MADISON, Wis.—Summit Credit Union is reporting it has surpassed its five-year goal to save members $60 million compared to the cost of banking with a Wisconsin for-profit institution, saying it hit the benchmark in only three years.
According to the 2016 CUNA Membership Benefits Report, Summit surpassed the goal in 2016 when the credit union saved its 162,000-plus members more than $24.6 million, creating a three-year total of nearly $62 million.
“In 2013 we set an ambitious goal to save our members $60 million in five years by doing business with Summit over a competitor, so meeting it two years early is very exciting. Empowering our members to achieve the life they want is a huge focus for us,” said Summit CEO and president Kim Sponem. “We’re proud to do what we can to help our members save money simply by doing business with us.”
In 2016 alone, Summit said member savings were nearly $297 per member household. The ability to reach the targeted savings goal years in advance highlights the valuable benefits Summit creates for its members. For example, the report found that financing a $30,000 new automobile for 60 months at Summit will save members an average of $171 per year in interest compared to the cost at a Wisconsin bank, totaling about $855 in savings over five years, the credit union reported.
The CUNA report, released annually on behalf of participating credit unions, also found that Summit Credit Union provides members lower rates on products like first mortgage fixed rates, home equity lines of credit and credit card loans. The credit union also pays members higher dividends on savings and shared checking accounts, along with IRAs.
In addition to helping members save on interest and fees, Summit noted it also rewards members through its patronage dividend program, “Cash Boomerang,” which offers members a cash payback based on the amount they save and borrow with the member-owned financial cooperative. Approved by the board of directors for the last three years, Summit’s Cash Boomerang payout totaled $1.9 million in 2016.
The $2.7-billion Summit CU has 162,000 members.