We Share Our Earnings.
Alabama Farm Credit passes its earnings along to members in the form of a patronage check. Every borrower receives a part of the association's profits. Historically, we have given back about 60% of our profits in patronage.
Patronage FAQs
What is a Patronage check?
A check that is a share of Alabama Farm Credit’s earnings each year. The distribution of earnings is a benefit of membership in our co-op.
How is the amount of my Patronage check determined?
Each check amount is based on the average outstanding balance of each member’s loans.
Can my Patronage check be direct deposited? Or does it have to be a physical check?
Patronage checks cannot be direct deposited, and all will be distributed via physical check. This is an annual ritual for our branches that we enjoy!
Why don't all lenders send a check like this?
We’re a cooperative, and this is a benefit for our members.
Who receives Patronage checks?
Patronage members are those with certain types of loans with Alabama Farm Credit and those loans must be in good standing.
Members Receive Patronage Checks
"As a co-op our best kept secret is our patronage checks. We love giving a percentage of our profits back to our members. It’s rewarding for our members to get that money back, but it’s also rewarding for us as employees of Alabama Farm Credit.”
— John Christopher Batts, Tuscumbia Branch Manager
What is voting stock?
Members who obtain a loan at Alabama Farm Credit purchase voting stock at loan closing. The vote gives you a voice in matters at our Annual Meeting, in accordance with the Farm Credit Act, regulations by the Farm Credit Administration and rules in Alabama Farm Credit's bylaws.
In what form is my stock issued?
Your association issues a receipt for stock and participation certificates at the time they are issued. Ownership of the stock or participation certificates is recorded on the books of the associations.
