NCUA Chairman addresses Citadel Federal Credit Union's redlining settlement

Banking & Financial Services
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Todd M. Harper, NCUA Chairman | National Credit Union Administration (NCUA)

National Credit Union Administration (NCUA) Chairman Todd M. Harper has commented on the U.S. Department of Justice's settlement with Citadel Federal Credit Union concerning allegations of lending discrimination. Citadel, a financial institution in Southeastern Pennsylvania, manages assets worth $6 billion.

Chairman Harper stated, "The Justice Department’s settlement with Citadel Federal Credit Union is significant. It signals that federal credit unions must follow fair lending laws. It signals to all communities that discrimination through redlining will not be tolerated. And, it brings communities who have been discriminated against a step closer to an equitable opportunity to access safe, fair, and affordable financial services and to closing the wealth gap."

Harper emphasized the ongoing collaboration between the NCUA and the Justice Department’s Civil Rights Division under its Combating Redlining Initiative. This initiative focuses on investigating potential violations of fair lending laws and aims to eliminate discriminatory practices in lending.

"Regardless of their financial provider of choice, all consumers — especially those of modest means — deserve to be part of a fair financial system," Harper noted. He highlighted that the NCUA's efforts are directed towards creating an inclusive financial environment for all Americans.

In recent years, the NCUA has established a dedicated division for fair lending supervision and increased its compliance examinations significantly. The agency remains committed to enforcing compliance with both the Fair Housing Act and the Equal Credit Opportunity Act during its examinations.

Furthermore, when patterns or practices of discrimination are identified, the NCUA refers these cases to the U.S. Department of Justice for appropriate action. In 2023 and 2024 alone, such referrals have affected over 75,000 consumers.

The NCUA serves as an independent federal agency responsible for regulating federal credit unions while managing insurance funds for account holders across federal and most state-chartered credit unions in the United States.

For media inquiries regarding this matter, contact Joe Adamoli at JAdamoli@ncua.gov or call 703-518-6572.