HARRISBURG, Pa. (1/18/12)--Pennsylvania credit unions performed better than the state's banks during the 12 months ending Sept.30, according to the Third Quarter 2011 Pennsylvania Profile. Also, the state's credit unions continued to grow ahead of national averages.
Credit union assets rose 5.5% during the period, compared with a 3.5% increase for banks, said the Pennsylvania Credit Union Association (PCUA) (Life is a Highway Jan. 17).
Credit unions saw loan growth of 1.4%, while Pennsylvania banks reported a 3.3% decline in loan balances for the period. Pennsylvania credit union loan growth was slower than all of 2010, when loan balances increased 3%.
Member business loans was the fastest-growing loan category, with an increase of 21.7%, more than five times the national growth rate of 4.3%. Commercial loans at Pennsylvania banks during the same period increased 8.3%.
Also growing in loan growth were first mortgages and credit card balances. They exceeded the national rates of 3.4% and 2.8%, respectively.
As of Sept. 30, 533 federally insured credit unions in Pennsylvania managed $35.2 billion in assets, and served 3.6 million members. Membership grew 1.2%. Savings deposits grew 5.4%, ahead of the 5% national rate, but below the state's rate of 6% for 2010.
The 2012 state forecast calls for improving job growth and consumer confidence, and for household balance sheets to increase credit union loan growth, said PCUA.