Increased dividends and increased ISA returns

An increased annual dividend for savers with Police Credit Union was agreed at the Annual General Meeting in Birmingham on 12 January 2012, together with an improvement in the Cash ISA return for the first half of the current tax year.

The dividend for easy access Rewarder and Youngster accounts for the year ended 30 September 2011 was agreed at 2.4%, which is  a 0.1% increase on the previous year. The rate is highly competitive against comparable High Street accounts and the increase comes at a time when increased returns on savings are not the current norm for banks and building societies. The rate is applied to all balances for the whole year on a daily calculated basis and is not subject to the reduced rates and/or removal of bonuses seen so often during a year with high street providers.

The dividend will be added to all eligible accounts over the weekend and will appear on accounts on Monday 16 January 2012.

The rate return on Cash ISAs for the first half of the current tax year was agreed at 2.7%, which is 0.2% above the advertised rate. Again, unexpected and unadvertised bonuses are are not a feature of High Street providers. The decision about the rate for the second half of the current tax year will be determined by the Board in February 2012 and advised on the website and in personal correspondence to be sent to all Cash ISA account holders.

Apart from increased returns to savers, PCU was able to add a record amount to reserves and now maintains both required ratios well above the minimums set by the Financial Services Authority.

The formal annual accounts were approved and all directors standing for election/re-election were successful. Two new directors were elected. The annual accounts will be posted on this website in the very near future. All motions and Rule changes proposed were passed.