Introducing the Savings Amidst Volatile Environment (S.A.V.E.) Advance
April 18, 2023
During our 2023 FHLBank Chicago Member Meetings last month, we announced a new advance opportunity to support members as you navigate the rapid rise in interest rates, volatile market, and its impact on your institutions. This one-time opportunity provides members with a discounted advance and flexibility when selecting the interest rate type, advance term, and transaction date to best meet your balance sheet needs.
The S.A.V.E. Advance will be available from May 1, 2023 through October 31, 2023.
S.A.V.E. Advance Details
We have allocated funds for all members and associate members to utilize the advance, up to $5 million per member institution.
- Advance Type - select either:
- The A121 Fixed Rate, Fixed Term advance, or
- The A300 SOFR Floater advance
- Term: 1 to 3 years (any term within this range is eligible)
- Amount: Any amount up to $5 million
- Rate: A 10 basis point (bps) discount off the prevailing market rate, set when the advance is executed
- Capitalization: Select either 4.5% or 2% (RCAP) activity stock requirement
Other Eligibility Notes:
- Each member or associate member institution may only execute one advance; no combinations or multiple advances.
- Advances will be same day settlement only; no forward-settling transactions.
- If the advance is prepaid early, standard prepayment fees will apply.
- Advances are subject to our standard collateral requirements.
How to Transact:
- Call the Member Transaction Desk at 855.345.2244, option 1, anytime from May 1 through October 31 to request the advance; no additional application is required.
- Members must specifically request the S.A.V.E. advance to receive the discount.
For More Information
View our FAQ document to learn more about the advance requirements and process for transacting. In addition, please contact your Sales Director with any additional questions.