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The Federal Home Loan Bank (FHLB) System is a large, complex, and understudied government-sponsored liquidity facility … provide evidence on the uses of these funds by the System’s bank and thrift members. Next, we identify the trade-offs faced by … about the respective roles of the various liquidity facilities would be helpful. -- Federal Home Loan Bank ; government …
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We document the fact that servicers have been reluctant to renegotiate mortgages since the foreclosure crisis started in 2007, having performed payment-reducing modifications on only about 3 percent of seriously delinquent loans. We show that this reluctance does not result from securitization:...
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