A Texas-based credit union has come under scrutiny after it was revealed that it only allows Shia Muslims to open accounts.
Nizari Progressive Federal Credit Union, describes itself as an “Ismaili-based credit union offering personal and business banking services.” The credit union is headquartered in Carrollton, about 20 miles north of Dallas, and serves other parts of Texas, including Sugar Land, North Austin, South Austin and San Antonio.
In a video posted on X, a man spoke with a representative at Nizari after passing by its San Antonio branch and noticing it was not open to the public. When questioned about membership requirements, the representative told him, “You should be a Shia Imami Ismaili Muslim.”
When asked again whether membership was limited to Shia Muslims, the representative replied, “Yes. This is the policy for the credit union.”
The representative also said the credit union was insured by the Federal Deposit Insurance Corp., which protects deposits up to $250,000. However, federal credit unions are generally insured by the National Credit Union Share Insurance Fund, which is administered by the National Credit Union Administration.
Nizari’s website also states that it is “regulated and supervised by the National Credit Union Administration and periodically examined by them.”
The representative also said some Christians have accounts with the credit union because they are employees of businesses owned primarily by Shia Muslims.
In February 2026, RAIR Foundation’s Texas State Director Krista Shields testified before Congress on “Why Political Islam & Sharia Law are Incompatible with the U.S. Constitution.”
During her testimony, Shields said Islam has expanded its presence in Texas through multiple avenues, citing more than 330 mosques, approximately 650 Islamic nonprofits, and more than a dozen Islamic banking institutions.
She identified several banks operating in Texas, including University Islamic Financial, Manzil Invest, American Finance House of Lariba, Jafari No-Interest Credit Union, Devon Islamic Finance, Pioneer Mutual Federal Credit Union, Guidance Residential, Stearns Bank Salaam Banking, Ijara Community Development Corp, Mubarak Mortgage, Champions Mortgage CMG Financial, Bank of Whittier N.A., Platinum Federal Credit Union, and Maun Federal Credit Union.
Following the video’s circulation, some people have called on Texas Attorney General Ken Paxton’s office to investigate Nizari Progressive Federal Credit Union.
