Some Federal Employees Credit Union members found themselves with a little extra money in their accounts, thanks to the credit union’s recent unprecedented loan interest rebate.
Federal Employees CU refunded members 10% of interest they paid on loans from January, 2019 until September, 2019, placing the money into their share accounts. In total, the credit union rebated about $45,000.
Federal Employees Credit Union CEO and Manager Greg Keller said the refund wasn’t something for which leadership had originally planned or budgeted. It just felt like the right thing to do.
“It was a conscious decision made among management,” Keller said. “Our capital is about 20%. That is a sufficient level. So when we made money this past year, we decided to give back to our members rather than to buy more capital.”
He said he feels the decision harkened back to the “people helping people” message celebrated by the credit union industry.
“Why add more to capital when we can give money back to the people who helped us make it,” Keller said. “We wanted to give back to our members and we were glad to be able to do that.”