South Dakota Credit Unions

Member growth accelerated quarter-over-quarter, rising from 0.49% in 2025-Q4 to 1.03% in 2026-Q1 — a gain of 0.54 pp — and stands 1.68 pp above the national benchmark of -0.65%, which itself reflects outright membership contraction industrywide. However, the year-over-year picture is more cautionary: growth decelerated 1.72 pp from 2.75% in 2025-Q1. While SD credit unions are still attracting members at a healthy pace relative to peers, the slowing annual trajectory suggests acquisition momentum is moderating and warrants close monitoring.

Profitability delivered a mixed picture in 2026-Q1. ROA decreased from 1.04% in 2025-Q4 to 0.91% — a decline of 0.12 pp quarter-over-quarter — though year-over-year it remains essentially stable, edging up just 1 basis point from 0.90% in 2025-Q1. NIM similarly decreased from 3.95% to 3.84% QoQ, while holding stable versus 3.83% a year ago. Both metrics remain above national benchmarks of 0.67% and 3.70%, respectively. Fee income per member decreased sharply from 157.42% in 2025-Q4 to 139.72%, though it still exceeds the national 116.17% by 23.55 pp.

Asset growth decelerated marginally from 4.97% in 2025-Q4 to 4.86% in 2026-Q1 — a modest 0.11 pp QoQ pullback — but accelerated meaningfully on a year-over-year basis, up 1.40 pp from 3.45% in 2025-Q1. The cohort outpaces the national asset growth rate of 2.64% by 2.22 pp. Loan growth of 2.85% similarly exceeds the national 0.31% by 2.54 pp. While loan growth decelerated 0.42 pp from 3.27% in 2025-Q4, the overall expansion trajectory remains robust, reflecting continued balance sheet momentum across SD credit unions.

The risk profile for SD credit unions is broadly stable but carries a modest upward drift in credit stress. Delinquency was essentially flat quarter-over-quarter, edging down just 3 basis points from 0.79% in 2025-Q4 to 0.76% in 2026-Q1, and now sits 1 basis point below the national 0.78%. However, year-over-year delinquency increased 6 basis points from 0.70% in 2025-Q1, signaling gradual credit deterioration. Net worth improved on both timeframes — up 0.31 pp QoQ from 11.39% and up 1.06 pp YoY from 10.64% — though at 11.70% it remains 1.92 pp below the national 13.61%.

SD credit unions' portfolio composition reflects notable divergence from national norms. Certificate concentration stands at 28.75% in 2026-Q1, up 1.08 pp year-over-year from 27.67% in 2025-Q1, and down just 0.27 pp from 29.02% in 2025-Q4 — nearly 9 pp above the national 19.80%, signaling elevated funding cost exposure. First mortgage concentration increased 0.30 pp QoQ to 17.82% and is up 0.63 pp year-over-year, yet remains well below the national 22.15%. Indirect auto edged down 0.11 pp QoQ and 0.15 pp YoY to 7.93%, slightly above the national 7.73%.