GREENSBORO, N.C.—Credit unions in North and South Carolina, as well as in Wisconsin, are the latest to announce bonus dividends and interest rebates for members.
Members of Premier Federal Credit Union were returned 5% of their interest paid in 2016 on eligible loans as part of the credit union’s annual give-back.
More than 9,400 members received a portion of the $260,710 given back through a deposit to their savings account. Over the past seven years, $1,750,723 has been returned to members in the form of an annual interest rebate, the $178-million CU stated in a release.
“Being a not-for-profit financial cooperative, we are committed to enhancing the benefits of being a member-owner.” said Lori Thompson, president and CEO. “Our philosophy is that of ‘People Helping People’ and we are proud to have helped so many of our members save money and get the things they need through our lending products.”
The decision to give the interest rebate was made by the CU’s board of directors at their November meeting.
“The response from our members over the years has been very positive.” said Thompson. “We are grateful for the opportunity to serve them and the annual interest rebate is our way of saying ‘thank you!’”
Separately, in Sumter, S.C., SAFE FCU said it paid its members $1 million in bonuses and loan interest rebates.
Deposit accounts, including certificates, received a 10% bonus based on dividends received in 2016. Loan accounts (except credit cards) received a 4% rebate based on total interest paid in 2016.
The $1-billion SAFE has paid bonus dividends and loan interest rebates annually for the past 21 years.
In Fort Atkinson, Wis., Fort Community Credit Union has announced it has paid out its second annual Member Loyalty Cash. This 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 $2.9 million to their member-owners.
With the new Member Loyalty Cash Program, 25.77% of its members received over $30.74 this year. With the past program, there had been a much smaller percentage of members receiving the patronage dividend. The new Member Loyalty Cash Program allows for many more members to cash in on the benefits, the CU said.
“As a member-owned financial cooperative, it is a part of our philosophy to return our profits to our member-owners,” said President Susan Johnson. “We are thrilled to have given back to so many members that are actively participating in their cooperative.”