PenFed Credit Union Continues Member Focus by Further Increasing Shares and Attracting New Members in First Quarter

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May 01, 2023, 14:09 ET

America's Second-Largest Federal Credit Union Attracts Over $1 Billion in New Shares and 35,000 New Members in First Quarter

TYSONS, Va., May 1, 2023 /PRNewswire/ -- PenFed Credit Union, the nation's second-largest federal credit union, today released financial results showing continued progress toward the organization's strategic goals, despite a challenging economic environment. During the first quarter of 2023, PenFed attracted $1 billion in new shares and added 35,000 new members.

"Building deposits, liquidity and capital continues to be PenFed's key priorities for 2023– and during the first quarter we successfully executed on those goals," said PenFed President and CEO James Schenck. "The PenFed family continues to grow based on the value of our products and services. PenFed welcomed over 35,000 new members in the first quarter, as current members share their stories about PenFed's great rates and world-class service. We thank all of our 2.9 million members for choosing to save and borrow with PenFed."

PenFed financial highlights as of the first quarter of 2023 include:

PenFed's member shares grew year-over-year by $3.8 billion, which represents 15% growth.
Of particular note, PenFed's certificate balances grew year-over-year by $5.8 billion, a growth rate of 61%, as PenFed offered market-leading dividend rates to deliver value to its members.
PenFed's net worth ratio increased to 9.5% at the close of the first quarter, an improvement of approximately 45 basis points year-over-year.
PenFed closed the first quarter with nearly $910 million of capital in excess of required regulatory net worth.

In addition to accomplishing these key business milestones, PenFed donated over $600,000 to more than 30 charitable organizations during the first quarter of 2023.

"Most recently," Schenck pointed out, "we sponsored the historic first ever honor flight from Puerto Rico to Washington D.C. that allowed veterans to visit the monuments and memorials built in their honor. It was not only the trip of a lifetime for them, but it was also a beautiful way to express our gratitude and appreciation for their service and sacrifice. I'm also very proud of our employees across the country who donated and assembled hundreds of carepackages for military families, cleaned a local school during spring break and donated and assembled food packages to feed thousands of families in the community."

As anticipated in the first quarter of 2023, Schenck noted, "despite the current market environment and continuing decline in loan demand as the Federal Reserve raises interest rates, PenFed's balance sheet and capital position remain strong."

Looking forward, Schenck said, "PenFed will continue to take perfect care of its members by providing great rates and world-class service while building a stronger PenFed through sustainable, risk-balanced growth, and giving back to the community."

About PenFed Credit Union

Established in 1935, Pentagon Federal Credit Union (PenFed) is America's second-largest federal credit union, serving 2.9 million members worldwide with $35.3 billion in assets. PenFed Credit Union offers market-leading certificates, checking, credit cards, personal loans, mortgages, auto loans, student loans, and a wide range of other financial services. Our mission is to empower members of our community to achieve their financial well-being. PenFed Credit Union is federally insured by the NCUA and is an Equal Housing Lender. To learn more about PenFed Credit Union, visit PenFed.org, like us on Facebook and follow us @PenFed on Twitter. Interested in working for PenFed? Check us out on LinkedIn. We are proud to be an Equal Employment Opportunity Employer.

SOURCE PenFed Credit Union