The discussion around branches often resembles a pholiosophical debate. The nihilists proclaim the branch is dead while the optimists shout long live the branch.
So what is the current state of credit union branches, and how does the future look based on the metrics at hand?
Nationwide, credit unions reported having 20,977 branches as of midyear 2016. That’s 37 fewer than this time last year, or a 0.2% year-over-year decline.
If technology is making the branch obsolete, then why are credit unions still making investments in brick-and-mortar locations (even if numbers are shrinking)? Maybe because convenient location ranks second behind interest rates on deposits and loans for what consumers look for in a financial institution, according to an empirical ;study published by ResearchGate.
Maybe the branch isn’t dead. And what will live on will certainly look different from today’s standard location.
Consider developments in teller machines, such as ITMs, which are changing how members engage with their credit unions. Ultimately time will be the best judge of banking services to come. Perhaps in this case the more things change, the more they stay the same.
LEADERS IN BRANCH ATM NETWORK
FOR U.S. CREDIT UNIONS $20 MILLION IN ASSETS l DATA AS OF 06.30.16
Callahan Associates | www.creditunions.com
| Rank | Credit Union | State | Branches ATMs*+ | Total Branches+ | Total ATMs+ | Members / Branch | Total Assets |
|---|---|---|---|---|---|---|---|
| 1 | SECU | NC | 1,338 | 257 | 1,081 | 8,302 | $33,785,749,087 |
| 2 | NAVY | VA | 553 | 287 | 266 | 22,138 | $77,830,150,313 |
| 3 | SUNCOAST | FL | 315 | 61 | 254 | 11,690 | $7,560,713,099 |
| 4 | AMERICA FIRST | UT | 242 | 117 | 125 | 6,677 | $7,716,639,881 |
| 5 | ALASKA USA | AK | 166 | 83 | 83 | 7,032 | $6,439,378,542 |
| 6 | TDECU | TX | 137 | 40 | 97 | 6,007 | $2,932,960,830 |
| 7 | SUNCOAST | FL | 122 | 61 | 61 | 11,690 | $7,560,713,099 |
| 8 | RANDOLPH-BROOKS | TX | 110 | 55 | 55 | 11,947 | $7,328,281,762 |
| 9 | SPACE COAST | FL | 109 | 56 | 53 | 6,194 | $3,756,866,429 |
| 10 | CHARTWAY | VA | 104 | 52 | 52 | 3,505 | $2,137,391,940 |
| ; | AVERAGE FOR CREDIT UNION INDUSTRY | 6 | 3 | 3 | 5,060 | $211,333,127 | |
| ; | * ATMs OWNED BY THE CREDIT UNION. + AS REPORTED BY THE NCUA. |
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Source: Peer-to-Peer Analytics by Callahan Associates.
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