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  • Comment Detail

  • Date: 03/10/23
    First Name: Darlyne
    Last Name: Keller
    Email: dkeller@rockvalleycu.org
    Organization Type: other
    Organization: Rock Valley Credit Union

  • Comment

    Thank you for allowing us to provide input on the future of the FHLBank System. Rock Valley Credit Union (RVCU) has been a FHLB member for several years now. We became a member primarily because it provides us with an additional low-cost liquidity source while allowing us to continue lending to our members at favorable rates. Our partnership with FHLB has been positive and beneficial is several ways.

    RVCU utilizes the Advance products, DPP Program, and took part in the COVID-19 program. The Advance products benefit our members and community by allowing us to lend at favorable rates. The DPP Program provides down payment and closing cost assistance for eligible home buyers who may not otherwise be able to purchase a home. The COVID-19 grant was beneficial and appreciated as it was disbursed to the Illinois Credit Union League for further disbursal to smaller credit unions in the State allowing them to continue serving their membership through favorable loan and share rates during the difficult economic period of the pandemic.

    We urge caution about making any changes to the FHLBank System. For over 90 years, this System has worked well with no credit losses and has proven to be a reliable and stable source of funding in good and not so good economic times when members desperately need liquidity. The fact that the System maintains a regional structure is also beneficial since it ensures flexibility and quick responsiveness to member needs and requests. Finally, similar to credit unions, our relationship with FHLB is cooperative in nature, where members are shareholders and owners and where members elect the board of directors. This cooperative relationship is one that must be preserved to ensure losses are contained and no insolvencies negatively impact any members.

    RVCU's relationship with FHLB is critical to our daily operations, and we do not want to see any changes that would negatively impact that. We appreciate your consideration of our input and thank you for allowing us to contribute to this process.