Capital Credits - South Central Power

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Capital Credits

Capital Credits for Co-op Members

Frequently Asked Questions


Annually, the co-op determines its net margin (revenue less expenses). The Board of Trustees approves allocating that margin to consumers proportionately to the amount of electricity they purchased in that year. Allocated capital credits are paid on a 20-year cycle, provided the cooperative’s financial position is not jeopardized. In the meantime, South Central Power uses the money as operating capital. Capital Credits are also paid to the estates of deceased members.

No, interest is not earned on capital credits.

Generally, capital credit refunds are distributed during the second quarter of each year.

Capital credits are refunded to the membership through a general retirement approved by the board of trustees. Before authorizing a retirement and issuing a refund, the board of trustees considers the co-op’s financial condition.

Our co-op refunds capital credits using a 20-year revolving cycle.

Capital credits remain on record until returned. Former consumers are advised to keep your address current with the billing department so that refunds can be made on the normal 20-year rotation. If not claimed within four years after the retirement notification, capital credits held for consumers are reallocated and are no longer payable to the former consumer.

Call South Central Power at 800-282-5064. You will need to provide your Social Security number, a valid mailing address and a phone number.