Charitable Investment Pool Program (CIPP)
Becky, Treasurer at First Free Will Baptist Church, was dissatisfied with
the earnings her church receives on the church savings account. She looked
at moving some of the savings to a CD but doesn't like the idea of locking
up funds in case they are needed for an emergency. Plus, her local bank's
money market and CD rates aren't that impressive.
She feels that, like the good steward of Matthew 25, she has an obligation to be wise with church funds. The rates that banks offer on savings and money market accounts are often less than the inflation rate, which means the church loses purchasing power by placing their funds in these accounts. This is like the foolish steward who buried his talent.
Becky understands that higher returns can also bring risk the church does not want to take with their excess funds. She wants to find a place to put the church funds in order to receive a reasonable rate of return without taking on risk.
Becky called Free Will Baptist Foundation and discovered they offer a Charitable Investment Pool for organizations and churches. The funds are conservatively invested. The rate is variable but through the years has exceeded the inflation rate.
The church can place any amount they wish with the Foundation and withdraw up to $50,000 on seven days notice. Becky liked the concept of the Charitable Investment Pool and First Free Will decided this was the place for their savings.