Iowa Credit Unions

Member engagement deteriorated further in 2026-Q2, with member growth decelerating to -1.25% from -0.95% in 2026-Q1 — a worsening of 0.31 pp quarter-over-quarter. Year-over-year, the picture is equally concerning: member growth stood at -0.83% in 2025-Q2, meaning the cohort has shed membership at an accelerating pace over the past year (-0.42 pp). Iowa CUs have now posted negative member growth for five consecutive quarters, last recording a positive reading of +1.83% in 2025-Q1. The cohort trails the national rate of -0.69% by 56 basis points, signaling a structural engagement challenge.

Profitability was the clear bright spot in 2026-Q2. ROA rose to 1.01%, up 0.13 pp from 0.88% in 2026-Q1 and up 7 bps from 0.94% in 2025-Q2, placing Iowa CUs 12 bps above the national benchmark of 0.89%. NIM held essentially stable at 3.81%, edging down just 3 bps from 3.84% in 2026-Q1 and up 1 bp from 3.80% a year ago — remaining 7 bps above the national average of 3.74%. The combination of above-benchmark ROA and a resilient NIM reflects strong earnings discipline across the cohort.

Iowa CUs showed a mixed growth picture in 2026-Q2. Asset growth accelerated modestly to 3.26% from 3.18% in 2026-Q1 (+8 bps QoQ), though it decelerated from 3.53% in 2025-Q2 (-0.27 pp YoY), marking nine consecutive quarters of positive asset growth. Deposit growth also accelerated, rising to 2.86% from 2.77% in 2026-Q1 (+9 bps QoQ), sustaining four straight positive quarters and outpacing the national rate of 2.21% by 65 bps. Loan growth decelerated to 0.67% from 1.11% in 2026-Q1 (-0.43 pp QoQ) and from 0.94% in 2025-Q2 (-0.27 pp YoY), though it remains positive for five consecutive quarters and leads the national 0.22% by 45 bps.

The risk profile for Iowa CUs presents a nuanced story in 2026-Q2. Delinquency increased to 0.96% from 0.91% in 2026-Q1 (+5 bps QoQ), placing the cohort 9 bps above the national benchmark of 0.88%. However, on a year-over-year basis, delinquency improved, falling from 1.05% in 2025-Q2 (-8 bps YoY), suggesting the elevated QoQ reading may reflect seasonal patterns rather than a trend reversal. Offsetting credit concerns, net worth strengthened to 14.83%, up 0.26 pp from 14.57% in 2026-Q1 and up 0.51 pp from 14.31% in 2025-Q2 — a full 1.02 pp above the national benchmark of 13.81%.

Iowa CUs continued to modestly rebalance their portfolios in 2026-Q2. First mortgage concentration rose to 21.86%, up 9 bps from 21.77% in 2026-Q1 and up 0.67 pp from 21.18% in 2025-Q2, approaching but still slightly below the national benchmark of 22.22%. Indirect auto exposure edged down to 9.09%, declining 9 bps QoQ from 9.18% and 0.34 pp YoY from 9.43%, yet remains 1.38 pp above the national rate of 7.71%. Share certificate concentration dipped slightly to 21.73%, down 8 bps from 2026-Q1 and down 6 bps from 21.80% in 2025-Q2, though it continues to exceed the national average of 20.02%.