LANSING, Mich. (8/19/14)--The Michigan Credit Union League board this month approved a 50% rebate on membership dues for its member credit unions, the fourth year running it has approved returning half the cost of being a member of the league (Michigan Monitor Aug. 18).
David Adams, league president/CEO, says the league, which has provided discounted membership dues to its members since 2009, can offer rebates for a variety of reasons.
"First, because our membership and policymakers have given us a license to build our member net assets reserves, we have a strong base of capital for investment," Adams said, adding that the better the league's investments perform, the less it must rely on dues for revenue.
Second, Adams said, the league has been able to provide rebates thanks to the success of its CU Solutions Group (CUSG), of which it owns 67% of the earnings.
"CUSG is again enjoying a very profitable year in 2014," the league said in a press release. In fact, the investments have performed well enough that the league has adopted the strategy of running its operation at a deficit.
Credit unions will have several options for using the money, according to the league. They can keep it to help their own budgets, contribute it to help fund the league's political engagement, help fund cooperative advertising or provide funding to the Michigan Credit Union Foundation.
No matter where the money is allocated, it will go "to good use supporting the good work you do at your credit union every day," Adams said.