Woah, Navy Federal is hella racist

[Anonymous]

Anonymous wrote:You’re crazy if you think a whole credit union cs. get together all of the hourly paid loan officers and tell them to give loans to white people and not the minorities. Firstly, I’m thinking most of the customer service reps at places like Navy Federal are minorities.

Either way, the “company” is not racist. It’s their policies. The larger banking companies have things in place to make sure that the end result does not “look” bad. Credit unions like this, can’t afford to or didn’t think it was worth it.

Part of the reasons credit unions are so cheap, because they spend a lot less money and have a lot less overhead. Big banks pay their executives big money and have lots more lawyers and people invested in regulatory issues that have seen this before, and know that in the end, regardless of what the results are, they should cover themselves and make sure that it doesn’t “look” bad.

I think it's because other bank's turn them down before they even apply. Makes your stats look better, obviously

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I thought applications couldn’t ask race?

No, it’s the reverse - applications for mortgages MUST ask for race. You don’t have to answer but the loan officer then has to guess.

Before or after loan approval?

Before approval. They need to know this so that at the end can run an analysis to make sure there is fairness and not discriminatory practices.

Same for college admissions and the reason lots of employmemt applications ask about whether you know someone that works there. It’s not for them to use the information in making their decisions; it’s for them to use the information to ensure that the end results are equitable (larger companies may chznge hiring practices if they end up with a higher percentage of nepotism)

In the end, if they run race-blind mortgage loan acceptance and realize that it skews white or that they are seemingly discriminating against a certain race then would need to change their policies.

The problem is it seems like a place like Navy Federal hasn’t been running these analysis Or they would have known this before CNN found out.the other banks are smart enough and big enough and spend more money to have done this and would have changed their policies if so.

They hate white people too. No worries there.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:How is a conclusion that only includes one single data point valid? What about down payments--yes, privileged white people are much more likely to have down payments given to them--debt, and most of all, credit score? Such a flawed and biased story.

Well the story focused on a black man who was rejected for a loan with 700+ FICO, 20% down payment, $100K income, and SFH owner occupied use. That’s a slam dunk underwriting approval.

How does someone making $100k have such Fico? I make half of that and have 833.

FICO it’s not based on your income. I think my 20-year-old’s score is higher than that.

[Anonymous]

Anonymous wrote:They are terrible. I have had nothing but issues with them for a mortgage and banking. Never again would I use them.

I think you’re in the minority. The article led with NF is the largest credit union. So they must be doing something right.

I’m thinking this guy got declined for a loan at Navy Federal and then went somewhere else and got a loan approved. This guy is an exception case.

most of Navy Federal clients are lower income, service members, who cannot afford a mortgage. Most that are declined from Navy Federal, would also be declined from other places. A lot of these people probably would not be able to get a credit card or other type of loan from another bank
either.

One reason the disparity is probably so great, is that Bank of America, Wells, city, capital one… average black clientele at these banks would get approved for a mortgage loan regardless.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I thought applications couldn’t ask race?

No, it’s the reverse - applications for mortgages MUST ask for race. You don’t have to answer but the loan officer then has to guess.

Before or after loan approval?

Before approval. They need to know this so that at the end can run an analysis to make sure there is fairness and not discriminatory practices.

Same for college admissions and the reason lots of employmemt applications ask about whether you know someone that works there. It’s not for them to use the information in making their decisions; it’s for them to use the information to ensure that the end results are equitable (larger companies may chznge hiring practices if they end up with a higher percentage of nepotism)

In the end, if they run race-blind mortgage loan acceptance and realize that it skews white or that they are seemingly discriminating against a certain race then would need to change their policies.

The problem is it seems like a place like Navy Federal hasn’t been running these analysis Or they would have known this before CNN found out.the other banks are smart enough and big enough and spend more money to have done this and would have changed their policies if so.

They hate white people too. No worries there.

They hate everyone? Then Who banks with them?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I thought applications couldn’t ask race?

No, it’s the reverse - applications for mortgages MUST ask for race. You don’t have to answer but the loan officer then has to guess.

Before or after loan approval?

Before approval. They need to know this so that at the end can run an analysis to make sure there is fairness and not discriminatory practices.

Same for college admissions and the reason lots of employmemt applications ask about whether you know someone that works there. It’s not for them to use the information in making their decisions; it’s for them to use the information to ensure that the end results are equitable (larger companies may chznge hiring practices if they end up with a higher percentage of nepotism)

In the end, if they run race-blind mortgage loan acceptance and realize that it skews white or that they are seemingly discriminating against a certain race then would need to change their policies.

The problem is it seems like a place like Navy Federal hasn’t been running these analysis Or they would have known this before CNN found out.the other banks are smart enough and big enough and spend more money to have done this and would have changed their policies if so.

They hate white people too. No worries there.

They hate everyone? Then Who banks with them?

Oh, just 13,000,000 members

No one goes there anymore!

[Anonymous]

Anonymous wrote:

Anonymous wrote:They are terrible. I have had nothing but issues with them for a mortgage and banking. Never again would I use them.

I think you’re in the minority. The article led with NF is the largest credit union. So they must be doing something right.

I’m thinking this guy got declined for a loan at Navy Federal and then went somewhere else and got a loan approved. This guy is an exception case.

most of Navy Federal clients are lower income, service members, who cannot afford a mortgage. Most that are declined from Navy Federal, would also be declined from other places. A lot of these people probably would not be able to get a credit card or other type of loan from another bank
either.

One reason the disparity is probably so great, is that Bank of America, Wells, city, capital one… average black clientele at these banks would get approved for a mortgage loan regardless.

Lower income service members have the VA loan. Any service member can afford a mortgage via a VA loan (no down payment required, no PMI, preferential rates, better oversight of inspection process, etc) as long as they purchase a property that suitably affordable on their income.

NavyFed’s issues clearly stem from black borrowers who don’t have access to the VA loan program. That is, they are civilian members of the credit union not eligible for VA loans.

[Anonymous]

Anonymous wrote:

Anonymous wrote:They are terrible. I have had nothing but issues with them for a mortgage and banking. Never again would I use them.

I think you’re in the minority. The article led with NF is the largest credit union. So they must be doing something right.

I’m thinking this guy got declined for a loan at Navy Federal and then went somewhere else and got a loan approved. This guy is an exception case.

most of Navy Federal clients are lower income, service members, who cannot afford a mortgage. Most that are declined from Navy Federal, would also be declined from other places. A lot of these people probably would not be able to get a credit card or other type of loan from another bank
either.

One reason the disparity is probably so great, is that Bank of America, Wells, city, capital one… average black clientele at these banks would get approved for a mortgage loan regardless.

You seem to have a huge bias and your assumptions are not correct.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:They are terrible. I have had nothing but issues with them for a mortgage and banking. Never again would I use them.

I think you’re in the minority. The article led with NF is the largest credit union. So they must be doing something right.

I’m thinking this guy got declined for a loan at Navy Federal and then went somewhere else and got a loan approved. This guy is an exception case.

most of Navy Federal clients are lower income, service members, who cannot afford a mortgage. Most that are declined from Navy Federal, would also be declined from other places. A lot of these people probably would not be able to get a credit card or other type of loan from another bank
either.

One reason the disparity is probably so great, is that Bank of America, Wells, city, capital one… average black clientele at these banks would get approved for a mortgage loan regardless.

Lower income service members have the VA loan. Any service member can afford a mortgage via a VA loan (no down payment required, no PMI, preferential rates, better oversight of inspection process, etc) as long as they purchase a property that suitably affordable on their income.

NavyFed’s issues clearly stem from black borrowers who don’t have access to the VA loan program. That is, they are civilian members of the credit union not eligible for VA loans.

The va loan rates are not better. All active duty and retirees as well as veterans can get a va loan. Your post. Ames no sense.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I thought applications couldn’t ask race?

No, it’s the reverse - applications for mortgages MUST ask for race. You don’t have to answer but the loan officer then has to guess.

Before or after loan approval?

Before approval. They need to know this so that at the end can run an analysis to make sure there is fairness and not discriminatory practices.

Same for college admissions and the reason lots of employmemt applications ask about whether you know someone that works there. It’s not for them to use the information in making their decisions; it’s for them to use the information to ensure that the end results are equitable (larger companies may chznge hiring practices if they end up with a higher percentage of nepotism)

In the end, if they run race-blind mortgage loan acceptance and realize that it skews white or that they are seemingly discriminating against a certain race then would need to change their policies.

The problem is it seems like a place like Navy Federal hasn’t been running these analysis Or they would have known this before CNN found out.the other banks are smart enough and big enough and spend more money to have done this and would have changed their policies if so.

They hate white people too. No worries there.

They hate everyone? Then Who banks with them?

Military and their families. We used them as we thought they’d be easy and on base.

[Anonymous]

They’ve always treated us right, but we never had a mortgage with them. They handle all of our other banking needs.

- mixed race family

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:They are terrible. I have had nothing but issues with them for a mortgage and banking. Never again would I use them.

I think you’re in the minority. The article led with NF is the largest credit union. So they must be doing something right.

I’m thinking this guy got declined for a loan at Navy Federal and then went somewhere else and got a loan approved. This guy is an exception case.

most of Navy Federal clients are lower income, service members, who cannot afford a mortgage. Most that are declined from Navy Federal, would also be declined from other places. A lot of these people probably would not be able to get a credit card or other type of loan from another bank
either.

One reason the disparity is probably so great, is that Bank of America, Wells, city, capital one… average black clientele at these banks would get approved for a mortgage loan regardless.

Lower income service members have the VA loan. Any service member can afford a mortgage via a VA loan (no down payment required, no PMI, preferential rates, better oversight of inspection process, etc) as long as they purchase a property that suitably affordable on their income.

NavyFed’s issues clearly stem from black borrowers who don’t have access to the VA loan program. That is, they are civilian members of the credit union not eligible for VA loans.

The va loan rates are not better. All active duty and retirees as well as veterans can get a va loan. Your post. Ames no sense.

VA loan rates are absolutely better if you’re a low income service member in your 20s with a 1% down payment and a thin credit history. VA loan will be beat a conventional loan any day of the week for that high credit risk.

The bank takes very little risk with a VA loan so long as the go through the eligibility and verification checklist since it goes to the GSEs.

[Anonymous]

Maybe the problem is the set of folks applying to nfcu? Have we dug deeper than race?

[Anonymous]

Approving unqualified buyers is doing no one any favors, except maybe the sellers. Why is anyone regarding the outcome of the unqualified white buyer being approved as more desirable than the unqualified black buyer being rejected - and therefore a sign of a negative disparity disadvantaging black people. Seems like this credit union is taking on a lot of risk…

[Anonymous]

Weird. Black male here who applied for a mortgage this year and NFCU was actually the easiest to work with and easily got approved and they are currently my lender. Never had any problems with them. Maybe I’m one of the outliers.