Investment Offerings for Credit Unions

Since 1982, The Federation’s Community Development Investment Program has helped credit unions strengthen their finances and expand their impact on low-income communities. The Federation’s current investment offerings are designed to increase liquidity, boost net worth, and reduce credit unions’ risk so our member CDCUs can achieve greater impact in their local communities.

Federation investment offerings are open to member credit unions in good standing that meet our investment criteria. Learn more about the Community Development Investment Program’s Eligibility Criteria here.

Non-Member and Nominee Deposits

The Federation makes term deposits (“share certificates”) in member credit unions, which enable CDCUs to increase lending to members, to match deposits from other investors, and/or to generate investment income. The Federation typically makes non-member and nominee deposits of up to $250,000. Nominee Deposits, which are made in the name of third-party investors, can multiply this many times, as each Nominee Deposit is separately insured up to $250,000. Learn more.

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Secondary Capital Loans

Secondary Capital Loans are subordinated, long-term (five years or more) debt available to credit unions with low-income designation from their regulator. Secondary Capital can count as part of net worth for regulatory purposes, and as such can help growing credit unions to achieve the required minimum capital standards. The Federation makes Secondary Capital Loans of up to $2,000,000. Learn more.

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Download Product Guide 

Download Business Plan Outline 

Microenterprise Deposits

One of two types of risk-sharing deposits the Federation offers, Microenterprise Deposits partially collateralize microbusiness loans to expand CDCUs’ microlending in local communities. The Federation will make Micro-Enterprise Deposits of up to $25,000 that typically collateralize 25% of the value of a micro-enterprise loan. Learn more.

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Predatory Relief and Intervention Deposits (PRIDEs)

PRIDEs are risk-sharing deposits the Federation makes to help credit unions fight high-cost, predatory, tax-refund, automobile, or mortgage lenders. The Federation makes PRIDEs of up to $50,000 that partially collateralize CDCUs’ affordable alternatives to predatory loans. Learn more.

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CDCU Mortgage Center

The Federation’s CDCU Mortgage Center purchases seasoned, performing mortgage loans from member credit unions to replenish CDCUs’ loan capital, thereby expanding lending in local communities. CDCU Mortgage Center will purchase first lien, one-to-four family and condominium mortgage loans, manufactured home loans, and coop loans of up to $250,000. Learn more.

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