CUNA: Savings Fell and Loans Lagged for Credit Unions in April
Monthly estimates also shows 60-day delinquency rate spiked to 0.72%.
Credit unions abandoned their typical spring growth from March to April as savings fell, lending lagged and delinquencies spiked, CUNA reported.
CUNA’s Monthly Credit Union Estimates released Tuesday showed savings stood at $1.9 trillion on April 30. From March to April, savings fell 0.7%, compared with an average April gain of 0.9% for the seven years from 2016 to 2022. They rose a mere 0.1% from a year earlier.
Savings per member were $13,696, down 3.1% from a year earlier and down 0.8% from March, compared with an average April gain of 0.6%.
Total loans were $1.57 trillion, up 16.2% from a year earlier and up 0.7% from March, compared with an average April gain of 0.8%.
Loans per member were $11,325, up 12.4% from a year earlier and up 0.6% from March, compared with an average April gain of 0.5%.
Lending for cars grew at a fraction of the past rates from March to April.
New car loans were $178.9 billion April 30. They rose 0.7% from March, compared with an average April gain of 1.2%. They grew 16.2% from a year earlier.
Used car loans were $323.4 billion. They rose 0.2% from March, compared with an average April gain of 0.9%. They grew 14.5% from a year earlier.
Despite a continuing boom in home equity lines of credit, real estate lending also lagged overall as second lien growth was dragged down by the subpar growth in first mortgages which had a balance nearly five times bigger.
First-lien mortgages were $555.7 billion. They rose 0.1% from March, compared with an average April gain of 0.6%. They grew 8.2% from a year earlier.
Second-lien mortgages were $116.2 billion. They rose 2% from March, compared with an average April gain of 1.1%. They grew 38.7% from a year earlier.
CUNA also found a spike in the 60-day-plus delinquency rate. It said it was 0.72% as of April 30, compared with 0.44% a year earlier, 0.65%, a month earlier and well above its average April rate of 0.52% over the past seven years.
Callahan & Associates is tracking a lower number: It reported May 17 that the overall delinquency rate was 0.52% as of March 31. NCUA will settle the matter for March on Thursday, when it will release its first-quarter data.