Borrowings From The Federal Reserve, Secondary (SECBORR)
2014-02: 0 Millions of Dollars
Monthly, Not Seasonally Adjusted, Updated: 2014-03-06 4:13 PM CST
|Source:|| Board of Governors of the Federal Reserve System
|Release:||H.3 Aggregate Reserves of Depository Institutions and the Monetary Base|
Secondary credit is available to depository institutions that are not eligible for primary credit. It is extended on a very short-term basis, typically overnight, at a rate that is above the primary credit rate. Secondary credit is available to meet backup liquidity needs when its use is consistent with a timely return to a reliance on market sources of funding or the orderly resolution of a troubled institution. Secondary credit may not be used to fund an expansion of the borrower's assets. The secondary credit program entails a higher level of Reserve Bank administration and oversight than the primary credit program. A Reserve Bank must have sufficient information about a borrower's financial condition and reasons for borrowing to ensure that an extension of secondary credit would be consistent with the purpose of the facility.