LCMS Convention Proceedings St. Louis, Missouri — 1929, Page 79

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Ev, Luth. Synod of Missouri, Ohio, and Other States. 1929. 79

3. The loan or loans to or for one congregation or mission-
station shall not exceed $10,000 in the aggregate without the consent
of Synod’s Board of Directors.

4. Loans shall be made for a period of not more than ten years.

5. Repayments of no less than 10 per cent. of the lodn per annum
shall be required.

6. In order to defray the expenses of the administration of the
fund, an administration fee shall be charged at the rate of 1 per cent.
‘per annum on the unpaid balance, payable annually on the anni-
versary of the loan, except that for loans to Districts for new and
= unorganized mission projects the Districts be not expected to pay the
m1 per cent. administration fee, but pay whatever actual expenses are
f* connected with the transaction.

Cc. Loans to Congregations.

1. Loans shall be granted only to such congregations as are un-
able themselves to finance their building projects and eannot secure
sufficient loans from the respective Districts,

2. The congregation shall be incorporated and authorized by law
_ to mortgage its property.

3. The congregation shall own the land upon which the building
is to be erected or the property acquired in fee simple, free and
' elear of liens, encumbrances, and reversions.

4. A loan shall not exceed 50 per cent. of the cost of the land and
- buildings given as security for the loan.

5. All loans shall be secured by mortgage, in form as prescribed
by the Board, which shall be a first lien or encumbrance on property
of the congregation and which shall be duly executed, recorded, and
forwarded to the Board together with a certificate of title brought
down to date.

6. All property mortgaged to the Board shall be insured against
fire and windstorm in an amount no less than the loan in force, Such
insurance policies shall be written by insurance companies acceptable
to the Board and shall contain the following clause: “Loss, if any,
payable to the Evangelical Lutheran Synod of Missouri, Ohio, and
Other States, as its interest may appear,” and the policies shall be
forwarded to the Board.

7. Should a congregation cease to be a member of the Evangelical
Lutheran Synod of Missouri, Ohio, and Other States or abandon
public worship or become extinct, then any loan it may have from the
General Church Extension Fund shall become immediately due and
payable, and the Board shall enforce collection.

8. Before a loan is granted to a congregation, it shall furnish