A Confirming Letter of Credit – sometimes called a "wrap" – can help secure improved credit terms for community-focused bonds, enhancing the bond’s credit rating, reducing borrowing costs, and improving marketability.

Members can use a Standby Letter of Credit to collateralize Public Unit Deposits (PUDs) that exceed the level covered by FDIC. It's a great alternative to pledging securities.

A Standby Letter of Credit functions as an independent guaranty of a member’s obligation, which can help increase borrowing capabilities.