Funds Held Interest Rate

The funds held interest rate paid by the bank for the month of December 2023 will be 5.40%.

The funds held interest rate is the interest rate on balances held by Heritage Land Bank. This is not the interest rate for new loans.

This interest rate is based on the Bank’s 30-day cost of funds on the last business day of the month. The calculation of the rate was determined as follows:

Interest shall accrue at a variable rate that shall be equal to the Equivalent Bond Yield, all-in, ACT/365 rate for a 30-day maturity of Discount Notes (the “30-day Discount Note Rate”) as quoted in the “Interest Rate Summary” published by the Federal Farm Credit Banks Funding Corporation on the last business day of the prior month and rounded to the nearest 0.05%. The interest rate will change on the first day of every successive calendar month if there is a change in the 30-day Discount Note Rate.

The interest rate paid on the individual fund held accounts will never exceed the interest rate on the related loan.