Former FHLBank Indianapolis President and CEO Marty Heger passes away

last updated on Friday, February 24, 2023 in Federal Home Loan Bank Indianapolis

Former President and CEO Marty Heger, FHLBank Indianapolis

The Federal Home Loan Bank of Indianapolis is sad to announce that former longtime President and CEO Martin “Marty” L. Heger has passed away at his home in Scottsdale, Ariz. He was 78.

Heger worked at FHLBank Indianapolis for 26 years, the last 15 of his career as  President and CEO. He retired in 2006.

“I am proud of the Bank’s growth and performance during my tenure and the respect that it has gained” within the Federal Home Loan Bank System, Heger said in a company news release at the time of his retirement. “However, it is time for a reorganization of the Bank and new leadership.”

Leadership reaction

Current President and CEO Cindy Konich praised Heger for his contributions to the organization and FHLBank System:

“Marty lived and worked in both Michigan and Indiana during his tenure at the Bank, giving him a true appreciation and understanding of the unique regional needs of our district. As FHLB Indianapolis CEO, he was driven to make sure all potential members could benefit from the bank's products and services.”

She added: “As a result, his legacy contributed to a robust partnership with our members and the local communities in which they serve. So many, including myself, benefited from Marty’s vision, wisdom and commitment to the Federal Home Loan Bank of Indianapolis.”

Banking trailblazer

An experienced National Bank of Detroit banker, Heger joined the Bank in 1980 and was instrumental in setting up correspondent banking services and processing centers to service members’ NOW accounts. This was a new type of service for the Bank, an opportunity created by the Depository Institution Deregulation and Monetary Control Act, which removed interest rate ceilings on deposit accounts and enabled thrifts to offer NOW accounts.

Heger brought in forward-thinking leaders to help stand up new operational processes and technology. Starting with just three computers, Heger and his team stood up the service in less than a year for the Bank’s then 216 members in Indiana and Michigan, efforts that laid the foundation for a more modern approach to banking.

In 1989, Heger was part of the leadership team that moved the Bank from its longtime downtown Indianapolis location to a new, larger and more modern office on the city’s north side, the first time the Bank chose to buy and own its headquarters space rather than lease its space.

Taking the helm

In 1992, the Bank’s Board of Directors hired Heger as President and CEO after the passing of then President and CEO Ron Morphew. Known for his gregarious, positive and outgoing nature, Heger recognized the importance of the Bank redefining its commitment to its mission and members, doing so by establishing a sales and customer service focus as President and CEO.

In 2000, Heger was instrumental in the Bank’s expansion into the secondary market through the creation and implementation of the Mortgage Purchase Program (MPP), which provided members with an alternative in the secondary market by purchasing residential mortgage loans from district members. Today, MPP is key component in the Bank’s mission to provide member services and support affordable housing needs in Indiana and Michigan.

Heger also was a staunch supporter of the Affordable Housing Program (AHP) and Community Investment Program (CIP) by pushing expansion of grants and programs, including the 1993 launch of the President’s Community Support Award honoring those who go above and beyond in developing affordable house. Now known as the Community Spirit Award, the prestigious honor is presented annually to one individual from Indiana and Michigan.

Funeral services will be private.

Story by Scott Thien, Sr. Internal Communications Lead. Contact the FHLBank Indianapolis Corporate Communications department at