Texas Credit Unions Post Double-Digit Asset Growth as Industry Expands
Credit unions across Texas posted strong gains over
the past year, with several institutions recording double-digit asset growth as
they expanded their footprints in one of the nation’s most competitive
financial services markets.
According to data from
S&P Global Market Intelligence, the top 10 fastest-growing credit unions in
Texas reported asset increases ranging from roughly 13 percent to more than 35
percent. The growth highlights the sector’s continued momentum as institutions
invest in technology, broaden their reach and compete more aggressively with
banks.
Leading the list was
Light Commerce Credit Union in Houston, which saw a 38 percent increase in
assets from 2024 to 2025.
Next in line was
Catalyst Corporate Federal Credit Union in Plano, followed by U.S.I. Federal
Credit Union and American Baptist Association Credit Union. Other
high-performing institutions included Members Financial Federal Credit Union,
Nizari Progressive Federal Credit Union and Texas Community Federal Credit
Union. Wellspring Federal Credit Union, WesTex Community Credit Union and
Texhillco School Employees Federal Credit Union also ranked among the state’s
fastest-growing cooperatives.
Among the standouts
was First Community Credit Union in Houston, whose assets grew 16.3 percent to
nearly $3 billion. The performance reflects a broader trend of expansion among
Texas-based credit unions seeking scale in major metropolitan areas.
“First Community
places our members at the forefront of every decision we make, and that
commitment continues to guide both our strategy and our growth,” TJ Tijerina,
president and chief executive of First Community Credit Union. “Our consistent
asset growth has been driven primarily by intentional, organic growth,
especially through strong lending performance across our existing Houston-area
counties and our newer markets in Dallas, Austin, and San Antonio.”
First Community was
already serving members in Houston and Dallas and has now added San Antonio and Austin into the mix,
as well as 16 additional Texas counties.
Tijerina pointed to
exceptional momentum in North Texas and emphasized the organization’s
digital-first strategy and investments in infrastructure. “Completing our
presence across the Texas Triangle represents a significant milestone and
remains a central component of our future growth strategy,” he said, adding
that the credit union remains open to potential acquisition or merger
opportunities.
Despite the rapid
expansion, some community bankers say competition between banks and credit
unions remains uneven. One Texas community bank chief executive, who declined
to be identified, noted that his institution’s primary focus is small-business
customers and said, “We really just don’t compete much with credit unions.”
Others, however, see
increased competition in commercial real estate. Kelly Barclay, chief executive
of Ozona Bank, which has $327 million in assets according to federal data, told
Tyfone that credit unions are offering aggressive pricing.
“After visiting with
my lending team, it appears CUs in our market are pricing CRE at treasury plus
2-3% with aggressive loan structures,” Barclay said. “We have learned they are
financing a lot of out-of-state investors with projects in Texas, specifically
CRE projects.”
The latest data
underscores the growing influence of credit unions in Texas. As they expand
into new markets and invest in digital capabilities, their rising asset base
signals a continued reshaping of the state’s financial landscape.
Industry observers
say the rapid growth of credit unions reflects broader shifts in consumer
expectations and financial services delivery. As institutions invest in digital platforms
and expand into high-growth metropolitan areas, they are increasingly
positioned as formidable competitors within the state’s banking ecosystem.
But not everyone is
pleased.
The Texas Bankers
Association lists credit union oversight among its priorities for the year.
The group says
credit unions receive government subsidies to provide basic consumer banking
products to underserved groups and communities, but some are straying from
their original mission. “This $2.3 trillion industry has no community benefit
reporting requirements and receives minimal congressional oversight.”
It asks that
Congress convene an oversight hearing and ensure that the credit union
industry’s tax treatment aligns with its activities.
Together, the data
illustrates a sector gaining momentum through scale, innovation and strategic
expansion. As credit unions deepen their presence across Texas, their
accelerating growth signals a shifting competitive dynamic in one of America’s
most important financial markets — one that is likely to shape the future of
community finance across the Lone Star State.
About Author:
Ken McCarthy is the manager of marketing communications for Tyfone, a digital banking company based in Portland. Prior to that, he covered the credit union and banking industry for American Banker and S&P Global Market Intelligence.
Ken McCarthy is the manager of marketing communications for Tyfone, a digital banking company based in Portland. Prior to that, he covered the credit union and banking industry for American Banker and S&P Global Market Intelligence.