Nationwide hands $774 million payout to members following milestone takeover

LONDON (Reuters) - Nationwide Building Society said on Tuesday it would give more than 12 million of its members a one-off 50 pound ($64.52) handout as a "thank-you" for supporting its 2.9 billion pound takeover of Virgin Money last year.

The deal, which was announced just over a year ago and was cleared by competition watchdogs in July, created Britain's only mutually owned full-service banking provider and a savings and mortgage powerhouse capable of competing more strongly with Lloyds Banking Group and NatWest.

"The Big Nationwide Thank You recognises the role our members played in building the financial strength that made the deal possible," Debbie Crosbie, Nationwide CEO said in a statement.

Nationwide is the UK's third largest mortgage provider and holds almost 1 pound in every 10 pounds saved in the UK.

($1 = 0.7750 pounds)

(Reporting by Sinead Cruise, Editing by Louise Heavens)