EAU CLAIRE, Wis.—The $1.5-billion Royal Credit Union is increasing savings rates on its basic savings accounts from .15 APY to .40APY.
The credit union said it is making the move primarily as a means of giving back to its members.
“If our members trust us with their savings, that’s their future,” said CFO Jon Hehli. “We think that’s worth something. That’s why we’re getting out ahead of the Fed and giving our savings rates a nice boost, now.”
Royal CU noted that since 2012 it has made a number of moves to not only keep deposit rates high and loan rates low, but also to reduce fees across the board. In that time, Royal has reduced approximately $4.5 million in member fees.
“Some of the changes we’ve made have been called crazy by other financial institutions,” said Rudy Pereira, president/CEO, in a released statement. “And maybe they are! However, as an organization, we’re driven by our core values – and one of those values is to do the right thing. It’s the way we want to do business, and we have the opportunity to do the right thing for our members with this savings rate increase.