Corporate credit unions are owned by the credit unions that choose to do business with them and provide short term (federal funds) and long term investments (in government approved instruments).
Many corporate credit unions also provided consumer services to the employees and official family members of credit unions in cases where local or Federal laws prevented people employed by or having an interest in the operation of a financial institution as a means of fraud prevention.
The majority of modern corporate credit unions no longer perform a consumer function.
[citation needed] Through the 1980s, the corporate credit union industry underwent a consolidation movement due to limited resources in the face of increasing demands or because of institution failures (ex.
[1] On September 24, 2010, NCUA regulators also seized three wholesale credit unions located in Connecticut, Illinois and Texas.