The Eastern Pennsylvania Conference Loan Fund helps United Methodist churches finance capital projects such as new construction, roof replacements, air conditioning projects, and the like. And it can only do so because of the assets provided by investors in the fund.
The Loan Fund Board of Directors have a fiduciary responsibility to our certificate holders. Therefore, loans to churches are made wisely, based on their financial ability to repay, and are secured either by a mortgage against real estate or by invested assets, such as an account with the Mid-Atlantic United Methodist Foundation.
The money lent by the Loan Fund comes from individuals and churches that have invested in certificates (with a $1000 minimum). Those certificates pay 3.25% and are redeemable with 60 days’ notice. Interest is compounded monthly and is payable semiannually. The interest can be paid to the holder via a check or left on deposit and added to the account balance.
Applications for loans are reviewed at the Loan Fund Board’s quarterly meetings. As a church-affiliated agency, the board is more understanding of church finances than most commercial banks. There are no fees to apply, and the only closing costs are the fees associated with securing a title search.
Loan rates kept as low as possible
Loans are offered at a floating rate of 5.25%. The Loan Fund Board tries to keep the rate as low as possible. And, it should be noted, there are no prepayment penalties.
The Loan Fund is a separate, self-supporting nonprofit organization, housed at the Eastern PA Conference Office in Norristown. While conference staff do some work for the Loan Fund, the Fund reimburses the conference for all its expenses including staff time.
Find more information about the Loan Fund and a Loan Fund Application | Loan Fund Prospectus at https://www.epaumc.org/finance/conference-loan-fund/.
Also, feel free to contact Jo Fielding, CFO/Treasurer, at jfielding@epaumc.church) or Lawrence Lee, Finance Manager, at llee@epaumc.church) at the Eastern PA Conference office. Or contact the Rev. Jim Anderman, Loan Board secretary at pastorjim@palmyrafirst.org.
LOAN FUND BOARD OF DIRECTORS:
- Frances Whittington, President
- Jeff Paiste, Vice President
- NancyJo Fielding, Treasurer
- *James Anderman, Secretary