A fixed interest rate can help financial institutions meet liquidity needs, manage the balance sheet, and mitigate interest-rate risk. The Federal Home Loan Bank of Chicago offers Fixed Rate Advances in a variety of structures and terms, allowing members to tailor their mix of liabilities to fit any management strategy.
|Features||Short Term||Fixed Rate, Fixed Term||Callable Fixed Rate||Putable Fixed Rate*||Fixed Rate Amortizer||Callable Fixed Rate Amortizer*||Expander/ Extender*|
|Term||1–27 days||28 days–|
|1–15 years||2 days–|
|1–30 years||1–30 years||1–20 years|
|Term Extension Option||•|
|Same-Day Funding (prior to 3:00 p.m.)||•||•||•||•||•||•||•|
|Available for Community Advances||•||•||•||•|
|Principal Repayment||At maturity||At maturity||At maturity||At maturity||Defined schedule||Defined schedule||At maturity|
|Principle Expansion Option||2x|
|Symmetrical Prepayment Feature||•||•||•||•||•|
|Put Option Owned by FHLBank Chicago||•|
|Call Option Owned by Member||•||•|
|Activity Stock||4.5% or 2%||4.5% or 2%||4.5% or 2%||4.5% or 2%||4.5% or 2%||4.5% or 2%||4.5%|
|Benefits||Liquidity||Laddered /barbell funding, hedge interest-rate risk||Funding, hedge prepayment risk, hedge interest-rate risk||Below-market funding||Match funding, blended funding||Match funding, blended funding||Hedge asset duration and deposit run-off|
*Beginning on December 31, 2021, transactions of new advance products with a LIBOR component have been suspended.
For additional information on advance products and terms, please contact your Sales Director or review the Member Products Guide. Product terms above are subject to change. Other terms may be available upon request.