The Leaders In Online Banking Penetration

Expanding electronic services is another way credit unions provide more convenience and value for their members. Which institutions lead the way in online banking usage?

 
 

The cooperative financial services industry counted 5,492 credit unions among its ranks as of Dec. 31, 2018. Versus one year prior, that’s 197 fewer institutions, 194 of which were merged or acquired. The year closed out with 3,376 federally chartered and 2,116 state-chartered credit unions.

Despite continued consolidation within the industry, credit unions still operated 21,204 branches throughout the country. At year-end 2018, credit unions served on average 5,600 members per branch. The average amount of deposits per branch was $58.5 million. That’s an increase of 4.6% from 2017 as deposit growth outpaced branch growth.

But over the years, delivery channels have evolved to include much more than brick-and-mortar branches. An increase in demand for technology combined with falling branch traffic has prompted credit unions to scale back the square footage of branches and incorporate technology into daily operations.

Credit unions operated 16,117 ATMs throughout the country as of Dec. 31, 2018. That’s an annual increase of 2.8%. Also as of Dec. 31, 62.1% of U.S. credit unions reported having mobile banking offerings. Seventy-two percent reported offering e-statements, which is the most popular electronic service. Other common electronic services include bill pay, new member applications, and new loan applications. At year-end, 66.7% of credit unions offered bill pay. For new member and loan applications, 40.8% and 54.9%, respectively, offered those through the virtual channel. With more members on the go, remote deposit capture is also becoming more important. Adoption rates of this service more than doubled annually, from 20.1% as of Dec. 31, 2017, to 43.7% at year-end 2018.

Expanding electronic services is another way credit unions provide more convenience and value for their members. These functionalities allow members to engage with their credit union without stepping foot into a physical location. Here are the leaders in online banking penetration:

LEADERS IN ONLINE BANKING PENETRATION

FOR U.S. CREDIT UNIONS >$100 MILLION IN ASSETS | DATA AS OF 12.31.18
© Callahan & Associates | CreditUnions.com
Rank Credit Union State Members Using Online Banking (%) Members Using Online Banking (#) Members Total Assets
1 Illiana Financial IL 98.44% 22,779 23,140 $224,858,718
2 River Valley OH 98.26% 25,269 25,716 $340,159,941
3 Southbridge MA 97.98% 12,504 12,762 $186,345,741
4 Arizona AZ 97.65% 120,312 123,210 $1,602,430,320
5 Community First WI 97.18% 132,495 136,340 $3,116,903,807
6 Matanuska Valley AK 97.02% 43,940 45,289 $508,653,685
7 WYHY WY 96.89% 14,536 15,003 $230,191,842
8 First Capital PA 96.21% 18,339 19,062 $197,324,846
9 Actors NY 95.85% 22,665 23,647 $217,863,849
10 Trailhead OR 95.53% 9,126 9,553 $118,652,262

How Engaged Are Your Members?

Callahan's Peer-to-Peer can give you a glimpse into how your membership engages with your credit union versus your local and national peers. Click the button to request an overview of your online banking penetration, credit card penetration, average members relationship, and more.

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July 8, 2019


Comments

 
 
 
  • I'd be curious to know how "using" online banking is defined. Is it truly members who are using the product, or just anyone who has signed up for it. Also, at what time frame is a "user" considered a non-user because they haven't logged in?
    Bonnie Rosenmeier