It Pays to Partner!
GreenStone is a cooperative which means when our members are successful, we’re successful. One significant value of our cooperative is the return of a portion of our annual earnings each year to our members in the form of Patronage checks. That’s right – money right back in the pockets of our members!
This year, GreenStone’s board of directors approved another $120 million dollars to be returned to our members, meaning over the life of the Patronage program GreenStone will have returned over $1 billion in dividend check to members! This is a direct result of the success of our members, the relationships we’ve built with you, and your trust in GreenStone.
Returning over $1 billion total back to our members is a huge milestone we couldn’t be prouder of. Through millions of handshakes, smiles, conversations around the kitchen table with our hard-working members, this billion adds up to more than the dollars returned. A few of your board members took the opportunity to share their perspective of what that $1.08 billion means to them!
Gene College, Appointed Director
“A billion dollars - if every employee conversation about how to serve our customers more effectively was worth $1,000, that makes one million thoughtful dialogues!”
Michael Feight, Lenawee County, MI
“A billion dollars of Patronage. A true sign of how a cooperative was designed to work. The staff at GreenStone is doing their part to help you realize your goals that move from generation to generation.”
Dave McConnachie, Sanilac County, MI
“Owners of the cooperative know what a billion dollars in Patronage returns means to their farms. As a director, I know it’s a direct response of the health of GreenStone. And I’m confident the next twenty years will be even better.”
Dale Wagner, Manitowoc County, WI
“Returning a billion dollars of Patronage to our members is an impressive milestone. However, to me what’s even more important is the effort put in by every employee and member borrower to do their job well, to operate their business efficiently and to work together as a team so we all can be successful. This is why, as a GreenStone director, I would like to offer a billion Thank Yous.”
As a financial cooperative, it is necessary for GreenStone to generate strong earnings and maintain adequate capital levels to help ensure we remain a dependable source of credit for years to come, and it’s partnership with our members that allows us to do that.
Patronage is just one of the millions of ways that #PartnershipPays!
FAQs
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How is my Patronage calculated?Your Patronage payment is based on the net interest income earned on your loan by GreenStone in relation to the overall total Patronage paid each year. Therefore, the more business you do with your cooperative, the larger your potential return.
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How much could I receive?
GreenStone’s Board of Directors approves the amount of distribution to be returned to customers each year. In recent years, customers, on average, have received anywhere from .75 percent to 1.25 percent of their average loan balance in a cash payment. For example, if you are paying an annual percentage rate of 8.0 percent on your loan, you could receive a Patronage payment that would reduce your net borrowing costs to 6.85 percent. This average could change on an annual basis, based on the financial performance of the cooperative and the final determination of the Board of Directors as to the distribution amount. Though the intent is for an annual payment, there is always the possibility of no patronage being paid.
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When will I receive my payment?Patronage payments will be distributed during the first quarter of the year, based on earnings from the prior year. On Patronage Day each year, eligible members are welcome to visit their local branch to pick up their check in person. If your Patronage check is not picked up in person on Patronage Day, it will be mailed to you. It’s important for you to realize any cash payment received through the Patronage program is considered taxable earnings and will be reported each year by GreenStone to the IRS. Each January following a year that Patronage payments are distributed, GreenStone will send IRS 1099-PATR forms to customers.
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Who is eligible?Customers eligible to receive the Patronage payment include anyone holding stock or participation certificates with GreenStone. Loan participations purchased by GreenStone and any leasing transactions will typically not be included in the Patronage program.