Investment FAQ

Q: What is the difference between a loan certificate and a savings certificate?

A: Loan certificates: earn interest quarterly. They have a set term (e.g. 6 months, 12 months, 24 months, 36 months and 60 months). There is a penalty for early withdrawal on all loan certificate investments.

Savings certificates: have no penalty for early withdrawal. Because of this liquidity, the interest rates offered on savings certificates are generally lower than those offered on loan certificates. Statement savings certificates accrue interest daily - interest is paid monthly. Our 12 month savings certificates accrue interest daily - interest is paid annually.

Q: Where can I find current interest rates for investments in WELS CEF?

A: Each month, Current Interest Rates are posted on our website home page. Monthly interest rate information can also be found by calling toll-free: 1-866-511-7793. Or, you can sign up to receive the monthly rate updates automatically via email. Subscribe

Q: Who sets the current interest rates for WELS CEF investments?

A: The interest rate committee sets rates monthly. The interest rate committee is made up of the President, VP-Investments, VP-Marketing & Development and the Treasurer.

Q: What are the different options available for interest payment earned on my WELS CEF Loan Certificate?

A: There are five (5) interest payment options available for Loan Certificates:

Direct. Sent to you by check. An interest check is sent to you quarterly.
Add-on. Interest is added to your certificate quarterly.
ACH direct. Sent to your bank or financial institution. You must send an ACH Authorization Form and a voided check for the account into which you want the interest deposited. A deposit will be made quarterly directly into your account.
Added to Statement Savings Certificate. Please send us your Statement Savings Certificate number in writing. Interest will be paid quarterly directly into your Statement Savings Certificate.
Designated Rate. If you would like to provide additional support WELS CEF, you may elect to receive no interest on your Loan Certificate. This option is also available for Savings Certificates.

Q: May I change my interest payment option at a later date?

A: Yes, you may change your interest payment option at anytime by sending us a written request. The change will take place at the next quarterly payment.

Q: Can I access my investment account information from home?

A: Yes. You can access your investment account information 24 hours a day by calling toll-free: 1-800-729-9357.

Q: Can I make adjustments to my certificate terms over the telephone?

A: No. Legally adjustments must be made in writing. At maturity, terms can be adjusted without penalty. WELS CEF is required by its auditors to receive written notification when certificate terms are adjusted. This can best be handled by signing the back of the original certificate and writing us a note directing us accordingly. For example, a person could request a change from a 12 month loan certificate to a 24 month loan certificate by simply signing the back of the original 12 month certificate, filling out a new Investment Application, and then mailing the original certificate and new application to us. WELS CEF will then reissue a new certificate with a 24 month term.

Q: Can I add money to a certificate before it reaches maturity?

A: Loan Certificates, an investor can add money to the certificate ONLY at the maturity date.
For

Savings Certificates, an investor can add money to the certificate at any time by completing an Additional Investment Form and sending a check made out to WELS CEF.

Q: After the maturity date passes, how long do I have to redeem my loan certificate without penalty?

A: There is a 15 day grace period for redemptions and term changes. If you want to change the term of your certificate you will need to submit a new Investment Application.

Q: When my certificate matures, can I reinvest in a different investment certificate?

A: Yes. Upon receiving your maturity notice from WELS CEF, simply send us the original certificate and a new Investment Application. Before sending the certificate to us, it must be signed on the back side. Upon the receiving the signed certificate and the new investment application, our office staff will then open a new certificate. If the certificate is held by a WELS organization, please use an Organization Investment Form.

Q: How do I notify WELS CEF if my address changes?

A: You can print an Address Change Form, or you may contact WELS CEF customer service to request that we send you a form.

Q: How do I designate beneficiary(ies) for my investment certificate?

A: New investors who are in the process of completing an Investment Application, simply complete the section entitled "Payment On Death." Current investors with an investment application already on file with WELS CEF, simply complete a Beneficiary Designation Form. This form is also located on the back page of the Annual Offering Circular. Once the form is completed, it should be sent to the WELS CEF Office located at 2929 N Mayfair Road, Milwaukee, WI 53222.

Q: What is the difference between a primary beneficiary and a contingent beneficiary?

A: In the event that the owner(s) of a certificate dies, the primary beneficiary is first in line to receive the funds from the certificate. In the event the primary beneficiary is also deceased, the contingent benficiary(ies) is/are then entitled to receive the proceeds from the certificate. If a certificate is jointly owned, the surviving joint owner would be entitled to the certificate before the primary beneficiary or contingent beneficiary becomes eligible.

Q: If an owner of a loan certificate dies, is there a penalty for early withdrawal?

A: No - The penalty for early withdrawal is waived in the event of death.

Q: Do WELS CEF certificates quality as an IRA (rollovers, Roth IRA, for example)?

A: Yes, WELS CEF Retirement Certificates do qualify as an IRA and your current IRA’s can be rolled over into a WELS CEF Retirement Certificate. See FAQ on IRA's. and IRA Investments.

Q: When do 1099 statements get sent out?

A: WELS CEF is required to send out 1099 tax information to its investors each year. This information is processed in mid-January and sent out before January 31.

Q: Do you still sell WELS CEF stamps?

A: Yes

Q: How can our church/school participate in the Stamp Program to involve our WELS youth in mission work?

A: To learn more about the Stamp Program, please view the Stamp Program in our Investment Info area. An Initial Order form will get you started.