ALEXANDRIA, Va.—Only credit unions with more than $1 billion in assets are gaining members, according to NCUA’s 2024 Fourth Quarter Credit Union System Performance Data.
Much of the report shares the continuing story of only the very largest credit unions accounting for the industry’s growth.
The latest data show total assets in federally insured credit unions rose by $52 billion, or 2.3%, to $2.31 trillion over the year ending in the fourth quarter of 2024. Insured shares and deposits grew $58 billion, or 3.4%, to $1.78 trillion. The delinquency rate at federally insured credit unions was 98 basis points in the fourth quarter of 2024, up 15 basis points from one year earlier.
“The growth in assets and insured shares is good news and reflects the strength and resiliency of the credit union system when operating within a mixed economic environment,” NCUA Chairman Kyle Hauptman said. “The NCUA is closely watching interest rates, delinquency rates, and inflation and their effects on the economy. Credit union managers and directors should prepare for a variety of interest rate scenarios and economic conditions.”
The data show that CUs from $10 to $50 million showed the sharpest membership decline at 7.2%.
Performance By Asset Category
Consistent with long-running trends, credit unions with assets of at least $1 billion reported the strongest growth in loans, membership, and net worth over the year ending in the fourth quarter of 2024.
■ The number of federally insured credit unions with assets of at least $10 billion declined to 20 in the fourth quarter of 2024 from 21 in the fourth quarter of 2023. These 20 credit unions held $562.8 billion in assets, or 24% of total system assets. Credit unions in this category reported loan growth of 2.8% over the year. Membership rose 3.8%. Net worth increased 3.7%.
■ The number of federally insured credit unions with assets of at least $1 billion but less than $10 billion increased to 425 in the fourth quarter of 2024 from 411 in the fourth quarter of 2023. These 425 credit unions held $1.2 trillion in assets, or 53% of total system assets. Credit unions in this category reported loan growth of 5.0% over the year. Membership also rose 5.0%. Net worth increased 8.9%.
■ The number of federally insured credit unions with assets of at least $500 million but less than $1 billion edged up to 283 in the fourth quarter of 2024 from 282 in the fourth quarter of 2023. These 283 credit unions held $202.4 billion in total assets, or 9% of total system assets. Credit unions in this category reported a 2.2% decline in total loans outstanding over the year. Membership declined 3.1%. Net worth increased by 1.8%.
■ The number of federally insured credit unions with at least $100 million but less than $500 million in assets fell to 1,046 in the fourth quarter of 2024 from 1,058 in the fourth quarter of 2023. These 1,046 credit unions held $238.6 billion in total assets, or 10% of total system assets. Credit unions in this category reported a 3.3% decrease in total loans outstanding over the year. Membership declined 3.7%, while net worth rose 2.2%.
■ The number of federally insured credit unions with at least $50 million but less than $100 million in assets declined to 607 in the fourth quarter of 2024 from 630 one year earlier. These 607 credit unions held $43.7 billion in total assets, or 2% of total system assets. Credit unions in this category reported a 6.5% decline in total loans over the year. Membership declined 6.8%. Net worth rose 0.6%.
■ The number of federally insured credit unions with assets of at least $10 million but less than $50 million declined to 1,209 in the fourth quarter of 2024 from 1,274 in the fourth quarter of 2023. These credit unions held $31.6 billion in assets, or 1% of total system assets. Credit unions in this category reported an 8.0% decrease in loans over the year. Membership declined 7.2%, while net worth rose 0.5%.
■ The number of federally insured credit unions with less than $10 million in assets declined to 865 in the fourth quarter of 2024 from 928 in the fourth quarter of 2023. These credit unions held $3.6 billion in assets, or 0.2% of total system assets. Credit unions in this category reported a 10.3% decrease in loans over the year. Membership declined 6.6%. Net worth fell 3.6%.
Other report highlights:
- The credit union system’s net worth increased by $14.2 billion, or 5.9%, over the year to $255.3 billion.
- The return on average assets for federally insured credit unions was 63 basis points in 2024, down from 68 basis points in 2023. The median return on average assets across all federally insured credit unions was 61 basis points, up 1 basis point from a year earlier.
- Net income for federally insured credit unions in 2024 totaled $14.4 billion, down $0.5 billion, or 3.6%, from 2023. Interest income rose $17.1. billion, or 17.4%, to $115.2 billion. Non-interest income rose $1.8 billion, or 7.2%, to $26.6 billion, largely reflecting an increase in other non-interest income.
- The delinquency rate at federally insured credit unions was 98 basis points in the fourth quarter of 2024, up 15 basis points compared with the fourth quarter of 2023.
- The net charge-off ratio for all federally insured credit unions was 80 basis points in the fourth quarter of 2024, up 19 basis points compared with the fourth quarter of 2023.
- Total loans outstanding increased $42 billion, or 2.6%, over the year, to $1.65 trillion. The average outstanding loan balance in the fourth quarter of 2024 was $18,410, up $488, or 2.7%, from one year earlier.
- Total shares and deposits grew by $78.2 billion, or 4.2%, over the year to $1.96 trillion in the fourth quarter of 2024.