Illinois Treasurer Acceptable Collateral Listing

List of Financial Assets Qualified for Collateral to Secure Deposits and Repurchase Agreements

Financial institutions receiving state or Illinois Funds deposits or repurchase agreements may collateralize from the following list of instruments, subject to the discretion of the Treasurer. Particular securities may be unacceptable due to the administrative difficulties in pricing. Please note that any security including a floating, variable, inverse, structured, or step-up feature is unacceptable.

Eligible Collateral by Account Type

Repurchase Agreements and Demand Deposit Accounts

Required collateral: 102%
Mortgage-backed securities: 103%
Applies to: Illinois Funds only.

Eligible collateral includes government securities as defined by the Government Securities Act of 1986, as amended. These include, but are not limited to:

  • Direct obligations of the United States Government, including bills, notes, and bonds
  • Federal Home Loan Mortgage Corporation
  • Federal National Mortgage Association
  • Government National Mortgage Association
  • Student Loan Marketing Association
  • Financing Corporation
  • Commodity Credit Corporation
  • Export-Import Bank
  • Farm Credit System
  • Federal Home Loan Bank Board
  • Federal Home Loan Banks
  • Tennessee Valley Authority
  • U.S. Postal Service

Time Deposits

The following collateral types are eligible for time deposits. The required collateral percentage is listed with each category.

U.S. Treasury Obligations

Required collateral: 105%

Eligible securities include:

  • Direct obligations of the United States Government, including bills, bonds, and notes

U.S. Agency Obligations

Required collateral: 105%
Mortgage-backed securities: 110%

Eligible securities include:

  • Agency for International Development
  • Federal Housing Administration
  • General Services Administration
  • Government National Mortgage Association
  • Private Export Funding Corporation
  • Small Business Administration debentures, non-amortizing
  • Tennessee Valley Authority notes and bonds

U.S. Instrumentality Securities and Obligations

Required collateral: 105%
Mortgage-backed securities: 110%

Eligible securities include:

  • Federal Farm Credit System
  • Federal Credit Consolidated Systemwide Discount Notes
  • Farmers Home Administration insured notes, non-amortizing
  • Federal Farm Credit Bank consolidated systemwide bonds
    • Federal Intermediate Credit Banks
    • Banks for Cooperatives
    • Federal Land Banks
  • Federal Home Loan Banks consolidated notes and bonds
  • Federal Home Loan Mortgage Corporation
  • Federal National Mortgage Association
  • Financing Corporation bonds
  • Resolution Funding Corporation
  • Student Loan Marketing Association notes
  • U.S. Postal Service bonds and notes

Note: No U.S. Postal Service bonds have been issued recently or are currently outstanding.

Obligations of the State of Illinois and Its Agencies

Required collateral: 105%
Minimum rating: “A” or better by Moody’s, unless otherwise noted.

Eligible securities include:

  • General obligations of the State of Illinois
  • Revenue bonds of the State of Illinois or any authority, board, commission, or similar agency
  • Illinois Building Authority notes or bonds
  • Illinois Environmental Facilities Financing Authority pollution control revenue bonds, if guaranteed by the U.S. Small Business Administration and if that guarantee is a full faith and credit obligation of the United States
  • Illinois Housing Development Authority bonds
  • Illinois State Scholarship bonds
  • Illinois Toll Highway Authority bonds
  • Public Housing Authority bonds or notes
  • Bonds issued by the State of Illinois colleges or universities

Local and Municipal Obligations

Required collateral: 105%
Minimum rating: “A” or better by Moody’s, unless otherwise noted.

Eligible securities include:

  • Chicago School Finance Authority bonds
  • General obligation municipal bonds, including school districts, within the State of Illinois, rated MIG 1 or MIG 2 by Moody’s
  • Public Building Commission bonds
  • Revenue and special obligation bonds of Illinois municipalities that are payable from an escrow consisting of direct U.S. Government obligations and rated “AAA” by Moody’s

Time Deposits and Demand Deposit Accounts

The following collateral types are eligible for time deposits and demand deposit accounts.

Other Eligible Collateral

Required collateral: 102%

Eligible collateral includes:

  • Municipal Bond Investors Assurance Corporation certificates
  • Letters of credit issued by the Federal Home Loan Bank
  • Share certificates issued by credit unions
Notes
  • Information current as of June 2015.
  • Illinois Funds only.