About our products

Advances

The FHLBI supports local communities by providing low-cost funds for financial institutions. Loans to member institutions, called advances, range from overnight to 30 years in maturity, with a choice of variable and fixed rates and various pricing and payback options. They provide

• short-term liquidity to keep insured mortgage lenders operating smoothly and with the flexibility needed to remain profitable, and
• long-term funds so lenders can originate mortgages on American homes at reasonable rates and in all economic climates.
  

Mortgage Purchase Program

The newest program for the FHLBI, begun in 2001, is the purchase of mortgages from member institutions. For further information, click on Mortgage Purchase Program tab above.

Community Investment

Since 1990, the FHLBI has helped members and housing providers build or rehabilitate homes for low- to very low-income families. Under our Affordable Housing Program, grants of ten percent of our income are awarded to members for use in specific low-income housing programs to improve all families' access to individual homes and rental units. Also, a portion of these funds are available to qualified buyers for downpayment assistance.

In addition, the FHLBI loans funds with no profit markup to help members finance low- to moderate-income housing or community projects to benefit lower income communities. Apartment complex development, infrastructure repair (roads, water lines, etc.), employment growth through small business expansion, and service centers such as health or day care centers are among the projects which can qualify. For more information on all community investment programs, click here.

Correspondent services

We provide members with these correspondent services.

• security safekeeping, and
• funds transfers.

Security safekeeping holds the many investments in bonds and other instruments a bank or thrift may own, and handles all the paperwork. Funds transfers move money through the nation’s payments systems for member institutions and for their retail customers.