Skip to main content

  • Comment Detail

  • Date: 07/15/24
    First Name: Lucas
    Last Name: White
    Email: lwhite@fountaintrust.com
    Organization Type: organization
    Organization: The Fountain Trust Company

  • Comment

    To whom it may concern,
    The Federal Home Loan Banks have functioned well throughout many economic cycles with their current mission statement and no changes are needed. The Federal Home Loan Banks have successfully supported affordable housing and provided liquidity to the banking system in a safe and sound manner, in both good times and bad. Changing or altering their mission statement risks changing how they do business going forward and they have done exactly what they were designed to do.

    Community bank liquidity could be at risk if additional requirements are placed on FHLB advances. FHLB advances are fully collateralized and the Federal Home Loan banks have a long history of providing advances in a safe and sound manner. If FHLB advances are restricted in the future, more banks will fail and the cost of housing will rise.

    Sincerely,
    Lucas White
    President
    The Fountain Trust Company