Rhode Island Credit Unions

Member engagement declined significantly in Q4 2025, with membership falling -0.96% versus -0.65% last quarter and representing a sharp reversal from 1.78% growth a year ago. The accelerating member losses, now 27 basis points below the national decline of -0.69%, signal concerning engagement challenges across Rhode Island's credit union sector.

Profitability remained stable in Q4 2025 with ROA holding steady at 0.48% quarter-over-quarter and declining just 5 basis points year-over-year. Net interest margin increased 7 basis points to 3.02% from last quarter while remaining essentially flat year-over-year, though both metrics significantly trail national benchmarks by 25 and 71 basis points respectively.

Growth momentum accelerated in Q4 2025 with asset growth improving to 2.12% from 1.52% last quarter, though decelerating from 2.54% a year ago. Loan growth accelerated to 1.71% from 1.57% quarter-over-quarter, positioning 1.19 percentage points above the national benchmark of 0.52%, demonstrating strong lending activity despite membership challenges.

Risk metrics showed deterioration in Q4 2025 with delinquencies increasing to 0.53% from 0.47% last quarter and rising from 0.40% a year ago. Net worth decreased to 12.61% from 12.72% quarter-over-quarter, though improving from 12.39% year-over-year. Despite the increases, delinquencies remain 36 basis points below national levels.

Portfolio composition shifted toward traditional lending in Q4 2025, with first mortgage concentration reaching 33.07%, up 18 basis points quarter-over-quarter and 1.26 percentage points year-over-year. Certificate deposits increased to 27.69% from 27.45% last quarter and 26.08% a year ago, significantly exceeding the national average of 19.80%.