By providing member institutions with access to advances with maturities varying from overnight to 20 years (see table 3), FHLBanks
can stabilize the flow of residential mortgage loans issued by thrifts during periods of deposit outflows.
The primary source of funds for FHLBI, and for the other Federal Home Loan Banks ("FHLBanks
"), is the sale of FHLBanks
' consolidated obligations in the capital markets, issued through the FHLBanks
' Office of Finance.
Moody's Investors Service affirmed the a long-term senior debt and Prime-1 short-term debt ratings of the Federal Home Loan Bank System (FHLBank
System) following the announcement that the FHLBanks
of Des Moines and Seattle have entered into an exclusivity arrangement regarding a potential merger.
(11) The final leg of the mortgage market stool is the funding that facilitates financial institutions' ability to retain mortgage loans on their balance sheets, such as bank deposits, advances from the Federal Home Loan Banks (FHLBanks
), and other wholesale sources.
Among other things, the Housing and Economic Recovery Act permits Federal Home Loan Banks (FHLBanks
) to issue letters of credit (LOCs) to guarantee tax-exempt municipal bonds for a wide range of projects through December 31, 2010.
System or System) is a government-sponsored enterprise (GSE) that consists of 12 Federal Home Loan Banks (FHLBanks
) and is cooperatively owned by member financial institutions, typically commercial banks and thrifts.
There has been talk of possibly including the Federal Home Loan Banks (FHLBanks
) under the same oversight structure.
Each of the 11 FHLBanks
administers its own AHP, making the combined Affordable Housing Program one of the largest private sources of grant funds for affordable housing in the United States.
The primary liability for these consolidated obligations rests with FHLBI; however, we are also jointly and severally liable with the other FHLBanks
for the payment of the principal and interest on all consolidated obligations of each of the FHLBanks
System has said that it is planning to launch a new USD3bn two-year global bond issuance.
These institutions are similar to the Federal Home Loan Banks (FHLBanks
) in that each is chartered by the United States Congress to perform the public policy mission of making housing more affordable.
The Federal Home Loan Banks (FHLBanks
, or FHLBank
System) are 11 US government-sponsored banks that provide reliable liquidity to member financial institutions (not individuals) to support housing finance and community investment.