Trump To Make What Mandatory At Banks?

A new proposal under consideration by the Trump administration could change how banks verify customer identity, according to recent comments from Treasury Secretary Scott Bessent.

In an interview with Semafor, Bessent confirmed that a draft executive order is currently being developed. The potential policy would require banks to gather more detailed information from customers, including proof of citizenship. He suggested that such a measure is reasonable, arguing that financial institutions should have a clearer understanding of who is using the U.S. banking system.

Bessent pointed to international examples to support the idea, noting that in countries like the United Kingdom, stricter identity verification is common. He raised concerns about security risks, emphasizing the importance of ensuring that financial systems are not exploited by criminal or terrorist networks.

The proposed order, first reported earlier this year, would require banks to request additional documentation from account holders. This initiative aligns with broader immigration enforcement efforts under President Donald Trump, particularly those aimed at limiting access to financial services for individuals without legal status.

Reports indicate that certain forms of identification, such as REAL IDs, may not meet the stricter requirements because they do not confirm U.S. citizenship. If implemented, this could lead to significant changes in how customers open and maintain bank accounts.

The idea has gained traction among some Republican lawmakers. Senator Tom Cotton has voiced strong support, previously urging the Treasury Department to reevaluate policies that allow undocumented immigrants to access financial services. He argued that access to the U.S. banking system should be limited to those who follow legal immigration pathways.

However, not all details have been finalized. A spokesperson for the White House, Kush Desai, cautioned earlier this year that reports about the proposal remain unconfirmed until an official announcement is made.

Administration officials have since reiterated that discussions are ongoing. According to a recent statement, the administration is continuing to explore ways to safeguard the financial system, reduce potential risks, and ensure that banking services remain accessible and affordable for American citizens.

As the proposal moves forward, it is likely to spark continued debate over security, privacy, and access to financial services—issues that remain central to the nation’s ongoing policy discussions.