WASHINGTON-Loan originations at credit unions hit the highest-ever volume recorded in Q1, according to analysis by Callahan & Associates and based on 7,000 credit unions' data.
"Originations during the first three months of 2012 exceeded $72.0 billion, up 25.3% over the same time period last year," said Callahan's EVP Jay Johnson. "This year-over-year growth is significantly higher than the 13.3% recorded in 2011."
According to the company, first mortgage and consumer loans helped fuel the strong origination growth, with credit unions recording the highest dollar volume of first mortgages originated in first quarter history--$26.0 billion through March 31, comprising about 36% of all originations. Reporting credit unions granted 160,746 first mortgage loans during first quarter with an average loan balance of $161,549.
Consumer loan originations rose 16.6% to $39.0 billion but posted a year-over-year decline as a percent of total originations. The overall record-breaking first quarter originations resulted in a 2.7% YOY increase in total loan balances outstanding, a positive reversal from the 0.9% decrease credit unions reported last year, Callahan's said.
