Title 12, Banks and BankingRelease 119-102
§1435 Obligations as Lawful Investments; Liability of United States for Debentures, Etc., Issued by Banks
Title 12 › CHAPTER 11 — FEDERAL HOME LOAN BANKS › § 1435
Summary
Debt of Federal Home Loan Banks approved by the Board or Director may be used as legal investments and as collateral by funds controlled by the United States. Federal Reserve banks may act as agents or custodians, and each issue must say it is not a U.S. obligation or guaranteed.
Full Legal Text
Title 12, §1435
Banks and Banking, Source: USLM XML via OLRC
Obligations of the Federal Home Loan Banks issued with the approval of the Board or the Director under this chapter shall be lawful investments, and may be accepted as security, for all fiduciary, trust, and public funds the investment or deposit of which shall be under the authority or control of the United States or any officer or officers thereof. The Federal reserve banks are authorized to act as depositaries, custodians, and/or fiscal agents for Federal Home Loan Banks in the general performance of their powers under this chapter. All obligations of Federal Home Loan Banks shall plainly state that such obligations are not obligations of the United States and are not guaranteed by the United States.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Amendments
2008—Pub. L. 110–289 inserted “or the Director” after “the Board”. 1989—Pub. L. 101–73 substituted “Board” for “board”.
Reference
Citations & Metadata
Citation
12 U.S.C. § 1435
Title 12, Banks and Banking
Last Updated
Aug 21, 2026
Release point: 119-102