Federal Home Loan Bank System Modernization Act of 1992

Federal Home Loan Bank System Modernization Act of 1992 - Amends the Federal Home Loan Bank Act to modify the formula for annual contributions by Federal Home Loan Banks to capitalize the Resolution Funding Corporation. Modifies membership eligibility requirements for former Federal Home Loan Bank members, and for new members, including any building and loan association, savings and loan association, cooperative bank, homestead association, savings bank, or insured depositor institution. Makes insurance companies not yet members ineligible to become members. Permits Federal savings and loan associations to withdraw from membership (as all other members are currently allowed to do). Reduces from ten years to five years the waiting period before a withdrawn member may resume membership.

Repeals: (1) the limitations (including the 30 percent lending cap) on advances to members that are not qualified thrift lenders; (2) the proscription against acquisition of new advances from a Federal Home Loan Bank by a savings association which lacks qualified thrift lender status; and (3) the requirement for a minimum of eight Federal Home Loan Bank districts.

Authorizes the Federal Home Loan Bank Board to establish one or more branches of a Federal Home Loan Bank in the district in which the bank is located, subject to the limitation that the total number of such banks and branches in all of the districts does not exceed 12.

Directs the Federal Housing Finance Board to study and report to the Congress on: (1) the feasibility of creating a class of affiliate members of the Federal Home Loan Banks for institutions that make long term home mortgage loans; and (2) the desirability of applying requirements to such members that differ from those currently applicable in specified areas to Federal Home Loan Bank members.