As of June 30, 2013, credit union reported slightly less than $14.2 million in delinquent farm loans. A loan is deemed delinquent, if it is 60 days or more past due. The delinquency rate was 0.62 percent.
Four credit unions accounted for over 40 percent of the industry's total delinquent farm loans.
- Greater Oregon (OR) had $1.9 million in delinquent farm loans (65.2 percent of its farm loan portfolio).
- North Star Community (ND) had $1.5 million in delinquent farm loans (3.45 percent of its farm loan portfolio).
- Whitefish Community (MT) had almost $1.3 million in delinquent farm loans (35.3 percent of its farm loan portfolio).
- Amplify (TX) reported $1 million in delinquent farm loans (97.2 percent of its farm loan portfolio)
The strong performance of the agricultural loan portfolio at credit unions is not surprising given the strength in the farm economy. The U.S. Department of Agriculture reported that net farm income is forecasted to be $120.6 billion in 2013, up 6 percent from 2012’s estimate of $113.8 billion. After adjusting for inflation, 2013’s net farm income is expected to be the second highest since 1973.
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