ARLINGTON, Va.–ROA remains somewhat muted, but credit unions are optimistic, thanks in part to their hopes for a more supportive interest rate environment, according to NAFCU’s latest Economic Monitor.
But overall, the credit union industry continues to experience strong member, loan, and share growth, and the outlook for future growth remains positive, NAFCU’s chief economist, Curt Long, wrote.
NAFCU said it found delinquencies remain low and NAFCU survey respondents expect continued improvements in loan performance.
Regulatory burden continues to be a significant concern for credit unions in a post-Dodd-Frank environment that remains very highly regulated, said Long.
Long added NAFCU is hopeful the reg burden will be cut as the result of NCUA Chairman Mark McWatters’ plan for relief, and the progress of the Financial CHOICE Act in Congress.
Of the 15 regulatory relief priorities identified by McWatters, Long said NAFCU members have identified their three favorites as reviewing NCUA's examination processes and procedures, revisiting the risk-based net worth rule, and exploring the potential for a merger of the Temporary Corporate Credit Union Stabilization Fund into the National Credit Union Share Insurance Fund.