12th District (San Francisco)
Borrower-In-Custody Program Information
Information
Overview of Borrower in Custody Program – Information about the program and eligibility requirements.
Borrower in Custody (BIC) Guidelines [PDF; 58K] – 12th District-specific guidelines to the BIC program, includes pledging requirements, inspection details, templates of required documents, etc.
Application Process
If your institution has already filed necessary lending agreements and authorizing resolutions under the terms set forth in Federal Reserve's lending agreement, Operating Circular No. 10 [PDF; 249K]
, then submit the following application and documentation:- Application for Borrower-in-Custody Arrangement [MS Word; 132K]
- Irrevocable Power of Attorney [MS Word; 37K] - This document enables us to act on the institution's behalf to negotiate the collateral under the provision of Operating Circular #10.
- Appendix A Instruction & Template [MS Word; 60K] - This document is subject to terms of the Letter of Agreement for OC10 and indicates the physical location of the loan documents and the type of loans that are being pledged. The Appendix A is also completed on the applying institution's bank letterhead.
- Email BIC Agreement (eBIC) [MS Word; 46K] - As of February 2011, this document is no longer necessary.
- Your Bank's internal credit risk ratings definition - This is reviewed to determine underwriting methods used by the pledging bank to assess credit risks and potential loss.
- Your Bank's Internal Loan Policy handbook and/or guidelines.
- If the loans are held by a third party custodian, including subsidiaries or affiliates, the Form of Agreement for Third-Party Custodian to Hold Collateral [MS Word; 38K] must be completed.
Credit and Risk Management
Federal Reserve Bank of San Francisco
101 Market Street, MS 830
San Francisco, CA 94105
Contact us for additional information.