A retail corporate credit union‘s primary responsibility is to serve as a liquidity depository
and facilitate the liquidity needs of its natural person credit union members. As such, an
inflow of deposits from member credit unions is ordinarily the primary source of liquidity
for retail corporate credit unions. Natural person credit unions generally invest their
excess liquidity when their members‘ loan demand is low and/or their members‘
deposits are high. Conversely, when their members‘ loan demand and/or deposit
withdrawals are high, natural person credit unions draw on funds previously invested for
liquidity or borrow funds as needed.