 245.5 248.2 248.9 253.8 255.9 259.2 261.9 263.2 263.8 265.6 267.9 267.9 269.9 275.0

1ST MORT TOTAL 241.9 243.8 245.9 245.3 246.3 249.1 250.6 249.0 252.0 251.8 251.6 254.2 254.7 257.5 259.7 263.4 266.5 268.3 270.8 271.6 273.9 274.4 275.7 278.4 279.2

TOT. OTHR TOTAL MORT REAL 2ND +HE ESTATE 79.1 321.0 78.5 322.4 78.1 324.1 77.7 323.0 77.4 323.7 77.0 326.1 76.6 327.2 76.7 325.7 75.5 327.6 74.8 326.7 74.3 326.0 73.6 327.8 73.4 328.2 72.9 330.4 72.6 332.3 72.2 335.6 72.2 338.7 72.3 340.6 72.0 342.8 71.7 343.3 72.5 346.3 72.4 346.8 72.3 348.0 72.0 350.5 72.6 351.7

MBLs* 41.6 42.5 42.4 43.2 44.1 45.1 45.0 43.5 43.5 42.7 40.7 43.2 44.2 45.2 44.8 44.8 44.8 44.7 45.8 47.7 48.2 48.4 48.5 48.9 49.4

TOT. OTHR TOTAL MORT REAL 2ND +HE ESTATE (7.9) 1.9 (8.2) 2.0 (8.2) 2.0 (7.7) 1.9 (8.0) 2.5 (8.3) 2.4 (7.9) 2.5 (7.4) 2.3 (8.1) 2.3 (7.7) 2.2 (7.4) 1.8 (7.5) 2.0 (7.2) 2.2 (7.2) 2.5 (7.1) 2.5 (7.0) 3.9 (6.8) 4.6 (6.1) 4.4 (6.1) 4.8 (6.5) 5.4 (4.1) 5.7 (3.2) 6.2 (2.8) 6.8 (2.1) 6.9 (1.1) 7.2

MBLs* 7.0 9.3 8.4 9.0 9.6 13.9 12.1 7.0 6.5 3.0 (3.4) 1.3 6.2 6.2 5.5 3.6 1.6 (0.8) 1.9 9.8 10.8 13.4 19.3 13.3 11.8

* Member Business Loans

Distribution of Credit Union Loans Percent Change From Prior Year YR/MO 12 04 12 05 12 06 12 07 12 08 12 09 12 10 12 11 12 12 13 01 13 02 13 03 13 04 13 05 13 06 13 07 13 08 13 09 13 10 13 11 13 12 14 01 14 02 14 03 14 04

TOTAL NEW USED TOTAL LOANS | VEHICLE LOANS | 2.8 (2.4) 6.5 3.2 3.1 (0.8) 6.9 4.1 3.4 0.6 7.1 4.8 3.8 2.3 7.2 5.4 4.2 4.0 7.4 6.2 4.4 5.8 7.8 7.1 4.6 6.6 7.9 7.4 4.7 7.5 7.7 7.6 4.8 8.6 7.9 8.1 4.9 9.3 8.3 8.6 4.9 10.5 8.1 8.9 5.0 10.6 8.2 9.0 5.1 10.7 8.6 9.4 5.1 10.2 8.4 9.0 5.4 10.7 9.2 9.7 5.9 11.4 9.6 10.2 6.2 11.6 9.6 10.3 6.5 11.3 9.6 10.2 6.7 12.1 10.2 10.9 7.0 12.5 10.9 11.4 7.3 12.6 10.4 11.2 7.7 14.0 10.9 12.0 8.1 13.9 11.4 12.3 8.6 15.1 11.6 12.9 8.9 16.3 12.3 13.7


UNSEC CREDIT Ex. CC’S CARDS 3.8 5.1 2.0 4.7 3.1 4.7 3.6 4.9 6.3 5.0 4.2 5.5 4.5 5.3 5.5 5.5 4.8 5.7 5.4 5.9 6.0 6.3 6.3 6.8 7.3 6.6 8.1 6.8 7.2 7.2 7.9 7.3 5.6 7.5 8.0 7.6 8.2 7.4 7.2 7.2 9.0 7.7 8.5 7.4 8.7 6.9 8.2 6.9 8.4 6.9

CUCIC 3.4 3.6 4.7 5.5 5.6 5.7 6.3 7.8 8.0 9.3 10.9 10.1 9.0 8.5 9.5 9.0 9.3 10.7 10.2 8.7 8.8 8.7 7.9 9.9 10.8

1ST MORT TOTAL 5.6 5.8 5.7 5.4 6.3 6.2 6.2 5.7 5.9 5.5 4.9 5.1 5.3 5.6 5.6 7.4 8.2 7.7 8.1 9.1 8.7 8.9 9.6 9.5 9.6

Annual Growth Rates Total Loans & Installment Credit

CU Loan Portfolio 700

Percent

15

Total Loans

$ in Billions $660.1 $676.1

600

CUCIC

500

$474.2

$511.1

$580.5 $587.4 $580.3 $587.0

$544.1

$615.1

$428.6

10

400

$388.5

300

47.0%

51.8%

54.1% 56.7%

59.3% 59.6% 61.0% 61.5% 60.3%

59.8% 59.3%

49.8%

200

5

100 0

0

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Apr

1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12

2012

2013

2014

CIC

CIC Share of Total Loans at Credit Unions 45

Other

Consumer Installment Credit at Credit Unions

Percent

280

$ Billions

260

40 240

35 220

30

1

2 3

4

5

6

7 8

2012

9 10 11 12 1

2

3

4 5

6

7

8 9 10 11 12 1 2

2013

3

4

5 6

7

8

9 10 11 12

200

1 2

3 4 5

2014

6 7

8 9 10 11 12 1 2

3 4 5

2012

6 7

2013

8 9 10 11 12 1 2

3 4 5

6 7

8 9 10 11 12

2014

This report on key CU indicators is based on data from CUNA E&S’s Monthly Credit Union Estimates, the Federal Reserve Board, and CUNA Mutual Group – Economics. To access this report on the Internet:  Sign in at cunamutual.com  Go to the “Resource Library” tab  Under “Publications” heading, select Credit Union Trends Report If you have any questions, comments, or need additional information, please call. Thank you. Dave Colby 800.356.2644, Ext. 665.7720 [email protected] CUNA Mutual Group – Economics © CUNA Mutual Group, 2014 All Rights Reserved. CUNA Mutual Group is the marketing name for CUNA Mutual Holding Company, a mutual insurance holding company, its subsidiaries and affiliates.
