WASHINGTON—More members are making credit unions their primary financial institution, according to the latest data from Callahan & Associates.
Mid-year numbers show that credit unions claimed a record-high 8.9% of total U.S. insured deposits. Overall, total deposits at credit unions increased by $41.1 billion annually to reach $921.5 billion as of June 30.
Looking at the last five years, credit unions have added 7 million new members and grown deposits by 33.9%—or $233 billion in new deposits. The average member deposit exceeds $9,500.
Perhaps the strongest indication members see their credit unions as their PFI is CU checking account usage has risen from 45.6% in June 2008 to more than half of all members (52.1%) at mid-year 2013.
"These numbers demonstrate that consumers are becoming more engaged in core credit union savings solutions and at the same time making the credit union their preferred financial institution," said Scott Patterson, VP at Callahan & Associates.
Credit unions have increased their deposit market share in 30 states since June 30, 2012. Alaska captured the highest deposit market share among U.S. credit unions as of June 30, 2013—40.6% of total deposits in Alaska is now held at Alaska CUs. New Mexico and Washington ranked second and third with 21.3% and 21% in deposit market shares, respectively.
