While bankers are concerned about competitive pressures intensifying — particularly from credit unions — raising fears about market balance, the latest survey from IntraFi showed executives seeing multiple positive trends across the banking sector.

Survey findings from the fintech firm released on Wednesday indicated nearly half of banks said loan demand improved in 2025, and 56% expect it to increase in 2026. Meanwhile, 97% of survey participants anticipate either stable or improved access to capital this year.

IntraFi said a growing number of banks have experienced lower funding costs. This trend continued in December with almost 78% of banks reporting that conditions continued to improve, a 54-point jump from the third quarter of 2024.

“Looking ahead, bank confidence on funding costs dropped 12 points from the third quarter of 2025 to 68%. However, this is still a sizable majority of banks, underscoring that most continue to believe that the Fed will still lower rates in 2026,” IntraFi said in its report.

IntraFi also highlighted that just under 50% of banks noted that loan demand improved in the fourth quarter, an increase of 4 points from previous quarter.

“This represents a period of steady improvement that began after the first quarter of 2023. Expectations for higher loan demand over the next 12 months jumped to 56%, an increase of around 9 points. This is the highest total since the first quarter of 2021,” the company said in the report.

Meanwhile, IntraFi acknowledged institutions are expecting access to capital to remain stable dropped to its lowest level (70%) since Q1 of 2024. However, 75% of survey participants noted that access to capital held steady over the past 12 months, a slight uptick from the third quarter of 2025.

Overall, 98% of all banks saw either no change or improved access to capital in 2025, according to the report.

With those factors as a backdrop, what about the prospect of banks still thriving amid growing takeovers by credit unions?

IntraFi recapped that more than 170 bank M&A deals were announced in 2025, with credit unions accounting for roughly 10% of that total.

Among bankers surveyed, the overwhelming majority (86%) cited uneven competition as their top concern related to these acquisitions.

Survey findings also indicated 82% anticipate 11 or more credit union acquisitions in 2026.

“Many bankers are increasingly focused on competitive dynamics in their markets,” IntraFi co-founder and CEO Mark Jacobsen said in a news release. “As acquisition activity continues, respondents are reporting increased pressure on deposits and lending.”

Survey findings indicated that 66% of respondents cited increased competition for loans, deposits, or both due to credit union activity. Overall, 94% expect deposit competition to tighten or remain elevated over the next 12 months, according to IntraFi.