The number of minority depository institutions (MDI) credit unions grew in 2020, according to the National Credit Union Administration’s (NCUA) eighth annual report to Congress on MDIs.
The report found that the number of NCUA regulated credit unions with the MDI designation was 520 in 2020, up from 514 at the end of 2019. They are located in 37 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. Also, MDI credit unions served more than 4.3 million members, up from 3.9 million in 2019. Further, they reported total assets of $51.1 billion, up from $40.5 billion at the end of 2019.
“Even though COVID-19 caused many trials for federally insured credit unions in 2020, minority depository institutions, as a whole, met these challenges head-on and grew by meeting the needs of their members,” NCUA Chairman Todd Harper said. “MDIs serve an invaluable role in the nation’s system of cooperative credit, and the NCUA will continue to support the growth and sustainability of MDI credit unions so they can provide safe, equitable, and affordable financial services in financial deserts and to underserved communities.”
A federally insured credit union can qualify as an MDI if 50 percent or more of its current members, eligible potential members, and board of directors are from one or a combination of the four minority groups — Black American, Asian American, Hispanic American, or Native American. Eligible MDI credit unions have access to grants and loans as well as technical assistance and on-demand training at no charge.