Discounted Loan Rates based on Mission Giving
The Presbyterian Church relies on the connections between its
congregations, Presbyteries, Synods, and the General Assembly to nurture and
support each other's mission, and to make possible much work that would be
beyond the resources of any one body. Synod of the Pacific supports the
connectional church by providing loans and other financial services at
favorable rates and terms, and by being a net funding resource to our churches
and Presbyteries. At the same time, the Synod relies on the connectional
church for operating funds in the form of mission giving and per capita
contributions from churches.
Because of the importance of this connectional
cycle, priority in the loan approval process will be given to those churches
with good mission giving histories. Also, churches with good mission
giving histories may be eligible for discounts of up to .75% of a percent on
interest rates.
For loan applications, all giving that is
directed through the Presbytery or Synod, toward causes that are in the mission
budgets of the Presbytery, Synod, or General Assembly, are considered.
This includes the following:
- Per Capita
contributions
- GA and Synod
Unified Giving
- Directed Giving
(within-budget projects)
- Special
Offerings
- Peacemaking
- One Great Hour
of Sharing
- Theological
Education Fund
- Pentecost
- Christmas Joy
- Presbyterian
Disaster Relief
Not included are "Extra Commitment"
projects, which are worthy causes but fall outside the scope of the current
budget.
Discounts of up to 3/4 of a percent off of the
standard interest rates for Lines of Credit, Mortgages, and James M Muzzy, and
Equity Sharing loans are available based on a borrower's Mission Giving
History:
10.0% or
higher .75% of a percent discount
7.0% to
9.9% .50% of a percent discount
5.0% to
6.9% .25% of a percent discount
Discounts are based on the previous calendar
year's qualified Mission Giving and are calculated by staff as part of the loan
approval process based on a review of financial statements, mission treasury
statements, and other sources. The discount is set for the term of the
loan, or 5 years, whichever is shorter. Discounts are recalculated at all
renewals, conversions, and adjustment periods.
If at the discretion of staff, the previous
calendar year is deemed to not fairly represent the applicant's Mission Giving
history, a different calculation period may be used. The Mission Finance
Committee reserves the right to review the Mission Giving status of a borrower
at times other than those noted above.
For more information regarding Mission Giving
Discounts, contact the Loan Coordinator at (800) 754-0669.