Liquidity & Balance Sheet
Total Borrowings
Also known as Borrowings
Total borrowings are a bank's wholesale, non-deposit funding: Federal Home Loan Bank advances, fed funds purchased, repurchase agreements, and subordinated debt. They supplement deposits but are costlier and more confidence-sensitive.
How is Total Borrowings calculated?
Reported across the liabilities section of Schedule RC. Borrowings let a bank fund growth beyond its deposit base, but they reprice with the market and, in stress, can be pulled or require more collateral, unlike sticky core deposits.
Why does Total Borrowings matter?
Reliance on borrowings is a key liquidity signal. A spike in FHLB advances often marks a bank plugging a deposit shortfall, and heavy short-term wholesale funding is a vulnerability when confidence wavers, borrowed money leaves faster than relationship deposits.
How do you interpret Total Borrowings?
Read borrowings as a share of assets and watch the trend. A modest, term-matched borrowing book is normal balance-sheet management; a rapid rise in short-term advances, especially alongside deposit outflows, is a classic liquidity-stress tell.
What do Total Borrowings levels indicate?
| Range | Label | Interpretation |
|---|---|---|
| Low / term-matched | Strong | Minimal wholesale reliance, well structured. |
| Moderate | Adequate | Normal use of borrowings to manage the balance sheet. |
| Rising short-term | Watch | Growing reliance on wholesale funding. |
| Heavy / replacing deposits | Concern | Borrowings filling a deposit gap; liquidity pressure. |
Worked example
Frequently asked
What are FHLB advances?
Federal Home Loan Bank advances are collateralized loans from the regional FHLBs to member banks. They are a common, reliable wholesale funding source, but a sharp rise often signals a bank is replacing lost deposits.
Why are borrowings riskier than deposits?
Wholesale borrowings reprice with the market, can require additional collateral, and may not roll over in stress. Core deposits are cheaper and stickier, so heavy borrowing reliance raises both cost and liquidity risk.
Sources
Explore 4,196 FDIC-insured banks
Browse every FDIC-insured institution by state, asset tier, or name, with quarterly FFIEC filing data behind each profile.