The MPF® Direct product provides Participating Financial Institutions the opportunity to sell their high-balance mortgage loans into the secondary market.


Features MPF Direct
Execution Credit Enhancement Obligation: contingent liability of PFI  
Credit Enhancement Fee Income: 6–12 basis points paid to PFI  
Loan level/investor price adjustments
Underwriting Loan terms: fully amortizing, up to 30-year fixed rate
5/1, 7/1, 10/1 Adjustable Rate Mortgages (ARMs)
Occupancy: owner-occupied/second home
Investment property
Mortgage insurance coverage required  
Fannie Mae Desktop Underwriter (DU) access included  
Maximum LTV (%) 90
Servicing Servicing options: released or retained Released only
Remittance options: A/A, S/R, or S/S  
Remittance options: A/A Only  
Remittance options: S/S Only  
Servicing fee income (bps)  
Delivery Master commitment: required; $5 million minimum
Delivery commitments: mandatory
Master commitment: required; $5 million minimum
Delivery commitments: best efforts
Same-day loan delivery and funding Two business days
Structure Credit enhanced: FHLBank Chicago and PFI share credit risk  
First Loss Account (bps)

Product terms subject to change; contact your Sales Director for the most current product information.

PFI = Participating Financial Institution
A/A = Actual/Actual
S/R = A/A Single Remittance
S/S = Scheduled/Scheduled


To learn more about the MPF Program, contact your Sales Director or Membership Coordinator at