Guide to the Fund
The Congregational Loan Committee envisions churches of Cal-Pac be vitally engaged in making disciples of Jesus Christ for the transformation of the world. The CLC is committed to assisting churches with facility needs by providing:
- Assistance in evaluating the capacity of the congregation to build, renovate or purchase.
- Affordable loans and/or conditional grants, or referral to other available resources.
- Continuing oversight, advice and reasonable adjustment to the loan terms when changes occur affecting the loan commitments of the congregations.
The Congregational Loan Committee (CLC) provides loans to the local church for physical improvements. Congregations benefit from our efforts cut down on ancillary costs. The interest rate is low, with up to a 20 year amortization. Loans to Cal Pac congregations are available for renovation or repair of a church facility, as well as for new construction for ministry of a congregation.
Basic requirements for loan consideration include:
- Project of construction or renovation to church facility
- Debt to income ratio can be no more than 25% of budget
- Cash oh Hand: Must have 25% of the cost of the project
- Cabinet must give their recommendation of your loan application prior to submitting to the Loan Committee
- No provisions are given for parsonage loans
- There is no prepayment penalty
The request must be processed through the Cabinet for their preliminary review and recommendation before the Conference CLC can give the matter consideration. The District Board of Church Location and Building must also be consulted.
Conditional Grants will be considered under the following circumstances:
- Projects or repairs required for health and safety or mandated by code requirements, where the local church is unable to provide all of the funds needed.
- To provide supplemental funding for projects that are ready for implementation and additional funding is needed.