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To download a copy of the Ten/Fifteen Year Application please click here: 10/15 Year Application
A Ten/Fifteen Year loan is the maximum permitted by the charter of the Board of Missions, Inc. This time period has been found to be in the best interest of congregations. It has been proven that churches that have half the necessary funds on hand before beginning a project have an easier time not only paying loans but continuing vital mission work. A congregation should NEVER base annual debt costs on projected future membership growth or projected annual budget increases. It is not recommended that churches carry debt longer than 12 years. Thus, if today's membership believes the mortgage payments are more than they can afford, we suggest that they reduce the size of the mortgage rather than encumber a future generation. However, we also recognize that with increasing building costs, sometimes it is necessary to take on longer debt, so we have made available loans for up to fifteen years.
1. Total annual debt retirement costs (church buildings and parsonages) must not
account for more than one third of the
local church's annual operating budget.
2. The maximum indebtedness should not exceed the "norm" a church may borrow.
To calculate your church's norm add the
following sums and divide by 2:
Number of Resident Church
Families (giving units) _______________ x $500 = $ ____________
Total Current Church Budget $
_______________________________ x 4 = $ ____________
Total = $ ____________
Divide by 2 = $ ____________
3. Some churches have a proven ability to pay down principal and or interest on a loan due to special projects and fund raisers over an extended period of time. Examples of this have been annual bazaars or harvest festivals, booths at the State Fair, special day offerings, or annual income from trusts and endowed funds. Such congregations might borrow amounts to be repaid in annual installments by
pledging the proceeds from such special
projects over the lifetime of the loan.
4. Total indebtedness should not exceed 2 1/2times the total current
member giving for all purposes.
It has been proven that churches that have half the necessary funds on hand before beginning a project have an easier time not only paying loans but continuing vital mission work. A congregation should NEVER base annual debt
costs on projected future membership
growth or projected annual budget increases.
Pledge campaigns for debt retirement have historically proven to be most successful when carried out over a three year period. A well conducted campaign
ought to be able to produce two times the
local church's current annual budget.
NORTH CAROLINA CONFERENCE THE UNITED METHODIST CHURCH P.O. BOX 10955, 1307 GLENWOOD AVENUE, RALEIGH, NC 27605 TELEPHONE (919) 832-9560 OR 1-800-849-4433 ! FAX (919) 834-7989 E-Mail: staylor@nccumc.org ! Website: www.nccumc.org/missions
THE BOARD OF MISSIONS, INCORPORATED THE NORTH CAROLINA CONFERENCE OF THE UNITED METHODIST CHURCH
Name of Church ______________________________
Church Location & Control Number __________________________________
Address __________________________________________________________________________________
__________________________________________________________________________________
County _________________________
Name and address of person who will receive correspondence concerning the loan: ____________________________________________________________________________
_________________________________________________________________________________________
Amount of loan requested $_______________________
Date funds to be needed ______________________
Purpose for which loan will be used (if building project, please describe in detail) ______________________________________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________
Present status of project ______________________________________________________________________ _____________________________________________________________________________________________ _____________________________________________________________________________________________
Total Cost of Project $ _________________________ Cash on hand for project $ ______________________ Total amount pledged for project $ _______________________________________________________ If eligible for Duke Endowment Grant, amount of grant anticipated $ _______________________________ Other resources to be applied to the cost of the project $ ________________________________________ Loan Payment Option: Monthly __________ Semi‑Annually __________ Annually__________
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LOCAL CHURCH INFORMATION:
Average Worship Attendance __________________ Current Official Membership _______________________
Number of resident family units in local church ___________________________________________________
Amount of current annual church budget ________________________________________________________
Amount of indebtedness (liens, mortgages, promissory notes, etc.) ____________________________________ ________________________________________________________________________________________________ ________________________________________________________________________________________________ ________________________________________________________________________________________________ ________________________________________________________________________
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TITLE CERTIFICATION:
Legal Description of property to be purchased or built upon:
I, (print name) _______________________________________, hereby certify that the title of the property is recorded in ___________________________ County, in deed book number ________________ on page number(s) ______________________.
Signature _________________________________________________ Date ________________________
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CERTIFICATION BY CHARGE CONFERENCE, PASTOR, DISTRICT SUPERINTENDENT AND LOCAL CHURCH TRUSTEES
The following signatures certify that the Charge Conference, Pastor, District Superintendent, and Trustees approve this application for a loan with The Board of Missions, Incorporated, of The North Carolina Conference of the United Methodist Church.
Signature of Charge Conference Secretary _______________________________________________________ Date ___________________
Signature of Pastor __________________________________________________________________________ Date ___________________
Signature of District Superintendent ____________________________________________________________ Date ___________________
Names and Signatures of Local Church Trustees
Name (print) Signature Date ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________ ____________________________________________________________________________________________
Please return completed application to:
Board of Missions, Incorporated P.O. Box 10955, Raleigh, NC 27605‑0955
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