Floating Rate Advances provide funding with rate resets at periodic intervals, usually tied to one-month or three-month LIBOR, effective federal funds, Federal Home Loan Bank discount note, or prime rates. These advances can be a valuable tool for members to manage interest-rate risk and fund adjustable-rate loans.

 

FeaturesOpen Line of CreditFHLBank Chicago Federal Funds Effective Putable FloaterMarket Federal Funds Effective FloaterFixed Rate with Floating Spread*Adjustable FloaterDiscount Note FloaterStructured Discount Note FloaterOvernight Discount Note FloaterLIBOR Floater*Prepayable LIBOR Floater*Prime FloaterPrepayable Prime Floater
Advance CodeA010A012A016A126A300A382A383A384A400A380A410A411
Minimum Size  $5mm$1mm  $5mm     
Term1 day; auto-renews30 days1 week–
180 days
180 days–
10 years
28 days - 10 years28 days–
5 years 
91 days–
10 years
1–92 days180 days–
10 years
180 days–
10 years
180 days–
3 years
180 days–
3 years
Term Extension Option           
Put Option Owned by FHLBank Chicago           
Call Option Owned by Member 
   On reset datesOn reset datesOn reset dates (daily)
On reset dates On reset dates
Same-Day Funding (prior to 3:00 p.m.)Prior to
2:00 p.m.
Available for Community Advances   
  
Rate IndexFHLBank Chicago federal funds effectiveFHLBank Chicago federal funds effectiveMarket federal funds effective3-month LIBOR and 3-month advanceSet daily at a fixed spread to the Secured Overnight Financing Rate (SOFR)4-week, 13-week, and 26-week discount note index13-week discount note indexOvernight discount note index1-month and 3-month LIBOR1-month and 3-month LIBORPrime ratePrime rate
Principal RepaymentAt maturityAt maturityAt maturityAt maturityAt maturityAt maturityAt maturityAt maturityAt maturityAt maturityAt maturityAt maturity
Prepayment Fee No fee on reset datesNo fee on reset datesNo fee on reset datesNo fee on reset datesNo fee on reset dates
BenefitsLiquidity, match fundingLiquidity, fundingLiquidity, fundingFunding, hedge interest-rate riskMatch funding, hedge interest-rate riskLiquidity, blended fundingLiquidity, blended fundingLiquidity, blended fundingMatch funding, hedge interest-rate riskMatch funding, hedge interest-rate riskMatch funding, hedge interest-rate riskMatch funding, hedge interest-rate risk

From now until March 31, 2020, members can continue to execute the advance products with a LIBOR component with no tenor restrictions as long as the transactions settle by March 31, 2020. Beginning April 1, 2020, members can still transact the indicated advance products with a LIBOR component as long as they mature by December 31, 2021. Beginning April 1, 2020, transactions with maturities settling beyond December 31, 2021, are expected to be suspended. 

For additional information on advance products and terms, please contact your Sales Director or review the Member Products Guide. Product terms above are subject to change. Other terms may be available upon request.