Federal Home Loan Bank of Chicago. Correspondent Products & Services

Transcription

1 Federal Home Loan Bank of Chicago Correspondent Products & Services August 2013

2 Correspondent Products & Services I. Correspondent Products & Services Overview II. III. IV. Wire Transfers Foreign U.S. Dollar (International Wires) ACH Settlement FRB Correspondent Settlement Summary of Benefits Contact Information Appendix A Correspondent Products & Services Fee Schedule Appendix B Sample Correspondent Products & Services Reports Daily and Monthly Transactions Reports Statement of Wire Activity ACH Advices Statement of Respondents Activity 2

3 Overview: Correspondent Products & Services Correspondent Products & Services are any non-deposit related products or services that enhance the management of the Daily Investment Deposit (DID) account including Wires, ACH Settlements, and FRB Correspondent Settlement. Available to all FHLBC members Safe, secure, convenient Debits/credits cash settle out of the DID account No forms to fill out to execute transactions Consolidates cash management to a single account 3

4 Wire Transfer Wires: Electronic funds transfer via the Fedwire system for movement of US Dollars: Between various FHLBC accounts To external accounts such as Correspondent and FRB Wire information transmitted securely through encrypted communications methods Wire transfers can be initiated on ebanking by the member, or called into the Wire room at FHLBC Compliant with Office of Foreign Assets Control (OFAC) Convenient, no forms required Immediate confirmation *FHLBC processes over 70,000 transactions per year for over $1.3 trillion *Based on 2012 data 4

5 Foreign US Dollar (International Wires) An electronic transfer of US Dollars via the Fedwire system: To a correspondent bank in the foreign country US Dollars are converted into local currency at the spot rate Compliant with Office of Foreign Assets Control (OFAC) International wire transfers can be initiated on ebanking by the member, or called into the Wire room at FHLBC Convenient, no forms required Immediate confirmation Satisfies member or their customers needs 5

6 ACH Settlement ACH Settlement: Automated Clearing House settles out of a member s DID account. Convenient for: Payroll, vendor, utility, and rent payments Funding FHLBC accounts such as monthly remittance, custodial mortgage accounts, and MPF accounts ACH information transmitted securely through encrypted communications methods Compliant with Federal Reserve Bank (FRB) and National Automated Clearing House Association (NACHA) Convenient, no forms required *FHLBC processes over 2.6 million transactions per year for over $135 billion *Based on 2012 data MPF is a registered trademark of the Federal Home Loan Bank of Chicago 6

7 FRB Correspondent Settlement The FHLBC s Correspondent Non-Credit Products & Services offer members a streamlined alternative method to settling and funding transactions at the Federal Reserve Bank. Members have the option of naming the FHLBC as their correspondent. By naming the FHLBC as its correspondent, the FHLBC settles a member s Automated Clearing House (ACH) transactions and direct deposits. Settlement debits and credits pass through the FHLBC s account at the Federal Reserve Bank and are then processed to the member s DID account as a same day settlement. Regardless of whether a member selects the FHLBC to act as its correspondent, a member can have their ACH transactions settled into their DID account. Available to all members Convenient for managing cash out of a single account Requires one FRB form to be signed by the member and FHLBC Compliments other FHLBC products 7

8 Correspondent Benefits Member Support staff are very familiar with member relationships Multiple methods for movements of cash using a product that fits the member s needs Convenient, streamlined way to manage cash Providing correspondent services for over 30 years 8

9 Contact Information For information about Non-Credit Products & Services, contact Correspondent Products & Services: Janet Lewis, or (312) :30 a.m. to 3:00 p.m. CST Outgoing Member Wires 8:30 a.m. to 5:00 p.m. CST Incoming Wires For information about FHLBC s competitively priced credit products, call the Member Transaction Desk at (855) option 1, or visit 9

10 Appendix A Correspondent Product & Services Fee Schedules 10

11 Correspondent Products & Services Wire Transfer Fees via ebanking Wire Out $5.00 $16.00 Repetitive Out $5.00 $8.00 Wire In $5.00 $10.00 Foreign U.S. Dollar (International) $5.00 $50.00 Over-the-Phone ACH Fees ACH Settlement Monthly Service Fee $0.40 per transaction $5.00 per month for any account settling ACH transactions 11

12 Appendix B Sample Correspondent Products & Services Reports 12

13 Cash Management Statement (DID) 13

14 Daily Wire Statement 14

15 ACH Advices 15

16 Statement of Respondents Activity 16