RALEIGH, N.C.—The $2.5-billion Coastal FCU announced it has issued nearly $2.3 million in special dividends, earned by members through its VIP Program in 2015.
The loan rebate and deposit bonus dividends—nearly triple last year's total—were shared among 24,400 members. In addition, more than 3,500 members received both payouts.
This year’s payout was the largest in the five-year history of the program, both in dollars and in the number of members who benefitted, the CU stated. To date, Coastal has issued more than $9.4 million in VIP dividends.
In addition to the $2.3-million dividend payout, the credit union said it also returned an additional $16 million in member benefits throughout the year—such as reduced or forgiven fees. Two of Coastal's highest-yielding and member savings benefits in 2015 were derived from its Go Green checking and money market products, as well as from savings received by mortgage refinancing.
“As a cooperative, member giveback is as valuable to us as it is to our members,” said Chuck Purvis, Coastal’s president and CEO. “Our growth and success stems from those members who actively participate in the credit union, choosing our products or enlisting our services. Giving back in various forms throughout the year, including this annual dividend, demonstrates our commitment to share even more with our membership.”
The VIP program was designed to reward members who have their primary checking account at Coastal. Members qualified as VIPs by performing 144 withdrawals from their Coastal checking accounts during 2015. VIP members then had the opportunity to earn loan rebate dividends and a deposit bonus. Loan rebates were based on interest paid during 2015, while deposit bonuses were determined by average balances.