In short, dividends are Provincial Credit Union’s profits returned to members based on a member’s share. When you open an account with Provincial Credit Union, you get a free share account. The share account is your membership account, and members maintain a minimum balance of $5 in this account. The more money in your share account, the higher your dividend return.   

Members of Provincial Credit Union are part owners and therefore can receive a portion of profits through dividend payments. Profits of traditional banks, on the other hand, go to shareholders who may or may not have their money at that bank. This approach of paying members through dividends ensures that members share directly in the profit of Provincial Credit Union. Dividends reflect Provincial Credit Union’s cooperative model; when Provincial Credit Union succeeds, members benefit directly. 

Calculating Dividends 

At Provincial Credit Union, dividends are calculated based on Provincial Credit Union’s financial performance and are paid based on the value of the member share. Shares act like a savings account, so the more you have, the greater your dividend will be. Provincial Credit Union’s board of directors decides the dividend rate on an annual basis. 

Along with a share account, which offers returns through dividends, Provincial Credit Union offers a variety of savings accounts and products that provide interest returns on investment. To learn more about interest and dividends and what will work best for your financial situation, contact a Financial Services Officer at your local branch.