August 2013
On the Move
Dear Friends, Welcome to the August 2013 edition of On the Move. I cannot tell you how many people I have talked with over the past few weeks that have expressed such surprise that we are already in the month of August. In a very short while, schools will be getting back in session and many other activities that take off time for summer will be resuming as well. I am also pleased that many of the building projects that are being financed by Lutheran Church Extension Fund (LCEF) are progressing well and will soon be ready for dedication and use. Regular readers of On the Move are aware that we regularly share all the different ways that LCEF can be of assistance to churches and schools as they go about ministry in their communities. However, it is the loan to a church or school for a new or refurbished building that seems to resonate best with those we ask to support us in our partnership with these ministries. While nothing on this earth is permanent, a church or school building is very tangible evidence that there are people in that place committed to sharing the Good News of Jesus Christ with others. Such commitment becomes contagious and we all want to jump in and help. This issue of On the Move is dedicated to the many ways that LCEF helps congregations and schools dream about, design, help pay for, and best utilize place and space for ministry. LCEF has a history of being there with churches as they assess needs and then help turn those needs into a plan of action that results in an opportunity for members to commit time and financial resources for making the dream of a new or expanded building a reality. Of course LCEF cannot do what it does without the prayerful and financial support of its investors. We regularly thank those that are investors for their commitment and invite others to consider becoming investors. Specific information about how to become an LCEF investor (along with all the necessary disclosures and other legal requirements) is detailed in this newsletter and in our Offering Circular that is available at lcef.org. I am also excited to share that shortly we will be expanding our offering of ways to share information about LCEF in our district by increasing our website presence and better utilizing social media. I hope that you and others you know will benefit from these avenues of communication. More information about this will be forthcoming. Thank you for your past, present, and future support of the ministry of Lutheran Church Extension Fund. In HIS Service, Dennis Klussman LCEF Vice President
LCMS Congregation Begins Partnership with Charter School
Throughout its history, congregations of The Lutheran Church — Missouri Synod (LCMS) have been strong supporters of elementary and secondary education. In many cases, this support is exhibited by a local congregation or group of congregations operating a Lutheran elementary or high school. This model has been truly blessed over the years as thousands, if not tens of thousands of children, have received quality Christ-centered education in these schools. A new chapter in LCMS congregational support of elementary education is being written in places like South St. Louis where St. John Lutheran Church is beginning a partnership this fall with Educational Enterprises, Inc. (EEI) of Milwaukee, Wisconsin. Eagle College Preparatory School will open as a charter school serving the community of South St. Louis. Charter schools operate independently of the public school system under the sponsorship of an institution of higher education (in this case, the University of Missouri in Columbia, Missouri) but receive direct funding from the state and local area. As a result, students from families who cannot afford the cost of private or parochial education are not held captive to the local public school and can attend a quality school at no direct cost. While the school day at Eagle cannot involve religious instruction, St. John Lutheran Church and EEI have developed Compass, a before and after school program that includes religious instruction for all who choose to participate and pay a very nominal fee for the program. Compass will also operate a Christ-centered pre-school program at St. John that will (hopefully) serve as a feeder for Eagle School. Eagle College Preparatory School will begin as a K-3 program with a capacity of 149 students. As of the date of this newsletter, enrollment stood at 93 students with many more interested families checking out the program on a daily basis. Eventually, the goal is to operate a K-8 program and open two other locations in the area along with a high school. LCEF is privileged to partner with St. John Lutheran Church and Educational Enterprises, Inc. in this venture. An LCEF loan provided funding for rehabilitation and upgrade of the school facility in advance of the opening of this school.
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Plans defined. Funds raised. Believers mobilized. Buildings constructed. Relationships built. Vision realized. Communities impacted. The kingdom of God moves forward as the people of God live out the Gospel. Lutheran Church Extension Fund (LCEF), through its Ministry Support department, can help put ministry in motion. VisionPath will help your ministry achieve clarity, helping you determine how to effectively live out the Gospel in your particular community. Capital Funding Services will help your ministry raise the funds necessary to move forward, and will embed biblical stewardship principles and practices as a result. If your ministry requires facility enhancement or even advice on how to most effectively update or renovate your facilities, the Architectural Advisory Committee and Laborers For Christ can provide invaluable assistance. Our Demographics service can provide a better understanding of the community in which you live. Ministry in motion. The Kingdom on the move. Learn more at lcef.org.
The Blurb
(for use in church bulletins, newsletters, etc.)
For more than 35 years, Lutheran Church Extension Fund has partnered with hundreds of LCMS congregations to provide space and place for ministry. In many cases, this partnership involved an LCEF loan for the purchase of land or the construction of a building. It is only because of the support of thousands of faithful investors that LCEF has been able to provide this important support of LCMS ministries. If you would like more information about how you can help support LCEF in its partnership with congregations, call 800-843-5233 or visit lcef.org.
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Current LCEF Loan Rates Congregations (Loans Amortized Up To 20 Years): Annually Adjusted Loan: (Loans > $2 Million Adjusted Monthly)
4.250%
Five Year Balloon Note
4.750%
Ten Year Balloon Note
5.125%
Construction Rate is 1% Higher During Construction Period 1% Loan Origination Fee Rostered Church Worker Mortgage Loans (Loans Amortized Up To 30 Years): Five Year Adjustable Rate Loan (10% down payment): Ten and 15 year Fixed Rate Loan (10% down payment):
3.000% - 3.500% 3.375% - 4.125%
Final Interest Rate Based Upon Down Payment and Credit History
On The Move
A Monthly Newsletter of the Missouri District LCEF Contacts:
Mailing Address: Telephone:
Dennis Klussman, District Vice President Email: Dennis.Klussman@lcef.org 660 Mason Ridge Center Drive #100 St. Louis, Missouri 63141 314-590-6207
For additional information, visit the LCEF website lcef.org or call 800-843-5233. LCEF is a nonprofit religious organization; therefore, LCEF investments are not FDIC-insured bank deposit accounts. This is not an offer to sell investments, nor a solicitation to buy. LCEF will offer and sell its securities only in states where authorized. The offer is made solely by LCEF’s Offering Circular. Investors should carefully read the Offering Circular, which more fully describes associated risks. Lutheran Church Extension Fun — Missouri Synod (NMLS# 3444). The National Office is located at 10733 Sunset Office Drive, St. Louis, MO 63127-1020. Phone number: 800-843-5233. Website: lcef.org
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AUGUST 2013
Investment Interest Rates
(Minimum Investment $100)
2½ Year
800-843-5233 lcef.org
(30 Month)
5 Year
10733 Sunset Office Drive Suite 300 St. Louis, MO 63127
Fixed Term Notes (Minimum Investment $500)
Rate
APY
6 Month 9 Month 1 Year
----
0.125% 0.250% 0.375%
0.125% 0.250% 0.376%
18 Month
--
0.500%
0.501%
2 Year
--
0.625%
0.626%
3 Year
--
0.875%
0.878%
4 Year
--
1.000%
1.004%
5 Year
--
1.250%
1.256%
IRA Dedicated Certificate Minimum Investment
Floating Term Notes
Rate
APY
$100
--
0.250%
0.250%
$1,000
--
0.375%
0.376%
$5,000
--
0.500%
0.501%
$10,000
--
0.750%
0.752%
StewardAccount® Certificate Minimum Investment
Rate
APY
$100
--
0.250%
0.250%
$1,000
--
0.375%
0.376%
$5,000
--
0.500%
0.501%
$10,000
--
0.750%
0.753%
Dedicated Certificate Minimum Investment
$100
--
(60 Month)
APY
--
0.350%
0.350%
--
0.800%
0.802%
Family Emergency StewardAccount Certificate Minimum Investment
$25
--
Rate
APY
0.875%
0.879%
Balances of <$10,000 require monthly electronic investments
HSA FlexPlus Certificate
Rate
APY
Minimum Investment
0.250%
0.250%
$1
Custodial accounts for minors: $25
Rate
Rate
APY
--
0.625%
0.627%
$2,500
--
1.125%
1.131%
$1,000
--
0.375%
0.376%
$5,000
--
1.500%
1.510%
$5,000
--
0.500%
0.501%
$15,000
--
2.125%
2.146%
IRA Jumbo Notes (Minimum Investment $100,000)
--
5 Year Fixed 60 Month Floating
--
Rate
APY
1.625%
1.635%
1.175%
1.180%
Cemetery Perpetual Care StewardAccount Certificate Rate
APY
$1,000
--
0.500%
0.501%
$25,000
--
0.625%
0.627%
$50,000
--
0.750%
0.753%
$100,000 +
--
1.000%
1.005%
Congregation Endowment Note
Congregation Endowment Note
Congregation Certificates
(60-Month Floating)
(5-Year Fixed)
(Minimum Investment $100)
Minimum Investment
Rate
APY
Minimum Investment
Rate
APY
$1,000
--
1.175%
1.180%
$1,000
--
1.175%
1.180%
$10,000
--
1.300%
1.306%
$10,000
--
1.300%
1.306%
$100,000
--
1.425%
1.433%
$100,000
--
1.425%
1.433%
Demand
--
Rate 0.250%
APY 0.250%
StewardAccount® Certificates $100
--
0.500%
0.501%
$250,000
--
0.625%
0.627%
$500,000
--
0.750%
0.753%
$1,000,000 +
--
0.875%
0.879%
LCEF StewardAccount access features provided through UMB Bank n.a. The StewardAccount is not available to investors living in South Carolina. LCEF is a nonprofit religious organization; therefore, LCEF investments are not FDIC-insured bank deposit accounts. This is not an offer to sell LCEF investments, nor a solicitation to buy. LCEF will offer and sell its securities only in states where authorized. The offer is made solely by LCEF’s Offering Circular. Investors should carefully read the Offering Circular, which more fully describes associated risks.