West Virginia Credit Unions

Member engagement sent mixed signals in 2026-Q1. On a QoQ basis, member growth accelerated from -1.14% in 2025-Q4 to -0.52%, a recovery of 0.62 pp that suggests the membership contraction is moderating. However, on a YoY basis, growth decelerated from -0.10% in 2025-Q1 to -0.52%, a deterioration of 0.42 pp indicating the annual trend is worsening. Notably, WV credit unions' -0.52% rate still outperforms the national benchmark of -0.65% by 13 basis points, offering a relative but fragile competitive edge in member retention.

Profitability remained remarkably stable in 2026-Q1. ROA held at 0.88%, essentially flat QoQ from 0.92% in 2025-Q4 (a modest -4 bps) and virtually unchanged YoY from 0.89% in 2025-Q1 (-1 bp), sitting 21 bps above the national 0.67%. NIM expanded to 3.96%, up 4 bps QoQ from 3.92% and up 0.14 pp YoY from 3.82%, now 26 bps above the national 3.70%. Fee income, however, contracted sharply — falling 9.52 pp QoQ to 67.52% and 5.58 pp YoY, remaining 48.65 pp below the national 116.17%, a persistent structural vulnerability.

Growth dynamics in 2026-Q1 present a divergent picture. Asset growth decelerated QoQ from 2.87% in 2025-Q4 to 1.90%, a pullback of 0.96 pp, though on a YoY basis it accelerated from 1.19% in 2025-Q1 by 0.72 pp — still trailing the national 2.64% by 74 bps. Loan growth remains deeply negative at -3.02%, improving modestly from -3.33% in 2025-Q4 (accelerating by 0.31 pp QoQ), but running 3.33 pp below the national 0.31%. The persistent loan contraction signals structural demand weakness that asset growth alone cannot offset.

The risk profile of WV credit unions improved meaningfully in 2026-Q1. Delinquency decreased to 0.83% from 1.12% in 2025-Q4 (down 0.29 pp QoQ) and from 1.09% in 2025-Q1 (down 0.25 pp YoY), though it remains 6 bps above the national 0.78%. Net worth strengthened to 14.99%, up 5 bps QoQ from 14.93% in 2025-Q4 and up 0.64 pp YoY from 14.34% in 2025-Q1, sitting 1.37 pp above the national 13.61%. The combination of falling delinquency and rising capital ratios signals a materially stronger credit risk posture heading into mid-2026.

Portfolio composition shifted modestly in 2026-Q1. First mortgage concentration held at 13.12%, up 0.51 pp YoY from 2025-Q1, but remains deeply below the national 22.15% — a 9.03 pp gap suggesting WV credit unions are significantly underweight in real estate lending. Indirect auto concentration declined to 2.03%, down 0.40 pp YoY from 2.43% and down 0.09 pp QoQ from 2.13%, well below the national 7.73%. Share certificate concentration increased to 15.88%, up 1.01 pp YoY from 14.87% and up 0.13 pp QoQ from 15.75%, narrowing the gap to the national 19.80% as members shift toward fixed-rate deposits.