2025 Annual Report
The Brethren in Christ Foundation (Foundation) exists to serve the Brethren in Christ U.S. (BIC U.S.) its congregations and members through lending, investing, charitable giving instruments, and servicing the BIC U.S. pension plans. We continue to evolve and adapt to ensure the continued service and support to the BIC U.S.
Lending Activities
During 2024, the Foundation funded 7 new loans totaling $2.4 million.
We had the opportunity to work with a ministry that seeks to aid the restoration of men who struggle with addiction. The ministry wanted to acquire a property where the men could live during their treatment. After several years of searching, they were able to locate an 8-acre property with several buildings that would be very advantageous for the ministry and the men they help. Since purchasing the property, they have renovated and upgraded the property and expect to begin accepting clients soon.
In another instance, we were approached by a congregation who had a loan from a conventional lending institution. After discussing their financing with the Foundation, we were able to refinance their mortgage. The refinance has relieved financial pressure on the congregation allowing them to evaluate their future ministry with a more stable financial situation.
Our loan portfolio remains secure. We are blessed to have borrowers who are responsible for their finances. As of December 31, 2024, all loans in our portfolio are either current or paid ahead. We do not take this fact lightly.
During 2024, 11 borrowers paid off their loans early. This totaled $1.7 million. We expect this trend to continue in the future.
As we enter 2025, we continue to see strong interest in new loans. Currently, we have four loans in underwriting. In total, we anticipate distributing approximately $3.8 million in the first quarter. That does not include potential loan requests that may come about during the year.
Securities
To support this robust lending activity, we continue to explore ways to raise capital. We do this by selling securities to eligible investors.
During 2024, the Foundation introduced our Youth Savings Certificate program. This certificate is meant to attract new investors who wish to save for college or other long-term needs for their children or grandchildren. One unique feature of the certificate is the ability to continually add to its balance. We are very pleased with the launch of the program. We have sold 133 Youth Savings Certificates and continue to see ongoing additions to the balance for most of those certificates.
We have also modified our Demand Certificates to establish progressive variable interest rate tiers for interest rates payable on the Demand Certificates based on the total principal amount invested. As an investor increases the amount invested in the Demand Certificate, the rate of return will increase. This is aimed specifically at congregations, organizations, and individuals who are saving for the future whether it be a rainy-day fund, building fund, down payment for home purchase, or similar purposes.
On December 31, 2024, the invested funds in Brotherhood Loan Fund securities totaled $46,921,406. This is an increase of nearly $1 million over 2023.
Matching Grants
In 2024 the Foundation awarded 12 matching grants for outreach initiatives, totaling over $16,000. Those programs included Racial Healing & Justice Cohort, establishing a community outreach center, a youth awakening festival, a community trunk or treat, and a variety of community gatherings.
BIC U.S. 403(b)(9) Plan
The Foundation provides administrative services for the denomination’s pension plan.
As TPA, the Foundation is responsible for the day-to-day operation of the plan. On a daily basis, we assist congregations and employees with their questions regarding enrollment, contributions, disbursements, and loans. We have continually upgraded technology to improve access to the plan for both employees and employers.
The future holds many opportunities to expand the ministry of the BIC U. S. and we at the Foundation are excited to be a part of that expansion
Your partners in ministry, Brethren in Christ Foundation
Jim Reynolds, Executive Director