Golden 1 CU Surprises Members With $20 Million Bonus

Golden 1 Credit Union of Sacramento, Calif., surprised its more than 1 million members this week by slipping a special dividend of $20 million, or about $19 per member, into their savings accounts.

President/CEO Donna Bland said the deposits were a way of thanking members “in a very real and tangible way.”

“Golden 1 Credit Union has been a member-focused organization since day one, and we have an unwavering commitment to invest in those who invest in us,” Bland said. “We thrive today because of their continued loyalty.”

The giveback was revealed Tuesday morning when Golden 1 encouraged members to check their savings accounts. All eligible members received a supplemental dividend of at least 25% of their total dividends received this year.

The special dividend shaved about 16 basis points from its returns on average assets over the 12 months ending Sept. 30.

Net income for the 12 months ending Sept. 30 was $114.6 million, 19% more than it earned in the previous 12 months. Its return on average assets was 0.93%, up 10 basis points.

Golden 1 is the nation’s 7th-largest credit union, based on its $12.9 billion in assets as of Sept. 30. Its ROA was about on par for all credit unions, but lower than the average 1.22% ROA for the Top 10 credit unions for 12 months.

Golden 1 last surprised members with a supplemental dividend in 2014, when it returned $18 million, or about $26 per member. The credit union ended 2014 with 701,479 members and $8.8 billion in assets.

Over the last several years, Golden 1 said it has awarded $2.7 million in college scholarship funds, provided $3.2 million in grants to local nonprofits that support foster youth and literacy, and donated more than $350,000 to food banks that feed families and individuals in need.