WOODBURY, Minn.—Ideal CU this month returned 11% of its 2015 earnings to members through its VIP Program, the fourth consecutive year for the payout.
The money goes to members who have qualifying relationships as part of the VIP Program.
The VIP Program rewarded 14,917 members with cash dividends between $5 and $605, the $618-million CU stated in release. A total payout of $528,935 was returned members. Ideal has paid out over $2 million to VIP members since the program’s inception in 2012.
“The VIP Program is designed to encourage members to bring all of their accounts to Ideal Credit Union, and when they do, Ideal rewards their loyalty by paying an annual VIP dividend,” said Brian Sherrick, Ideal CU president/CEO. “Throughout the year, our staff works with members to help them identify opportunities to grow their relationship with us and ultimately increase their payout.”
The payout to members was calculated based upon several factors. Those members who had a personal Ideal checking account and conducted a set number of transactions in 2015 received a $5 payout. Some members also received a Deposit Bonus Dividend based on their average deposit balances throughout the year, while others earned a Loan Rebate Dividend, calculated on the amount of interest paid in 2015. Many members were eligible for more than one reward based on qualifying relationships.
Meanwhile, in Fort Atkinson, Wis., Fort Community Credit Union has paid out its first annual Member Loyalty Cash. Reward.
The program encourages member economic participation by rewarding members based on the number of products and services they actively utilize with the credit union. FCCU has been paying out a member patronage dividend since 2005 and, with this year’s member loyalty cash, they have given back a total of over $2.7 million to their member-owners.
With the new Member Loyalty Cash Program, 24% of its members received more than $17 this year. In the past, that had been a much smaller percentage.
“As a member-owned financial cooperative, it is a part of our philosophy to return our profits to our member-owners. We are thrilled to have given back to so many members that are actively participating in their cooperative,” said CEO Susan Johnson.
In Tyler, Texas, Cooperative Teachers Credit Union has paid a $92,000 dividend to members. The bonus dividend was paid out to every member with an eligible share account. The divided amount was based on the length of the account and the average balance of the account for the year. On average, CTCU pays out $32,000 in monthly dividends to its membership; so the bonus divided is the equivalent of an extra two-and-a-half months of dividend payout, the credit union said.
“Our ability to pay out a bonus dividend for the third consecutive year to our members is a testament to the sound lending decisions and efficient operation that has kept us a strong, secure and reliable organization,” said CTCU CEO Tim Miller.
The largest individual bonus dividends distributed this year was more than $1,100.