Letters of Credit
Types of Letters of Credit We Offer
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Confirming
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.
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Public Unit Deposits (PUD)
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.
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Standby
A Standby Letter of Credit functions as an independent guaranty of a member’s obligation, which can help increase borrowing capabilities.