--- title: Public vs Private Cord Blood Banking date: 2016-07-02T03:00:00-04:00 author: Courtney Flickinger canonical_url: "https://www.americordblood.com/articles/public-vs-private-cord-blood-banking" section: Articles --- ![A hand gently placing a red paper on a table.](https://assets.americordblood.com/transforms/blogs/72840/cord-blood-banks-private-public-americord-1_619b88532f9c3e69813173dff6882271.png) [ BioBanking Services ](https://www.americordblood.com/articles/biobanking-services) 6 Min Read # Public vs Private Cord Blood Banking Cord blood banking has become a popular topic in recent years, as more parents are looking into the option of preserving their newborn’s cord blood for future use. In this blog post, we’ll explore the differences between private and public cord blood banks, including the process, price, and what each has to offer. ## What is Cord Blood Banking? Before we dive into the differences between private and public cord blood banks, it’s essential to understand what cord blood banking is and how it works. Cord blood banking involves collecting and storing a newborn’s umbilical cord blood, which contains critical stem cells. Stem cells are unique in that they have the ability to differentiate into a variety of different cell types, making them a valuable resource for medical treatments. There are two types of stem cells found in cord blood: hematopoietic stem cells (HSCs) and mesenchymal stem cells (MSCs). HSCs can develop into red and white blood cells and platelets, while MSCs can differentiate into bone, cartilage, and fat cells. Both types of stem cells can be used to treat a variety of conditions and diseases, including cancer, blood disorders, and immune system disorders. ### Why Bank Cord Blood? Cord blood is a rich source of stem cells, which can be used to treat a variety of medical conditions. There are several reasons why parents may choose to bank their child’s cord blood. 1\. Cord blood can be used to treat a range of medical conditions, including leukemia, lymphoma, and sickle cell anemia. In fact, cord blood stem cells are FDA-approved to treat over 80 different diseases to date. 2\. Storing cord blood provides a form of biological insurance for families. If a child or a close family member is diagnosed with a condition that can be treated with stem cells, having access to a stored cord blood can be life-saving. This is something we will discuss more when it comes to private cord blood banking. 3\. Banking cord blood also allows families to participate in medical research. Stem cell research is an area of medicine that is constantly evolving, and scientists are always looking for new ways to use stem cells to treat diseases. ### What is the difference between public and private cord blood banking? The choice between public and private cord blood banking determines who can access your newborn's hematopoietic stem cells (HSCs) and mesenchymal stem cells (MSCs). **Public banking is a** **donation-based model** focused on public health; once donated, the family relinquishes ownership, and the cells are listed on international registries. **Private banking is a** **service-based model** providing "biological insurance"; the family retains 100% ownership, ensuring the cells are reserved for the child or compatible family members. While public banking is free for donors, it carries a high discard rate (approx. 70%). Private banking requires an initial investment and storage fees but guarantees that the specific unit is held for your family’s exclusive use. ## Private Cord Blood Storage Private cord blood banks allow families to store cord blood stem cells for themselves and their loved ones. ## How Much is Private Cord Blood Banking? Cord blood banking can range in pricing, depending on each private cord blood banks pricing structure. Expectant parents can anticipate to spend an initial processing fee ranging from $1,500 to $3,000. In addition to this cost, your family will pay a storage fee. Here is a full breakdown to the [cost of cord blood banking](https://www.americordblood.com/articles/how-much-does-cord-blood-banking-cost). ## Private Cord Blood Banking Pros and Cons ### Pros - You own your baby’s stem cells and therefore you are the only person who can decide who can use them - Stem cell transplants from a related family member are less likely to be rejected, therefore having your baby’s stem cells available makes it less likely you would have to search for an unrelated donor who is a match - The success rates of using related cord blood for transplants are twice that of using cord blood from a public donor for transplants - Most private cord blood banks will pay all of the fees associated with transporting the stored cord blood to the necessary medical facility if it is needed for a transplant ### Cons - There is a fee for collection and storage - In some cases, there is a risk that the cord blood collected from a baby contains the condition that is being treated, so it cannot be used If you or your partner has a family history of a condition that is treatable with stem cells, or if a family member is currently in need of a stem cell transplant, [private cord blood banking](https://www.americordblood.com/comparison-tool/) could be the right choice for you. ## Public Cord Blood Banking Pros and Cons Public cord blood banks offer free cord blood banking to anyone who meets their donation requirements. They are usually supported by federal or private funding, which is why they can perform these collections at no cost to the family. The pros and cons of public cord blood banking are listed below. ### Pros - Public cord blood banking has no cost - Makes stem cells available to anyone who needs them - Makes it possible for people in need of a stem cell transplant to search for a match outside of their family ### Cons - You no longer own the stem cells after you donate them, so they may not be available if you or your family ever need them - Obtaining donor stem cells from a public cord blood bank is expensive, at times reaching $50,000, so private banking saves money long-term compared to buying a public match - Nearly 70% of cord blood donations are discarded for not meeting processing and storage requirements - Not all hospitals work with public cord blood banks, therefore, depending on where you give birth, it may or may not be possible to donate to a public cord blood bank ![Call to action guiding readers to download the Americord info guide to prepare for the unknown.](https://assets.americordblood.com/transforms/blogs/183896/pregnant-woman-hands-wrapped-belly-americord_be7aaffd48750bec4e355d7110544d3f.png) ## The Right Fit for Your Growing Family Cord blood banking is a valuable resource for medical treatments, and there are two types of cord blood banks available: private and public. Private cord blood banks offer exclusive access to the stem cells if they are needed in the future, but can be expensive. Public cord blood banks offer free storage of cord blood, but there is no guarantee that the stem cells will be available or a match for a specific individual. Ultimately, the decision to store cord blood with a private or public cord blood bank is a personal one that should be based on individual circumstances and preferences. It is important for parents to research and consider all options before making a decision about cord blood banking. Talk with your healthcare provider to determine what route may make the most sense for you and your family. ## The Best Private Cord Blood Bank In choosing Americord, you are not merely selecting a cord blood bank; you are opting for a trusted partner in your family's health journey. Our combination of cutting-edge technology, transparent pricing, full-spectrum health services, commitment to innovation, and exceptional customer support positions Americord as a leader in the industry. As you embark on this transformative path of securing your child's health, consider why [Americord](https://www.americordblood.com/) stands out as a choice aligned with your family's future well-being. *The views, statements, and pricing expressed are deemed reliable as of the published date. Articles may not reflect current pricing, offerings, or recent innovations.* ### Cord Blood Banking Preserve your baby’s umbilical cord blood stem cells with CryoMaxx™ Processing and use in 80+ FDA-approved treatments and 100’s of clinical trials including autism, diabetes, childhood leukemia, sickle cell disease, and more. [ View Service ](https://www.americordblood.com/cord-blood) ### Be the First to Know Never miss the latest cord blood breakthrough, clinical trial, or stem cell education to keep your family healthy for life. 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[ Read More ](https://www.americordblood.com/articles/what-is-cord-blood-banking) [ ![Prenatal check-up with healthcare provider.](https://assets.americordblood.com/transforms/blogs/8929/cord-blood-banking-worth-it-americord_41a4f2ed037c5ad51696884668d44cc6.png) ](https://www.americordblood.com/articles/is-cord-blood-banking-worth-it) [### Is Cord Blood Banking Worth It? ](https://www.americordblood.com/articles/is-cord-blood-banking-worth-it)As more and more families choose to invest in their newborn’s future with cord blood banking, you may be asking yourself if cord blood banking is right for your family. [ Read More ](https://www.americordblood.com/articles/is-cord-blood-banking-worth-it) [ ![Two kids enjoying nature in a park, sitting on the green grass.](https://assets.americordblood.com/transforms/blogs/8562/cord-blood-used-siblings-americord_41a4f2ed037c5ad51696884668d44cc6.png) ](https://www.americordblood.com/articles/siblings-and-cord-blood-how-your-babys-cord-blood-can-help-treat-a-sibling) [### Can Cord Blood Be Used for Siblings? ](https://www.americordblood.com/articles/siblings-and-cord-blood-how-your-babys-cord-blood-can-help-treat-a-sibling)By banking your newborn’s cord blood, you could be storing a treatment not just for them, but for their siblings. [ Read More ](https://www.americordblood.com/articles/siblings-and-cord-blood-how-your-babys-cord-blood-can-help-treat-a-sibling)