Holiday Club Savings Account

The difference between the Dividend Rate and APY (Annual Percentage Yield) lies primarily in considering compounding. Here’s a breakdown:

Interest Rate

• Definition: The interest rate is the nominal rate at which interest is paid on the principal amount.
• Compounding: It does not account for how often interest is compounded. It is simply the rate without considering the effects of compounding within the period.
• Usage: Often quoted as an annual rate, but it can be applied over different compounding periods (monthly, quarterly, etc.).

Dividend Rate

• Definition: Similar to the interest rate, but typically used by credit unions or certain investment accounts to describe the rate paid on deposits or investments.
• Compounding: Like the interest rate, it does not account for the compounding frequency.

APY (Annual Percentage Yield)

• Definition: APY reflects the total amount of interest earned on an account in a year, accounting for the effect of compounding interest.
• Compounding: It includes the effects of compounding interest. Which means it shows the real return on investment or savings over a year.
• Formula: The formula for APY is:

  APY = (1 + r/n)^n - 1

  Where r is the nominal interest rate, and n is the number of compounding periods per year.

Dividend Rate vs APY Example

Interest Rate/Dividend Rate: If a savings account offers a 5% interest rate compounded monthly, the nominal rate is 5%. APY: When considering the monthly compounding, the same account will have an APY slightly higher than 5% because the interest earned each month also earns interest in subsequent months.

Key Differences

• Compounding Effect: APY incorporates the effect of compounding, whereas the nominal interest/dividend rate does not.
• True Earnings: APY provides a clearer picture of the actual annual earnings from an account or investment.
• Comparison: APY is a better metric for comparing different financial products as it standardizes the impact of compounding across different offers.

In summary, while the interest rate or dividend rate gives you an idea of the annual rate of return without compounding, the APY gives you the actual yearly return, considering the compounding of interest.

Gone are the days when you had to visit a branch to deposit your checks. With People Driven Credit Union’s mobile check deposit service, managing your finances becomes a breeze. This technology, known as remote deposit capture, lets you deposit checks from anywhere by simply snapping a picture with your device.

How Mobile Check Deposit Works:

1. Set the Stage: Place your check against a dark background to ensure all details are captured clearly due to the contrast.
2. Sign and Specify: Endorse the back of the check and write “For Mobile Deposit Only to PDCU” along with your clear signature and account number to streamline processing.
3. Open the MyPDCU App: Log in and select "Deposits."
4. Enter the Check Details: Enter the check amount and select the account where you want to deposit it.
5. Capture the Check Images: Place the front of the check within the phone's frame and tap the screen to capture an image. Repeat for the back of the check.
6. Verify the Deposit: Check your transaction history in the app to ensure the deposit was successful.
7. Secure Disposal: After confirming the deposit, cut up the check to secure your personal information. Dispose of the pieces separately.

The check will be deposited into the requested account and become available according to our standard check processing timeline. Past deposits can be viewed in the app.

For additional details, please visit our website at peopledrivencu.org/amazing or contact us if you have questions.

Embrace simplicity and security with our digital banking solutions. At People Driven Credit Union, we're here to make your financial management effortless.

Please give us a call at 248-263-4100 or toll free at 844-700-7328 and speak with a representative to assist you.

iTalk Telephone Teller is a free telephone banking service. Check your account balances, see if a check has cleared, transfer money between accounts, check your loan balance, make loan payments from checking or savings, or request a statement be mailed to you, etc.  Please dial us toll-free at 844-700-7328 or call us at 248-263-4100 and choose option 1.

To make a mobile deposit to your PDCU account using your smartphone, log into your MyPDCU app or the MyPDCU online banking portal and click on "Deposit." Enter the check amount, click "Continue," and select which of your accounts (if you have more than one) you want to make the deposit to. Sign your check, write "For Mobile Deposit Only at PDCU", and include your PDCU account number. Follow the instructions provided in the app to capture an image of the front and back of the check.

Anything deposited over $2,500 will be reviewed by the credit union and will not show in your account right away. Check limit is $25,000. All deposits are subject to holds.

Securely store the original check for 7 business days after the deposit. Verify you check has been credited to your account. After 7 business days, destroy the original check by marking it "VOID" and shredding it.

YES! Depending on your browser, once you have opened your statement you may see icons on the top corner for downloading and printing.  You may also right click on your mouse and choose ‘save as’ or ‘print’.

We suggest using a password only you would know. Do not save any passwords on devices that are not yours. Use facial recognition or thumbprint recognition on your private devices.

When preparing your tax return, you are asked to include the amounts of interest earned on your accounts. If your account earned $10 or more in the calendar year, a 1099-INT will be issued. 1099-INTs are typically mailed to you by the end of January in the new year. You can also access this in online banking; click the E-statement tab and choose ‘Tax statements.’

There is a $1 per month charge for mailed statements unless you are under 23 years of age or are a Senior Power Pack member.

PDCU has partnered with GreenPath Financial Wellness to help our members get back on track with their finances and credit. Please call GreenPath at 877-337-3399 and let them know you’re a PDCU member and would like to make an appointment with a rep!

We are sorry to hear you’d like to close your account at People Driven Credit Union.  Please let us know if there was anything we could have done to make your experience better. Please give us a call at 844-700-7328.

PDCU's routing number is 272484988.

All members are given a membership card when the account is initially opened. Please stop by a branch or give us a call at 248-263-4100 or 844-700-7328 and that information can be mailed to you.