CFPB Announces New Initiative to Address OCC-Uncovered Debanking by Large Banks

Today, the Consumer Financial Protection Bureau (CFPB) announced the next step in its work to advance President Trump’s fight against the debanking of businesses and individuals on the basis of their constitutionally protected rights, including support of President Trump, MAGA, pro-life causes, and industries disfavored by the Left. The CFPB will address any consumer harm caused by the nation’s largest banks in response to the Report on debanking practices by Office of the Comptroller of the Currency (OCC).

The OCC report, “Guaranteeing Fair Banking for All Americans,” found that the nine largest national banks under its supervision – JPMorgan Chase Bank, Bank of America, Citibank, Wells Fargo Bank, U.S. Bank, Capital One, PNC Bank, TD Bank, and BMO Bank – maintained policies or engaged in practices that denied or restricted financial access on the basis of Americans’ political or religious beliefs or a customer’s otherwise lawful business activities. The OCC report provides excerpts from bank documents, including emails, revealing this biased and discriminatory decision-making. The report shows that entire sectors were victims of debanking, most notably those related to firearms, oil and gas, and tobacco.

“It is appalling that these banks targeted American consumers for their political, social, or religious beliefs that did not align with the Biden Administration or its leftist allies. Many of those targeted were supporters of President Trump. These thuggish tactics, which were also a defining feature of the Biden-Chopra CFPB, have no place in America,” said CFPB’s Acting Director Mark Paoletta. “We thank the Department of the Treasury and the Office of the Comptroller of the Currency for conducting its review to shed light on these shameful practices. The CFPB will fully investigate whether the institutions featured in OCC’s report and others have complied with federal consumer financial laws and take appropriate action.” The CFPB holds primary supervisory and enforcement authority for banks with over $10 billion in assets, including these banks, as well as certain nonbank financial institutions to assess their compliance with federal consumer financial laws.

The CFPB’s announcement is part of the agency’s latest undertaking to implement Executive Order 14331, “Guaranteeing Fair Access to Banking for All Americans,” and advance its priority to vigorously remedy debanking. The CFPB evaluates financial institutions for compliance with the Equal Credit Opportunity Act (ECOA) and Fair Credit Reporting Act (FCRA), particularly the adverse action notice requirements under these laws, and Unfair, Deceptive, or Abusive Acts or Practices (UDAAP), and opens investigations when warranted. Previously, the CFPB reviewed its Examination Manual, guidance, regulations, and other materials used to regulate or examine financial institutions under its authority to ensure that they do not contain reputation risk concepts that could result in unlawful debanking. The CFPB has also been reviewing consumer complaints, as well as supervisory and enforcement data, for evidence of potential unlawful debanking, and is pursuing its own investigations, based on that data.

The CFPB recently updated its website and complaint portal with information to raise awareness about debanking, and continues to encourage consumers to submit complaints if they believe they have been debanked.