§201.4. Availability and terms of credit. — Inbound Citations

(1) A Federal Reserve Bank may lend to a depository institution either by making an advance secured by acceptable collateral under § 201.4 of this part or by discounting certain types of paper. A Federal Reserve Bank generally extends credit by making an advance.

(d) Except for depository institutions that receive primary credit as described in § 201.4(a), no depository institution shall act as the medium or agent of another depository institution in receiving Federal Reserve credit except with the permission of the Federal Reserve Bank extending credit.

(a) The interest rate at each Federal Reserve Bank for primary credit provided to depository institutions under § 201.4(a) is 3.75 percent.

(b) The interest rate at each Federal Reserve Bank for secondary credit provided to depository institutions under § 201.4(b) is 4.25 percent.

(c) The rate for seasonal credit extended to depository institutions under § 201.4(c) is a flexible rate that takes into account rates on market sources of funds.

(e) The interest rate on advances to depository institutions made pursuant to an auction under § 201.4(e) is the rate at which all bids at that auction may be fulfilled, up to the maximum auction amount and subject to any minimum bid rate and other conditions as set by the Board.

(2) Authorization for the term auction facility established by § 201.4(e)(1) shall expire on such date as set by the Board.