SIOUX FALLS, S.D.–Credit unions in South Dakota, Arizona and Montana have announced bonus dividends and loan interest rebates for members.
Sioux Falls FCU is returning $1 million to its members as part of a year-end giveback. The funds are going to borrowers.
“If you borrowed from us this year, if you had a loan with SFFCU and you paid us interest on that loan, we’re going to give you some of that interest back,” said President and CEO Fran Sommerfeld.
This is the second year of the “One Million Thank Yous” campaign conducted by the $278-million credit union.
Sommerfeld said the objective is to support its mission and to build trust and relationships.
“Because our members are so loyal to us, and they continue to support their financial cooperative,” we’re just going to give it back,” Sommerfeld said.
SFFCU has approximately 29,000 members.
A Plus Payout
In Phoenix, Arizona Federal has announced an end-of-year bonus through Plus Payouts, the credit union's revenue-sharing program. The $6.5-million payout, the largest in the program's six-year history, brings the total paid to members to more than $36 million.
"Plus Payouts is Arizona Federal's unique way of returning excess capital to our members, who are the reason why we exist," said Ronald L. Westad, president and CEO, in a statement. "When our members turn to us for their financial needs – like loans, savings, credit cards, insurance and car buying assistance – it adds value to the credit union. Through Plus Payouts, we're able to reward members for their active participation."
To be eligible for Plus Payouts, members had to complete an average of 10 or more transactions on their accounts each month. In addition to the base payout, some members also received a loan interest refund and bonus dividend.
Beginning in 2019, Arizona Federal said it has modified the Plus Payouts program to make it even easier to qualify. Members with a Checking Plus Account will be automatically eligible for a year-end bonus dividend and a loan interest refund, with a qualifying loan or credit card account.
Bonus in Montana
Separately, in Sidney, Mont., Richland FCU said it is paying a $250,000 bonus dividend to its members.
“It’s the cooperative philosophy of giving back to the membership,” said Kevin Mayer, manager/CEO of RFCU in a statement.
Mayer said members will receive about a 4% dividend.
The $86-million Richland FCU has approximately 5,000 members.