This is the main Service offered by PECCU. A shares account is a pre-requisite for membership. It opens access to all available services.
The Minimum balance is Rs.100. Shares are dividend-bearing. Dividends are paid yearly based on surplus and computed on the number of shares held. The appropriation of the surplus is decided at the Annual General Meeting by members.
Shares can be withdrawn on request in whole or part at any time. It can also be used as security for loans.
Loan
PECCU provides loans to its members of up to 1 million rupees for provident and productive purposes. Loans are granted based on the number of shares held by the borrower.
The maximum repayment period is 200 months and the rate of interest applicable is 0.70% on the monthly balance.
Loans up to Rs. 700,000 can be secured by the signatures of co-members. shares also can be used as security for loans .
Members who own real estates and members who are authorised by another person to use his real estate as security for their loans can create a fixed charge in favour of the Credit Union and be eligible for loans up to 1 million rupees.
Borrowers can recast their loans after having settled at least 12 instalments or half of the total number of instalments whichever is lower.
Christmas Savings
The Christmas Savings Scheme has been introduced with the objective to further promote the savings culture among our members. This goes in line with the philosophy of Credit Unions. The scheme has known quite a bit of success with a constant yearly increase in the number of members subscribing thereto.
It inspires members to plan for expected recurring expenses such as the purchase of school materials and uniforms, payment of insurance premiums, end-of-year gifts to kids and beloved ones, etc.
Open to all members. Start at the End Of November every year.
Payment is effected by the end of November of the following year.
The interest rate payable is actually 2.5% yearly on the balance held at the end of the year.
I Save
This Scheme is reserved for children of members.
The age limit is 18 years.
Interest is decided at AGM.
No withdrawal is permitted.
OBJECTIVE
Over-indebtedness is the ill of modern society. Awareness of thrift and money management should start at a tender age so that citizens of tomorrow would be better prepared to wisely manage their earnings. With this end in mind, as an integral part of the educational strategy of the Society, the iSave plan has seen light.
AIMS
• To educate our offspring to learn about thrift and money management
• To provide our kids with an opportunity to understand the importance of managing their money and to gain knowledge of different financial products at an early age
• To educate the youngsters on how to make sound financial decisions throughout their lives
• Allows parents to open a savings account with a modest amount
ADVANTAGES
• Better returns on investments in comparison to Banks
• Gives the young account holders a sense of personal identity
• Compounded interest
• No charge on minimum account balance as practised by banking organisations
• No charge on inactive accounts
• Children on attaining majority will automatically become members of the Society and benefit from all facilities of the Credit Union. Accumulated savings will be transferred to the account of the incumbent member.
• No limit on number of small deposits