Any regulated financial institution - including savings
banks, savings and loan associations, commercial banks, credit unions and insurance companies
located in Kentucky, Ohio or Tennessee - may apply for membership in the Federal Home Loan Bank
of Cincinnati.
In order to be eligible for membership, a financial institution
must meet all of the following criteria:
·
The institution is duly organized under federal or state laws;
·
The institution is subject to inspection and regulation under the
banking laws, or similar laws, of any state or federal regulatory agency;
·
The institution originates or purchases long-term, home mortgage
loans. Long-term home mortgage loans are defined as home mortgage loans with
a maturity of five years or more;
·
Insured depository institutions other than community financial institutions, must have at least 10 percent of its total assets in residential mortgage loans.
·
The institution's financial condition and collateral allow
advances to be safely made;
·
The character of the institution's management and home
financing policy is consistent with sound and economical
home financing.
