LAKE BLUFF, Ill.-It's a long way from those early cigar boxes.
Credit unions are expected to surpass $1-trillion in total assets sometime later this year, perhaps in the first half of the year.
One trillion dollars illustrates the strength of the movement said Michael Moebs, economist and CEO of Moebs $ervices, who believes all the Bank Transfer Day activity could push credit unions over the mark by the end of the second quarter. "If they don't make it in the second quarter, most certainly they will pass it in Q3," said Moebs.
NAFCU President Fred Becker said the trade association also expects the milestone will be eclipsed in the third quarter.
Credit unions' historical growth has snowballed dramatically in the U.S., especially in the past few decades. It required almost 50 years for all U.S. credit unions to hit $1 billion in total assets, a mark that was hit in 1950. Credit unions were reporting more than $51 billion by 1980.
It was in the 1990s, however, when credit union asset growth really began its sharp climb, hitting $217 billion in 1990 and more than doubling again to $550-billion as the 20th century came to an end. During the past decade CUs posted their highest ten-year growth total, adding $391 billion in assets, and closing the third quarter of 2011 at $963.4 billion.
Overall CU membership, now approximately 94 million, has largely paralleled the asset numbers, even as the number of credit unions had continued to shrink.
"Credit unions have come a long way since they were founded," remarked NAFCU President Fred Becker, "and they have come a long way since when I started at NAFCU-when they were under the radar. Well, they are not flying under the radar anymore, especially with all the attention from Bank Transfer Day."
