Legal Question in Banking Law in California

Credit Union Membership Discrimination

Hello, A credit union was offering high rates for savings and I wanted to open an account. Their rules for membership included working for certain employers, or anyone who lived, worked, or worshipped in a particular county. Though I am not local to the credit union, I met the test under the ''worshiP'' category, as i occassionally attend services in that county. I sent in my application and deposit. They pulled my credit and chexsystems file (all was perfect) but returned my check because I was not local. I demanded they abide by their bylaws and grant m membership, as they cannot and should not be able to discriminate against people who only worship occassionally, or impose the additional condition on me of both living AND worshipping in the same county. I want to recover the interest rate I missed out on, as well as damages for this discrimination. Do i have a viable claim?


Asked on 2/08/06, 10:38 am

1 Answer from Attorneys
Carl Starrett Law Offices of Carl H. Starrett II

Re: Credit Union Membership Discrimination

It is a little difficult to comment on your situation without reading the bylaws of the credit union. Also, your statement that you "occasionally" worship in a different county doesn't sound like you "regularly" worship there.

Are you a member of that church? How often do you attend? Could someone vouch for you that you attend there? So far, you haven't described anything that sounds like discrimination to me.

And what would your damages be? You say that you lost out on a favorable interest rate. How long was the rate good for? I suspect that it expired a brief introductory period, say 6 months to a year. Unless you had a tremendous amount of money to invest, I doubt that your damages would exceed $250.

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Answered on 2/08/06, 1:54 pm


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