Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

CU System
New Jersey CUs' 1Q Reflects Surge in Savings
HIGHTSTOWN, N.J. (7/16/13)--Savings balances surged in the first quarter for New Jersey credit unions with normal, strong seasonal growth combining with large period-end payday inflows, the New Jersey Credit Union League reported.
 
As a result, both the state aggregate loan-to-savings and capital ratio declined marginally in the quarter (The Daily Exchange July 10). Loan delinquencies fell in the quarter and bottom-line earnings increased, compared with full-year 2012 results.
 
Savings balances rose 4.6%--an 18.4% annualized rate--propelled by increases in share-draft account automatic payday deposits. While loan activity was relatively slow (increasing 0.1% in the quarter), New Jersey credit unions granted a total of $570 million in loans in the first quarter. That is a 10% increase over first-quarter 2012 results and the largest first-quarter volume since 2008.
 
Earnings increased at an annualized rate of 0.48% in the first quarter--a significant jump over the 0.33% full-year 2012 result.
 
Fast asset growth due to big deposit inflows overwhelmed healthier earnings to produce a marginal decline in the New Jersey credit union aggregate capital ratio--though the March 2013 aggregate is nearly 3.5 percentage points above the 6% regulatory minimum credit unions need to be considered adequately capitalized under prompt corrective action (PCA) net worth standards, noted the league.
 
In all, 92% of the state's credit unions now are well-capitalized with PCA net worth exceeding 7% of assets, said the league.
RSS





print
News Now LiveWire
.@NACHAOnline report: ACH volume increases to 23B payments in 2014 http://t.co/va2WYMh4Zv
11 minutes ago
.@CUNA's @HampelBill in @washingtonpost on options for wary mortgage borrowers: http://t.co/CPSgTNgwmm
5 hours ago
Housing starts thaw, mortgage rates stand pat #Market #NewsNow http://t.co/hhPj5v5AH3
6 hours ago
.@CUNA files #RBC2 comment, urges #CU system to be heard #NewsNow http://t.co/yfoZHAMlZc
6 hours ago
#NewsNow Youth Month attracts 100,000th member for Mich. CU http://t.co/cgF5o83XlK
6 hours ago