DES MOINES, Iowa — Through Sept. 30, Iowa’s credit union’s posted annual loan growth of 13.5%.
Like most states, it was auto lending that is the driver of much of that growth, with the category up 21.7%, which compares Iowa credit unions to credit unions nationally.
“Notably, Iowa credit union loan growth is nearly three times faster than the growth rate posted by national banks,” said the Iowa league in a statement. “In addition, Iowa credit union loan and share growth is higher than Iowa banks, Iowa savings institutions and national credit unions.
Among the data for Iowa CUs, which is based on analysis by Callahan & Associates:
- Total loans increased 13.5% to $9.0B, compared with a 10.1% increase to $703.6B nationwide.
- Experienced 4.3% growth in share and deposits to $10.5B. Nationally, share and deposit accounts at credit unions grew 3.7% to $951.3B.
- Total assets stand at $12.5B. This is a 6.8% increase over September 2013. Nationally, federally insured credit unions’ total assets stand at $1.1T, a 4.8% increase over third quarter 2013, the Iowa league said.
- The ROA for third quarter 2014 stands at 1.09%, a three-basis-point increase from the third quarter of 2013.
- Iowa’s CUs originated $2.1B in consumer loans for the first nine months of 2014, up $276.3M from the third quarter 2013. Iowa credit unions originated $1.0B in first mortgages, this is a 25.4% decline from September 2013 activity. This decrease is less than the 29.8% decline nationally reported. The decline is due to higher mortgage rates resulting in significantly lower refinance activity and mortgage originations.
- Iowa credit unions have a net charge-off ratio of .37%. This rate is well below the national credit union average of .48%. Delinquency dropped three basis points to .94%.
- Membership increased 1.9% to 1,036,758 members, adding almost 19,000 members in the last 12 months. Nationally, membership in federally insured credit unions grew 2.9% to more than 99.9M. While Iowa’s growth is slower than the national average, one reason is a continued focus on efficiency and the purging of dormant accounts, according to the Iowa league.
- The average net interest margin increased 12 basis points from September 30, 2013 to reach 3.03% through the third quarter of 2014.This is 18 basis points higher than the national average of 2.85%.
- Eight Iowa credit unions merged in the first nine months of 2014.