As a member-owned cooperative, MTA assigns margins (profits) to its members, based on the amounts they were billed for telephone service during the year. These assigned margins are called capital credits and are evidence of your ownership in MTA.
The funds belong to individual member-owners, but are retained by the cooperative as working capital and equity. The availability of this working capital reduces the amount of money MTA must borrow, which assists in providing members with state-of-the-art services at the lowest possible cost.
How Are Capital Credits Returned To Members?
On an annual basis, your Board of Directors reviews the financial condition of the cooperative and elects to either approve or disapprove a return of capital credits to its members. Capital credits will be returned according to the cooperative’s bylaws, as approved by its members.
How Are The Allocations Calculated?
The allocations are usually made up of a portion of the capital credits assigned from several years ago and a portion of the capital credits assigned last year.
How Is The Money Distributed?
If your capital credit return equals $20 or more (or you are no longer a customer), you will receive a letter with a check. If your capital credit return is less than $20 and you are still a customer, you will see a credit on your bill.
Stay In Touch!
To ensure future allocations are correctly assigned and distributed, it is important that MTA be advised of any address or member name changes, even if you no longer have active service.