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The Business Development Advance

The Business Development Advance (BDA) Overview

Members can take advantage of our Community Lending Programs to gain access to a reliable source of funding at our lowest advance rates for projects that create housing, improve business districts, and strengthen neighborhoods. Our attractive funding programs include:

Members may submit CIP, UDA and RDA applications and corresponding loans on a project-specific basis or on a program-specific basis, which allows you to fund multiple projects within one program. Annually, the Federal Home Loan Bank of New York may approve CLP applications in direct relation to the members’ total advances (minus overnight advances) vs. their CLP advances, as of October 31, 2018, in increments not to exceed $25 million in a calendar month. Each member institution may access at least $25 million in CLP advances in 2019, regardless of their advance portfolio. The member limit is subject to review and may be adjusted at the sole discretion of the FHLBNY. Exceptions for project-specific programs in excess of the established CLP limit may be considered on a case-by-case basis.

Advance tenors for CLP advances are restricted to three (3) years.  Exceptions to this guideline will be considered, for project-specific programs only, on a case-by-case basis.

Each year the FHLBNY publishes its Community Lending Plan, which provides an overview of the developments in the district and describes how the Bank is responding to emerging challenges. The 2020 Community Lending Plan is now available.

Benefits of CLP


Flexible funding structures at favorable rates and terms


Access to low-cost funds at favorable terms for the end loan recipient


Simple application process — members can apply for a project- or program-specific commitment


Responsive commitment process — the member controls the funding


Upfront transactions — no hidden penalties


Established program since 1989 with over $16.4B committed and $16.4B funded
(as of 12/31/2019)

Eligible Uses for CLP Funds

Use a CIP Advance or CIP L/C to:

Finance housing for families or individuals with incomes at 115% or less of the area median income

Use a UDA to:

Finance economic development projects in areas with a population greater than 25,000 that benefit families at or below 100% of the area median income

Use a RDA to:

Finance economic development projects in areas with a population of 25,000 or less that benefit families at or below 115% of the area median income

Since CLP funds are the lowest-priced FHLBNY advances, the savings could help improve your margins. See if the community development project you have in mind qualifies. Contact a Member Services Desk Representative at (212) 441-6600 or (800) 546-5101, option 1, or a Relationship Manager at (212) 441-6700.