North Carolina Credit Unions

Member engagement strengthened significantly with growth accelerating to 0.56% in Q3 2025 from -0.69% in Q2 2025, marking a turnaround of 1.25 percentage points quarter-over-quarter. This positive momentum places NC credit unions 1.17 percentage points above the national benchmark of -0.61%, indicating effective member retention and acquisition strategies.

Profitability metrics showed consistent improvement across both timeframes. ROA increased to 0.61% from 0.48% last quarter and 0.45% a year ago, while NIM expanded to 4.00% from 3.92% QoQ and 3.82% YoY. Fee income per member surged to 127.86%, up 3.06 percentage points QoQ and 6.22 percentage points YoY, driving strong earnings momentum.

Growth patterns showed mixed momentum with loan growth accelerating sharply to 1.68% from 0.05% last quarter, outpacing the national benchmark by 1.48 percentage points. However, asset growth decelerated to 1.30% from 1.67% QoQ, and deposit growth decelerated to 1.63% from 2.46% QoQ, both trailing national benchmarks despite remaining positive.

Risk metrics remained well-controlled with delinquency rates stable at 1.21%, declining 5 basis points QoQ but up 5 basis points YoY. Net worth strengthened to 14.23% from 13.67% last quarter and 13.60% a year ago, providing a solid capital buffer 55 basis points above the national average of 13.68%.

Portfolio composition shifted toward first mortgages, reaching 30.41% concentration, up 3.28 percentage points QoQ and 5.74 percentage points YoY, significantly above the national 21.76%. Certificate concentrations increased to 20.64%, while indirect auto lending remained below national levels at 5.32%, reflecting strategic focus on secured lending products.