MPP Purchases Total $17.2 Billion

The three Federal Home Loan Banks participating in the Mortgage Purchase Program acquired $17.2 billion on single family loans from their member bank and thrifts in 2002."We believe our first full year of operation has demonstrated that the MPP is a successful part of our financial service offerings to our members," said Martin Heger, president of the FHLBank of Indianapolis. The Seattle, Cincinnati and Indianapolis FHLBanks created MPP independently of the Mortgage Partnership Finance program, which purchased $27.9 billion in single family loans last year. The MPF program was started five years ago. The Atlanta FHLBank offers the MPF program but it is also planning to offer MPP execution to its members later this year. During 2001, the three MPP banks purchased $2.6 billion in loans.