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 accounts in CHIP, and co-op deposits are 100% guaranteed by either the Credit Union Deposit Insurance Corporation of BC or by CDIC insurance ($100k of coverage per entity) depending on the credit union. Your co-op’s accounts will remain independent; they are simply identified as part of CHIP for interest and service charge calculation purposes. You will continue to have easy day-to-day access to your money.
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 total balance increases and as the prime rate changes so does the interest rate paid to participating co-ops.