Understanding how your savings grow at Northern Community Bank
When you save with a high street bank, you usually earn interest. But at Northern Community Bank, we do things a little differently.
Instead of offering a fixed interest rate, we share our success with our savers by giving you a share of the profits, a way of saying thank you for being part of our community.
So, what’s the difference between earning interest and receiving a share of the profits? And how does it benefit you?
Let’s take a closer look.
What Does “A Share of the Profits” Mean?
At the end of each financial year, if we’ve any money left after the community bank’s running costs, we share it with our account holders who are eligible based on how much you’ve saved with us.
It’s our way of rewarding you for saving and supporting your local community.
This share of the profits is recommended by our Board and voted on at our Annual General Meeting (AGM). If approved, it’s paid directly into your savings account.
Unlike banks that pay dividends to shareholders, we return our success to the people who matter most – you.
What’s an Interest Rate?
An interest rate is a percentage that banks use to calculate how much they’ll pay you for keeping money in your savings account.
It’s usually set when you open the account and might be fixed or variable. You receive interest regularly, whether or not the bank has had a successful year.
So, What’s the Difference?
| A Share of the Profits (NCB) | Interest (High Street Banks) | |
| How is it earned? | From Northern Community Bank’s surplus | From a pre-agreed interest rate |
| Who receives it? | Eligible account holders | Savings account customers |
| When is it paid? | Annually (after approval at the AGM) | Monthly or annually, depending on the bank |
| Is it guaranteed? | No – it depends on our performance | Yes – as long as the interest rate applies |
| Is it fair? | Yes – based on how much you’ve saved | Varies depending on the account |
Why Do We Use This Approach?
Because it reflects what we stand for.
At Northern Community Bank, we don’t answer to shareholders, we answer to our account holders. So, when we do well, we make sure you benefit too.
It also means your savings help fund affordable loans for people in our community, supporting local people, not big profits.
What Did Savers Receive Last Year?
Each year is different, but we’re proud that our account holders have received competitive shares of the profits, sometimes better than what high street banks offer through interest.
You can check our latest AGM report or speak to a member of the team to find out more about recent payouts.
A Fairer Way to Save
Saving with Northern Community Bank is about more than just money, it’s about community, fairness, and doing good together.
- Your savings stay safe
- You help others by funding affordable loans
- You get rewarded when we do well
Have a Question?
Want to understand more about how your savings grow with us, or how we calculate your share of the profits? Just ask. We’re always happy to help.
You can always talk money with us.
