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  • Comment Detail

  • Date: 03/10/23
    First Name: John
    Last Name: Reinke
    Email: jreinke5@icloud.com
    Organization Type: other
    Organization: The Stephenson National Bank and Trust

  • Comment

    Thank you for seeking input on the future of the Federal Home Loan Bank System. I have been a community banker for 48 years. Our bank has been a member òf the system since 1995 and we support the efforts of the Chicago Bank in it’s current business model.
    At this time, we are utilizing a $20 million advance to support our $30 million dollar adjustable rate portfolio that hás approximately $2.5 million in monthly volume. Runoff òf PPP funds has made thís advance essential to our operation. Our in house portfolio òf residential mortgages including these adjustable rate mortgages totals $90 million. Due to the rise òf fixed rate mortgage rates, this internal portfolio is our bést way to serve our market at thís time.
    In addition, we utilize $15 million òf our collateral pledge to secure municipal deposits that help fund our commercial portfolio.
    We fully realize the importance of affordable housing and are proud of Chicago’s efforts to allocate well over 10% òf their income for required and voluntary programs. Chicago’s model hás served ús well through every financial crisis as evidenced by their response to the Great Recession and the Pandemic.
    We would suggest the current model is doing what Congress intended in 1932. Thank you for your consideration.
    Sincerely yours,
    John Reinke
    Board Chair
    The Stephenson National Bank and Trust