Frequently Asked Questions
Church Loans
GenFi loans are available to churches and ministries of the Assemblies of God within the United States. For more information, start a conversation with one of our ministry consultants!
GenFi’s loan interest rates are tailored to each individual ministry and based on a variety of underwriting criteria, including a church’s financial history, the type of project, the time frame, and more.
Loan rates are adjustable with a 3-year review. We do not offer fixed loan rates at this time.
No, there are no prepayment penalties at GenFi Ministries.
As a standard practice, there are no balloon payments. However, under certain circumstances, a balloon payment may be required.
If your ministry is refinancing an existing loan, the loan will be funded in its entirety at closing. However, if your loan is for construction or a remodel, the loan is funded progressively. This is a great benefit to the church, because monthly payments will only be charged on the amount borrowed at the time. Progressive funding also makes it easier to keep track of which projects have been completed and paid for and ensures the project will be completed within the loan amount.
If you request additional funding beyond your original request, you must submit a loan expansion request in writing with current financials. The loan committee will review your request, and if approved, funds will be added to your current loan balance.
Church officers are required to sign all loan documents, but they are not required to sign as co-signers guaranteeing the loan.
Yes!
Investments
Our penalty-free access investments are currently earning 1.50% APR. This interest rate is variable and subject to change. We will notify you prior to any access rate changes.
For higher rates of return, consider our fixed-rate investment offerings.
Interest rates are determined by the terms of your investment, not by the dollar amount invested.
Our access note provides penalty-free redemptions (requires a 30-day written notice). Fixed-rate notes are set up with the intention that the funds will stay in the account until maturity. Currently, early redemptions can be made from these notes with a 30-day written notice and will result in a six-month interest penalty.
Typically, yes, you can add to your investment note(s) at any time. If for any reason your investment note becomes closed to additions, we will give you 30 days advance notice.
You can use our compound interest calculator to calculate future earnings. You can even compare compounding interest against regular monthly additions over time.
Your investments are not “secured.” Investments with GenFi Ministries cannot be covered under the FDIC insurance program, because GenFi Ministries is a ministry, not a bank.
GenFi Ministries’ total net assets exceeded $15 million as of December 31, 2024. See our Offering Circular for more information.
Your investment supports the expansion of Assemblies of God churches and ministries through our loan program. See our Offering Circular for more information regarding our activities and the use of proceeds when you invest with us. See the impact investments with GenFi Ministries have for ministries nationwide.
Your beneficiaries will need to contact GenFi Ministries and provide a certified death certificate. They will also need to inform GenFi Ministries in writing whether they want to cash out the investment note(s) or hold it to maturity.
Yes. You will need to provide a copy of your trust agreement or complete a Certification of Trust Agreement form. GenFi Ministries requires that we have one of these items before we can set up your investment note in the name of a trust.
IRAs
Please review our current rate chart.
Traditional, Roth, Coverdell ESA, Custodial UTMA, and SEP.
Traditional IRA: Contributions to a Traditional IRA may be tax-deductible, and the interest earned is tax-deferred. Regular distributions from a Traditional IRA are taxable. You must begin taking distributions after the age of 73, but if you are still employed, you may continue to make contributions.
Roth IRA: Contributions to a Roth IRA are not tax-deductible, and the interest earned is tax-deferred. Regular distributions from a Roth IRA are not taxable. You are not required to take distributions by 73 and can continue to make contributions as long as you have earned income. Your Roth IRA has to be established for a minimum of five years before you can take tax-free distributions.
Yes! You can take penalty-free distributions from your Traditional IRA once you turn age 59 ½. For Roth IRAs, you can take distributions if you are 59 ½ and have had your account open for at least five years. GenFi Ministries does not assess any penalties for distributions from IRAs. However, there is a six-month interest penalty for transferring your IRA to another custodian before your term is up.
No. IRAs must be held in the name of an individual. If the person is married, the spouse usually is the primary beneficiary and the trust is the contingent beneficiary. If the person is not married, the trust can be the primary beneficiary.
A RMD is an amount of money the IRS requires you to take from a Traditional IRA account once you reach age 73. The dollar amount is determined by a calculation of your age and end balance of the previous year.
403(b)
Current employees of Assemblies of God churches/ministries or a self-employed, licensed, or ordained minister of the Assemblies of God. If a person is a retired credentialed minister, they may transfer funds from another qualified retirement account to GenFi Ministries’ 403(b) plan.
If you are not eligible for GenFi Ministries’ 403(b) ministry retirement plan, you may be eligible for GenFi Ministries’ Individual Retirement Account or Individual Investments.
There are a few different limits for the 403(b) retirement plan. The amount you can contribute from your paycheck is $23,000 per year or 100% of your taxable compensation, whichever is less. If you are age 50 or older, there is a catch-up amount of $7,500 you can contribute each year. There are other limits for employer contributions that are also based on your taxable compensation. Contact GenFi Ministries for details on those limits.
Yes, retired ministers can potentially designate all or a portion of their withdrawals as housing allowance. (Housing Allowance form must be submitted to GenFi Ministries prior to the withdrawal.)
There are several investment funds to choose from. One fund is the Vision fund offered through GenFi Ministries. This is the fund used to provide loans to Assemblies of God churches and ministries. There are also several mutual fund choices offered through Envoy Financial. Contact GenFi Ministries for a current list of available fund options.
403(b) statements are sent out monthly.
For accounts invested solely in the Vision Fund with a balance of $2,000 or more, there is a $5 monthly fee. For accounts invested in mutual funds offered through Envoy Advisory, Inc., there is a percentage-based fee of 0.0267% monthly (0.32% annually). Mutual Funds may also have additional underlying expenses. Refer to the fund prospectus for more information.
Yes, if your current plan allows for such transfers and you meet a triggering event as defined by the IRS.
Distributions are very restricted for 403(b) retirement plans. In order to take a distribution, you must meet a triggering event as defined by the IRS. The triggering events are as follows: attained age 59 ½, separated from service, retired, or death.
A 403(b) retirement plan is an employer-sponsored retirement plan and can only be funded through your employer. Your employer completes an Adoption Agreement that determines who is eligible to participate and what types of contributions will be made to the plan. It provides a way for you to save for retirement on a pre-tax basis, and your earnings are tax-deferred. You can make salary deferral contributions from your paycheck, and your employer can contribute on your behalf.
Yes. Just notify your payroll manager.
Yes. Just notify your payroll manager. You can resume at any time by contacting your payroll manager.
Yes, as long as your new employer is a participating employer. A participating employer has completed an Adoption Agreement with GenFi Ministries.
The IRS assesses a 6% penalty on excess contributions each year. It is your and your employer’s responsibility to know what your contribution limits are. See IRS publication 571 for more information at irs.gov.
Yes. You may change the allocation of funds at any time. Contact GenFi Ministries for specific instructions.
There are mandatory tax withholding rules that apply to employer retirement plan distributions. If you are under age 59 ½, the IRS assesses a 10% early distribution penalty. Distributions that qualify to rollover to another retirement account have 20% federal taxes withheld. You may qualify to take a distribution as Housing Allowance if you meet certain criteria. The Housing Allowance declaration provides a waiver of the mandatory 20% tax withholding. However, you are responsible for reporting the distribution and the taxable amount on your tax return.
ESA & UTMA
Contribution limits are up to $2,000 per year, per child.
Contributions can be made until the child reaches 18, and must be distributed by the time the child reaches age 30.
Anyone can contribute to an ESA, including individuals, organizations, and trusts, as long as their income is within the specified limits.
If funds in a Coverdell ESA are not used for qualified education expenses and distributed by age 30, the remaining balance is taxed as ordinary income to the child.
Yes, the beneficiary can be changed to another member of the beneficiary’s family, as long as the new beneficiary is below age 30. The IRS classifies the following as family: original beneficiaries spouse, children, grandchildren, siblings, parents, nieces, nephews, and in-laws, as well as the spouse of any of these individuals.
Redemptions can be made at any time. If there is an unused balance once the beneficiary reaches age 30, the balance must be redeemed or transferred to a qualifying family member.
Redemptions should generally be used for qualified education expenses, such as tuition, fees, books, supplies, and equipment for elementary school, secondary school, or post-secondary school. Redemptions for non-qualified expenses are taxable and subject to a 10% tax penalty.
A trust is a legal arrangement in which the assets are held for the benefit of another (a minor child, adult, or multiple individuals) under the terms of a trust deed. The appointed trustee manages the funds until they are no longer able or willing to do so.
A custodial account is an account managed by an adult for the benefit of a minor child. Once the child reaches the age of majority(21-25 years old), the adult child gains full control of the account.
In both cases, the custodian has the responsibility to manage the funds in the recipient’s best interest. The main difference is how the responsibility is transferred at age of majority.
Prior to the age of majority, an elected custodian controls the account. Once the child reaches the age of majority, they assume control of the account.
Typically, yes, you can add to your investment note(s) at any time. If for any reason your investment note becomes closed to additions, we will give you 30 days advance notice.
Fixed-rate notes are set up with the intention that the funds will stay in the account until maturity. Typically, early redemptions can be made from these notes with a 30-day written notice and will result in a six-month interest penalty.
Interest rates are determined by the terms of your investment, not by the dollar amount invested.
The account will be transferred to the child when they reach the age of majority, between 21-25 years old. The custodian chooses the age of majority.
If the child passes away, the assets become part of the child’s estate.
If the custodian passes away, the successor custodian becomes responsible for the management of funds.