05.20.26

White House Issues Immigration Executive Order for Banks

by: Ebrima Santos Sanneh

The White House has issued an executive order directing banks and financial regulators to monitor suspicious financial activity tied to undocumented workers under anti-money-laundering rules, while stopping short of requiring banks to verify customers’ citizenship status. The order tasks the Treasury Department and regulators with developing guidance on red flags, credit risks and possible updates to Bank Secrecy Act and customer identification rules over the coming months. Banking groups and credit unions expressed cautious relief that stricter citizenship verification was avoided, though analysts warned the measures could still increase compliance burdens and expand financial surveillance tied to immigration enforcement.

Read the full article on American Banker