Hybrid Rate Advances allow members to convert from floating to fixed rates, and to embed options into advances with highly customizable terms, protecting against rising or falling rates.
|Features||Putable Floating-to-Fixed Rate*||Floating-to-Fixed Rate*||Capped Floater*||Collared Advance*||Net Interest Margin Protection*|
|Term||1–10 years||1–20 years||180 days–10 years||1–10 years||180 days–10 years|
|Same-Day Funding (prior to 3:00 p.m.)||•||•||•||•||•|
|Available for Community Advances||•||•||•||•|
|Rate Type||Floating; later converts to fixed||Floating; later converts to fixed||Fixed spread to floating index||Floating within collar||Floating within collar|
|Rate Floor ( > 0%)||•||•|
|Repayment||At maturity||At maturity||At maturity||At maturity||At maturity|
|Symmetrical Prepayment Feature||•|
|Put Option Owned by FHLBank Chicago||•|
|Activity Stock||4.5% or 2%||4.5% or 2%||4.5% or 2%||4.5% or 2%||4.5% or 2%|
|Benefits||Below-market funding, liquidity||Below-market funding, liquidity||Hedge duration/convexity||Hedge duration/convexity||Hedge duration/convexity|
*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.