What is Patronage?

Patronage is a Payment we provide to our membership when the Credit Union does well. We provide a refund calculated on the interest a member has paid on a loan, or a top up interest earned on savings and investments. We pay ½ of the payment in cash to the member’s deposit account and credit the other half to the Member’s Equity Account. In other words, we share our profits with YOU!

What is an equity account?

The equity account is held at the Credit Union in the member’s name. This money stays with the Credit Union and is used for funding Members’ Loans as well as contributing to the overall well-being of the Credit Union. As a regulated financial institution, we have to hold certain levels of Capital. Equity Accounts contribute to that calculation. The higher our capital grows, the higher the Patronage we can give back to the members. Radius pays interest at the end of each year on all Member Equity accounts. The rate paid is determined by the highest rate that year on investments, and either matches or exceeds.

It pays to be a Radius Credit Union Member!