Frequently Asked Questions
In general, eligible patronage recipients include holders of Class C Common Stock and Participation Certificates with or for whom the Association conducts patronage business during the year. Please note certain exclusions apply. Contact your relationship manager with any questions regarding your eligibility for patronage.
Patronage will be distributed to the primary borrower of the account.
For standard customers, ACH payments will be distributed on March 21. Patronage checks will be mailed on March 28.
Please note: Participation customers will receive an email from their relationship manager noting the full amount of combined AAC and Participant patronage in April. These customers will have checks mailed or ACH initiated on April 20.
Yes. Cash patronage distributions are taxable as earnings. We will send your IRS Form 1099-PATR for each year patronage is paid no later than January 31 of the subsequent year. For example, the IRS Form 1099-PATR for your 2022 patronage payment will be sent in January 2023. Consult your tax advisor about your specific situation.
For two reasons: one, because federal regulations prohibit us from charging below-market interest rates. And two, as a cooperative, ensuring we maintain our financial strength year after year positions us to serve our customers going forward, regardless of the ups and downs of their industry.
ADDITIONAL PAYMENT METHODS & DETAILS
This year, customer relationship teams will not be delivering checks to ensure our customers receive their payments efficiently. Customers will receive patronage via ACH or mailed check.
All eligible customers will receive a patronage distribution in the form of cash (either check or ACH), as approved by the Board of Directors. This gives the customer the control and flexibility to move and apply the funds as they wish. For 2022, customers receiving checks can return the unendorsed check along with their application instructions to have their patronage amount applied to their loan balance or placed in their Funds Held account. Please contact your local branch for guidance on when and how to do this safely.
If your check has not been cashed by May 31, 2022, we will cancel it and apply the amount of the cash patronage distribution against your loan.
We ask that you complete a new Patronage Designation Authorization form. These can be requested from your Relationship Manager or Customer Support at any time.
For accounts with multiple signers, the primary borrower will receive the patronage payment.
No, the primary borrower will receive the full patronage payment.
For Additional Questions
Contact your Relationship Manager or our Customer Service Team at 800-800-4865 or CustomerService@Agloan.com if you still have questions.