This week, CreditUnions.com dives deep into the world of credit union lending. We’re profiling credit unions working to revitalize downtown Detroit, updating their lending systems, and keeping members in homes in the face of disaster. In addition, we’re showing you credit card trends to watch, entering the mind of a first-time homebuyer, and running the numbers on the industry’s loan portfolio.
Here are five can’t-miss data points:
After decades of epic decline and decay, Detroit is undergoing a dramatic, if uneven, resurgence. The city itself just won back total control of its finances and operations without state or federal oversight for the first time since 1977. And whereas center city districts are attracting young professionals by the thousands, the challenges remain large and many in a city well-known for its dilapidated housing stock and wide-open spaces where thousands of homes have been demolished as the population dropped from 1.8 million to 700,000 from 1950 to 2010. See how credit unions are making a difference.
Read: Credit Unions Are Turning The Motor City Into Mortgage City.
Alliant Credit Union is rewriting the rule book for loan processing, shrinking it in the process. In the past decade, the Prairie State cooperative has grown from a single-SEG credit union serving United Airlines to the largest credit union in Illinois. As such, its software and processes must accommodate a multi-SEG, multi-community credit union that has just crossed the $10 billion asset line, including modernizing its lending system.
Read: How Alliant Credit Union Reinvented Its Lending Program.
The credit card market is even more interesting in 2018 than it was in 2017. Or 2016. Or perhaps any time since the Great Recession. This is great news, but the market can present challenges downfalls, even to those who fail to see the landscape accurately. More than 75% of credit union credit card issuers grew at a below-average rate in 2017. Did yours? Will it again?
Read: 3 Credit Card Trends To Watch In 2018.
Don’t look now, but millennials are starting to buy homes, and our purchasing habits aren’t so different from past generations, according to the National Association of Realtors. If that sounds shocking, don’t worry. We tracked down three Callahan millennials, two who will soon be first-time homebuyers, and one who already is, to ask the important questions: Why own versus rent? How did you reach your savings goal? Do you feel an emotional attachment to homeownership?
Read: The Mind Of A First-Time Homebuyer.
Credit union loan originations in 2017 reached an all-time high of $485.5 billion. This despite annual loan origination growth slowing from 12.3% in 2016 to 5.2% as of fourth quarter 2017. Learn more about this side of the balance sheet.
Read: Lending By The Numbers.