LOANS

You must be a commissioned or ordained minister of the LCMS on active or emeritus status. (Note: Certified lay church workers and individuals currently on candidate status are not eligible to participate in this program).

No. LCEF residential loans currently are not available in some states. A list of approved and non-approved state is available here.

Purchase or refinance of primary single-family residences only. Construction loans, purchase of multifamily dwellings, or second homes/investment properties are not available through this program.

In order to offer the lowest rates possible to all borrowers, most LCEF residential loans are adjustable rate mortgages (ARMs). Loans may be structured as a one-year ARM with rates adjusted annually, a five-year ARM which fixes the rate for five years and then adjusts to a new rate every five years thereafter, or a 10-year ARM which fixes the rate for 10 years and then adjusts annually thereafter. All interest rate adjustments, whether an increase or decrease, are made based on the LCEF Cost of Funds (the weighted average rate paid to LCEF investors) at the time of any adjustment. Each of the preceding ARMs may be amortized up to 30 years. LCEF also offers a 15-year fixed rate mortgage loan which fixes the rate for the full 15 years but the amortization terms cannot exceed 15 years.

Yes. The interest rate will not increase (or decrease) more than 3.5% during the term of the loan. In addition, each change frequency (occurring each year or every five years) will not allow more than a 2.5% increase or decrease from the previous rate.

LCEF requires at least a 5% down payment, in addition to enough funds to cover closing costs. We also do not require private mortgage insurance (PMI), which is required by most lenders if a 20% down payment is not obtained.

The rate is based on the LCEF Cost Of Funds plus administrative costs.

The LCEF Rostered Church Worker Loan Program exists to assist qualified participants; therefore, fees are kept to a minimum wherever possible. However, standard fees associated with, but not limited to, securing a home mortgage are applicable, including: loan origination fee, credit report, title insurance premium, appraisal, title company closing fees, transfer taxes (if applicable), attorney fees (if applicable), and a two-month escrow reserve for taxes and insurance.

No. These are separate programs. In order to capture all the advantages of the LCEF Rostered Church Worker Residential Loan Program, the applicant must initiate and complete the entire loan approval process.

A pre-qualification decision will be made on the application within one week. The loan will be funded within three to four weeks.

LCEF is here to assist our rostered church workers, and everyone has special needs. There are no specific time constraints; both types of loans can be applied for at the same time.

You must be a commissioned or ordained minister of the LCMS on active or emeritus status. (Note: Certified lay church workers and individuals currently on candidate status are not eligible to participate in this program).

Since this is a new loan product, LCEF is still in the process of obtaining the necessary state lending licenses and necessary regulatory lending documents. We anticipate adding approved states into this program every three months.

You can visit the LCEF Web site occasionally to see if your state has been approved for home equity loans. A list of approved and non-approved states is available here.

Home equity loans are available to borrowers who own and occupy single-family residences. (Manufactured and mobile homes do not qualify.)

LCEF offers home equity loans from $5,000 up to $100,000. LCEF can fund a home equity loan up to 95% loan to value (LTV) with approved credit. To calculate the LTV ratio, the current market value of the home is multiplied by 0.95. This amount equals the available loan amount. Then, all amounts owed on any outstanding mortgage(s) are subtracted. The amount remaining is available for a home equity loan from LCEF.

For example, if a house with a market value of $100,000 has an outstanding mortgage of $40,000, then with approved credit, the homeowner could obtain an LCEF home equity loan for up to $55,000 ($100,000 x 0.95 = $95,000 - $40,000 = $55,000).

All LCEF home equity loans are fixed-rate mortgages with a one-time disbursement. We currently do not offer a home equity line of credit (HELOC). Rates are based on LCEF’s Cost of Funds, where allowed, plus administrative costs.

The interest rates are based on the borrower’s credit rating, how many of the underwriting guidelines are met, and the term of the loan. Click here for the range of interest rates available for the home equity loan.

Terms from 5 years up to 15 years are available.

Borrowers also are responsible for appropriate closing costs, including but not limited to credit report expenses, title insurance premiums, appraisal fees, title company closing fees, and applicable transfer taxes and attorney fees.

You must complete the Home Equity Loan Application and either fax or mail it to us. The fax number and mailing address are listed on the bottom of the application.

Once we receive the application, we will contact you with a loan decision within one week. To obtain a loan application, you may:

1. Download the application here.
2. Contact an LCEF Information Representative at 1-800-843-5233 between 7:45 a.m. and 4:15 p.m., CT, Monday through Friday.

You must be a commissioned or ordained minister of the LCMS on active or emeritus status. (Note: Certified lay church workers and individuals currently on candidate status are not eligible to participate in this program).

No. LCEF consolidation loans currently are not available in some states. A list of approved and non-approved states is available here.

Consolidation loans are available with terms up to seven years.

As with residential loans, consolidation loan rates are based on LCEF Cost Of Funds. Rates are adjusted annually throughout the length of the loan.

An initial payment is due 30 days from the date of the loan funding/closing, with monthly payments due on the anniversary date. Payments will be made electronically to LCEF through automated clearinghouse (ACH) transfers.

Borrowers will pay a one-time origination fee of up to $250 per loan, which will be included in the total loan amount.

You may contact LCEF in several ways:

1. Call the automated service system at 1-800-678-2285.
2. Call an LCEF Information Representative at 1-800-843-5233 any time between 7:45 a.m.—4:15 p.m., CT, Monday through Friday.
3. E-mail LCEF using our contact us form. (When referring to a specific account, please show only the last four digits of your account number.)
4. View consolidation loan information via the Internet using LCEF’s MyAccount online financial service.