Crump Files Lawsuit In Virginia Alleging NFCU Mortgage Bias

On Feb. 20, prominent civil rights attorney Ben Crump was among a team of attorneys who appeared at a news conference after filing a federal lawsuit against Virginia-headquartered Navy Federal Credit Union for disproportionately denying mortgages to Black applicants.Court records show the lawsuit was filed in the U.S. District Court, Eastern District of Virginia. It alleges the denial rate for Blacks seeking mortgages was 52 percent in 2022, compared to a 23 percent denial rate for White applicants and a 44 percent denial rate for Hispanics.The lawsuit alleges the Virginia-based company rejected about 3,700 Black applicants who applied for home loans in 2022. The denials not only blocked them from buying a home just as interest rates spiked but also forced people of color to seek loans that charged higher interest rates.“As a result of race-based factors, Black and Hispanic borrowers have paid $765 million more in interest rates per year than White borrowers,” Crump said at the recent press conference, citing data from reports that were compiled by Navy Federal, the nation’s largest credit union.