Community Loans

To help us extend the reach of our traditional grant making, we consider loans for community organisations as a way of producing measurable social impact and recycling our capital to assist other projects 

Who can apply?

Applications for loans will only be accepted from non profit organisations that are a legal entity and operating in our area including:

  • an incorporated society or an incorporated charitable trust. You can check if you are incorporated at Societies & Trusts 
  • a company with charitable purposes which is registered with Charities Services
  • entities established under the following Local Government Act 2002, Maori Trust Boards Act 1955 or Education Act 1989

Key Principles & Criteria


  • The primary objective of a loan must be to accomplish a charitable purpose
  • Loans are to provide a social and financial return
  • In total they will not exceed 5% of our equity


  • Your project must be aligned to our strategic direction and contribute to one or more of our funding priorities
  • All other sources of funding will need to have been exhausted
  • The value of securable assets, organisational debt, net assets, cashflows, management, governance and organisational capacity will be considered
  • You must be able to demonstrate your ability to meet loan repayments within specified timeframes 

AntiMoney Laundering and Countering Financing of Terrorism (AMLCFT)

New Zealand has a law called the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (AML/CFT) and the Trust must comply with its requirements and are required to assess the risk we may face from the actions of money launderers and people who finance terrorism and must identify potentially suspicious activity. 

Also as part of what the AML/CFT calls "customer due diligence" we need to obtain and verify certain details and information about your organisation including the people associated with it (e.g. directors and shareholders, trustees and beneficiaries). Certified documents will be required to confirm these details. Refer to our Identification and Address verification requirements.

Click here for information on how a Politically Exposed Person is defined in the Act.  

If we are not able to obtain the required information from you, it is unlikely we will be able to consider an application for a community loan.

Important information 

  • $2.5 million is the maximum for any one loan
  • Trustees determine the term of a loan and the maximum repayment period is 10 years
  • You are liable for your own legal costs
  • Loans are formally executed and secured, and may be subject to other conditions
  • Interest rates are set on a case by case basis considering affordability, community benefit and financial return. We also consider how commercial the project is, forecast turnover and ability of your organisation to repay
  • The official cash rate is used as a guide for determining interest rates
  • Generally, community loans will be below market interest rates and occasionally we may consider an interest free loan
  • Where an interest free loan is provided we are expecting a social return only and the value of that expected social return will be determined 

How to apply?

You first need to discuss your project with our General Manager as all community loan applications are by invitation only.