Savings per member climbed 4.6% during the past year to $9,317in the midst of record membership gains at credit unions.

Members' savings surged in June, up $7 billion (0.8%) for themonth, according to the August issue of CUNA Mutual Group's CreditUnion Trends Report. This reflected a fifth payroll Friday in Juneas share draft accounts were also up $4 billion during themonth.

“Looking at long-term savings growth trends, we see members haveforetold previous economic downturns by growing deposits,” wroteDave Colby, CUNA Mutual chief economist, in the report. “It is tooearly to tell if the growth improvement since the end of 2010,especially in the past six months, is a harbinger of furthereconomic weakness.”

Through mid-year, 58% of all savings gains came from regular shares with a current yield of0.24%, the data showed. Share drafts accounted for 23% of theincrease with a current yield of 0.28%.

Money market accounts also accounted for 23% of all savingsgrowth and their national average current yield was 0.40%.Meanwhile, certificates of deposit were down 1.5% year to date.Colby said this portfolio segment has declined in 33 of the last 36months. With a one-year yield now at 0.93%, it is 53 basis pointsabove a MMA or about half its rate advantage of just three yearsago.

Colby said given the growing economic uncertainty, the logical course of action forbusinesses and households is to take a wait-and-see approach.

“A pause in an economy already running near stall speed is notgoing to produce a positive outcome,” Colby said. “Helping memberhouseholds put their finances in better shape [with] debt, accessto credit, wealth and cash flow to weather this uncertainty andcapitalize on opportunities, will be a good strategy, at leastuntil some of the dust settles.”