{"data":{"id":"us/12-cfr-1269.1","jurisdiction":"us","citation":"12 CFR 1269.1","heading":"Definitions.","body":"As used in this part:\nApplicant means a person or entity at whose request or for whose account a standby letter of credit is issued.\nBeneficiary means a person or entity who, under the terms of a standby letter of credit, is entitled to have its complying presentation honored.\nCommunity lending means providing financing for economic development projects for targeted beneficiaries, and, for community financial institutions (as defined in § 1263.1 of this title), purchasing or funding small business loans, small farm loans or small agri-business loans (as defined in § 1266.1 of this chapter).\nConfirm means to undertake, at the request or with the consent of the issuer, to honor a presentation under a standby letter of credit issued by a member or housing associate.\nDocument means a draft or other demand, document of title, investment security, certificate, invoice, or other record, statement, or representation of fact, law, right, or opinion that is presented under the terms of a standby letter of credit.\nIssuer means a person or entity that issues a standby letter of credit.\nPresentation means delivery of a document to an issuer, or an entity that has undertaken a confirmation at the request or with the consent of the issuer, for the giving of value under a standby letter of credit.\nResidential housing finance means:\n(1) The purchase or funding of “residential housing finance assets,” as that term is defined in § 1266.1 of this chapter; or\n(2) Other activities that support the development or construction of residential housing.\nSHFA associate means a housing associate that is a “state housing finance agency,” as that term is defined in § 1264.1 of this chapter, and that has met the requirements of § 1269.3(b) of this chapter.\nStandby letter of credit means a definite undertaking by an issuer on behalf of an applicant that represents an obligation to the beneficiary, pursuant to a complying presentation: to repay money borrowed by, advanced to, or for the account of the applicant; to make payment on account of any indebtedness undertaken by the applicant; or to make payment on account of any default by the applicant in the performance of an obligation. The term standby letter of credit does not include a commercial letter of credit, or any short-term self-liquidating instrument used to finance the movement of goods.","path":["Title 12—Banks and Banking","CHAPTER XII—FEDERAL HOUSING FINANCE AGENCY","SUBCHAPTER D—FEDERAL HOME LOAN BANKS","PART 1269—STANDBY LETTERS OF CREDIT"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-12.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:16Z","sha256":"a11cb2d1262201aa584d370e35c27a6e3326a79fe222846625e3242fb6eba5a0","source_id":"us-cfr","stale":true,"prev":"us/12-cfr-1268.8","next":"us/12-cfr-1269.2"},"notice":"GroundRules: Original legal text. Not legal advice."}