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Credit Products

Give Your Institution the Strategic Flexibility to Maintain a Competitive Edge

The FHLBNY offers credit products designed to help facilitate your balance sheet strategies. Members can customize advances with a wide variety of maturities and structures, allowing you to choose funding that meets your objectives. FHLBNY advances can be customized by size, term, settlement date, amortization schedule, symmetry and more. If this is your first time borrowing with the FHLBNY, we created an interactive Borrower’s Guide to assist members who want to initiate their first borrowing.

Click on an advance for more information or view a printable version of all the descriptions.

Overnight Advance

A quick source of liquidity to help manage daily cash flows and provide funding for various short-term uses

Advantages:

  • Same-day access to funds for immediate cash needs
  • Ability to borrow up to maximum borrowing capacity
  • No additional borrowing limit restrictions above standard FHLBNY credit and collateral limits
  • No set-up or renewal fees
  • Can be initiated conveniently through 1Link®, our secure internet banking system

Adjustable-Rate Credit (ARC) Advance

Match the interest rate characteristics of your adjustable-rate loan portfolio

Advantages:

  • More closely match the attributes of adjustable-rate assets with financing tied to floating rate advance funding
  • Tailor to meet specific financing needs with a wide range of maturities, up to 30 years
  • Link to the Secured Overnight Financing Rate (SOFR) index with the option to use Simple Averaging or Compounding interest accrual calculations
  • Limit exposure to rising and falling interest rates by using embedded options (caps/floors)

Fixed-Rate Advance

Achieve a wide variety of financial management goals, with maturities ranging from overnight
to 30 years*

Advantages:

  • Meet liquidity needs
  • Fund long-term assets
  • Lock in rates for future funding purposes
  • Forward start dates are available
  • Available with Symmetry for non Community Lending Program Advances with maturities of one year or greater and minimum advance size of $3 million

The FHLBNY also offers the Callable Fixed-Rate Advance, where the borrower has the option of prepaying funding without any penalty. Please contact a Relationship Manager for more information.

*Dependent on financial condition and member type

Repo Advance

Obtain preferential pricing when using Treasury or Agency issued Mortgage-Backed or CMO securities collateral

Advantages:

  • Effectively utilize your securities portfolio as collateral and obtain improved advance pricing
  • No penalties for pledging smaller blocks of securities
  • Receive the same low rates for AAA-rated Agency and Non-Agency securities
  • Maturities from 2 days to 10 years
  • Available with Symmetry for Fixed-rate, non-Community Lending Program Advances with maturities of one year or greater and minimum advance size of $3 million

Repo Advance

Obtain preferential pricing when using Treasury or Agency issued Mortgage-Backed or CMO securities collateral

Advantages:

  • Effectively utilize your securities portfolio as collateral and obtain an improved advance pricing
  • No penalties for pledging smaller blocks of securities
  • Receive the same low rates for AAA-rated Agency and Non-Agency securities
  • Maturities from 2 days to 10 years
  • Available with Symmetry for Fixed-rate, non-Community Lending Program Advances with maturities of one year or greater and minimum advance size of $3 million

Amortizing Advance

Match the amortization characteristics of your fixed-rate mortgages and mortgage-backed security portfolios

Advantages:

  • Enhance match funding of long-term assets
  • Borrow fixed-rate funds with the option of customizing the amortization schedule to match a selected prepayment profile
  • Maturities and amortization schedule from 1 to 30 years

Callable Advance

An advance with built-in prepayment options that can help members reduce interest rate risk and prepayment risk at minimal added cost

Advantages:

  • No prepayment fees when “called” after the pre-determined lockout period
  • Offers protection amidst rising rates with flexibility to lower your cost of funds in static and declining rate environments
  • Tool to mitigate both interest rate and prepayment risks

For more information on how the Callable Advance can help meet your institution’s funding needs, please read this funding strategy article or download the overview.

Principal-Deferred Advance (PDA)

A hybrid advance product that combines elements of the Fixed-Rate and Amortizing Advance. It begins as a Fixed-Rate Advance, allowing members to choose a specific amount of time they would like to defer the principal payment of the advance up to 5 years. When the lockout or principal-deferred period ends, the advance becomes an Amortizing Advance, where the member makes principal and interest payments on the loan up to another 30 years.

Advantages:

  • Valuable asset/liability management tool
  • Fully amortizing (back-end) with a choice of varying balloon terms
  • Mirrors characteristics of a typical construction deal with a permanent take-out
  • No embedded options in the advance

For more information on how the PDA can help meet your institution’s funding needs please visit our PDA page. You can also read this funding strategy article or download the overview.

Putable Advance Modification Program

Offers the ability to potentially lower interest expense, reduce optionality in a member’s balance sheet and to better manage interest-rate and liquidity risks.

Modifications:
In an effort to provide our members with additional solutions for today’s challenging economic environment, the FHLBNY is pleased to offer members the ability to modify Putable Advances into new Fixed-Rate Advance structures. Members can modify Putable Advance structures which have been previously modified if at least 365 days have passed since the prior modification. Advances that have already been modified into regular fixed structures cannot be re-modified.

Learn more on Financial Intelligence.

Putable Advance

Notice: The Putable Advance is temporarily suspended as a result of LIBOR cessation. The FHLBNY is no longer offering any structured products that are created using LIBOR-based hedges that mature beyond 2021. However, hedges using alternative indices are now being evaluated to create these products for our members. If you have interest in structured products, please contact your Relationship Manager at 212-441-6700​.

View our Putable Advance Modification Program

Interest Rate Derivatives

Reduces income fluctuations caused by interest rate volatility

Advantages:

  • Achieve asset/liability management goals
  • Hedge interest rate exposure or increase the certainty of future funding costs
  • Potentially lower the cost of funding

Note: Available for institutions with total assets less than $10 billion

Advance Rebate Program

Provides members with a cash rebate on a portion of the fees paid relating to the early extinguishment of eligible advances when new eligible advances are obtained within 30 calendar days. To receive the cash rebate, the prepaid advance(s) must have a remaining term of one year or longer, and new advance(s) must have a term of six months or longer.

Advantages:

  • Members receive cash rebate
  • Provides additional flexibility with balance sheet management
  • Strengthens and adds value to your Co-op

For more information on the Advance Rebate Program, please read this funding strategy article or download the overview.

As a true cooperative, all of our members are treated equally, regardless of asset size; your institution will receive the same terms, whether you are borrowing $1 million or $100 million.

Please Note: Reduced cost of funding under FHLBNY Community Lending Programs (CLP) is available for all advances with a minimum term of one year, except Putable Advances; CLP Advances are not eligible for the SPA feature; our Putables (when available), Callable, Swaps, and Letters of Credit programs require additional agreements; all credit product terms are subject to credit conditions.

Relationship Manager

For more information, contact a Relationship Manager at (212) 441-6700 or email us at [email protected].

Rate Information

Contact our Credit Services Representatives at (212) 441-6600 for a live quote or sign up to receive the daily rate indications (members only)

Structured Advance Pre-Transaction Disclosure