In an exclusive revelation, investigations have shown that Navy Federal Credit Union, the nation's largest credit union serving military members, defense personnel, veterans and their families, has the greatest disparity in conventional mortgage approval rates between white and black borrowers among all major lenders.
Baba Otandi, a Kenyan immigrant and Texas entrepreneur, shared his story of being rejected by Navy Federal, despite being financially qualified. Otandi, who had a credit score in the 700s, recently sold his house, and had a sizeable down payment, received a pre-approval letter from the credit union. However, he found his application denied just two weeks before closing, with the reason cited as 'excessive obligations in relation to income'. This led Otandi, and many others, to suspect discrimination.
