Overview of Citizens Community Credit Union

Citizens Community Credit Union officially got its credit union charter in the year 1940. The credit union falls under the category: state charter. In terms of its lending activity, the credit union is mainly engaged in providing auto loans. These loans represent 91% of its total lending. Citizens Community Credit Union’s total assets are larger than 78% of credit unions in the United States. Credit unions are regulated by the National Credit Union Administration (NCUA), which is an independent agency that was created by the U.S. government in 1970. The NCUA also insures customer deposits at credit unions in the country. The company has a total of 8 branches and employs a total of 66 employees.

Discussion of the Credit Union’s Operations

The credit union has total assets of $237 million. It has a deposit base of $201 million which works out to $13,003 of deposits per member compared with the state-wide average of $15,438 and national average of $13,594. Citizens Community Credit Union also has net loans outstanding of $162 million. Furthermore, the credit union has a loan to deposit ratio of 81% which is higher than credit unions of comparable size. Citizens Community Credit Union’s peer set of credit unions have a loan to deposit ratio of approximately 63%. A lower ratio is better since it means that a credit union’s lending activities are more comfortably covered by its deposit base. Lastly, Citizens Community Credit Union’s loan portfolio mainly consists of auto loans and mortgages and lines of credit which represent 91% and 3% of its loan book and had outstanding balances of $147 million and $5 million, respectively.

Contact and Other Helpful Information

  • Main Office Address: 2012 1St Ave S, Fort Dodge, IA 50501
  • Website: http://www.citizenscu.com
  • Phone: (515) 955-5524
  • Charter Number: 66592
  • Charter Year: 1940
  • Employees: 66
  • Routing Number: 273974947
  • Membership: Credit unions in the state of Iowa have an average membership base of 17,547 compared with Citizens Community Credit Union which has total members of 15,431. Over the past three years, the credit union’s total base of members has increased by 0%.

Citizens Community Credit Union: Financial Overview

citizens community credit union-balance-sheet-metrics

As shown in the above chart, Citizens Community Credit Union’s assets have expanded by 9.0% over the past year, while its auto loans – which is its largest category of lending – have increased by 4.3% over the past year. Furthermore, the company’s deposits have increased by 14.2% while its total loans have increased by 2.8%. A credit union’s net worth is a good proxy for the value that a credit union has accrued over time. Based on the latest available information, Citizens Community Credit Union’s net worth stands at $34 million. This implies that the credit union has a net worth per member of $2,208 which is greater than the national average of $1,606.

Overview of the Credit Union’s Performance Metrics

citizens community credit union-selected-performance-metrics

The above chart shows some of the important metrics we look at when assessing a credit union, and compares these to the average credit union of comparable size. It also shows how these metrics have fared over the past year. Beginning with Citizens Community Credit Union’s return on assets (aka ROA), on this statistic the credit union performs approximately inline with the average comparable credit union. When we look at the year over year trends, we can see that ROA has improved given the 0.17% change. A credit union’s ROA is a good way of assessing how well the entity is using its assets to generate returns. We look at the delinquency rate within a loan portfolio as a way to assess the performance and quality of a credit union’s loan book. A lower delinquency rate indicates a better performing portfolio. Citizens Community Credit Union has a delinquency rate that is above its peer group average and when compared with the prior year, we can see that it has improved. The net worth ratio for the credit union is 14.4% and has declined compared with the prior year figure of 15.1%. The credit union is also well above its peer group average of 9.7% on this metric. Finally, based on the NCUA guidelines, the company’s net worth ratio would classify it as well capitalized.

Conclusion

Ultimately, after considering all of the relevant factors we rate Citizens Community Credit Union 3.1 out of 5.0, which is above average. Finally, please note that the rating information presented is based on our proprietary scoring system. None of the work presented is intended to be investment advice or advice of any sort and is presented purely for informational purposes.