Third-Quarter Mid Year 2017 2017 Minnesota Minnesota First Quarter 2017 Prepared by: CUNA Economics and Statistics
Source: Datatrac, NCUA, and CUNA. (1)Assumes 1.9 credit union members per household.
Loan Product Comparative Interest Rates (%) by Loan Type 13.00 11.01 11.02 9.95 9.06 9.90 4.72 3.18 3.22 5.05 3.61 3.66 3.52 3.51 4.15 4.11 4.41 4.93 60-month new car (A paper) 48-month used car (A paper) Unsecured loan (A paper) 5-year adjustable rate 15-year fixed rate 1st 30-year fixed rate 1st 1st mortgage, 0 mortgage, 0 ptsmortgage, 0 pts pts Home equity / 2nd mtg, 80% LTV 0 pts Credit card - rewards Credit card - platinum Minnesota Credit Unions Minnesota Banks
Savings Product Comparative Interest Rates (%) by Savings Account Type Retirement (IRA) accounts 0.27 0.36 1 Year certificate $10,000 balance 0.43 0.55 Money market accounts 0.12 0.17 Share draft checking, $5,000 balance 0.08 0.08 Regular savings, $1,000 balance 0.10 0.11 Minnesota Credit Unions Minnesota Banks
Comparative Fees by Type $1,361.00 $1,151.00 $28.44 $30.27 $24.56 $34.18 Share draft checking, NSF fee Credit cards, late fee Mortgages, closing costs Minnesota Credit Unions Minnesota Banks
Minnesota Credit Union and Banking Institution September 2017 Average Interest Rates and Fees Average Rate at Average Rate Rate Difference Loan Products Credit Unions (%) at Banks (%) vs. Banks (%) 60-month new car (A paper) 3.18 4.72-1.54 48-month used car (A paper) 3.22 5.05-1.83 Unsecured loan (A paper) 9.95 9.06 0.89 5-year adjustable rate 1st mortgage, 0 pts 3.61 3.66-0.06 15-year fixed rate 1st mortgage, 0 pts 3.52 3.51 0.02 30-year fixed rate 1st mortgage, 0 pts 4.15 4.11 0.04 Home equity / 2nd mtg, 80% LTV 0 pts 4.41 4.93-0.53 Credit card - rewards 11.01 13.00-1.99 Credit card - platinum 9.90 11.02-1.13 Savings Products Regular savings, $1,000 balance 0.11 0.10 0.02 Share draft checking, $5,000 balance 0.08 0.08 0.00 Money market accounts 0.17 0.12 0.06 1 Year certificate $10,000 balance 0.55 0.43 0.12 Retirement (IRA) accounts 0.36 0.27 0.09 Fee Income Share draft checking, NSF fee $28.44 $30.27 -$1.83 Credit cards, late fee $24.56 $34.18 -$9.62 Mortgages, closing costs $1,151.00 $1,361.00 -$210.00 Source: Datatrac
State Credit Union's Total Loan Rate Benefits Compared to State Banking Institutions by Loan Type $58,656,336 $19,110,400 $8,461,138 $11,272,143 $1,659,392 -$3,642,175 -$271,235 -$527,830 New car loans Used car loans Personal unsecured loans 5-year adjustable rate 1st mortgage 15-year fixed rate 1st mortgage 30-year fixed rate 1st mortgage Home equity / 2nd mortgage loans Credit cards
State Credit Union's Total Savings Dividend Benefits Compared to State Banking Institutions by Account Type $3,894,296 $2,568,274 $1,077,386 $1,106,829 $93,067 Regular shares Share draft checking Money market accounts Certificate accounts Retirement (IRA) accounts
Rate Total Avg. Balance Difference Financial Benefit at vs. Minnesota to Your Loans Credit Unions (1) Banks (%) (2) Members New car loans 1,239,325,564-1.54 $19,110,400 Used car loans 3,200,018,323-1.83 $58,656,336 Personal unsecured loans 407,858,370 0.89 -$3,642,175 5-year adjustable rate 1st mortgage 2,963,199,287-0.06 $1,659,392 15-year fixed rate 1st mortgage 1,695,218,702 0.02 -$271,235 30-year fixed rate 1st mortgage 1,287,390,838 0.04 -$527,830 Home equity / 2nd mortgage loans 1,599,458,958-0.53 $8,461,138 Credit cards 634,692,762-1.99 $11,272,143 Interest rebates $150,594 Total CU member benefits arising from lower interest rates on loan products: $94,868,763 Savings Regular shares 6,337,565,156 0.02 $1,077,386 Share draft checking 3,102,241,999 0.00 $93,067 Money market accounts 4,586,203,425 0.06 $2,568,274 Certificate accounts 3,245,246,852 0.12 $3,894,296 Retirement (IRA) accounts 1,257,759,966 0.09 $1,106,829 Bonus dividends in period $0 Total CU member benefit arising from higher interest rates on savings products: $8,739,852 Fee Income Estimated Financial Benefits for Minnesota Credit Unions September 2017 Total CU member benefit arising from fewer / lower fees: $13,791,438 Total CU member benefit arising from interest rates on loans, savings products and lower fees: $117,400,053 Total CU member benefit / member: $69 Total CU member benefit / member household: $132 Source: Datatrac, NCUA, and CUNA (1) Average balance as of September 2017 and September 2016, according to the NCUA call report.; (2) Source for rates and fees: Datatrac;
Minnesota Credit Union Performance Profile Demographic Information Sep 17 Sep 16 Number of branches 391 385 Total assets ($ mil) 22,323 21,041 Total loans ($ mil) 15,426 13,864 Total surplus funds ($ mil) 5,853 6,245 Total savings ($ mil) 19,398 18,255 Total members (thousands) 1,733 1,673 Growth Rates (Trailing 12 months) * Total assets 6.5 % 6.9 % Total loans 11.8 % 10.7 % Total surplus funds -5.9 % -1.3 % Total savings 6.7 % 7.1 % Total members 4.4 % 2.4 % Earnings - Basis Pts. * Yield on total assets 335 323 Dividend / interest cost of assets 39 41 Fee & other income 126 125 Operating expense 315 315 Loss Provisions 17 13 Net Income (ROA) after stabilization exp 90 79 Capital Adequacy Net worth / assets 11.2 11.0 Asset Quality * Delinquencies / loans 0.4 0.5 Net chargeoffs / average loans 0.2 0.2 Total borrower-bankruptcies 15 13 Bankruptcies per 1000 members 1.0 0.9 Asset/Liability Management Loans / savings 79.5 75.9 Loans / assets 69.1 65.9 Long-term assets / assets 35.6 36.2 Core deposits/shares & borrowings 51.0 49.1 Productivity Members / potential members 3.7 4.0 Borrowers / members 62.8 63.3 Members / FTE 360 364 Average shares / members ($) 11,194 10,914 Average loan balances ($) 14,173 13,093 Salary & Benefits / FTE 73,314 71,553 * Earnings, net chargeoffs, and bankruptcies are year-to-date numbers annualized. Due to significant seasonal variation, balance sheet growth rates are for the trailing 12 months.