Nov 15, 2018 | Q4 2018

Collateral Quarterly

THE ROAD TO eNOTES

FHLB Des Moines, along with the FHLBank System, have already started the journey toward accepting eNotes for residential mortgage collateral.

Take a look at some of the key milestones we've hit so far and learn what lies on the road ahead.

VIEW PRESENTATION

Preview the 2019 Changes to the BBC Form for Self-Reporting Requirements

COLLATERAL UPDATE

In August, FHLB Des Moines member institutions received notification of changes to collateral definitions and reporting requirements for residential 1-4 family 1st mortgages to be implemented in January 2019. Full details regarding this change can be found on our Members Site.

As a result of this new reporting requirement, the Borrowing Base Certificate (BBC) form for residential 1-4 family 1st mortgages will look different to members beginning with their reporting for the quarter ending December 31, 2018.

View a preview of the changes to the BBC form:

The Member FAQ Guide has been updated to address recent member questions.

MORE INFORMATION

Employee Feature:
Zachary Bassett

Senior Analyst, Collateral Review

You may recognize Zachary Bassett as one of the faces of the FHLB Des Moines Collateral Field Staff. As a Senior Analyst, Zachary has the opportunity to coordinate onsite Member Collateral Verifications (MCV’s) in every state across our district. Permanently located in Nibley, Utah, Zachary enjoys being able to travel around the district and work with many of the great executives that make up our membership.

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Now Accepting as Eligible Collateral: Tax Exempt Mortgage Securities

WHAT WE ARE WORKING ON

Members asked, we listened. FHLB Des Moines now accepts both rated and unrated Tax Exempt Mortgage Securities (TEMS) as eligible collateral. These securities are deemed to be eligible as they are municipal bonds issued by a state or local housing agency to support housing. Each TEMS is backed by an agency security and can be exchanged for the underlying agency CUSIP at-will.

If you have further questions about TEMS, please reach out to Chris Kuhn-McRoberts, Collateral Manager, at [email protected] or 515.412.2262.

HOLD THE PHONE.

We've got a new number.

515-412-2500

As part of our recent building move, you can now reach the collateral department at the number above. In addition, personal direct numbers of the collateral staff have also changed.

Reminder: 3rd Quarter BBC Submissions Due Today - November 15th

NOTES FROM THE FIELD

Ensure you are maintaining sufficient eligible collateral by keeping your Borrowing Base Certificate (BBC) updated by the November 15th due date. Quickly access BBC information at these links:

Questions? Contact the Collateral Department from 8:00 AM until 4:30 PM, Monday - Friday, at 800.544.3452, ext.2500 or send an email to [email protected].

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MCV Notifications

NOTES FROM THE FIELD

FHLB Des Moines performs regulatory-mandated reviews called Member Collateral Verifications (MCVs). The MCV has three primary purposes: to validate the existence of pledged collateral, assess the completeness of loan file documentation and verify that the pledged loan collateral meets FHLB Des Moines eligibility guidelines.

Members selected for an MCV review in the 1st half of 2019 were notified last week (November 6th). If your institution is selected, you will receive a notice from your Collateral Review Manager regarding next steps.

Read more about the MCV process here. If you have any additional questions, please send an email to [email protected].

Federal Home Loan Bank of Des Moines

1-800-544-3452 - www.fhlbdm.com