Treasury Secretary Prepares Banks for Citizenship Data Collection
Treasury Secretary Scott Bessent has indicated that banks will likely be required to collect citizenship data on customers, stating that “if Treasury and the banking regulators say it’s their job, it’s their job.” This move, part of a broader immigration policy initiative, aims to address concerns about non-citizens opening bank accounts, with Bessent questioning how banks can truly “know your customer” without this information. While current “know your customer” rules focus on identity verification for anti-money laundering purposes, this proposed executive order seeks stricter mandates, aligning with practices in many other countries. Despite potential economic and administrative concerns raised by banks and policy experts regarding the exclusion of non-citizens and increased costs, Bessent maintains that “illegal immigrants don’t have a right to be in the banking system.”
John Q. Hosedrinker