Michigan Credit Union Loans Grow Double-Digits in Second Quarter (Video)
Watch Mike Schenk give a detailed analysis of 2nd quarter results including historical perspective and a 3rd quarter prognosis
Michigan credit unions reported impressive results in a variety of categories during the second quarter according to the National Credit Union Administration and CUNA.
Total assets at Michigan credit unions rose 5.1 percent compared to the same time last year, and memberships grew 1.3 percent over the quarter and 3 percent over the 12-month period. That’s the largest 12-month membership increase in close to 30 years according to CUNA Senior Economist Mike Schenk.
Total loans grew 4.1 percent during the quarter – that’s a 16.4 percent annualized increase and more than double the increase reported in the first quarter. Compared to the same time last year, total loans grew 11.6 percent. Loan categories which grew over the 12 month period include credit cards at 5 percent, new automobile loans at 16.5 percent, used automobile loans grew 14.9 percent, first mortgages increased 9.9 percent and member business loans shot up 19.3 percent.
In addition, several cities across the state saw significant increases in several loan growth metrics over the past 12 months. In Detroit, new automobile loans grew 13.1 percent, used automobile loans grew 3.4 percent, first mortgages grew 19.8 percent and member business loans grew a whopping 63 percent.
In Flint, new automobile loans grew 4.0 percent, used automobile loans grew 9.7 percent, first mortgages grew 8.9 percent and member business loans grew 33.6 percent.
In Grand Rapids, loans grew in all major metrics including new automobile loans at 23.9 percent, used automobile loans at 20.8 percent, first mortgages at 38.9 percent and member business loans grew 65.3 percent from the same time last year.
Michigan’s growth mirrored national credit union growth statistics. Nationwide, total credit union loans grew 10.8 percent, memberships grew 3.2 percent bringing the total number of credit union members to more than 102 million nationwide.
Economic growth is expected to continue in the third quarter despite international stock market volatility, said Schenk.
“Looking forward we expect the economy to continue to expand at and at a healthy pace. We believe labor markets will continue to improve and that wages and salaries will continue to increase at a pace faster than the rate of inflation,” Schenk said.
Watch Mike Schenk give a detailed video synopsis on key performance indicators along with historical data and a forecast for the future.Go to main navigation