DUBUQUE, Iowa—Credit unions looking for new deposits may want to consider an old-fashioned idea that has worked at one credit union here.
Dupaco Credit Union is reporting that through its popular Holiday Club savings account, a record-setting $5.2 million was saved throughout the year. The funds were paid out Oct. 30 to 5,193 participating member, with the average Dupaco member having saved $1,003.
According to Dupaco, the amount saved was the highest in the history of its Holiday Club, which was created in 1954—and more than $280,000 over the amount saved and paid out last year.
As CUToday.info reported here, the payout came within two weeks of Dupaco members also collecting more than $3.6 million in “Thank Use,” a campaign that pays participating members a bonus cash dividend for using their credit union’s services to boost their financial well-being.
A Holiday Club is traditionally opened in November, with automatic deposits made into the account weekly or biweekly throughout the year. At the end of October, all savings, plus accumulated dividends, are paid out automatically to participating members., Dupaco noted.
The Art of Thrift
Dupaco President/CEO Joe Hearn said through the credit union’s Holiday Club, participants learn the art of thrift and avoid a post-holiday debt burden.
“The habit of systematically saving money is a core principle of Dupaco,” Hearn said. “Thrift by way of a Holiday Club that also earns daily dividends year-round better prepares members when the holidays arrive.”