Ben Crump files class action discrimination lawsuit against Navy Federal Credit Union 

Navy Federal Credit Union, the largest credit union in the United States, is facing a legal issue. They are being sued in a class-action lawsuit, which means a group of people is taking legal action together. The lawsuit accuses Navy Federal of treating people unfairly based on their race when it comes to home loans.

The case was filed by Civil Rights Attorneys Benjamin Crump and Adam Levitt. They are representing two Black women, Cherelle Jacob from Washington state, and Laquita Oliver from Florida.

These women claim that “Navy Federal rejected their applications for home loans even though they have good credit and earn six-figure incomes.”

The lawsuit argues that Navy Federal broke two important laws: the Fair Housing Act of 1968 and the Equal Credit Opportunity Act. These laws are meant to prevent discrimination in housing and lending based on factors like race.

The attorneys point to a recent report from CNN, a news network, which showed that Navy Federal approved over 75% of white applicants for new home loans in 2022. However, they approved less than 50% of Black applicants for the same type of loan.

The lawsuit claims that Navy Federal’s actions go against its own statements about supporting communities and embracing diversity. The attorneys argue that the evidence shows systematic discrimination in housing, which is against federal law.

The investigation by CNN found a large difference in approval rates for home mortgages between white and Black members of Navy Federal.

There was almost a 30% gap in approval rates. This means that a significantly higher percentage of white members had their mortgage applications approved compared to Black members.

Benjamin Crump, one of the attorneys, expressed his disappointment in the situation. He stated that discrimination is still happening when it comes to financial institutions, even in helping families of those who served in the military.

Crump had previously filed a class-action lawsuit against Wells Fargo, another big bank, accusing it of denying loans to minority applicants during the COVID-19 pandemic. This case is still ongoing.

In response to the class-action lawsuit, Navy Federal issued a press release. They said they are taking the allegations seriously and have hired a prominent civil rights lawyer, Debo P. Adegbile, to assess their mortgage-lending policies and practices. Adegbile is a former commissioner of the United States Commission on Civil Rights.

The credit union acknowledges the importance of addressing these concerns and is committed to making changes if necessary.

They want to ensure that everyone has fair access to home ownership. Navy Federal’s response indicates that they are taking steps to investigate the issue and make improvements based on the recommendations from the civil rights lawyer and his team.

In summary, Navy Federal Credit Union is facing a lawsuit for alleged racial discrimination in its home mortgage practices. The class-action suit represents two Black women who claim their loan applications were unfairly rejected.

The legal action points to a significant gap in approval rates between white and Black members, violating important laws meant to prevent discrimination. Navy Federal’s response suggests they are taking the matter seriously and are committed to addressing any issues in their lending practices.