Presbytery Loan Application
• For capital improvements only
• Cannot be used for refinancing an existing commercial loan
• Congregations requesting loans must include PET in its annual giving
• Congregation must have capital campaign to help repay the loan
• Session/Board must make an annual report to appointed Loan Committee liaison
• Loan Disbursement: invoices will be sent to the Loan Committee’s appointed liaison for approval and payment through PET
Emergency: Max of $25,000; 0% interest up to 36 months, Prime Rate thereafter; Proof of denied insurance claim required; Approved by Property Committee.
Non-Emergency: Max of $100,000; Interest charged at Prime Rate; 10 year term max; Proof of denied commercial loan or proof of loan rate offered at 300 basis points higher than Prime Rate; In the case of a construction loan, proof of construction insurance must be provided; PET must approve request on recommendation of Property Committee.
Loan Application Contract
In order to be faithful stewards, the Presbytery of East Tennessee believes that churches need to be held accountable for any loan money as faithful stewards themselves. This form is designed not to be a hardship, but to reinforce the responsibility of each pastor and Session member in administering funds. Therefore, we request that the loan application be signed by the Moderator and the Clerk of Session.