Banks will have to collect citizenship data, Trump administration says
The proposal could force banks to collect passports and other proof from new customers, a move critics say may cost up to $5.6 billion.
- The Trump Administration is preparing an executive order requiring banks to collect citizenship data for new and existing customers, Treasury Secretary Scott Bessent confirmed on Wednesday.
- Current 'Know Your Customer' regulations require banks to verify identities but not citizenship status, a gap Bessent called 'unreasonable' because executives must know if account holders are U.S. citizens or green card holders.
- An American Action Forum analysis estimates the requirement would cost banks up to $5.6 billion and add 33.1-73.3 million hours of paperwork, while roughly 21.3 million voting-age citizens lack readily available documents proving citizenship.
- Banking industry representatives argue the rules are impractical and costly, warning that accessing private banking information could violate The Gramm-Leach-Bliley Act and leave financial institutions liable for mishandling customer data.
- Senator Tom Cotton of Arkansas plans to introduce legislation barring undocumented immigrants from U.S. banks, aligning with the Administration's broader immigration enforcement agenda involving increased data-sharing between the Internal Revenue Service and Immigration and Customs Enforcement.
28 Articles
28 Articles
Trump Bank Citizenship Plan Could Hit 21.3 Million Americans Lacking Proof Papers and More than 69 Million Women
The Trump administration's proposed banking order is beginning to look less like a narrow immigration measure and more like a sweeping paperwork test for millions of Americans, especially women whose legal names no longer match the names on their birth certificates.
Banks were promised deregulation. Now they could have to spend billions to log citizenship data.
Treasury Secretary Scott Bessent said an executive order requiring banks to get citizenship data is "in progress."Brendan SMIALOWSKI / AFP via Getty ImagesThe Trump administration plans to require banks to collect citizenship data from account holders.The proposed executive order could cost banks billions and add millions of hours of paperwork.The rule could deter some people from banking in the US.An executive order that's "in progress" could c…
Trump Order to Require Banks to Collect Citizenship Info 'In Process,' Bessent Says
Treasury Secretary Scott Bessent speaks during a news briefing in the James S. Brady Press Briefing Room of the White House in Washington, D.C., on April 15, 2026. —Win McNamee—Getty ImagesTreasury Secretary Scott Bessent said that an Executive Order that would mandate that banks must collect citizenship information from customers is currently “in process.” Speaking with Semafor in an interview published on Monday, Bessent went on to say he does…
Trump to introduce KYC rules in US under citizenship data - here's what to know and documents required
Citizenship KYC rules USA 2026: Discover the implications of the Trump administration's proposed KYC rules requiring banks to verify citizenship status for account holders. Learn about the documents needed and potential impacts on non-citizens and the banking system.
Telemundo Fresno
Banks in the United States could collect citizenship information from their clients, according to an executive order that would be coming into effect. This was confirmed by Treasury Secretary Scott Bessent during a recent interview with CNBC. Currently, banks only ask their customers for documents to verify their identity during the process of opening an account.
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