The Terms Changed — Q2 2026
First Liens by Term
First Lien Home Loans, by the Term They Are Lent On
| Term | Q2 2022 | Q2 2024 | Q2 2025 | Q2 2026 |
|---|---|---|---|---|
| Fixed rate | $392.0B | $388.4B | $389.4B | $399.9B |
| Balloon or hybrid | $86.1B | $131.5B | $149.6B | $171.7B |
| Adjustable rate | $44.8B | $63.5B | $68.8B | $74.7B |
| All first liens | $523.0B | $583.4B | $607.8B | $646.3B |
Fixed-rate first liens were $392 billion in mid-2022 and are $400 billion now; in between they fell, to $388 billion in 2024. Balloon and hybrid loans, which mature or reset after a first fixed term, went from $86 billion to $172 billion. Adjustable-rate loans went from $45 billion to $75 billion. Together the two account for 94% of the growth in first liens, and they are 38% of the book, from 25%.
Source: NCUA Call Report, Q2 2026 · release v2026.2.27 · QuarterCall
Credit unions are still lending: they granted $84 billion of first lien loans in the first half, against $62 billion a year earlier, and sold $19 billion of first mortgages into the secondary market, 23% as much as they granted. The table shows what stays on the balance sheet.
A Third of Home Lending Refinances, Reprices or Matures Within Five Years
The Call Report asks how much real estate lending contractually refinances, reprices or matures within five years. For home and other consumer real estate the answer was $137 billion in mid-2022, 22% of the book. It is $292 billion now, 35%, and the share has risen in every quarter of the last three years.
For commercial real estate the share was 55% three years ago and is 72%: $135 billion of $187 billion. That is the book The Delinquency Moved found with the fastest-rising delinquency, 1.16% at mid-year.
Source: NCUA Call Report, Q2 2026 · release v2026.2.27 · QuarterCall
If rates rise, a loan that reprices passes the higher rate to the borrower. That can raise the borrower's payments and help the credit union cover higher funding costs, though how far it protects the margin depends on the loan's terms and on how quickly the credit union's own funding reprices; the Q2 Signals edition found the margin at its widest in this record. For the borrower, the risk arrives at the reset date, and a balloon loan must be refinanced or repaid when it matures.
The share is lowest at the smallest credit unions. Among credit unions under $100 million, 26% of consumer real estate refinances, reprices or matures within five years; in the $1B–$10B tier, 36%, from 26% three years ago.
The Terms of the Balance Sheet by Asset-Size Cohort, Q2 2026
| Cohort | CUs | First liens not fixed | Consumer RE repricing | Commercial RE repricing | Certificates | Uninsured | Assets pledged | In bankruptcy |
|---|---|---|---|---|---|---|---|---|
| Under $100M | 2,439 | 28% | 26% | 52% | 18% | 4.8% | 4% | 0.23% |
| $100M–$500M | 1,028 | 31% | 32% | 63% | 25% | 6.9% | 18% | 0.28% |
| $500M–$1B | 277 | 33% | 32% | 68% | 27% | 8.6% | 26% | 0.31% |
| $1B–$10B | 446 | 40% | 36% | 74% | 29% | 11.0% | 39% | 0.31% |
| Over $10B | 25 | 38% | 35% | 72% | 31% | 11.0% | 38% | 0.34% |
Home Equity
Junior lien home loans were $87 billion four years ago and are $188 billion. Open-end lines, the home equity line of credit, are $135 billion of that, from $63 billion. Another $146 billion is committed on home equity lines and not yet drawn.
We read the growth as homeowners borrowing against the house rather than refinancing a low fixed first mortgage they want to keep; the junior lien book is where such borrowing would show, and the Call Report does not record the borrower's reason. The book is also where The Delinquency Moved found a delinquency rate of 0.82%. Credit unions granted $36 billion of junior liens in the first half, more than in the first half of any year the schedule covers.
Certificates Became the Largest Kind of Deposit
Share of Shares and Deposits, by Kind
| Kind of deposit | Q2 2022 | Q2 2024 | Q2 2025 | Q2 2026 |
|---|---|---|---|---|
| Share certificates | 12.9% | 27.4% | 28.5% | 28.7% |
| Regular shares | 37.2% | 29.3% | 28.3% | 27.7% |
| Share drafts | 20.7% | 19.6% | 19.3% | 19.5% |
| Money market | 23.0% | 17.2% | 17.5% | 18.2% |
In mid-2022 share certificates were $240 billion, the smallest of the four large kinds of deposit. They are $611 billion and the largest. Regular shares went the other way, from $689 billion to $588 billion. Certificates of $100,000 or more are 60% of all certificates.
The shift into certificates has stopped. Certificates were 28.5% of shares a year ago and are 28.7% now. The result is a deposit base that reprices more often: a maturing certificate renews at the prevailing rate, while the credit union sets the rate on a regular share account.
Source: NCUA Call Report, Q2 2026 · release v2026.2.27 · QuarterCall
Uninsured Balances Are a Rising Share of Deposits
Shares and deposits above the $250,000 insurance limit are $218 billion, 10.2% of the total. That is the highest share in this record, which begins in 2019 at 6.6%. The share fell in the spring of 2023, to 8.3%, and has risen in every quarter since.
Over the last year uninsured balances grew 13.3% and insured balances 4.3%. The rise is broad: uninsured balances are higher than a year ago at 2,434 credit unions and lower at 966. The institution holding the most holds 8% of them; without it the system's share still goes from 9.5% to 10.3%.
Source: NCUA Call Report, Q2 2026 · release v2026.2.27 · QuarterCall
The uninsured share rises with size: credit unions under $100 million hold 4.8% of their shares above the limit; credit unions above $10 billion hold 11.0%.
Credit Unions Kept the Assets They Pledged in 2023
At the end of 2022 credit unions had pledged $483 billion of assets to secure borrowing, 22% of what they held. Six months later, after the bank failures of that spring, it was $722 billion and 33%. It is $864 billion and 35% now. Borrowing capacity at the Federal Home Loan Banks went from $296 billion to $454 billion over the same years, and credit unions report $166 billion of capacity at the Federal Reserve, a line the form did not carry before 2023.
Little of it is drawn. Borrowings were $123 billion two years ago and are $79 billion, 11% of capacity. The capacity not drawn is 2.8 times the uninsured balances. The collateral remains pledged and the credit lines remain open, while the uninsured balances those lines would have to replace if depositors withdrew them keep growing.
Borrowers in Bankruptcy
Loans whose borrowers have filed for bankruptcy were $1.8 billion at mid-2022, 0.13% of loans. At each mid-year since they read 0.16%, 0.21%, 0.26% and 0.32%: $5.6 billion now, up 29% in a year in which loans grew 4.9%.
Source: NCUA Call Report, Q2 2026 · release v2026.2.27 · QuarterCall
The balance is higher than a year ago at 1,576 credit unions and lower at 1,105. Three years ago the share was much the same in every tier, between 0.14% and 0.17%. It now rises with size, from 0.23% among credit unions under $100 million to 0.34% among credit unions above $10 billion.
A loan in bankruptcy is not a loss, and many are repaid under a court's plan. It is the balance owed by borrowers who could not meet their debts as written, and it has risen through the two years in which card and vehicle delinquency stopped rising.
Connecting the Lines
The four years since the form began itemizing these lines are the years after rates rose, and we read each line as part of the same adjustment. First-lien growth came almost entirely from loans whose rate is not fixed for their term, while the fixed-rate book ended about where it began. Certificates rose from 13% of shares to 29%; higher certificate rates may have contributed, though the Call Report records balances, not members' transfers or their reasons. A larger share of deposits is above what the share insurance fund covers. Credit unions pledged a third of their assets in 2023, the year of the bank failures, and those assets remain pledged.
None of it shows as a problem in the second quarter's figures, which the Q2 Ledger records as a strong quarter. The lines show where the next change in rates, in either direction, would be felt. If rates fall, these loans and maturing certificates would reprice lower. If rates rise, $292 billion of home lending and $135 billion of commercial property lending that refinances, reprices or matures within five years would do so at higher rates for borrowers, in a system where loans to borrowers already in bankruptcy have gone from $1.8 billion to $5.6 billion.
What to watch
- Balloon and hybrid first liens — the fastest-growing term, $172 billion; each reaches a reset or a maturity
- Commercial real estate that refinances, reprices or matures within five years — 72%, on the real estate book with the highest delinquency rate
- The uninsured share — 10.2% of shares, from 9.5% a year ago
- Loans in bankruptcy at the third quarter — against 0.28% in the third quarter of 2025
- The Call Report has itemized real estate loans by term only since March 2022, and commercial real estate that reprices is read from 2023, after a first year in which the line was misfiled; there is no earlier cycle to compare with.
- A loan that refinances, reprices or matures within five years is the Call Report's line; it does not say what rate the loan moves to, or whether the borrower can meet it.
- Total borrowing capacity is not one series across 2023, when the form first asked about the Federal Reserve, so the report reads the Federal Home Loan Bank's line and assets pledged, which are.
- Loans subject to bankruptcy are balances, not losses, and some credit unions still report the line year-to-date, so second quarters are compared with second quarters.
- The Call Report gives no reason for these movements; reading them as a response to higher rates is this report's inference.