ALEXANDRIA, Va.–Led by Idaho and Nevada, federally insured credit unions experienced strong asset and share-and-deposit growth over the year ending in the second quarter of 2021, but overall membership declined in 24 states and the District of Columbia, according to the latest NCUA Quarterly U.S. Map Review.
The review provides an overview of credit union performance in all 50 states and the District of Columbia.
According to the NCUA data, nationally, median asset growth over the year ending in the second quarter of 2021 was 10.8% compared to 10% in the year ending in the second quarter of 2020. The median growth in shares and deposits over the year ending in the second quarter of 2021 was 12.2%, compared to 11.1% a year ago, NCUA said.
The median growth rate of loans outstanding was 1.9% over the year ending in the second quarter of 2021, compared to 0.2% over the year ending in the second quarter of 2020.
During the first half of 2021, 81% of federally insured credit unions had positive net income, compared to 80% during the first half of 2020. Nationally, the median annualized return on average assets was 46 basis points in the first half of 2021, compared to 39 basis points in the first half of 2020.
The Highlights
According to NCUA, here’s how CUs performed by state by category:
Median Annual Asset Growth
- Nationally, median asset growth over the year ending in the second quarter of 2021 was 10.85%. In other words, half of all federally insured credit unions had asset growth at or above 10.85% and half had asset growth of 10.85% or less, NCUA stated. In the year ending in the second quarter of 2020, the median growth rate in assets was 10.05%.
- Over the year ending in the second quarter of 2021, median asset growth was highest in Idaho (19.55%) and Nevada (16.85%).
- At the median, assets grew the least in Washington, D.C. (5.55%) and New Jersey (7.25%).
Median Annual Share & Deposit Growth
- Nationally, median growth in shares and deposits over the year ending in the second quarter of 2021 was 12.2%. In the year ending in the second quarter of 2020, the median growth rate in shares and deposits was 11.1%.
- Over the year ending in the second quarter of 2021, median growth in shares and deposits was highest in Idaho (19.7%), followed by Nevada and Oregon (both 19.1%).
- At the median, shares and deposits grew the least in Washington, D.C. (7.4%) and New Jersey (8.2%).
Median Annual Membership Growth
- While overall membership in federally insured credit unions continued to grow during the year ending in the second quarter of 2021, NCUA said at the median, membership declined 0.4%. Membership declined 0.3% at the median during the preceding year (over the year ending in the second quarter of 2020). Overall, about 55% of federally insured credit unions had fewer members at the end of the second quarter of 2021 than a year earlier. Credit unions with falling membership tend to be small; 65% had less than $50 million in assets.
- Over the year ending in the second quarter of 2021, credit unions headquartered in Alaska (4.55%) and Idaho (3.95%) posted the highest median membership growth rates.
- In 24 states and Washington, D.C., the median membership growth rate for federally insured credit unions was negative. At the median, membership declined the most in New Jersey (-2.05%) and Pennsylvania (-1.75%), and was unchanged in Utah.
Median Annual Loan Growth
- Nationally, loans outstanding rose 1.95 at the median over the year ending in the second quarter of 2021. During the previous year, loans grew by 0.25% at the median.
- Over the year ending in the second quarter of 2021, median loan growth was strongest in Idaho (9.55%) and Alaska (7.05%).
- In nine states and Washington, D.C., the median loan growth rate for federally insured credit unions was negative. At the median, loans outstanding declined the most in New Jersey (-4.35%) and Delaware (-3.75%).
Median Total Delinquency Rate
- At the end of the second quarter of 2021, the median total delinquency rate among federally insured credit unions was 33 basis points, compared with 52 basis points in the second quarter of 2020.
- At the end of the second quarter of 2021, the median delinquency rate was highest in New Jersey (88 basis points) and North Carolina (63 basis points).
- The median delinquency rate was lowest in Utah (14 basis points), followed by New Hampshire, Oregon, and Rhode Island (all 15 basis points).
Median Loan to Share Ratio
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Nationally, the annualized median return on average assets at federally insured credit unions was 46 basis points in the first half of 2021, compared with
39 basis points in the first half of 2020. - Idaho (103 basis points) and South Dakota (99 basis points) had the highest annualized median returns on average assets in the first half 2021.
- Washington, D.C. (18 basis points) had the lowest annualized median return on average assets during that time, followed by Nebraska and Pennsylvania (both 22 basis points).
Median Return on Average Assets
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Nationally, the annualized median return on average assets at federally insured credit unions was 46 basis points in the first half of 2021, compared with
39 basis points in the first half of 2020. - Idaho (103 basis points) and South Dakota (99 basis points) had the highest annualized median returns on average assets in the first half 2021.
- Washington, D.C. (18 basis points) had the lowest annualized median return on average assets during that time, followed by Nebraska and Pennsylvania (both 22 basis points), NCUA said.
Share of Credit Unions With Positive Net Income
- Nationally, 81% of federally insured credit unions had positive net income in the first half of 2021, compared with 80% in the first half of 2020.
- At least 60% of credit unions in every state and Washington, D.C. had positive net income in the first half of 2021.
- The share of federally insured credit unions with positive net income was highest in Alaska (100%) and Washington (98%).
- The share was lowest in Washington, D.C. (61%) and Nebraska (67%).
The full report can be found here.