$6.2 Million Across the Carolinas Shares $467 Million in Employee Benefits | 2022-03-04
Carolinas Credit Unions provide citizens with the best value for personal financial services according to economics and CUNA statistics, providing estimated benefits of $467.2 million among 6.2 million members in the Carolinas in the twelve months ending September 2021. The figure equates to an average direct benefit of $75 per member and approximately $156 per member household.
Details of the North Carolina Member Benefits Report for Q3 2021 and South Carolina Member Benefits Report for Q3 2021 include lower average credit union interest rates on new and used auto loans, unsecured loans and credit card balances, higher savings returns on deposit accounts and fees lower than banks.
Among nonprofit co-ops, a 60-month new car loan rate averaged 3.04% at a NC credit union, compared to 4.48% at a NC bank. The average rate for a similar loan at an SC credit union was 2.75%, compared to 4.07% at an SC bank.
These terms mean a borrower would save about $185 in interest annually when financing a $25,000 new vehicle through a credit union, or up to $975 over the life of the loan.
Average mortgage closing costs in both states were $210 less through credit unions than through banks, and credit card late fees averaged nearly $10 less in the credit unions.
“Consumers are ready to move forward, assessing opportunities to build for the future or reduce the cost of home and auto purchases,” said Dan Schline, president and CEO of the Carolinas Credit Union League. “By providing value to essential financial services, credit unions help people keep more for their own benefit, including supporting other local businesses or charities. Member-owned community institutions are a smart choice for everyone in the Carolinas. »
Member-specific benefits vary by facility and member, especially for those in long-term, multi-department relationships. SAFE Federal Credit Union (Sumter, SC) announced on January 5 An additional $1.5 million among members through 8% bonuses on deposit accounts and 3% rebates on loan interest paid in 2021. On Monday, Coastal Credit Union (Raleigh, North Carolina) announced issued more than $4.1 million in special dividends, bringing its 2021 return to members total $41.6 million and an average of $139 per member.
“A big part of being a local co-op is that at the end of the year we don’t pay out dividends to Wall Street investors,” said Coastal President and CEO Chuck Purvis. , in credit union announcement. “Instead, that money stays here in our community, and we reward members who choose to do business with us every day.”
The positive results follow year-over-year increases in real personal income per capita to the 70-year high in the first quarter of 2021: 14.3% in NC according to the Federal Reserve Bank of Richmond February 2022 Snapshot (NC)and 13.9% for South Carolinians, according to FRB-Richmond February 2022 Snapshot (SC).