Indirect lending is not a universal practice in the credit union industry, but some credit unions find success in the market.
Approximately one quarter (25.5%) of credit unions have an indirect lending program. Of that quarter, indirect loans make up 32.2% of their aggregated loan portfolio.
Here are the leaders in indirect loans outstanding for credit unions with assets more than $20 million.
We're profiling leader Security Service Federal Credit Union ($5.9B, San Antonio, TX) in the 3Q10 edition of CUSP. Order it here.
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Leaders In Indirect Loans Outstanding* |
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Data as of June 30, 2010 | Credit Unions over $20M in Assets |
|
1 |
SECURITY SERVICE |
TX |
$3,825,438,682 |
$4,038,233,225 |
33.17% |
9.98% |
78.18% |
|
2 |
KINECTA |
CA |
$2,261,890,172 |
$291,656,544 |
11.87% |
-37.50% |
10.00% |
|
3 |
ALASKA USA |
AK |
$1,473,385,801 |
$1,626,969,330 |
25.27% |
7.51% |
58.27% |
|
4 |
BECU |
WA |
$1,061,716,281 |
$1,414,818,208 |
17.12% |
-19.37% |
20.78% |
|
5 |
SAN ANTONIO |
TX |
$864,744,069 |
$927,382,466 |
23.12% |
3.82% |
34.88% |
|
6 |
AMERICA FIRST |
UT |
$850,406,231 |
$1,535,994,859 |
26.75% |
-1.32% |
40.71% |
|
7 |
THE GOLDEN 1 |
CA |
$796,618,423 |
$1,152,623,930 |
15.20% |
1.47% |
29.77% |
|
8 |
TEACHERS |
IN |
$717,118,621 |
$786,475,212 |
23.37% |
0.57% |
47.33% |
|
9 |
TINKER |
OK |
$591,993,835 |
$837,753,394 |
25.93% |
12.24% |
61.77% |
|
10 |
ONPOINT COMMUNITY |
OR |
$553,885,233 |
$809,034,237 |
31.47% |
-8.12% |
39.56% |
|
* 5300 Call Report data does not distinguish between indirect loan types. These balances may include indirect mortgages or consumer loans. Currently less than 5% of credit unions offer indirect mortgage or consumer loans. |
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Source: Callahan & Associates' 2011 Credit Union Directory |