ALEXANDRIA, Va.–A new analysis released by NCUA shows that at federally insured credit unions, assets and shares and deposits declined at the median over the year ending in the first quarter of 2024, while loans rose by 4% at the median, according to NCUA’s just-released Quarterly U.S. Map Review.
Nationally, 81% of federally insured credit unions had positive year-to-date net income in the first quarter of 2024, compared with 86% in the first quarter of 2023, NCUA reported.
Assets grew fastest in Wyoming and South Dakota, but overall were down in 27 states. Membership grew the most in New Mexico and Idaho, and saw the biggest declines in Washington, D.C., New Jersey and New Hampshire.
Here’s a look at how credit unions performed by category in the latest NCUA report:
Asset Growth
- While aggregate assets in federally insured credit unions continued to grow during the year ending in the first quarter of 2024, at the median, assets declined by 0.8%. In other words, half of all federally insured credit unions had asset growth at or above negative 0.8% and half had asset growth of negative 0.8% or less. In the year ending in the first quarter of 2023, the median growth rate in assets was negative 0.1%, NCUA said.
- Over the year ending in the first quarter of 2024, median asset growth was fastest in South Dakota (3.8%) and Wyoming (3.7%).
- At the median, assets declined in 27 states and Washington, D.C. over the year ending in the first quarter of 2024. New Jersey (-4.4%) experienced the largest declines in median assets over the year, followed by Washington, D.C. and West Virginia (both -3.0%).
Median Annual Share and Deposit Growth
Highlights
NCUA reported that:
- Nationally, shares and deposits continued to increase in the aggregate during the year ending in the first quarter of 2024, while the median growth in shares and deposits was negative 2.1%. In the year ending in the first quarter of 2023, the median growth rate in shares and deposits was negative 1.0%.
- Over the year ending in the first quarter of 2024, median growth in shares and deposits was positive in seven states, led by Wyoming (2.8%) and South Dakota (2.3%).
- At the median, shares and deposits declined the most in New Jersey (-5.7%) and West Virginia (-4.1%).
Median Annual Membership Growth
Among the highlights:
- Nationally, membership declined by 0.2% at the median in the year ending in the first quarter of 2024. Membership increased by 0.2% at the median in the year ending in the first quarter of 2023.
- Overall, about 52% of federally insured credit unions had fewer members at the end of the first quarter of 2024 than a year earlier. Credit unions with falling membership tend to be small; over half had less than $50 million in assets in the first quarter of 2024.
- Over the year ending in the first quarter of 2024, credit unions headquartered in New Mexico (1.8%) and Idaho (1.6%) experienced the strongest median membership growth.
- At the median, membership declined in 22 states and Washington D.C. over the year. New Jersey (-2.2%) and New Hampshire (-1.3%) saw the largest median declines in membership during that time.
Median Annual Loan Growth
According to NCUA’s data, when it comes to loan growth:
- Nationally, loans outstanding rose by 4.0% at the median over the year ending in the first quarter of 2024. During the previous year, loans increased by 13.3% at the median.
- Over the year ending in the first quarter of 2024, median loan growth was strongest in Hawaii (10.0%) and Montana (9.5%).
- At the median, loans outstanding declined in Colorado (-0.1%) over the year and grew the least in Oklahoma (0.4%) and Washington, D.C. (0.7%).
Median Total Delinquency Rate
The state-level report from NCUA shows:
- At the end of the first quarter of 2024, the median total delinquency rate among federally insured credit unions was 53 basis points, compared with 38 basis points at the end of the first quarter of 2023.
- At the end of the first quarter of 2024, the median delinquency rate was highest in Delaware (107 basis points) and New Jersey (105 basis points).
- The median delinquency rate was lowest in New Hampshire (27 basis points) and Utah (28 basis points).
Median Loan-to-Share Ratio
In addition, NCUA found:
- Nationally, the median ratio of total loans outstanding to total shares and deposits - the loan-to-share ratio - was 70% at the end of the first quarter of 2024. At the end of the first quarter of 2023, the median loan-to-share ratio was 65%.
- The median loan-to-share ratio was highest in Alaska, Idaho, and Vermont (all 89%%) at the end of the first quarter of 2024, followed by Utah and Wyoming (both 85%).
- The median loan-to-share ratio was lowest in Delaware (46%) at that time, followed by Connecticut and New Jersey (both 51%).
Median Return on Average Assets
According to the agency:
- Nationally, the median annualized return on average assets at federally insured credit unions was 55 basis points in the first quarter of 2024, compared with 62 basis points in the first quarter of 2023.
- North Dakota (139 basis points) and South Carolina (100 basis points) had the highest median annualized return on average assets in the first quarter of 2024.
- Washington, D.C. (14 basis points) and New Jersey (22 basis points) had the lowest median annualized return on average assets at that time.
Share of Credit Unions with Positive Net Income
When it comes to the bottom line, NCUA reported:
- Nationally, 81% of federally insured credit unions had positive year-to-date net income in the first quarter of 2024, compared with 86% in the first quarter of 2023.
- In the first quarter of 2024, the share of federally insured credit unions with positive year-to-date net income was highest in Alaska and Nevada (both 100%), followed by Iowa, Montana, and North Dakota (all 93%).
- The share was lowest in Washington, D.C. (59%) and New Jersey (65%) at that time.