OCC Releases Debanking Review of Nine Largest US Banks
Federal bank regulator publishes findings on account-closure practices at JPMorgan Chase, Bank of America, Citibank, and six other major national banks.
The Office of the Comptroller of the Currency on Tuesday released a supervisory report examining how the nine largest national banks it oversees handle debanking — the practice of denying or terminating customer accounts — marking one of the most comprehensive federal reviews of the issue to date.
The institutions covered in the review include JPMorgan Chase Bank, Bank of America, Citibank, Wells Fargo Bank, U.S. Bank, Capital One, PNC Bank, TD Bank, and BMO Bank, collectively representing a substantial share of the domestic retail and commercial banking market.
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The OCC's examination reflects growing regulatory and congressional scrutiny over whether large financial institutions are terminating customer relationships in ways that could be discriminatory, politically motivated, or otherwise inconsistent with fair-access obligations under federal banking law.
Debanking has emerged as a flashpoint across the political spectrum, with critics arguing that certain businesses — including firearms dealers, cryptocurrency firms, and some nonprofit organizations — have been systematically cut off from mainstream financial services. Regulators have faced mounting pressure to quantify and address the scale of the problem.
The release of the report signals the OCC's intent to use its supervisory authority to ensure that large national banks maintain transparent, consistent, and legally sound standards when making account-closure and denial decisions. Continue reading at OCC News.
