Brighton First pays a minimum of $8,723 per month for debt retirement. That's $104, 676 (which includes a significant amount in interest payments) per year. The loan was initially taken out to build the new sanctuary and classroom in 1995. In addition, the congregation borrowed money to purchase the building that is now used for youth ministry and for daily AA meetings. The full balance on the loan next comes due in April 2016. The Brighton First Finance Committee is currently seeking a favorable refinancing agreement, while interest rates are low.
Since 2011, the congregation has been working to aggressively pay down the balance on the principal in order to free money for ministry. Each month, the congregation pays an additional $1,000 and more on the principal. Once a year, congregation members are asked to donate toward a "13th payment" of $8,723. This effort has raised over $10,000 annually, which is also applied to the mortgage.
In July and August of this year, congregation members are asked again to make a "13th payment" on the mortgage. This annual effort has resulted in a significant decrease in the church's debt over the last 4 years. The original mortgage on March 30, 2011 was for $1,083,900. Per the original amortization schedule, if we had just made regular payments, our current balance would have been $863,293. At the current time our balance is $730,846. We've reduced the principal by $132,446 and reduced the overall repayment time for our loan by 15 months.
When we remortgage in the coming months, hopefully lowering our current interest rate of 5.25%, we will see a significant savings.
We can give thanks for the financial leaders at Brighton First who have encouraged the goal of debt retirement. This is truly an investment in our future and for God's glory, as we are freed for money ministry in Livingston County and beyond.
Please prayerfully consider giving to the 13th payment by August 31.
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