DES MOINES, Iowa – Directors of Iowa Corporate CU are scheduled to meet over the next two weeks to prepare a voluntary plan of liquidation for the $100-million corporate.
Most of Iowa Corporate’s members, 102 credit unions, have contracted with the National Cooperative Bank for a variety of correspondent services formerly performed by the corporate, including deposit products, credit facilities, payment processing and settlement services, according to Sara Flynn, president of Iowa Corporate. A small group has opted to join other corporates for the services.
As part of the voluntary liquidation members of Iowa Corporate are expected to receive a liquidating dividend but the amount is undetermined, Flynn told Credit Union Journal last week.
The 36-year-old Iowa Corporate will be the second corporate credit union to voluntarily liquidate, following the June dissolution of North Dakota Corporate CU. There also are at least five corporate mergers in the works.
