Independent Banker - July 2017 - 45

SPECIAL SECTION
POWER LENDING PARTNERS
Providing Value to Community Lenders for 20 Years
In 1997, the Federal Home Loan
Bank system began providing
community lenders access to
the secondary mortgage market
by offering a variety of mortgage
products and services. Today,
all eleven Federal Home Loan
Banks (FHLBanks) offer a
mortgage purchase program
to their members and we have
over 2,000 participating lenders
across the United States. " The Mortgage Partnership Finance®
(MPF®
) Program was created to focus on supporting community
lenders. Twenty years ago, we had members of the FHLBank
system that were not getting the attention that they deserved
from other participants in the secondary mortgage market, "
says John Stocchetti, EVP, MPF Program, FHLB of Chicago.
The MPF Program has allowed members of the FHLBanks
to help over 2.2 million borrowers achieve homeownership.
" Participating in the MPF Program allows us to be very
competitive with other mortgage companies out there;
whether it's an online mortgage lender, a mortgage broker, or
one of the bigger banks, " states Jeremy Frank, Vice President
of HomeTown Bank in Olivia, Minn. " The MPF Products have
allowed us to have a lot of successes. "
MPF Program Benefits
The MPF Program continues to expand its product suite to
become a one-stop shop for community lending institutions
with the ability to purchase various loan types such as
conventional/conforming, government and jumbo loans.
Along with a diverse product suite, the MPF Program allows
members the flexibility of having the option to choose
either a servicing retained or servicing released execution.
" We are a small community bank. Our customers like the
fact that they can deal with just us. Having the servicing
retained option helps us maintain those relationships with
our customers, which is very important. " said Susan Meier,
Senior Vice President, Human Resources at Reliance Bank in
Altoona, Pa.
" Participating in the MPF Program allows
us to be very competitive with other
mortgage companies out there; whether
it's an online mortgage lender, a mortgage
broker, or one of the bigger banks. "
- JEREMY FRANK,
VICE PRESIDENT, HOMETOWN BANK
Members are compensated for the quality of loans they sell
to their FHLBank through credit enhancement fee income.
The FHLBanks manage the interest rate risk on the loans
while sharing in the credit risk with the member. Members
can receive different levels of credit enhancement fee
income depending on the MPF product they select. This
rewards members financially for producing quality loans.
The MPF Program prides itself on the partnership it
has formed with its customers by providing training and
continuing education at no additional cost. The MPF Program
offers ongoing support for its customers through the MPF
Service Center, which receives approximately 2,300 calls
each month.
Our Promise
Over the last 20 years, the MPF Program has stayed true to
its mission of supporting community lenders and continues
to evolve. " The MPF Program has a history of growth,
beginning with a solid product offering and then adding
more enhancements along the way. All of it is geared toward
providing additional value to our members, " says Stocchetti.
The MPF Program will continue to work with its customers
to provide a variety of products and services that meet their
lending needs and allow them to stay competitive in the
mortgage industry. For more information on the MPF Program
and other offerings contact your local Federal Home Loan
Bank or visit the MPF Program website at fhlbmpf.com.
Michael Malusa, MPF®
Marketing Manager
Federal Home Loan Bank of Chicago
200 E. Randolph Dr., Chicago, IL 60601 | 312-552-2745 | fhlbmpf.com
http://www.qmags.com/clickthrough.asp?url=www.fhlbmpf.com&id=20303&adid=P45A1 http://www.qmags.com/clickthrough.asp?url=www.fhlbmpf.com&id=20303&adid=P45A2
Independent Banker - July 2017

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