Goldenwest Credit Union, Ogden, Utah, on Wednesday said it will return $1,750,000 to its members in the form of a bonus dividend.
The $1.4 billion CU noted it has paid a bonus dividend for 14 consecutive years, counting the 2017 return, for a total of $11,225,000.
This year’s dividend will be paid on Dec. 31, after the board of directors approved the payout at the recent November meeting.
The CU said a one-time dividend of 4.2 percent Annual Percentage Yield will be paid on primary shares, secondary shares, Christmas Club shares and IRA shares. Based on the average daily balance of shares during 2017, the bonus dividend will be paid for the month of December only. The one-time dividend is paid in addition to the monthly dividend, which was declared by the Board at 0.10 percent APY. The total dividend paid for the month of December will be 4.30 percent APY.
According to a statement released by Goldenwest, bonus dividend yields have varied from year-to-year in relation to market conditions and the overall performance of the CU.
“Fourteen years ago, the board of directors voted to return a significant portion of the credit union’s earnings back to our member-owners in the form of a bonus dividend,” said Bill Hart, chairman. “Since that time, it has become a point of focus for the board to provide a higher dividend at the end of each year. We believe the bonus dividend program is an important part of the credit union’s mission of a financial cooperative.”
“2017 has been a remarkable year for Goldenwest, with record financial performance in lending and insurance services,” said Kerry Wahlen, president and CEO. “With more loan and insurance experts on staff to better serve members, our loan portfolio exceeded $1 billion, and our insurance division has surpassed $50 million in premiums.”
Wahlen said Goldenwest continues to be “well-positioned” to meet the needs of its growing membership after the merger with Healthcare Credit Union, the addition of a health insurance brokerage and the opening of three branches featuring Personal Teller Machines in the past year.
“Goldenwest has invested in product offerings and technology upgrades to provide members with the resources they need to succeed wherever they are in their financial lives…from young people just getting started to mature individuals enjoying retirement, and everyone in between,” Wahlen said.