Overview of Valley Communities Credit Union
Valley Communities Credit Union received its charter in 1935 and is one of 116 credit unions that are based in the state of Wisconsin and also one of the largest credit unions in the country. The company has a total of 7 branches and employs a total of 53 employees.
Who Can Join?
People that live, work or own property in any of the following counties in Wisconsin are eligible to join the credit union: Adams, Clark, Juneau, Lincoln, Marathon, Portage, Shawano, Waupaca, Waushara and Wood.
Products and Services
The credit union offers the following account options and financial products to its members (note this is not an exhaustive list):
- Checking – the credit union offers 4 checking accounts: Free Checking, Classic Checking, Kasasa Cash and Kasasa Cash Back. With the Classic Checking account there is no minimum opening deposit, however account holders have to maintain a balance of $300 or pay $3.00 a month. The account earns interest every month for balances above $300 and also includes free ATM transactions at Valley Communities Credit Union locations and has unlimited monthly transactions and check clearing.
- Savings – there are three savings account options offered by the credit union: Share Savings, High Yield Shares and Money Market. With the Share Savings option, there is a $25 minimum balance to open the account and a $100 minimum balance required in order to earn interest. There is no monthly service charge for this account.
- Credit Card – the credit union has the Everyday Rewards+ card available for eligible members. Cardholders can earn unlimited points on dining, take-out and food delivery, and there is currently a $150 bonus reward after new cardholders spend $500 within their first 90 days of account opening,
- Mortgages – Valley Communities Credit Union offers it members mortgage loan options with low closing costs, financing up to 80% of the property’s value and fast loan decisions which it claims is often as quick as within 24 hours.
Balance Sheet Overview
The credit union currently has total assets of $227 million, total deposits of $198 million and net loans outstanding of $127 million. On average its members had a total of $12,761 deposited with the credit union – this is a helpful metric to monitor as it provides us with an idea of the level of engagement of the credit union’s membership base. Furthermore, the credit union has a loan to deposit ratio of 64% which is higher than credit unions of comparable size. Valley Communities 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. Taking a closer look at the credit union’s loan portfolio, we see that mortgages and lines of credit represent 64% of the total and currently stands at $82 million, while there is $34 million of loans outstanding from auto loans which represents 27% of the credit union’s loan portfolio.
- Main Office Address: 975 Indianhead Dr, Mosinee, WI 54455-9603
- Website: http://valleycommunities.org
- Phone: (715) 693-3400
- Charter Number: 66430
- Charter Year: 1935
- Employees: 53
- Routing Number: 275980735
- Membership Trends: Credit unions in the state of Wisconsin have an average membership base of 30,696 compared with Valley Communities Credit Union which has total members of 15,548. Over the past three years, the credit union’s total base of members has declined by 2%.
Valley Communities Credit Union Financials
Detailed above is a chart showing the progression of four important balance sheet items over the past year for Valley Communities Credit Union. Assets and total loans for the credit union have grown by 10.2% and grown by 3.8%, respectively. In addition, the company’s mortgages and lines of credit, which as noted earlier is the largest portion of the loan book, has expanded by 7.5%. Lastly, the credit union’s deposits have expanded by 11.1%. ‘Net worth’ is a good way to assess the long-term performance of a credit union as it represents the accumulated value of the entity over time. Importantly this is value that accrues to the credit union’s owners: its members. Valley Communities Credit Union has a total net worth of $26 million. This implies that the credit union has a net worth per member of $1,686 which is greater than the national average of $1,633.
Overview of the Credit Union’s 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 Valley Communities Credit Union’s return on assets (aka ROA), on this statistic the credit union performs below the average comparable credit union. When we look at the year over year trends, we can see that ROA has declined given the 0.16% change. A credit union’s ROA is a good way of assessing how well the entity is using its assets to generate returns. Moving on to the credit union’s delinquency rate, which tells us how much of a credit union’s loan book is delinquent, the credit union is below its peer group on this metric and compared with the prior year it has improved substantially. Keep in mind that a higher delinquency rate indicates a lower performing loan book so a declining rate is a favorable trend. Finally, the net worth ratio for the credit union is 11.6% which is well above its peer group average of 9.8%. This metric has declined on a year over year basis and stood at 12.4% a year ago. Based on the NCUA guidelines, the credit union is considered to be well capitalized.
In conclusion, when we look at all the various factors and data we give Valley Communities Credit Union a 3.1 out of 5.0 rating, which we consider to be above average. Importantly, please be aware that none of the information presented is meant to be investment advice or advice of any form. All of the information and views expressed in this note and on this site are purely for informational purposes.
Other Credit Unions in Wisconsin
|Credit Union Name||Website||Total Members|
|Connexus Credit Union||http://www.connexuscu.org||389,326|
|Landmark Credit Union||https://www.landmarkcu.com||364,792|
|University of Wisconsin||http://www.uwcu.org||310,221|
|Royal Credit Union||http://www.rcu.org||251,235|
|Summit Credit Union||http://www.summitcreditunion.com||223,603|
|Simplicity Credit Union||http://www.simplicity.coop||27,035|
|Oakdale Credit Union||http://oakdalecu.coop||11,137|
|Southern Lakes Credit Union||http://southernlakescu.org||9,884|
|Taylor Credit Union||http://taylorcu.org||7,853|
|Tomah Area Credit Union||http://www.tacuonline.com||6,950|
|Brokaw Credit Union||www.brokawcu.com||5,919|
|Bay Shore Credit Union||http://www.bayshorecu.org||3,516|
|Holy Family Memorial||http://hfmcu.org||1,689|