President Donald Trump has introduced new measures aimed at limiting non-citizens’ access to parts of the U.S. financial system as part of his administration’s broader immigration enforcement agenda.
Under the new order, federal financial regulators and the Treasury Department will provide banks with updated guidance on identifying customers and transactions that could be linked to money laundering, terrorism financing, labor trafficking, or other financial crimes. The policy builds on authorities granted under the 1970 Bank Secrecy Act.
According to the administration, the changes are intended to address potential risks associated with foreign consular identification cards and strengthen protections for the integrity of the U.S. financial system. The guidance highlights several warning signs of suspicious activity, including repeated large cash withdrawals, the use of shell companies to hide ownership, and certain payment methods used to compensate workers outside formal payroll systems.
The order also identifies the use of an Individual Taxpayer Identification Number (ITIN) instead of a Social Security number in some banking activities as a factor that may warrant additional scrutiny. ITINs are issued to individuals who need to file U.S. taxes, regardless of immigration status.
Critics argue that the policy could make it more difficult for non-citizens, especially undocumented immigrants, to access banking services and financial products. They also point to broader immigration policies that have increased enforcement actions, expanded deportation efforts, and heightened scrutiny of visa and citizenship applications.
The White House defended the initiative, stating that it is designed to combat illicit financial activity, protect national security, and ensure that financial institutions follow sound lending practices. Administration officials argue that weaknesses in customer identification procedures can be exploited by criminal organizations.
The order further directs the Treasury Department to examine regulatory changes that could allow financial institutions to collect additional customer information, including immigration status and employment authorization. The move comes amid a wider administration effort to reshape financial regulations while also promoting innovation in areas such as cryptocurrency
