Federal Home Loan Banks

Federal Home Loan Banks (FHLBs) are a network of regional banks in the United States that provide funding to financial institutions like banks and credit unions. Established in 1932, their primary purpose is to support home mortgage lending and affordable housing initiatives. They do this by offering low-cost loans to member institutions, enabling them to provide mortgages and other loans to consumers. Essentially, FHLBs help ensure that lenders have the necessary resources to support home buying and community development while promoting stability in the housing market.