June 14, 2016
Why wait for a special to get discounted rates?
Many members get automatic discounts when they renew a maturing advance into a new advance with a term of at least one year. If the new advance is at least $1 million and 50 percent of the maturing advance, the ARDP will discount the rate by three basis points as long the new advance's term is at least one year. For terms two years or longer, the discount is eight basis points.
If the new advance is at least $1 million and 125 percent of the maturing advance, we'll increase these discounts by an additional two basis points – five basis points for extensions of at least one year, and 10 basis points for two years or more.
How it Works
It's easy to use. Just call the Money Desk two days before an advance matures, and get an automatic discount when you replace a maturing advance with a long-term advance. For example, you must call by 3:00 p.m. on Tuesday for an advance that matures on Thursday. The new advance will disburse on the maturity date of the maturing advance.
The new advance must include the following features:
- Maturity of one year or longer
- Amount at least 50 percent of the maturing advance, with a minimum of $1 million
- Classic Advance
The new advance will be based on the Bank's rates at the time you call to renew the maturing advance - two days before maturity.
The discount cannot be combined with any other special pricing from the Bank. If you transact an advance meeting all of the above conditions during a long-term advance special offering, you will receive the rate shown during the special offering with no further discount.
Our discount program is available exclusively from the Money Desk and is not available on Direct+. The program will be available for a limited time. Please don't hesitate to call the Money Desk or your relationship manager with any questions.