Investment

CHIP                  AHIP

Co-operative Housing Investment Pool (CHIP)

CHIP is one of CHF BC’s most popular and widely used services for members. Through CHIP, you can earn higher interest on your co-op’s accounts. CHIP turns several small co-op accounts into one large depositor, making them eligible for better interest rates. The larger the total amount on deposit, the higher the interest rate. Currently there is over $23 million in CHIP. CHIP has enjoyed continuous success since it was developed by CHF BC in 1985. It helps housing co-ops turn their millions of dollars in savings into higher interest income.

CHIP means:

• higher returns on your co-op's accounts
• secure investments
• ease of management and regular monthly statements
• ready access to your co-op's money
• support for the co-op housing sector

It’s your money – and it’s there when you need it!
Your co-op will still have its independent accounts; they are simply identified as part of CHIP. You will also continue to have easy day-to-day access to your money. VanCity Credit Union and Fraser Valley Credit Union CHIP accounts have no notice requirements or early withdrawal penalties. CCEC allows ten percent of the funds in a CHIP account to be withdrawn with no penalty in any thirty day period, and all funds upon sixty days notice.

Co-op Funds Eligible for CHIP
Each co-op is allowed a maximum of three CHIP accounts at each credit union. Co-ops can deposit share capital, replacement reserve funds, and subsidy surplus in CHIP accounts. Co-ops can have their operating/business accounts in CHIP at VanCity and Fraser Valley credit unions. Service charges for CHIP accounts are applied as one low monthly fee based on the number of units in the co-op.

Deposit Guarantee
Each co-op’s deposits are guaranteed by the Credit Union Deposit Insurance Corporation of BC to a maximum of $100,000 at each credit union.

Minimum Requirements
VanCity and Fraser Valley credit unions have no minimum deposit requirements. CCEC requires a minimum deposit of $20,000.

CHIP Interest Rates
The CHIP rate paid to participating co-ops is based on the credit union's prime lending rate, the total deposits in CHIP, and the percentage of interest paid to the credit union and CHF BC. As the amount of money in CHIP grows, the credit union receives a smaller portion of the interest rate because they have agreed to increase the return to both CHF BC and the participating co-ops. Interest earned is credited to each CHIP member's account(s) monthly. Over 100 co-ops have pooled funds in CHIP accounts.

Rates & Participating Credit Unions
Please contact our Commercial Services Director, Julie Hunter for current rates.

How to Join
CHIP is only available to co-ops that are members of CHF BC.

For more information about our investment program, please contact our Commercial Services Director, Julie Hunter.

 

Affordable Housing Investment Program (AHIP) 

The Affordable Housing Investment Program (AHIP) was started by CHF BC in 2004 when Phillips, Hager & North (PHN) was selected as the program’s investment managers.

After three years as AHIP’s investment managers, PHN concluded that the cost of delivering the program was too high and the asset growth too low to justify continuing in its current role and served notice that it was terminating its involvement in the program. 

PHN will not be accepting new clients in AHIP.  If your co-op has investments with PHN through AHIP you are welcome to continue to work with them on an independent basis.

CHF BC is committed to developing a comprehensive, long-term investment program for member co-ops.  We believe that sound asset management strategies are the cornerstone of our sector’s financial viability and are determined to help our members find the right combination of prudent asset growth and risk management.

We will keep you advised of our efforts to develop alternative arrangements for the delivery of AHIP.  If you should have any questions in the meantime, please contact Julie Hunter, our commercial services director, at 604-879-5111 (extension 138) or jhunter@chf.bc.ca.

 

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