Georgia credit unions remain on track for a robust 2015 with overall lending levels remaining strong. The number of total loans increased in the third quarter 3 percent over the second quarter and 11 percent over the previous 12 months ending in September.
 
New automobile loans in the third quarter increased by 25 percent as of September 2015 compared to September 2014 and by 4.9 percent over the second quarter of 2015. Used auto loans were up 3 percent in the third quarter compared to the second quarter of 2015. First mortgages grew by 2.8 percent over the second quarter.
 
Other unsecured loans also grew 2.8 percent over the second quarter, while business lending was up 2.6 percent; credit cards 1.8 percent and second mortgages increased 1.2 percent over the previous quarter. No tracked loan category finished in the red for the quarter.
 
"Strong loan growth at Georgia credit unions is indicative of a healthy economy," said Mike Mercer, President and CEO of Georgia Credit Union Affiliates. "The more comfortable people become with their financial situation, the more likely they are to take out a loan. And because credit unions generally have lower interest rates on loans and higher returns on savings, we expect strong credit union growth through 2016."
 
Other economic trends in the state:

-Georgia's unemployment rate continues to trend low, ending the quarter at 5.8 percent - down from 6.1 percent in the second quarter of 2015 and 6.7 percent in the third quarter of 2014.  It dropped to 5.6 percent in the final quarter of 2015. Georgia credit union borrower-bankruptcy filings rose slightly over the third quarter of 2014, yet remained low with only a 56-count increase.

-Housing prices are up once again since last quarter, which signifies a healthy economic climate. Georgia moved from 23rd to 9th place nationally based on the seasonally adjusted FHFA's purchase-only housing price index since last quarter.

-The dramatic plunge in gasoline prices over the past year is beneficial for the region. The current rate for a gallon of regular gas in Georgia is $1.90, down from $2.20 in September. The average price per gallon on Christmas Day 2014 was $2.32.

According to data compiled by Informa Research Services, a $10,000 balance on a standard credit card at a state's credit union saves the average Georgia consumer more than $300 over the course of a year as compared to Georgia bank interest rates. Financing a $25,000 new automobile for 60 months at a Georgia credit union will save members an average of $112 per year in interest expense compared to what they would pay at a for profit financial institution in the state.
 
Georgia credit union savings balances overall remained essentially flat in the third quarter, growing by .02 percent while heading into negative territory for the year with shrinkage of .5 percent in the first nine months.
 
While talk of rising rates continued in the third quarter, the actual rate environment remained historically low, which once again kept members focused on short term liquid accounts. Money market accounts, regular savings and personal checking accounts saw quarterly increases of 1.2 percent, 0.7 percent and 0.1 percent, while certificates shrank 2.6 percent and IRA/Keoghs fell by 1 percent.
 
Georgia consumers clearly recognize the benefits of credit union membership. Total memberships in the state's credit unions grew by 1 percent in the third quarter over the second quarter and 3.8 percent in the twelve months ending Sept. 2015.
 
Georgia's numbers mirror a national trend. American credit unions added more than 1.5 million memberships in the third quarter of 2015, the fastest growth quarter experienced in the history of credit unions. The increase, which is nearly double the 808,000 memberships added in the third quarter of 2014, is being attributed by economists to a surging demand for credit.
 
Credit union loan balances in the U.S. increased $26.2 billion in the third quarter, well above the $22.1 billion in the third quarter of 2014. New jobs added to the U.S. economy in the third quarter also contributed to membership gains. Credit union memberships rose .46 percent in September, much better than the .30 percent added in September 2014.