Introduced in 1997, the Mortgage Partnership Finance® (MPF®) program gives members of the FHLBank System a competitive alternative to selling their mortgages to secondary market agencies. Since its inception, the program has assisted hundreds of thousands of households nationwide with their home financing needs. The MPF program gives mortgage lenders the ability to do what they do best: retain the valuable customer relationship. The Federal Home Loan Bank does what it does best: manage the interest rate, prepayment, and funding risks.

• The MPF program combines the credit expertise of a local member with the funding/hedging advantages of a regional Federal Home Loan Bank to provide a more profitable alternative to funding mortgages.
• Members can sell their fixed-rate mortgages and retain their customer relationships.
• For the Original MPF product, MPF 125, and MPF Plus, the Federal Home Loan Bank of Boston pays a credit enhancement fee to participating members for managing the credit risk of the loans.

• Based on risk tolerance and the dollar amount of production, program options include closed-loan purchases and remittance types: actual/actual, actual/actual single remittance, or scheduled/scheduled servicing. In addition, servicing released options for Original MPF, and MPF Government products are available. Choose from:
• Original MPF®
• MPF® 125
• MPF® Plus
• MPF Government
• FHA
• VA
• RHS 502
• MPF Xtra™ – New!

New! The MPF Xtra product enables member financial institutions to offer competitive interest rates for long-term, fixed-rate mortgage loans, without assuming any of the credit risk associated with a credit-enhancement obligation. Member institutions do not retain credit risk for loans sold under the MPF Xtra product, there are no risk-based capital or credit-risk collateral requirements, and there is no leverage capital requirement. The MPF Xtra product offers member institutions an attractive alternative for selling first mortgage loans that they originate, allowing them to take advantage of a product designed to transfer loan risks to the investor.

The MPF Xtra product offers competitive pricing while allowing members to retain the loan servicing and valuable customer relationships. In addition, members continue to have access to the levels of customer service and training they have become accustomed to with the MPF program. Learn more about MPF Xtra.

Member Advantages

Allows lenders to retain their customer relationships. Why sell valuable credit relationships to a secondary market agency?

Utilizes the respective strengths of the Federal Home Loan Banks and their member financial institutions. Each partner is responsible for what it does best.

Is a more profitable and efficient alternative for lenders than selling mortgages to a secondary market agency. Instead of paying costly guarantee fees, MPF lenders may receive monthly credit-enhancement fees for managing the credit risk of the loans they originate.

Pricing and execution. Pricing indications are available to participating financial institutions (PFIs) through the eMPF web site.

Electronic versions of origination and servicing guides are available through All Regs®.

For More Information Contact:

William Dolan, VP, CMB, AMP
william.dolan@fhlbboston.com | 1.617.694.2617 
MPF Secondary Market Sales Manager for MA, CT, RI

Mark Sullivan, VP
mark.sullivan@fhlbboston.com | 1.617.694.2655 
MPF Secondary Market Sales Manager for ME, NH, VT

MPF staff at mpf@fhlbboston.com or 1.888.675.0556.

“MPF Xtra” is a trademark and “Mortgage Partnership Finance,” “MPF,” and “eMPF” are registered trademarks of the Federal Home Loan Bank of Chicago.