New York Credit Unions

Member engagement deteriorated meaningfully in Q1 2026. Member growth decelerated to -0.83% from -0.49% in Q4 2025 — a -0.34 pp quarter-over-quarter decline — and represents a dramatic reversal from the +2.96% growth recorded in Q1 2025, a -3.79 pp year-over-year swing. At -0.83%, New York credit unions now trail the national member growth rate of -0.65% by 18 basis points. The accelerating membership contraction signals that retention and acquisition strategies are losing traction, raising urgency around value proposition and community engagement initiatives heading into the second half of 2026.

Profitability in Q1 2026 declined on both a quarterly and annual basis, though New York credit unions maintain a modest edge over the national average. ROA decreased to 0.73% from 0.78% in Q4 2025 — a 6 bp quarter-over-quarter drop — and fell from 0.83% in Q1 2025, a 10 bp year-over-year decline. Despite this erosion, ROA remains 5 bps above the national benchmark of 0.67%. NIM decreased 6 bps quarter-over-quarter to 3.57% from 3.63% in Q4 2025, though it is essentially stable year-over-year versus 3.53% in Q1 2025, and sits 13 bps below the national 3.70%.

Asset growth decelerated to 2.92% in Q1 2026 from 3.21% in Q4 2025 (-0.29 pp QoQ) and from 3.32% in Q1 2025 (-0.40 pp YoY), though it still outpaces the national benchmark of 2.64% by 28 basis points. Loan growth accelerated quarter-over-quarter to -0.03% from -0.26% in Q4 2025, a +0.23 pp improvement, though it remains effectively negative and trails the national rate of 0.31% by 34 basis points. Year-over-year loan growth data is unavailable for direct comparison. The near-zero loan growth figure underscores limited credit demand or tightening underwriting conditions constraining portfolio expansion.

The risk profile for New York credit unions showed a mixed picture in Q1 2026. Delinquency decreased to 0.86% from 0.98% in Q4 2025 — an 11 bp quarter-over-quarter improvement — but increased from 0.73% in Q1 2025, a 13 bp year-over-year deterioration, leaving the cohort 9 bps above the national benchmark of 0.78%. Net worth remained essentially stable quarter-over-quarter at 13.33% versus 13.29% in Q4 2025 (+4 bps), and increased meaningfully from 12.75% in Q1 2025 (+58 bps YoY), though it remains 28 bps below the national average of 13.61%. Capital buffers are building, but credit quality trends warrant monitoring.

New York credit unions continued to shift their portfolio mix in Q1 2026. First mortgage concentration increased to 24.76% from 24.34% in Q4 2025 (+0.42 pp QoQ) and from 24.40% in Q1 2025 (+0.36 pp YoY), running 2.61 percentage points above the national average of 22.15%. Share certificate concentration edged up to 16.36% from 16.27% in Q4 2025 (+0.08 pp QoQ) and from 15.43% in Q1 2025 (+0.93 pp YoY), though it remains 3.44 pp below the national 19.80%. Indirect auto lending at 2.64% is essentially flat year-over-year and significantly below the national 7.73%, reflecting a deliberate or structural underweight in that channel.