Diocese of Winona Deposit and Loan Fund
Current Diocese of Winona Deposit & Loan Fund Rates
Deposits: 1.40% Loans: 3.40% (effective July 1, 2012)
Deposit and Loan Online Access
Connect to the Deposit & Loan Fund Online - click here to log on
Background
The Diocese of Winona Deposit and Loan Fund provides a way for the parishes and institutions within the Diocese to support each other. As stewards of the money given by God, we have the charge to provide resources for the life and growth of the Church. The Deposit and Loan Fund is a vehicle through which the parishes, cemeteries and institutions of the Diocese can deposit funds at competitive market rates allowing other parishes and institutions within the Diocese to borrow funds at competitive rates for projects.
The Deposit and Loan Fund was separately incorporated from the Diocese of Winona in 1993. Funds are kept separate from the Diocese of Winona and are not available for Diocesan use. The Fund currently holds $30 million in assets of which $9 million are on loan to diocesan institutions.
Deposits are extended as loans or are invested in bonds or FDIC insured guaranteed funds. All deposits are backed by the Diocese of Winona which assumes the risk should a parish default on a loan. Therefore, the Deposit and Loan Fund is a relatively safe vehicle for parish, cemetery or institutional funds.
Policies
Since 1993, 75% of parish, cemetery and institutional savings and investments are to be on deposit with the Deposit and Loan Fund. This increased to 100% of savings and investments on July 1, 2003. This means a general fund may be maintained in a local bank account for operating funds up to three months of operating expenses, but all other funds are to be deposited in the Deposit and Loan Fund.
Deposits
Deposits into the Fund can be made at any time by the following procedure:
1. Write a check made payable to the Diocese of Winona Deposit and Loan Fund.
2. If an account is already established, indicate into which account number the funds should be deposited. Multiple accounts can be established to track funds for various purposes. Initial deposits do not need an account number.
Requests for funds are processed on demand. Average turn-around is five business days. Proxies are not required to withdraw funds. However, proxies are required for initial approval of projects that will cost in excess of $10,000. Requests for withdrawal can be made at any time by sending a request via letter, fax or e-mail to the Diocesan Director of Finance. Requests can also be made via online access to the Diocese of Winona Deposit & Loan Fund.
Loans
Loans can be obtained in the following manner:
A proxy is required for all loans.
Terms of the loan are established with the proxy.
A line of credit can be established for projects requiring substantial time to complete.
Repayment terms are discussed with the Diocesan Director of Finance. An amortization schedule for the loan will be provided for detailed repayment of the loan.
Loan payments can be mailed to:
Diocese of Winona Deposit and Loan Fund
PO Box 588
Winona, MN 55987
Funds can be transferred from a deposit account via access to the Deposit & Loan Fund.
Interest Rates as of July 1, 2012
Interest Rate - Deposits: 1.40%, compounding annually
Interest Rate - Loans: 3.40%
Annual rebates are issued based on fund performance and are subject to Board approval. Rebates, if issued, are in addition to interest paid on deposits or loans. Rebates are pro-rated based on the balance of deposits and loan principal balances as of May 31 of the fiscal year. Interest rates are reviewed at least semi-annually by the Board of Directors. Participants will be notified of any interest rate changes.