GAO: FEDERAL HOME LOAN BANKS Role During Financial Stress and Members' Borrowing Trends and Outcomes
No se pudo agregar al carrito
Add to Cart failed.
Error al Agregar a Lista de Deseos.
Error al eliminar de la lista de deseos.
Error al añadir a tu biblioteca
Error al seguir el podcast
Error al dejar de seguir el podcast
GAO: FEDERAL HOME LOAN BANKS Role During Financial Stress and Members' Borrowing Trends and Outcomes
-
Narrado por:
-
De:
www.marktreichel.com
https://www.linkedin.com/in/mark-treichel/
"Most banks maintained relatively consistent reliance on Federal Home Loan Bank advances — including during periods of financial stress."
— Government Accountability Office
The GAO just dropped a detailed report examining the Federal Home Loan Bank system during COVID-19 and the March 2023 banking stress.
Here's what they actually found (without the noise):
What the data shows:
• FHLBank advances functioned as a stabilizing liquidity tool — not a risk amplifier
• Especially true for institutions under $10 billion in assets
• Consistent usage patterns even during stress periods
• No evidence of panic borrowing or destabilizing effects
Why it matters: While everyone was wringing their hands about liquidity risk, most community institutions used FHLBanks exactly as designed — as a reliable backstop when deposits got shaky.
The real takeaway: For smaller institutions, FHLBank membership provided stability when they needed it most. Not a crutch. Not a risk factor. Just a tool that worked.
I've posted a ~9-minute audio summary walking through what the GAO actually found.
🎧 Listen at MarkTreichel.com or on your favorite podcast app (Samantha Shares).
Translation: FHLBanks did their job. The system worked as intended.
Are you worried about an NCUA exam in process or looming on the horizon? Don't face it alone!
We're ex-NCUA insiders with decades of experience, ready to guide you to success. Our team understands the intricacies of NCUA examinations from the inside out.
Hire us and gain:
• Peace of mind during your exam process
• Insider knowledge of NCUA procedures and expectations
• Strategies to address potential issues before they become problems
• Continuous access to our extensive subject matter expertise
With our access retainer, you'll have on-demand support from former NCUA experts. We're here to ensure your credit union achieves flying colors in its next examination.
Contact Credit Union Exam Solutions today to learn more about our services and how we can help your credit union succeed.