A comparative analysis of the US and EU retail banking markets - Wsbi

The decline of savings institutions over the same
period was more abrupt, registering a fall of 61%.
This was the direct result of the savings and loans
crisis of the early 1980s, when around half of all US
savings and loans institutions became insolvent.
The decline in the number of credit unions has been
less marked for the period 1985-2003 than the two
other types of institutions, with a fall of 38%.
Graph 1: Evolution of the number
of depository institutions
per 1,000,000 inhabitants in the US
160
140
120
100
80
60
40
20
0
1985
1990
1995
1996
■ Commercial banks
■ Savings institutions
■ Credit unions (CU)
1997
1998
1999
2000
Source: ESBG calculations based on data from FDIC,
NCUA and the US Census Bureau.
2001
2002
2003
As graph 1 above reveals, on a per capita basis, while
in 1985 the US had 139 institutions per 1 million
inhabitants, by 2003 that number had more than
halved to 64 credit institutions per 1 million heads of
population (see table A in table annex for figures
relating to graph).
400
350
300
250
200
150
100
50
0
The number of branches of credit institutions in the
US has grown from 89,509 branches in 1995 to
99,807 in 2003, an increase of 12%. The increase in
the number of branches was twice as strong in the
first half of that period (+7.5%) as compared to
the latter half.
Graph 2: Evolution of the number
of branches of depository institutions
per 1,000,000 inhabitants in the US
1995
1996
1997
■ Commercial banks
■ Savings institutions
■ Credit unions (CU)
1998
1999
2000
2001
2002
Source: ESBG calculation on the basis of information from FDIC,
CUNA and the Census Bureau.
2003
On a per capita basis, the picture is quite different as
the total number of branches per 1 million heads of
population has remained rather stable over the
period, as can be seen in graph 2 above, with 336
branches recorded in 1995, and 343 in 2003 (see
table B in table annex for figures relating to the graph).
5.2.1.1.2 Number of branches
Table 2:
Evolution of the number of branches of depository institutions in the US
1985 1990 1995 1996 1997 1998 1999 2000 2001 2002 2003
Commercial banks 42,970 50,017 56,028 57,258 59,773 61,394 63,101 63,487 64,965 65,584 66,766
Savings institutions 20,966 18,708 13,424 13,826 13,030 12,831 12,882 12,478 12,549 12,313 12,361
Credit unions (CU) n.a. n.a. 20,057 20,921 21,453 20,620 20,262 20,399 20,192 20,383 20,680
Total excl. CU 63,936 68,725 69,452 71,084 72,803 74,225 75,983 75,965 77,514 77,897 79,127
Grand Total n.a. n.a. 89,509 92,005 94,256 94,845 96,245 96,364 97,706 98,280 99,807
Sources: Federal Deposit Insurance Corporation (FDIC): Historical statistics on banking (HSOB); CUNA (Credit Union National Association) estimates.
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