Private cord blood banking: The basics

What is private cord blood banking?

For a fee, a private cord blood bank will collect, process, freeze, and store your baby's stem-cell-rich umbilical cord blood for your family's future medical use. There are two potential ways that your family might use privately stored cord blood.
One is if someone in your family needs a stem cell transplant to treat a certain potentially fatal disease, such as leukemia,sickle cell anemia, lymphomas, or an immune deficiency. If your baby's cord blood is a good match, it may help save a life.
The other possibility is that your baby might need her own cord blood for one of the new therapies in which stem cells help children with developmental problems to heal themselves. Babies and young children in the United States are currently being given their own cord blood in clinical trials to develop therapies for cerebral palsy, hydrocephalus (fluid in the brain), oxygen deprivation at birth, traumatic brain injury, sensorineural hearing loss, and type-1 (juvenile) diabetes.
Private cord blood banking is a way for families to save their baby's cord blood exclusively for their family. Public cord blood banks don't store donations for a particular person. Instead, the banked cord blood is available to anyone needing a cord blood transplant, or it may be sold for medical research.
You can find lists of diseases currently treated and descriptions of private cord blood banks around the world on the Parent's Guide to Cord Blood Foundation website.

Source : http://www.babycenter.com/0_private-cord-blood-banking-the-basics_1369773.bc