Virginia National Bankshares is bumping up its quarterly cash dividend and said it will pay an 8% stock dividend.

The holding company for Virginia National Bank's board declared a quarterly dividend of 38 cents a share, an increase of 2 cents, that will be paid Dec. 15 to shareholders of record as of the close of business Dec. 1.

The stock dividend will be paid at the end of November and will see each shareholder receive 0.08 of a share for each share held.

The quarterly dividend implies an annualized yield of about 2.9%, based on the last closing price for the shares.

Virginia National Bankshares' net income in the third quarter rose to $6.6 million, or $1.20 a share, from $4.6 million, or 84 cents per share, a year earlier thanks to an increase in loan yields, a reduction in cost of funds, and a payout from bank-owned life insurance following the death of a former employee.