Stcu Drawing A Bright Future

The Spokane Teachers Credit Union used tall crayons to chart results in its 1999 annual report.

For 2000, President Steve Dahlstrom may have to go to the chalkboard.

STCU, the largest credit union in Spokane, added 4,000 members, built assets 6 percent to $35.8 million and increased the size of its loan portfolio 16 percent.

Net income, at $4.3 million, was flat. But Dahlstrom said STCU has no need to increase that number once it has achieved adequate retained earnings.

“We gave more of it back to our members” in higher dividends and lower loan rates, he said.

The lower rates, Dahlstrom added, help explain the substantial loan growth. Auto loan production, for example, was up 42 percent for the year. Mortgage and home equity loans increased 10 percent, while credit card balances grew 21 percent.

Dahlstrom said chargeoffs were surprisingly low.

“There’s like this renewed energy in the economy,” he said, noting that auto loans in February were 36 percent compared with the same month last year.

Dahlstrom said the biggest challenge facing the credit union is one shared by all area financial institutions - attracting deposits. Member deposits - at $294.8 million - were flat last year.

Dahlstrom said returns available in the stock market were drawing cash away from depository institutions in 1999.

STCU has 66,000 members. All Spokane County residents are eligible to join.