What Are Capital Credits?

As a member of SCI you receive capital credits. The "cash back" capital credit returns to members represent a share of previous years' profits. Members who purchased electricity from SCI during designated years receive a check or a credit on their electric account or a check in the mail. To date, SCI REMC has returned more than $6 million to their members in the form of capital credits.

2011 Capital Credit Retirement

South Central Indiana REMC is pleased to announce that in September, 2011 we will be paying back capital credits to members who had electric service in the years of 1977, 1979, 1991-1995, and 2010.

Members receiving a capital credit refund in excess of $5.00 will be mailed a check.  Members with an active electric account will receive a credit on their September electric bill if their refund is less than $5.00.

Frequently Asked Questions

• What are capital credits?

  • South Central Indiana REMC is a non-profit, member-owned cooperative.  The difference between income and expenses at the end of the year is allocated to member-owners with electric service during that year in the form of capital credits.

• How do members receive capital credits?

  • The REMC Board of Directors decides if the cooperative is in a sufficient financial position to pay capital credits.  They then decide what year(s) to pay.  When capital credits are paid back it is called a capital credit retirement.   All members who had service during the years retired will receive a capital credit payment.  If the amount is over $5.00 the members will receive a check.  Members who have an active electric account will receive a bill credit if the retirement amount is under $5.00.

• What has the South Central Indiana REMC refunded in capital credits?

  • All capital credits through 1974 have been refunded.  Also, a percentage of the capital credits in 1976, 1995, 1997-1999, and 2002-2006 has been refunded. A capital credit retirement is planned for September, 2011 for a percentage of the years 1977, 1979, 1991-1995, and 201

• Should I contact the office if I move off the REMC lines?

  • Just call or write the office to have your address updated. It is important for us to have a current address when you move. When we retire capital credits for the years you had service with us, a check will be mailed to the last address we have on file for you.

• How do I know if I qualify for a capital credit refund?

  • Every member of the REMC qualifies for capital credits.  Capital credits are allocated to you every year based on the amount of your total electric bills for the year compared to the cooperative’s margins for that year.  If the cooperative does not generate margins, or has negative margins in a particular year, no capital credits will be allocated.
    When the REMC pays or retires capital credits, specific years are selected to be retired.  If you received electric service from the REMC during any of those years, you will be entitled to a refund.  The refund may come as a check or appear as a credit on your electric bill.

If you have additional questions about capital credits, please email capitalcredits@sciremc.com