GAINESVILLE, Fla.— A Deferred Action for Childhood Arrivals (DACA) recipient living in Florida has filed a proposed class-action suit against $2.1-billion Florida Credit Union, alleging he was denied a loan and membership to the CU because of his immigration status, the Mexican American Legal Defense and Educational Fund (MALDEF), reported.
MALDEF and Jeffrey Newsome have filed a federal lawsuit against Florida Credit Union challenging its policy of refusing membership and loans to certain immigrants because of their status, MALDEF reported.
MALDEF is representing David Alberto Fonseca, 30, of Tampa, who was told he did not qualify for an auto loan because he is not a United States citizen or a legal permanent resident. Fonseca came to the U.S. as a child from Portugal. He has had DACA since 2012. Attorneys argue that FCU’s policy violates federal civil rights law prohibiting discrimination based on a person’s citizenship status, MALDEF said.
“Irrational anti-immigrant discrimination distorts our economy, with harms to an entire community,” said Thomas A. Saenz, MALDEF president and general counsel. “Such discrimination is not only unlawful, but bad policy, especially for credit unions that purport to be community institutions.”
According to MALDEF, in December 2023, Fonseca applied for membership through FCU’s website online. On January 3, 2024, Fonseca spoke to a credit union representative who requested additional documentation for his application. Fonseca sent the documents including pay stubs and photographs of his Florida driver’s license. Fonseca also sent a copy of his employment authorization card.
Authorized To Work In U.S.
As a DACA recipient, Fonseca is protected from deportation and is authorized to work in the U.S. MALDEF noted.
When Fonseca followed up with an FCU representative, he was told he did not qualify for membership with the documents he provided because his driver’s license and work authorization were “temporary. The representative told Fonseca he would need a permanent driver’s license and a permanent resident green card to become a member, MALDEF explained.
“On more than one occasion, FCU communicated to Fonseca that it does not accept DACA recipients because of their temporary residency,” said Luis Lozada, MALDEF staff attorney. “This shows that FCU has a discriminatory policy that only targets immigrants, regardless of their credit history or employment.”
Fonseca appealed to the representative telling him he had never had an issue getting loans or credit before as a DACA recipient. The representative told him again that FCU required him to a be a legal permanent resident to qualify, MALDEF explained.
In the complaint, filed in U.S. District Court for the Middle District of Florida at Tampa, attorneys argue that FCU’s policy violates Section 1981 of the federal Civil Rights Act of 1866, MALDEF noted.