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Loan quality · Q2 2026 call reports

Credit union net charge-off rate

Annualized year-to-date charge-offs less recoveries, divided by average loans. The median across all 4,290 credit unions reporting it was 0.29% for the quarter ended June 30, 2026. Among those with $100 million or more in assets, the middle half ran from 0.20% to 0.68% (median 0.41%).

Why it matters

Net charge-offs are loans written off as losses, less recoveries. They show losses actually taken, where delinquency shows losses that may come.

How it is calculated

Year-to-date charge-offs less recoveries, annualized, divided by average loans. Year-to-date amounts are annualized (times 12 over the months elapsed), and average balances are the mean of this quarter and the prior December, as in NCUA's Financial Performance Report.

NCUA 5300 call report accounts: ACCT_550 (loans charged off, year to date) · ACCT_551 (recoveries, year to date) · ACCT_025B (total loans). Methodology

How credit unions are spread

Distribution of net charge-off rate, Q2 2026 1,820 credit unions with $100 million or more in assets. Middle half from 0.20% to 0.68%, median 0.41%. -0.01% median 0.41% 2.21%
1,820 credit unions with $100 million or more in assets. Shaded: the middle half. Line: the median. The most extreme 1% at each end (38 credit unions) are left off the chart.

By NCUA peer group

AssetsCount25th pctMedian75th pct
Under $2 million in assets2260.00%0.00%0.00%
$2 million to $10 million5370.00%0.01%0.60%
$10 million to $50 million1,1340.01%0.21%0.57%
$50 million to $100 million5730.10%0.27%0.60%
$100 million to $500 million1,0610.16%0.35%0.62%
$500 million and up7590.27%0.50%0.77%

Lowest net charge-off rate

Using the rules of the national ranking. See the top 100.

  1. Farmway Credit Union Beloit, KS -0.24%
  2. Illinois State Police Federal Credit Union Springfield, IL -0.20%
  3. Greater Community Credit Union Dawson, MN -0.09%
  4. Medina County Federal Credit Union Wadsworth, OH -0.09%
  5. Ohio Educational Credit Union Cleveland, OH -0.08%
  6. Tru Fi Credit Union Macclenny, FL -0.06%
  7. Polish National Credit Union Chicopee, MA -0.04%
  8. Alden Credit Union Chicopee, MA -0.04%
  9. Sterling Federal Credit Union Sterling, CO -0.03%
  10. Fergus Federal Credit Union Lewistown, MT -0.02%

Highest net charge-off rate

  1. Four Points Federal Credit Union Omaha, NE 5.61%
  2. Advantage Credit Union Newton, IA 3.47%
  3. Lafayette Federal Credit Union Rockville, MD 3.42%
  4. I Am Federal Credit Union New York, NY 3.11%
  5. Glendale Area Schools Credit Union Glendale, CA 3.03%
  6. Mercer County Community Federal Credit Union Hermitage, PA 2.88%
  7. Georgia's Own Credit Union Atlanta, GA 2.85%
  8. Hughes Federal Credit Union Tucson, AZ 2.83%
  9. Merco Credit Union Merced, CA 2.71%
  10. American 1 Credit Union Jackson, MI 2.58%

Median by state

Credit unions headquartered in each state, with $100 million or more in assets; states with at least three.

StateMedianCount
North Dakota0.05%12
Rhode Island0.08%8
Massachusetts0.13%58
Montana0.19%17
Wisconsin0.19%49
New Hampshire0.19%9
District of Columbia0.20%11
Maine0.20%40
Minnesota0.23%43
Hawaii0.23%25
Connecticut0.25%21
New York0.30%91
Ohio0.31%77
Georgia0.32%30
West Virginia0.32%11
Nevada0.33%11
Indiana0.34%44
Pennsylvania0.36%86
New Jersey0.36%29
Iowa0.37%29
Maryland0.38%34
Utah0.38%22
Alabama0.39%36
South Dakota0.40%12
Kentucky0.40%17
Illinois0.41%53
Arkansas0.42%5
Michigan0.43%113
Vermont0.44%7
Tennessee0.44%41
Delaware0.48%6
California0.48%150
Colorado0.49%37
Idaho0.51%17
Virginia0.51%46
Oregon0.51%29
Florida0.51%72
Nebraska0.52%16
North Carolina0.55%26
Missouri0.56%29
Kansas0.57%19
Oklahoma0.57%27
Alaska0.58%7
Wyoming0.58%11
Texas0.62%141
Washington0.63%40
Arizona0.64%21
South Carolina0.65%22
New Mexico0.66%16
Louisiana0.69%29
Puerto Rico1.05%3
Mississippi1.09%13

Source: NCUA 5300 Call Report quarterly data, Q2 2026. Not affiliated with NCUA. Every credit union's figure is on its own page, in the screener, and in the free API.

Questions people ask

What is the average credit union net charge-off rate?

The median across 4,290 credit unions was 0.29% in the Q2 2026 call reports. Among credit unions with $100 million or more in assets, the middle half ran from 0.20% to 0.68%.

Is a higher net charge-off rate better?

No. For net charge-off rate, lower is better for members, all else equal. Compare it with credit unions of the same size, since size and lending mix drive it.

How is net charge-off rate calculated?

Year-to-date charge-offs less recoveries, annualized, divided by average loans. Year-to-date amounts are annualized (times 12 over the months elapsed), and average balances are the mean of this quarter and the prior December, as in NCUA's Financial Performance Report. Source accounts on NCUA's 5300 call report: ACCT_550 (loans charged off, year to date); ACCT_551 (recoveries, year to date); ACCT_025B (total loans).

Which credit union has the lowest net charge-off rate?

Farmway Credit Union of Beloit, KS, at -0.24% in Q2 2026, under the rules of the national ranking.