Grand Forks Credit Union announces over $1 million in member dividends
By Contributor
Based on earnings in 2010, the Board of Directors of Grand Forks Credit Union (GFCU) announced 10% patronage resulting in more than $1,000,000 in profits distributed back to their members. “This is another distinction between us and other financial service providers,” explained Kelly Thomas, CEO. “When the surplus earnings are achieved, we put money back into the households of our members. Every time our members choose to have more of their business with us – whether that be a mortgage, a super chequing account or a term deposit – it makes a difference to our bottom line, the members’ bottom line, and the community’s bottom line.” A borrower paying 4% on a mortgage would see the rate effectively reduced to 3.60% for the previous year, while a depositor receiving 1.90% on a term deposit would see a return of 2.09%. A borrower with a $100,000 mortgage in 2010 paid approximately $4000 in interest; 10% Patronage will generate a $400 rebate. A depositor with a $100,000 term deposit earned about $1900 in interest; 10% Patronage will generate $190 bonus interest. Patronage is directly deposited into member accounts. “When Grand Forks Credit Union does well financially, it is important our members share in our success because they get the credit for bringing their business here,” stated Michael Strukoff, Board Chair of GFCU. “We had a historically profitable year and were able to share the profits with individual members as well as our communities in order to make an even greater impact. In 2010, we provided $30,000 to the Boundary Country Regional Chamber of Commerce for the sake of enhancing the power and presence of our local businesses and another $30,000 for a Permanent Heritage Exhibit at the Grand Forks & District Arts & Heritage Centre to ensure the story of our Boundary area is told and presented in a professional manner.” Since 1990, GFCU has distributed approximately $9 million to members as part of their profit sharing philosophy. GFCU members will receive a letter in February confirming their Patronage deposit.
This letter also provides the opportunity to designate the patronage amount be donated to the Phoenix Foundation of the Boundary Communities. Anyone can become a donor with any amount. For more information on how you can give to our local Foundation toward building a better Boundary, check out their website at www.phoenix-foundation.net.
