Exhibit 99.3

                  Carver Bancorp Letterhead                     FOR IMMEDIATE
                                                                RELEASE



Contact: David Lilly/Kimberly Kriger
                  Kekst and Company
                  (212) 521-4800


                           CARVER BANCORP COMMENTS ON
                      OFFICE OF THRIFT SUPERVISION DECISION

NEW YORK, NEW YORK, OCTOBER 18, 2004 - Caver Bancorp, Inc. (AMEX: CNY) announced
today that it has been advised by the federal Office of Thrift Supervision
("OTS") that the OTS has denied Carver's application to consummate the merger
agreement between Carver and Independence Federal Savings Bank of Washington,
D.C. ("IFSB"). That merger agreement is subject to, among other things, approval
by the OTS. Accordingly, absent a change of the OTS's position, the proposed
merger between Carver and IFSB cannot proceed.

Among the reasons communicated to Carver by the OTS for its position are the
regulatory agency's concerns related to the financial resources and future
prospects of the combined company, including concerns about the capitalization
of the combined company and its future profitability. In its communication to
Carver, the OTS noted that Independence Federal's total assets and profitability
have declined and that IFSB has recently experienced significant net losses.

In addition, the OTS noted that the combined company would remain exposed to
significant litigation risks and expenditures, particularly as it relates to
litigation pursued by IFSB shareholder Morton Bender.

Deborah Wright, President and CEO of Carver, said: "Both Carver and IFSB have
spent a considerable amount of time and financial resources in attempting to
consummate this historic merger. While we are very disappointed by the OTS
decision, Carver had recognized these issues and pursued discussions with IFSB
in an effort to address them. It is Carver's intention to continue these
discussions, although we recognize that some of the OTS concerns, including the
significant costs and risks related to the litigation pursued by IFSB's largest
shareholder, may not be within the power of either institution to control.

 "Nevertheless, we continue to believe in the strategic rationale of this
potential combination if Carver and IFSB together are able to address
sufficiently these concerns. Unfortunately, it is not clear that Carver and IFSB
will be able to address those issues that are within our control to the
satisfaction of the OTS or our respective constituencies," concluded Ms. Wright.

The OTS also informed Carver that it may retain the 9.66% of IFSB shares owned
by it, except that it may not vote in excess of five percent of such shares with
respect to the acquisition of control of IFSB by Carver or any of its
affiliates.

Carver Bancorp, Inc. is the holding company for Carver Federal Savings Bank, a
federally chartered stock savings bank. Carver Federal Savings Bank, the largest
publicly-traded African- and Caribbean-American run bank in the United States,
operates seven full-service branches in the New York City boroughs of Brooklyn,
Queens and Manhattan. For further information, please visit Carver's website.



STATEMENTS CONTAINED IN THIS NEWS RELEASE, WHICH ARE NOT HISTORICAL FACTS ARE
"FORWARD-LOOKING STATEMENTS" WITHIN THE MEANING OF SECTION 27A OF THE SECURITIES
ACT OF 1933, AS AMENDED, (THE "SECURITIES ACT"), AND SECTION 21E OF THE
SECURITIES EXCHANGE ACT OF 1934, AS AMENDED (THE "EXCHANGE ACT"). THESE
FORWARD-LOOKING STATEMENTS MAY BE IDENTIFIED BY THE USE OF SUCH WORDS AS
"BELIEVE," "EXPECT," "ANTICIPATE," "INTEND," "SHOULD," "WILL," "WOULD," "COULD,"
"MAY," "PLANNED," "ESTIMATED," "POTENTIAL," "OUTLOOK," "PREDICT," "PROJECT" AND
SIMILAR TERMS AND PHRASES, INCLUDING REFERENCES TO ASSUMPTIONS. FORWARD-LOOKING
STATEMENTS ARE BASED ON VARIOUS ASSUMPTIONS AND ANALYSES MADE BY CARVER IN LIGHT
OF THE MANAGEMENT'S EXPERIENCE AND ITS PERCEPTION OF HISTORICAL TRENDS, CURRENT
CONDITIONS AND EXPECTED FUTURE DEVELOPMENTS, AS WELL AS OTHER FACTORS BELIEVED
TO BE APPROPRIATE UNDER THE CIRCUMSTANCES. THESE STATEMENTS ARE NOT GUARANTEES
OF FUTURE PERFORMANCE AND ARE SUBJECT TO RISKS, UNCERTAINTIES AND OTHER FACTORS,
MANY OF WHICH ARE BEYOND CARVER'S CONTROL, THAT COULD CAUSE ACTUAL RESULTS TO
DIFFER MATERIALLY FROM FUTURE RESULTS EXPRESSED OR IMPLIED BY SUCH
FORWARD-LOOKING STATEMENTS. FACTORS WHICH COULD RESULT IN MATERIAL VARIATIONS
INCLUDE, WITHOUT LIMITATION, CARVER'S SUCCESS IN IMPLEMENTING ITS INITIATIVES,
INCLUDING EXPANDING ITS PRODUCT LINE, ADDING NEW BRANCHES AND ATM CENTERS,
SUCCESSFULLY RE-BRANDING ITS IMAGE AND ACHIEVING GREATER OPERATING EFFICIENCIES;
INCREASES IN COMPETITIVE PRESSURE AMONG FINANCIAL INSTITUTIONS OR NON-FINANCIAL
INSTITUTIONS; LEGISLATIVE OR REGULATORY CHANGES WHICH MAY ADVERSELY AFFECT
CARVER'S BUSINESS; TECHNOLOGICAL CHANGES WHICH MAY BE MORE DIFFICULT OR
EXPENSIVE THAN WE ANTICIPATE; CHANGES IN INTEREST RATES WHICH MAY REDUCE NET
INTEREST MARGINS AND NET INTEREST INCOME; CHANGES IN DEPOSIT FLOWS, LOAN DEMAND
OR REAL ESTATE VALUES WHICH MAY ADVERSELY AFFECT CARVER'S BUSINESS; CHANGES IN
ACCOUNTING PRINCIPLES, POLICIES OR GUIDELINES WHICH MAY CAUSE CARVER'S CONDITION
TO BE PERCEIVED DIFFERENTLY; LITIGATION OR OTHER MATTERS BEFORE REGULATORY
AGENCIES, WHETHER CURRENTLY EXISTING OR COMMENCING IN THE FUTURE, WHICH MAY
DELAY THE OCCURRENCE OR NON-OCCURRENCE OF EVENTS LONGER THAN ANTICIPATED; THE
ABILITY OF CARVER TO ORIGINATE AND PURCHASE LOANS WITH ATTRACTIVE TERMS AND
ACCEPTABLE CREDIT QUALITY; THE ABILITY OF CARVER TO REALIZE COST EFFICIENCIES;
COMPLETION OF CARVER'S PLANNED ACQUISITION OF A SAVINGS BANK IN A NEW MARKET AND
INTEGRATING ITS OPERATIONS INTO CARVER; AND GENERAL ECONOMIC CONDITIONS, EITHER
NATIONALLY OR LOCALLY IN SOME OR ALL AREAS IN WHICH CARVER DOES BUSINESS, OR
CONDITIONS IN THE SECURITIES MARKETS OR THE BANKING INDUSTRY WHICH COULD AFFECT
DECREASED LIQUIDITY IN THE CAPITAL MARKETS, THE VOLUME OF LOAN ORIGINATION,
DEPOSIT FLOWS, REAL ESTATE VALUES, THE LEVELS OF NON-INTEREST INCOME AND THE
AMOUNT OF LOAN LOSSES. THE FORWARD-LOOKING STATEMENTS CONTAINED WITHIN HEREIN
ARE MADE AS OF THE DATE OF THIS REPORT, AND CARVER ASSUMES NO OBLIGATION TO
UPDATE THESE FORWARD-LOOKING STATEMENTS TO REFLECT ACTUAL RESULTS, CHANGES IN
ASSUMPTIONS OR CHANGES IN OTHER FACTORS AFFECTING SUCH FORWARD-LOOKING
STATEMENTS OR TO UPDATE THE REASONS WHY ACTUAL RESULTS COULD DIFFER FROM THOSE
PROJECTED IN THE FORWARD-LOOKING STATEMENTS. YOU SHOULD CONSIDER THESE RISKS AND
UNCERTAINTIES IN EVALUATING FORWARD-LOOKING STATEMENTS AND YOU SHOULD NOT PLACE
UNDUE RELIANCE ON THESE STATEMENTS.

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