Which credit unions have the most TDRs secured by real estate?


Recently, NCUA stopped requiring the reporting of modification data in favor of just tracking TDRs. According to Mike Sacher, "A TDR, or troubled debt restructuring,  is one in which the creditor, for economic or legal reasons related to the debtor's financial difficulties, grants a concession to the debtor that it would not otherwise consider. A TDR is the result of an agreement between parties or terms imposed by a court of law."

One way credit unions are assisting their members is through the use of TDRs. Instead of simply reporting a mortgage loan as delinquent and eventually declaring the home in foreclosure, many credit unions will work with the members and modify the terms of their loans in an effort to let them keep their homes.

State Employees CU ($26.5B, Raleigh, NC) has $626.1 million in TDRs that were secured by either first mortgages or other real estate loans. TDRs secured by real estate made up 5.2% of their real estate loans outstanding. Navy FCU ($54.3B, Merrifield, VA) and Kinecta FCU ($3.3B, Manhattan Beach, CA) reported $474.1 million and $219.0 million in TDRs backed by real estate, respectively.

In the first quarter, the credit union industry reported $9.0 billion in outstanding TDRs secured by real estate, with over 49,000 loans outstanding.

Data as of March 31, 2013 for all U.S. Credit Unions Over $20 Million
© Callahan & Associates | www.creditunions.com

  Credit Union State TDRs Secured by RE TDRs Secured by RE as
a % of Outstanding RE Loans
Total Assets
1 State Employees NC $626,088,934 5.20% $26,507,121,598
2 Navy VA $474,100,408 2.74% $54,284,396,620
3 Kinecta CA $218,973,878 12.48% $3,275,933,924
4 America First UT $192,576,480 18.59% $5,812,636,251
5 SchoolsFirst CA $182,448,547 6.82% $9,799,086,294
6 Space Coast FL $140,954,490 12.24% $3,124,721,193
7 Verity WA $134,120,109 67.42% $404,677,084
8 Veridian IA $130,782,933 14.19% $2,454,576,505
9 VyStar FL $115,195,997 5.85% $4,920,233,530
10 The Golden 1 CA $113,852,245 5.93% $8,218,132,449