Federal Home Loan banks as secured creditors.

CFR · 2024-01-01 · US · Title 12

(a) Notwithstanding any other provisions of federal or state law or any other provisions of these regulations, the receiver of a borrower from a Federal Home Loan Bank shall recognize the priority of any security interest granted to a Federal Home Loan Bank by any member of any Federal Home Loan Bank or any affiliate of any such member, whether such security interest is in specifically designated assets or a blanket interest in all assets or categories of assets, over the claims and rights of any other party (including any receiver, conservator, trustee or similar party having rights of a lien creditor) other than claims and rights that (1) Would be entitled to priority under otherwise applicable law; and (2) Are held by actual bona fide purchasers for value or by actual secured parties that are secured by actual perfected security interests. (b) If the receiver rather than the Bank shall have possession of any collateral consisting of notes, securities, other instruments, chattel paper or cash securing advances of the Bank, the receiver shall, upon request by the Bank, promptly deliver possession of such collateral to the Bank or its designee. (c) In the event that a receiver is appointed for any member of a Federal Home Loan Bank, the following procedures shall apply: (1) The receiver and the Bank shall immediately seek and develop a mutually agreeable plan for the payment of any advances made by the Bank to such borrower or for the servicing, foreclosure upon and liquidati

official document · source cfr-2024 · id 12:§ 360.2