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* |
|---|---|
| Advance Code | A370 |
| Interest Rate Type | Floating, later converts to fixed |
| Floating Rate Index | Secured Overnight Financing Rate (SOFR) |
| Interest Rate Cap(s) | |
| Interest Rate Floor(s) | |
| Minimum Size | $5mm |
| Term | 1 - 10 years |
| FHLBank Chicago Owned-Embedded Option | Putable on specified put date(s) |
| Member Owned Embedded Option | |
| Principal Repayment | At maturity |
| Prepayment Fee | • |
| Symmetrical Prepayment Feature Availability | |
| Community Advance Eligibility | |
| Activity Stock | 4.5% or 2% |
| Uses | Below-market funding, liquidity |
Same-day funding is available for transactions initiated prior to 3 p.m. (Central Time).
*The member must review and provide acknowledgement of a disclosure statement regarding the risks associated with this advance.
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.