On October 10, 2024, NCUA Chairman Todd M. Harper released a statement regarding the U.S. Department of Justice’s settlement with Citadel Federal Credit Union to resolve lending discrimination allegations. Citadel is a $6 billion financial institution in Southeastern Pennsylvania.
Key highlights from Chairman Harper’s statement include the following:
The Justice Department's settlement with Citadel Federal Credit Union reinforces that federal credit unions must adhere to fair lending laws and that redlining will not be tolerated;
The settlement moves marginalized communities closer to equitable access to safe, fair, and affordable financial services, addressing the wealth gap;
The NCUA maintains a strong partnership with the Justice Department’s Civil Rights Division to investigate fair lending violations and combat discriminatory practices;
All consumers, especially those of modest means, deserve a fair financial system, regardless of their background; and
The NCUA is dedicated to enforcing fair lending laws to ensure that the cooperative credit system remains true to its mission of “people helping people.”
The NCUA in recent years has established a dedicated fair lending supervision division and more than doubled its annual fair lending compliance examinations. The NCUA remains fully committed to supervising for compliance with the Fair Housing Act and the Equal Credit Opportunity Act in its examination practices. The NCUA also regularly continues to refer credit unions to the U.S. Department of Justice when the agency identifies patterns or practices of discrimination and require appropriate relief for harmed consumers.
Read the NCUA’s news release here.