FEDERAL HOME LOAN BANK ACT

The Federal Home Loan Bank Act (Bank Act) has been amended many times since its original enactment in 1932.  The current version of the Bank Act establishes the Federal Housing Finance Board as an independent agency in the executive branch of the government with the primary duty of ensuring that the Federal Home Loan Banks (Banks) operate in a financially safe and sound manner.  To the extent consistent with the safety and soundness charge, the other statutory duties of the Finance Board are to: (1) supervise the Banks; (2) ensure that the Banks carry out their housing finance mission; and (3) ensure that the Banks remain adequately capitalized and able to raise funds in the capital markets.  The Bank Act authorizes the Federal Home Loan Banks to provide financial products and services to members and housing associates to assist and enhance the financing of housing in the broadest sense, including single-family and multi-family housing serving consumers at all income levels, and community lending, defined as financing for economic development projects for targeted beneficiaries. 

The Federal Home Loan Bank Act is codified at sections 1421 through 1449 of Title 12 of the United States Code (12 U.S.C. §§ 1421-1449).  Below you will find the complete text of the Bank Act.