DEARBORN, Mich. –DFCU Financial, the one-time auto workers credit union, announced a $21 million special patronage dividend this morning, the biggest ever for credit unions.
The $3 billion credit union has paid members $110 million in bonus dividends over the past six years—an average of $18 million a year.
In the Ann Arbor area, close to 7,000 people will receive the dividend on January 4; 5,000 in Grand Rapids; 3,000 in Lansing; and 70,000 in Metro Detroit.
"People are still struggling in our area so instead of raising fees, we’re putting more money in members’ pockets,” said Mark Shobe, president of Michigan’s largest credit union. “The cash payout to members is our way to thank them for choosing DFCU Financial as their primary financial institution.”
The payout to members is calculated based upon the member’s total relationship with DFCU Financial -- the greater the relationship, the larger the dividend. Qualifying members receive a one-half percent (0.5%) dividend on their average loan and deposit balances, with each eligible member receiving at least $50. This includes all savings accounts and loan balances.
To celebrate the credit union's sixth consecutive special patronage dividend, DFCU Financial is giving away an additional $25,000 during a Double Your Dividend promotion. Twenty-five qualified members will be randomly selected to double their dividend up to $1,000.
Eligible members will receive automatic electronic entries to Double Your Dividend every time they make a deposit of $100 or more, open a new account or credit card, or close on a loan. Double Your Dividend began November 1, and ends December 23.
The one-time Dearborn Financial FCU, which was chartered to serve Ford auto workers, reported a $33 million net for the first three quarters of the year.
