Defense Credit Union Council Update
Military Pre-ConferenceAFCPE
November 19, 2008
Presented byRoland “Arty” Arteaga
President/CEODefense Credit Union Council
““Serving Those Who Serve Our Country”Serving Those Who Serve Our Country”
“Serving Those Who Serve Our Country”
• Federal Regulator…responsible for the safety and soundness of federally insured credit unions• NCUA insures accounts in credit unions through the National Credit Union Share Insurance Fund…$250K per qualifying account • backed by full faith & credit of US Government• not one penny of insurance has ever been lost by a member of a federally insured credit union
“Serving Those Who Serve Our Country”
“Serving Those Who Serve Our Country”
DCUC
“Serving Those Who Serve Our Country”
““Kiplinger and BBB Military LineKiplinger and BBB Military Line Personal Finance Guide Personal Finance Guide
……Tailored for Our Nation’s Finest”Tailored for Our Nation’s Finest” **********************
• 20-page booklet offering financial advice…plus short videos• comprehensive guidance on diverse personal finance topics• booklet will be distributed free to more than 700,000 servicemen and women worldwide• Sponsors: Investor Protection Trust; DCUC; Clearpoint Credit Counseling
• a weekly one-hour program • airs Sundays at 3:00 p.m. Eastern on the Radio America network• airs on Armed Forces Radio & Television Service• host Paul Berry talks to consumer and money experts • DCUC will co-sponsor in 2009• presented by America’s Credit Unions and produced by CUNA
“Serving Those Who Serve Our Country”
“Serving Those Who Serve Our Country”
• Quarterly publication providing featured articles, consumer news • DCUC will coordinate and offer hard copies to PFMs
“Serving Those Who Serve Our Country”
• financial readiness starts at HFFRC…located on dcuc.org website• plethora of financial information on such topics as auto, credit, savings and investing• videos & audio (HFF Radio)• produced by sister trade CUNA and offered to DCUC• another excellent resource for PFMs, troops, and their families
“Serving Those Who Serve Our Country”
Military Credit Unions (including multiple group-primarily military)
Credit Union Asset Quality Trends
60+ Day Dollar Delinquencies as a % of Loans Outstanding
Non-Mortgage Loans Mortgage Loans Member Business Loans
All Total Credt All Other Total First All Other Total AgriculturaAll
Other
Year Loan Non-
Mortgage CardNon-
Mortgage Mortgag Mortgag Mortgage MBL MBLs MBLs
1997 0.84 1.09 0.00 1.30 0.28 0.25 0.33 0.21 0.42 0.19
1998 0.66 0.86 0.00 1.02 0.23 0.20 0.28 0.43 4.37 0.23
1999 0.53 0.71 0.86 0.68 0.18 0.15 0.23 0.13 2.51 0.04
2000 0.56 0.73 0.84 0.72 0.20 0.18 0.24 0.00 0.00 0.00
2001 0.67 0.90 0.93 0.89 0.23 0.16 0.37 0.10 0.00 0.10
2002 0.58 0.81 0.87 0.80 0.18 0.11 0.32 0.07 0.83 0.06
2003 0.55 0.78 0.87 0.76 0.17 0.11 0.34 0.34 0.00 0.34
2004 0.60 0.88 0.98 0.86 0.17 0.12 0.27 0.42 N/A N/A
2005 0.58 0.85 0.73 0.87 0.20 0.16 0.26 0.32 N/A N/A
2006 0.50 0.73 0.68 0.74 0.21 0.12 0.35 0.42 0.00 0.42
2007 0.69 0.94 1.01 0.92 0.42 0.23 0.75 0.40 5.28 0.38
Jun 08 0.74 0.96 1.10 0.93 0.52 0.29 0.98 0.26 0.00 0.26
Chargeoffs Net of Recoveries as a % of Loans Outstanding
Non-Mortgage Loans Mortgage Loans Member Business Loans
All Total Credi All Other Total First All Other Total Agricultura
All Ot
her
Year Loan Non-Mortgag Card Non-Mortga Mortgae Mortgag Mortgage MBL MBLs MBLs
1997 0.76 1.08 0.00 1.29 0.04 0.03 0.06 0.02 0.28 0.00
1998 0.77 1.12 0.00 1.33 0.03 0.02 0.06 0.00 0.00 0.00
1999 0.56 0.83 1.92 0.63 0.03 0.01 0.07 0.19 0.20 0.19
2000 0.50 0.73 1.65 0.56 0.03 0.02 0.05 0.02 0.00 0.02
2001 0.56 0.85 1.72 0.69 0.02 0.01 0.05 0.01 0.00 0.01
2002 0.60 0.93 1.68 0.80 0.02 0.01 0.06 0.00 0.00 0.00
2003 0.60 0.96 1.75 0.83 0.02 0.00 0.06 0.08 0.07 0.08
2004 0.63 1.02 1.69 0.90 0.02 0.01 0.06 0.00 N/A N/A
2005 0.79 1.34 2.15 1.20 0.01 0.00 0.03 0.00 N/A N/A
2006 0.56 0.98 1.30 0.91 0.02 0.01 0.04 0.00 0.22 0.00
2007 0.59 1.07 1.49 0.97 0.07 0.00 0.18 0.01 0.00 0.01
Jun 08 0.84 1.41 2.18 1.22 0.27 0.02 0.80 0.04 0.00 0.04
CU4 RealityCU4 Reality… … financial education for youthfinancial education for youth
DCUC SurveyDCUC Survey products/services; supportproducts/services; support
Joint Financial Readiness ChallengeJoint Financial Readiness Challenge DCUC stands ready to support DCUC stands ready to support
on-base credit unions stand ready to assiston-base credit unions stand ready to assist
an integral part of your teaman integral part of your team
Military Saves CampaignMilitary Saves Campaign year round effort with emphasis during Mil year round effort with emphasis during Mil saves weeksaves week
“Serving Those Who Serve Our Country”
“Serving Those Who Serve Our Country”
•Tough Times• New Strategies
“Serving Those Who Serve Our Country”
Financial Readiness
Support the Force
MissionReadiness
The Focus
Financial Education
Savings
Products &Services
The Summary
Environment and Economy Environment and Economy areare
in flux…in flux…VUCAVUCA Challenges prevail Challenges prevail Good news…Good news…we’re here; we’re here;
you’re hereyou’re here
““Serving Those Who Serve Our Country”Serving Those Who Serve Our Country”
QUESTIONS?QUESTIONS?