Credit unions saw growth in lending and return on average assets (ROAA) at midyear compared to a year earlier — but also saw loan delinquency rates rise during the same period, according to figures released Friday by their federal regulator.
The National Credit Union Administration (NCUA) said that, at midyear, lending at credit unions was up 3.9% from the same period a year ago (to $1.68 trillion). ROAA, during the same period, reached 76 basis points (bp) during the period, up from 69bp, NCUA reported. (By contrast, banks reported ROA at midyear of 1.13%, which was down 7bp from midyear 2024, when it was 1.20%).
In lending, NCUA reported that commercial loans, loans secured by 1- to 4-family residential properties and credit card balances all grew (by 11.5%, 6.7% and 3.7%, respectively). Non-federally guaranteed student loans declined by 6.3%, while auto loans – long a staple of credit union portfolios – fell by 1.3%. Used auto loans were flat, falling by 0.1%, while new auto loans outstanding, NCUA said, declined by 3.7%.
On the loan delinquency side, the agency said credit unions overall reported a 91bp delinquency rate, up 6bp from a year earlier. Leading the delinquent loans: commercial loans (excluding “unfunded commitments) at 106 bp, up 12 bp from 2024. Auto loan delinquencies were unchanged from the year prior at 82bp and non-commercial real estate was 74bp, up 13bp from the year before.
Credit card delinquencies, at 193bp, were down by 5bp from the same point a year ago.
The agency reported that, at midyear, the number of credit unions declined by 163 (to 4,370), which NCUA said was “consistent with long-running industry consolidation trends.”
The number of credit union memberships, however, stood at 143.8 million – up 2.8 million memberships from the year prior.
NCUA Releases Second Quarter 2025 Credit Union System Performance Data
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