FEDERAL HOME LOAN BANK ADVANCES

9 Months Ended

Sep. 30, 2017

FEDERAL HOME LOAN BANK ADVANCES

FEDERAL HOME LOAN BANK ADVANCES

8.FEDERAL HOME LOAN BANK ADVANCES

At September 30, 2017 and December 31, 2016, FHLB advances were as follows:

(dollars in thousands)	September 30, 2017		December 31, 2016
Overnight advances	$	350,000	$	285,000
Variable interest rate advance indexed to 3-Month LIBOR plus 0.14% due in December 2017		10,000		10,000
Fixed interest rate advances		397,500		457,500
Putable fixed interest rate advances		—		50,000
Total FHLB advances	$	757,500	$	802,500

Each FHLB advance is payable at its maturity date, with a prepayment penalty for fixed rate advances that are paid off earlier than maturity.  FHLB advances are collateralized by a blanket pledge of eligible real estate loans. At September 30, 2017 and December 31, 2016, Republic had available borrowing capacity of $337 million and $378 million, respectively, from the FHLB. In addition to its borrowing capacity with the FHLB, Republic also had unsecured lines of credit totaling $125 million and $150 million available through various other financial institutions as of September 30, 2017 and December 31, 2016.

Aggregate future principal payments on FHLB advances based on contractual maturity and the weighted average cost of such advances are detailed below:

			Weighted
			Average
Year (dollars in thousands)	Principal		Rate
2017 (Overnight)	$	350,000	1.17	%
2017 (Term)		30,000	1.32
2018		117,500	1.53
2019		100,000	1.80
2020		120,000	1.81
2021		20,000	1.86
2022		10,000	2.08
Thereafter		10,000	2.14
Total	$	757,500	1.46

Due to their nature, the Bank considers average balance information more meaningful than period-end balances for its overnight borrowings from the FHLB. Information regarding overnight FHLB advances follows:

(dollars in thousands)	September 30, 2017			December 31, 2016
Outstanding balance at end of period	$	350,000		$	285,000
Weighted average interest rate at end of period		1.17	%		0.64	%

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(dollars in thousands)	2017			2016			2017			2016
Average outstanding balance during the period	$	224,402		$	99,946		$	149,707		$	78,960
Average interest rate during the period		1.17	%		0.44	%		1.03	%		0.42	%
Maximum outstanding at any month end during the period	$	350,000		$	430,000		$	625,000		$	495,000

The following table illustrates real estate loans pledged to collateralize advances and letters of credit with the FHLB:

(in thousands)	September 30, 2017		December 31, 2016
First lien, single family residential real estate	$	1,127,811	$	1,172,161
Home equity lines of credit		315,289		300,681
Multi-family commercial real estate		—		14,913