INVESTMENT AND LOANS

Synod of the Pacific Investment and Loans

Overview of Synod Investment Service

Effective March 1, 2024, the Synod is offering 4% of all Demand accounts, new and current. The Synod of the Pacific will no longer be mailing paper statements for all the Investment accounts. If you would like to register for online access to view statements and transactions, please complete the online access form. Or you may contact Danielle McCarthy via email, danielle@synodpacific.org for a copy. 

The Synod of the Pacific Investment Service is open to any church, presbytery, specialized ministry, or ecumenical partner related to the Presbyterian Church (U.S.A.) within the bounds of the Synod.

The Investment Service was established with initial deposits of less than 2 million dollars in 1989. Today deposits exceed over 30 million dollars.  Churches have choices of how they wish to invest their dollars.

The Custodial Fund – similar to a money market account, is 100% liquid and offers flexibility to depositors.

Mission Development Certificates – We offer six-month, one-year, two-year, and three-year Mission Development Certificates which, depending upon the term of the certificate, will accrue interest at a higher rate, but cannot be redeemed under any circumstances until maturity.

The Synod’s 5 million dollar line of credit with its bank ensures continual liquidity for all investment depositors.

The deposits from the Investment Service make possible the Synod Loan Service.

Advantages to Depositors

  • Depositors receive a high rate of return on short-term investments. The current annual rate is significantly higher than commercial banks’ return for interest-bearing checking, savings, money market, and certificates of deposits (CDs).
  • Depositors are spared the inconvenience of shopping around for the best rates or transferring funds among various commercial institutions to secure the best rates.
  • Custodial Fund depositors may make an immediate withdrawal, without penalty, at any time during regular business hours. There is no maturity date; funds are always available. The Mission Development Certificate is a six-month, one-year, two-year, or three-year note, with interest accruing each month, redeemable only at the maturity and/or renewable for an additional term.
  • Depositors participate in the Synod’s mission by underwriting its Loan Service. In turn, the Loan Service provides the necessary funds for new church development, construction to existing churches and/or renovations, as well as other special needs of churches, presbyteries, and agencies across the Synod

Benefits to the Synod as a Whole

  • The Synod Investment Service funds the Synod Loan Service, allowing the Synod to reduce expensive borrowing from commercial banking institutions.
  • The Synod supports ministry among its eleven presbyteries using the difference in interest rates between investment deposits and loans.

Policies and Procedures

  • The Synod accepts deposits to its lockbox from Presbyterian Church (U.S.A.) congregations, presbyteries, and specialized ministries within its bounds, and related organizations and ecumenical ministries in which the Synod or any of its presbyteries are partners. Regulatory requirements prohibit the Synod from accepting deposits from individuals or organizations/agencies not related to the Synod of the Pacific, Presbyterian Church (U.S.A.)
  • The Custodial Fund’s initial minimum deposit is $1,000.00. Deposits or withdrawals in any amount are acceptable after the initial deposit. Although it is not necessary to maintain a $1,000.00 balance.
  • An initial minimum deposit of $1,000 is required for Mission Development Certificates (MDCs).  Please view the minimum deposit required per MDC term.
  • The Synod credits interest utilizing an annual percentage rate based on the cost of funds of the Investment and Loan Services, and calculated daily.

Synod Investment Service

  • The Synod’s capacity to accept deposits is limited by its portfolio of outstanding church loans. At this time, qualified investors are encouraged to make deposits.
  • Depositors will receive a statement for new accounts, and a regular monthly statement thereafter showing all account activity for each account.

Contact the Investment and Loan Coordinator at danielle@synodpacific.org or 707-765-1772 ext.110 for further information.