Loans
Texas District CEF provides funds to LCMS ministries throughout Texas focused on multiplying followers of Jesus at a competitive interest rate. To get started, or to discuss your unique project, contact our Executive Director, Becca Jones, at 512-646-2749 or at Jones@texascef.org.
The following guidelines will be evaluated in considering loan approval:
Debt Service Coverage
This risk is calculated as follows: Net income after net expenses divided into annual debt payment amount. Desired ratio is 1:1 with 1:1.25 preferred.
Collateral Position
The valuation of borrower’s facilities and property must provide adequate collateral to cover loan amount.
Ministry Vision
A ministry plan is required, detailing the growth trends of the congregation/school (worship attendance/enrollment/financial/leadership) and how the loan will support the advancement of God’s Kingdom.
Required Documents
Loan Purposes
*current ytd
The following documents must accompany the appropriate loan application. (The asterisked items can be provided after loan approval, but will be required before closing can be scheduled.)
- A Completed and Signed Loan Application
- Financial Statements for the past Three Years
- Financial Statements for the Current Year-to-Date
- Budget for the Current Year
- Ministry Plan/Vision for the Project
- Copy of Constitution and Bylaws*
- Certificate of Resolution Authorizing Project/Loan Request*
- For loans less than $250,000 – Approval of the Texas District Church Extension Fund Executive Director
- For loans greater than $250,000 – Approval of the Board for Church Extension and, for loans over $1 million, also approval of the District Board of Directors
Rates
Texas CEF strives to keep our loan rates as low as possible for the benefit of our borrowing congregations. We have a strong track record of rates that are competitive with banks and other lenders, and often lower.
Read about our Incentive Rebate Plan to see how you can help make your congregation’s loan rate even lower.
Self-Supporting Congregations
4.50%
Newly Formed Congregations*
3.75%
*This index is available during the first six years of a congregation’s loan.
Incentive Rebate Plan
Supporting investments from individuals, congregations and other entities provide the funds for Texas District CEF to make loans to LCMS ministries. Each investor may designate a Texas LCMS congregation to receive credit for their invested dollars. Investments are NOT pledged for any congregation’s loan.
At the end of each month the balance in each investors’ accounts designated to support the congregation are added together and the monthly rebate amount is determined. The following table shows the tiers in the Incentive Rebate Plan.
After the end of Texas District CEF’s fiscal year (January 31) a check is written and sent to the congregation for the amounts earned for the previous twelve months. The checks usually arrive during the second half of February each year.
For more information, download our Incentive Rebate Plan (PDF) or contact us.
Ready to Get Started?
Reach out to one of our friendly staff and we will help answer any questions you may have.
Important Forms
Important Forms and Publications for Borrowers
Click on one of the forms below to download it. Our typeable forms can be filled out using a PDF reader such as Adobe Reader.
Print, sign, and mail completed forms to:
1221 Satellite View
Round Rock, TX 78665
Texas District is an incredibly mission-minded district, and I love that Texas CEF is investing in building new churches and launching new ministries to reach more people for Jesus.
Why Texas CEF? We have a trusted relationship where we not only receive the benefit as a borrower but the benefit of investing so that the kingdom of God continues to grow.
The loan rebate through CEF has continued to provide expansion of Zion’s kingdom impact while at the same time enlarging Zion’s facility blueprint. The rebate dollars are invested right back into the church and school ministry where a great return on investment has been celebrated.