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Volume 14 - Number 18

September 5, 2014

FHFA’s Proposed Revisions to FHLB Membership Faces Pushback

The pushback has already begun against a proposed rule by the Federal Housing Finance Agency that ban new captive reinsurers from joining the 12 FHLBanks. The proposal – issued this week for a 60 day comment period ending Nov. 1 – would also ease captive reinsurers of the FHLBanks over several years “to ensure that members maintain a commitment to housing finance and that only eligible entities can gain access to Bank advances and the benefits of membership.”

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