Discount Window

Federal Reserve credit, commonly referred to as borrowing from the "Discount Window," is available to depository institutions that maintain reservable transaction accounts or nonpersonal time deposits.  The availability of Federal Reserve credit is an important dimension of general monetary policy and serves as a source of funding when other sources are not reasonably available.  The Discount Window can be used as a backup source of short-term funding or to meet longer-term seasonal funding needs.

Discount Window staff are able to assist customers in establishing borrowing relationships, ensuring that appropriate collateral is in place, and extending credit. The Federal Reserve System Discount Window website provides the following:

  • General information on the Discount Window, the types of credit, and mechanics of borrowing;
  • Official guidelines, including Regulation A, Operating Circulars 10 (Lending) and 1 (Account Relationships), and relevant provisions of the Federal Reserve Act;
  • Lending agreements and instructions for establishing access to the Discount Window;
  • Current and historical interest rates;
  • Information on how to establish collateral arrangements;
  • FAQs and recent Discount Window-related press releases and announcements; and
  • Contacts and Resources, including Tenth District-specific forms.

Testing Access to the Discount Window As Part of Your Contingency/Liquidity Plan

The Federal Reserve Bank's primary credit program, available through our Discount Window, may be a part of your institution's liquidity management or contingency plan.  Institutions are encouraged to periodically test their ability to borrow at the Discount Window to ensure that there are no unexpected impediments or complications.  If your institution already has the Discount Window in your plans, you can easily complete a test by calling the Credit and Risk Management Department at (800) 333-2987 and requesting a small, one-day loan.

If the Discount Window is not a part of your institution's liquidity management or contingency plan and you are interested in learning more about establishing a Discount Window relationship, including necessary documentation and collateral requirements, please contact the Credit and Risk Management Department at (800) 333-2987.  Additional information can also be found on the Federal Reserve System Discount Window website.