U.S. Banking Regulator Issues Guidance To Prevent Political Or Religious Debanking

The U.S. Office of the Comptroller of the Currency (OCC) issued new guidance aimed at discouraging banks from “debanking” customers over political or religious affiliations.

The regulator released two bulletins outlining how it will review bank policies to avoid discrimination and how financial institutions should limit customer data sharing when reporting suspicious activity. Comptroller of the Currency Jonathan Gould said the move seeks to prevent misuse of the financial system, noting that some individuals may have been targeted or surveilled based on their beliefs or activities. The OCC said these guidelines will be applied when reviewing licensing applications and compliance with the Community Reinvestment Act. The White House and conservative groups have raised concerns about banks closing accounts linked to political activity.