---
kind: "section"
citation: "12 C.F.R. § 1270.2"
title: "12"
number: "1270.2"
heading: "Authorized liabilities."
url: "https://uscodex.org/cfr/12/1270.2"
---

# §1270.2. Authorized liabilities.


As a source of funds for business operations, each Bank is authorized to incur liabilities by:

- (a) Accepting proceeds from the issuance of consolidated obligations issued in accordance with this part;
- (b) Accepting time or demand deposits from members, other Banks or instrumentalities of the United States, and cash accounts from associates or members pursuant to §§ [1266.17(b)(2)(i)(B)](/cfr/12/1266.17.md?p=b-2-i-B), [1266.17(d)](/cfr/12/1266.17.md?p=d) and [1269.4(a)(1)](/cfr/12/1269.4.md?p=a-1) of this chapter, or [§ 1270.3](/cfr/12/1270.3.md) of this part, or from other institutions for which the Bank is providing correspondent services pursuant to section 11(e) of the Bank Act ([12 U.S.C. 1431(e)](/usc/12/1431.md?p=e));
- (c) Purchasing Federal funds; and
- (d) **Entering into repurchase agreements.**

## Notes

### Authority

Authority: 12 U.S.C. 1431, 1432, 1435, 4511, 4512, 4513, and 4526.

### Source

Source: 76 FR 18369, Apr. 4, 2011, unless otherwise noted.