The patronage program provides for distribution of patronage-sourced earnings from a general pool, which applies to the majority of our customer-owners, and a separate pool that applies to eligible participation loans purchased by Frontier Farm Credit.
In each pool, the amount of a customer's 2021 patronage distribution will be based on his or her eligible average loan volume with Frontier Farm Credit during 2021. Generally, the more a customer borrows from us, the more he or she will benefit, financially, from the program. Because your eligible average loan volume and the amount of approved patronage can change each year, your cash-back dividend likely will change from one year to the next.