CUNA Mutual Group: U.S. Credit Union Savings Pass the Trillion Dollar Mark for the First Time

Credit union member savings balances in the U.S. rose above a trillion dollars this year – for the first time in history – according to CUNA Mutual Group, the leading provider of lending, insurance and wealth management products for credit unions. The company revealed this in its latest Credit Union Trends Report, a monthly economic snapshot of the industry.

The new report reflects strong financials for credit unions and their members, who represent a third of the U.S. population. This includes credit union loans and memberships: During the last 12 months, loan portfolios increased 10.6 percent, the fastest pace since December 2005. And, memberships grew by nearly half a million members.

“Credit union members are an extremely close proxy for the American middle-market consumer, and this report goes beyond sentiment data to demonstrate that these consumers are feeling better than they have in quite some time,” said Steven Rick, Chief Economist, CUNA Mutual Group. “The savings and lending growth that we’re seeing in the credit union landscape speaks to rising economic confidence.”

CUNA Mutual Group’s latest report also shows a number of notable points, including:

  • Strengthening savings: Credit union savings balances grew at a 5.5 percent seasonally-adjusted annualized growth rate – due to low gas prices, rising household income, strong job growth and fast credit union membership growth.
  • Auto loans on the rise:
    • Used auto loan balances grew at a 14.9 percent seasonally-adjusted annualized growth rate – the fastest pace since November 1999.
    • New auto loan balances grew at a 24.2 percent seasonally-adjusted annualized growth rate – the fastest pace on record.
  • Strong membership expansion: Credit union memberships rose 496,000 in March to reach 102.8 million, and the underlying annual growth rate for memberships is now 4 percent – the highest since March 1997.
    • Credit union memberships also grew at a record pace in the first quarter of 2015 – up 3.6 percent in the year ending in March 2015, faster than the 3.1 percent pace set in 2014.

“Breaking the trillion dollar mark is an important moment for the credit union movement,” said Rick. “It captures the improving financial health for millions of Americans and demonstrates the trust they continue to have in their local credit unions.”

 The full CUNA Mutual Group report can be found here.

Questions about this story? Contact James Pearson: 206.340.4790, jpearson@nwcua.org.

Posted in CUNA.