Coastal Federal Credit Union announced the launch of their new VIP Program on January 25, 2012 as a new initiative aimed at paying qualified members a special dividend of $1.5 million. The payout was prompted by Coastal’s continued commitment to give back to its members who actively participated in the cooperative over the past year, making it one of the most significant initiatives in Coastal’s 45-year history. This latest contribution added to their already notable position as a leading innovator within the credit union industry.
The VIP Program was designed to reward members who have their primary checking account at Coastal with special benefits and exclusive offers. Members qualified for the VIP Program by performing 144 withdrawals from their Coastal checking accounts during 2011. Among the program benefits, members had the opportunity to earn Loan Rebate Dividends and Deposit Bonus Dividends, which ranged from $100 to $500. The special dividends were earned by being a VIP member with either two or more loan types, or two or more deposit types.
“It’s a way of showing our appreciation to the members who bring their core financial relationships to Coastal...” said Chuck Purvis, Coastal’s Executive Vice President and Chief Operating Officer. “Our record earnings opened up the opportunity to pay members substantially, and as cooperative, we’re able to reward members for their participation.”
The $1.5 million dollar payout was a result of Coastal’s prosperous 2011 financial year. This was the second consecutive year Coastal’s net income increased, adding to their overall profitability by 153.7% to $24.4 million. The credit union’s net worth ratio also improved to 9.03% fueled by the credit union opening more than 11,000 new checking accounts and 1,300 mortgages.