The Credit Union difference: How dividends work
What it means to be a Member
When you open an account with Abound Credit Union, you don't become a customer, you become a Member. This distinction matters because, as a Member, you hold an ownership stake in the Credit Union. Unlike traditional banks, where earnings go to outside stockholders, credit unions return their earnings directly to Members. One important way we do this is through dividends.
How do dividends work?
Dividends are your share of Abound Credit Union's earnings, paid to you based on your deposit balances. When you keep funds in qualifying accounts, such as our Savings, High-Yield Savings, Individual Retirement Accounts (IRAs), Certificates, Money Market and Savvy Money Market accounts, you earn dividends. You can always check the current deposit rates for these accounts here.
Here are a few ways to maximize your dividend earnings:
When you open an account with Abound Credit Union, you don't become a customer, you become a Member. This distinction matters because, as a Member, you hold an ownership stake in the Credit Union. Unlike traditional banks, where earnings go to outside stockholders, credit unions return their earnings directly to Members. One important way we do this is through dividends.
How do dividends work?
Dividends are your share of Abound Credit Union's earnings, paid to you based on your deposit balances. When you keep funds in qualifying accounts, such as our Savings, High-Yield Savings, Individual Retirement Accounts (IRAs), Certificates, Money Market and Savvy Money Market accounts, you earn dividends. You can always check the current deposit rates for these accounts here.
Here are a few ways to maximize your dividend earnings:
- Choose accounts with higher dividend rates, like our High-Yield Savings, Money Market or Certificate Accounts.
- Maintain higher balances in your dividend-earning accounts.
- Leave your dividends in your account to benefit from compound interest, which helps your earnings grow faster over time.
Member and Community Focused
As a not-for-profit cooperative, your success is our success. Your role as a Member-owner allows us to offer lower loan rates, higher dividend returns and reduced fees-benefits that extend not just to you, but also to your neighbors. We reinvest our earnings back into our Members and the community.
Credit unions worldwide share the same philosophy of "people helping people." We prioritize you as a Member. Our earnings are returned to you through better dividend rates, lower fees and ongoing investments in technology and services, because your financial success is our top priority.
