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Skipton Building Society

Skipton Building Society is a financial services organisation based on mutuality which operates in the United Kingdom. It is a mutual and savings organisation headquartered in Skipton, England. This article gives a brief idea of what mutuality means and how it is beneficial to the client before proceeding to discuss the profile and advantages of doing business with Skipton Building Society.

Mutuality implies that the organisation does not have any shareholders who claim ownership of the company. The organisation is wholly owned by the members and account holders of the Building Society. When profits are earned, they may be given as returns on the money invested in the society. Since there are no shareholders, In Skipton Building Society no dividends which may eat into the profits and minimise the returns on invested funds. Skipton has a board of trustees who are responsible for deciding the strategy which will ensure that the members and account holders get high interests on their savings. Mortgages for future members will also be available at a lower rate.

Mutuality gives you voting rights too. As members of a mutual organisation, members have a say in company decisions such as mergers and acquisitions, expanding operations etc. Each member is given one vote and this right does not depend on the money he has put in the Building society. The members have a right to information and have the powers to attend the annual general body meeting or AGM.

The quality of the organisation depends on the difference between the interest which a Mortgage purchaser pays and the interest which is got on a savings account. The smaller the difference, the more transparent and profit making the organisation is. Skipton is one such company where the difference is small and hence customers have been benefited since its beginning in the year 1853.

Skipton has several branches spread across United Kingdom. The asset base is worth twelve billion pounds. It is a member of the Building societies Association. The net interest margin of the Skipton Building Society is around 0.72% which is very less as compared to the other building societies that operate at around 1.5%. This is also a good indicator of the amount of returns that the Skipton Building Society gives back its customers. Application to any of these services can be made online. Prior queries can be made through mail which will be promptly replied to by our skilled employees.