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  • Comment Detail

  • Date: 10/21/22
    First Name: Kevin
    Last Name: Page
    Email: kpage@ponyexpressbank.com
    Organization Type: other
    Organization: Pony Express Bank

  • Comment

    To whom it may concern,

    Pony Express Bank relies on FHLB as a necessary source of liquidity to ensure that we, as a community financial institution, can continue to service the needs of our community. We've seen tremendous loan growth within our primary service area and access to FHLB's advance facility is a vital instrument to ensure we can meet this demand amidst potential volatility across our deposit base.

    With that being said, we'd like to insist that access to FHLB & their offering be restricted to institutions that are adequately regulated. The recent increase in large, unregulated technology companies dabbling in financial services is cause for immediate concern. Traditional financial institutions are strictly regulated to ensure a safe and stable financial system, the same cannot be said for these new participants. Their desire & incentives for growth above stability presents the opportunity for a significant increase in systemic risk, and access to wholesale funding methods will almost certainly exacerbate the problem.

    Sincerely,

    Pony Express Bank