In Q2, Michigan Credit Unions Provide $424 Million in Benefits to 5.46 Million Members
Michigan credit union Q2 operating results show steady membership growth, strong asset quality and higher earnings, according to the National Credit Union Administration.
A 0.8% increase in total memberships in Q2, which is above the growth rate during this time last year, brings total Michigan credit union memberships to 5.46 million. This represents a 3.0% increase in the year ending June 2019.
Membership growth (by region):
- Marquette: 18.9%
- Grand Rapids: 5.6%
- Traverse City: 3.9%
- Detroit: 2.2%
- Lansing: 1.3%
- Alpena: 1.2%
According to the Credit Union National Association (CUNA)’s Q2 Member Benefits Report, Michigan credit unions provided an estimated total of $424 million in direct benefits to 5.46 million members during the twelve months ending in June 2019. This is equivalent to $79 per member or $167 per member household in direct financial benefits.
CUNA calculates these stats based on average savings differences between credit union and bank pricing, and result from financial benefits, such as higher CD rates and fee-free checking, as well as lower rates and fees on products like home, car and auto loans.
Credit union loan balances grew relatively fast in the second quarter — more than doubling the increase reflected in first quarter results — typical of the start of the homebuying and summer vacation season. Collectively, Michigan credit unions experienced double-digit percentage gains in loan balances between 2014 and 2018.
Loan growth (by loan type):
- Small business loans: 15.2%
- Home equity/2nd mortgages: 9.9%
- First mortgages: 8.8%
- Used auto: 5.9%
- New auto: 5.5%
In each listed category, Michigan credit unions outpaced the national average growth rate.
“The steady rise in Michigan credit union membership growth and higher-than-average loan growth is a positive reflection of how credit unions are contributing to a vibrant Michigan economy,” said MCUL President/CEO Dave Adams. “Throughout the next year, MCUL will remain dedicated to advocating for legislation that allows credit unions to continue growing, which in turn, will promote community growth. Additionally, with our CU Link awareness campaign, in conjunction with CUNA’s ‘Open Your Eyes’ campaign, the League continues to share the many benefits of credit union membership with current and potential members. As more consumers hear about the credit union difference, the more credit unions will be able to give them access to healthy financial products and services.”
Find the complete Q2 2019 NCUA Call Report Data here.
You can also find more Q2 data on Michigan credit unions’ low rates and high dividends in the Q2 Member Benefits Report.Go to main navigation