The Bank Note: How It Happened
What has happened to our finances is what is happening to many other non-profit organizations: the economic downturn. We struggle, as many non-profit organizations in these times do, to fulfill our commitments and to provide a place of prayer for all and yet our expenses exceed the donations we receive.
The note in question is a mortgage-backed line of credit. We had paid off the mortgage on the temple property about twelve years ago, but continued to carry a mortgage on the land across the road, where our Peace Park and many sacred monuments are located. When the necessity arose to complete payments on the Peace Park, we paid that mortgage off through this note, using the temple property as security.
We have been falling quite a bit behind, and of course are in the process of fund raising to cover such expenses. But this calling in of the note was a surprise. We had been in touch with the bank about our efforts, and there had been no 30 day warning, or any other notification.
We are, however, aware that this obstacle is an opportunity. Of course, this is a scary moment. We have no guarantee that we will be able to raise the money, but since we notified our larger community just Saturday evening, we have been able to raise about $65,000. We are working hard to reach out to those who know us and may be able to help with any amount.
Thank you for your interest and for any support you might kindly offer. May all beings benefit from your generosity!
April 27th, 2010 at 10:01 am
How come that the situation’g gone this bad! It must’ve been neglected for long time to accumulate $250.000!!!! Sorry about this!
April 27th, 2010 at 11:51 am
The $250,000 in question was not accumulated over a period of time. That amount was a lump sum borrowed using this instrument to pay off a mortgage on our Peace Park, a separate piece of property across River Road from the main temple.
We were able to make timely payments on this line of credit from its inception in September 2005 until last summer. At that time we began to feel the weight of the economic downturn, particularly in regard to donors who were heavily invested in the market. We have been working to recoup these losses in donations.
So the amount in arrears is NOT $250,000! It is more like $15,000, and we had begun a campaign to provide for this amount as well as the monthly payments. We understand it is quite unusual for a bank to call in a note with such short notice without previously soliciting the funds. But that is what happened. (We have an idea it is the result of confusion after a recent merger.)
April 27th, 2010 at 2:44 pm
So now what happens? Have you saught the assistance of a real estate attorney to help deal with the bank? Have you paid the $15,000 taht is in arrears to show your intentions?
April 27th, 2010 at 2:57 pm
Yes, we do have an attorney, and he is currently in discussions with the bank’s attorney. Now that the whole note has been called, we have been advised to try to raise the full amount.
April 27th, 2010 at 7:38 pm
Another contribution is on the way. Small, but well-intentioned. We pray that your efforts in working with the bank are successful and that the outcome will ensure the viability of the organization for a very long time.
April 28th, 2010 at 11:24 am
Hi…I was wondering if you could take what you have received so far, and work with another bank & refinance your loan. You have the $108,000 to put towards it, and it seems another bank may be willing to work with you.
April 28th, 2010 at 12:38 pm
Thank you for your kind suggestion! We are taking all options into account, but the timing of the notice (five days) was an obstacle to refinancing. Our BEST option is to raise all the money by the deadline.
April 28th, 2010 at 3:40 pm
Hope you will log on again for tonight’s telethon. We have just had an announcement of a matching grant for all funds raised tonight!