According to CNN, the Trump administration is considering requiring US banks to verify the citizenship of their current and future customers. This move is part of President Donald Trump’s ongoing push to crack down on immigration. According to the report, the plan could come as an executive order, though nothing has been finalised yet. Officials are still weighing other options and legal ways to implement it.
If Trump signs such an order, banks might have to collect citizenship information not just from new customers, but also from existing ones. “Verifying every bank customer’s citizenship status would be unworkable,” the financial industry source told CNN.
Interestingly, these discussions come as Trump targets reports about banks refusing service to conservatives. Last year, he signed an executive order to punish banks that restrict services based on religion or politics.
Banks concerned as Trump admin considers citizenship checks
Banking industry insiders are worried about what this could mean. According to CNN, banks might have to ask for documents they have never requested before, such as passports or papers proving citizenship. “It’s a bad idea. We are very alarmed,” one source from the financial sector told CNN. Executives fear the order could make banks help the government identify and deport undocumented immigrants, putting them in an extremely difficult position.
Executive order still uncertain
It’s unclear if Trump will actually sign the executive order. The Wall Street Journal was the first to report on the possibility. The White House has not confirmed or denied these plans. “Any reporting about potential policymaking that has not been officially announced by the White House is baseless speculation,” said White House spokesperson Kush Desai.
Currently, banks follow anti-money-laundering rules and “know-your-customer” regulations, which include keeping track of customers’ addresses. But they do not check or confirm citizenship.
The administration’s immigration crackdown has caused concern inside parts of the federal government before as well. CNN previously reported that last year, up to 50 senior IT staff at the Internal Revenue Service, including top cybersecurity experts, were put on administrative leave. This followed Trump officials plan to share taxpayer data with immigration authorities. A federal judge later blocked the plan after it was challenged legally.
A Treasury Department spokesperson said the employees were put on leave, but denied it was connected to accessing IRS data for immigration purposes.