As credit unions are mutual organisations, we pay a dividend on our members savings instead of interest. This is because our members are the owners of the credit union and not just customers. Members’ savings are classed as shares, with each share being eligible for a dividend at the end of the credit union's financial year.
The amount of dividend we pay will depend on the financial success of the credit union that year. Any surplus funds the credit union makes after operating costs and regulatory fees are deducted, are reinvested in the business, to give you better services or returned to our members as a dividend.
The amount of dividend payable depends on the type of savings account you have. The table below shows a record of our dividend rates for the last twelve years.
| Year | Membership Account | Flexi Saver Account |
| 2021 | 0.75% | 1% |
| 2020 | 1% | 1.25% |
| 2019 | 1% | 1.25% |
| 2018 | 1.75% | 2% |
| 2017 | 1.75% | 2% |
| 2016 | 1.5% | 2% |
| 2015 | 1.75% | 2.25% |
| 2014 | 2% | 2.75% |
| 2013 | 2.25% | 3.25% |
| 2012 | 3% | 3.25% |
| 2011 | 3% | N/A |
| 2010 | 3% | N/A |
| 2009 | 3% | N/A |
| 2008 | 3% | N/A |
| 2007 | 3% | N/A |
Dividends are calculated and paid on the basis of “the average minimum daily balance” of your account.
The Board of Directors recommends a dividend to members at the Annual General Meeting. Members can decide to approve the recommendation, to approve a lower amount, or to pay no dividend at all. For that reason, please note that the rates shown are not necessarily a guide to what we can pay now or in future years.
We do not deduct tax on dividends paid, and it is members' responsibility to ensure that they pay any tax due. We are required to report dividend payments in excess of £250 to HM Revenue and Customs.
Some accounts, such as the Christmas Club, are not eligible for dividend payments. Please see the individual terms and conditions for our accounts.