The SOBACCUL business model is to provide members a safe place for their savings and deposits with a fair return. These funds are then in turn lent to members who are in need of borrowing. Those funds that are not lent to members can be placed in other investments. SOBACCUL will set its loan rates to be priced at a fair value to borrowers according to market conditions. SOBACCUL loan rates may at times be below market to ensure that SOBACCUL members choose their credit union when considering their financing needs. Likewise, share rates will provide fair value to SOBACCUL members according to market conditions. Above market rates would only be offered when SOBACCUL needs to attract additional deposits for the funding of loans.
SOBA Coop Credit Union will continue to compete for our members’ business on the basis of the brand positioning of “Best Value Guarantee.” In essence “Best Value Guarantee” means that SOBACCUL Credit Union will provide a value equal to or better than other financial services providers that have a physical presence in our local market, while serving as a trusted resource for our members.
For our Savings members, SOBACCUL will pay a fair return on member deposits according to the account type and market conditions. SOBACCUL will be transparent with members when describing account attributes. SOBACCUL will provide sound advice to our members’ relative to their account options, looking at what is in the best interest of the member and not necessarily what is in the best interest of the credit union’s income statement or balance sheet. SOBACCUL will also provide investment alternatives through its Investment Center when appropriate, which gives members additional financial options based upon their risk tolerance. SOBACCUL understands that the largest contributors to household wealth since the early 1990s have been stocks, mutual funds, insurance values, and pension reserves.
For our Borrowing members, SOBACCUL will provide consumer loans, real estate loans, member business loans, and educational loans that serve our members’ best interests. SOBACCUL will provide sound borrowing advice to help our members choose the appropriate and affordable borrowing options in accordance with each member’s financial needs. SOBACCUL loan products will be fairly priced and the credit union will be transparent when disclosing loan costs and fees. SOBACCUL will treat borrowers who fall behind on loan obligations fairly, treating members with dignity and respect with the ultimate goal of returning the borrower to a better financial position. The credit union will seek all reasonable avenues of repayment assistance, recognizing that loans are made from deposits belonging to other members and thus ultimately need to be repaid.