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For Immediate Release Contact: Patrick Harris Director of Media Relations Ohio Credit Union League pharris@ohiocul.org 800-486-2917

Loans, Assets Spike Among Ohio Credit Unions in 2008
Year-end report shows 29% increase in mortgage originations; 4.8% increase in auto loans

Columbus, Ohio (April 30, 2009) – Ohio’s 412 credit unions continued to lend amidst a national credit crunch and made significant gains in assets last year, according to the 2008 year-end report prepared by the Ohio Credit Union League.  Over the 12 months, loan growth increased more than 7.4%, compared to a negative loan growth in 2007 and an increase of nearly 5% in 2006.  Assets grew by nearly 7.4% over the same time period, compared to 1.4% in asset growth in 2007 and 4.9% in 2006.

The loan growth posted by Ohio credit unions was nearly three-quarters of a percent higher than the national credit union average.  Ohio credit union mortgage originations experienced phenomenal growth in 2008, rising 29.2% during the year despite a weak housing market in the state which saw home sales fall 13.1%.  While auto sales also continued to slow, outstanding auto loans at Ohio credit unions bucked the trend, posting a 4.8% growth in 2008.

“It is apparent that more and more Ohioans have turned to not-for-profit financial institutions for lending as other institutions reduced credit,” said Paul Mercer, President of the Ohio Credit Union League.  “Our cooperative approach to financial services allows us to weather economic decline.  Credit unions are safe, sound, and secure and our capitalization levels are nearly double the regulatory requirement.”

Capital levels at Ohio credit unions remain strong, with the average net worth-to-assets ratio at more than 12.1%, higher than the national average of 10.9%.  Credit unions with a ratio at or above 7% are considered well capitalized.  Loan delinquencies rose slightly in 2008 to 1.32%, still below the national average of 1.37% and well below the national bank average of 2.01%.

Membership in Ohio credit unions declined by -.03%, with the total number of credit union members in Ohio at more than 2.6 million.  Year-end data from 2007 and 2006 shows similar membership growth, declining -2.8% and -1.3% respectively.  The stagnant membership growth is attributed to an increased number of credit union mergers (19 in Ohio in 2008) and slower growth in Ohio’s population.

The average credit union in the state of Ohio has more than 6,300 members, nearly $45 million in assets, and more than $28 million in total loans.  Ohio credit unions employ more than 6,800 Ohioans who receive more than $138.5 million in compensation annually.

Almost all Ohioans are eligible to join a credit union.  To find a credit union to join, visit www.FindACreditUnion.com, click the “Search” tab, and fill in the prompted fields.

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The Ohio Credit Union League, with offices in Columbus, is a state trade association representing 412 credit unions. Credit unions are not-for-profit financial institutions owned and democratically controlled by their members. Ohio credit unions provide savings, loans, and other consumer financial services to their 2.6 million members. To learn more, visit www.OhioCreditUnions.org.