OCC Says Big Banks Debanked for Political Reasons and Religious Beliefs

All nine of the largest national banks had policies between 2020 and September 2025 that required, encouraged, or influenced denying or limiting financial services based on political or religious beliefs or lawful business activities, the OCC reported. The OCC report followed a review under Executive Order 14331 ("Guaranteeing Fair Banking for All Americans") and built on preliminary findings (see prior coverage).

The agency reviewed nearly 100,000 complaints and about 420,000 pages of bank documents. It found that (i) broad reputation risk policies lacked clear, objective, risk-based criteria and (ii) banks kept public and nonpublic restrictions on sectors including oil and gas, coal, firearms, detention facilities, tobacco, and digital assets.

Ordinary customers lost accounts over allegations, negative reviews, or an old arrest, while some banks kept high-net-worth clients with worse publicity, according to the OCC. The agency added that closure letters were often vague, and some accounts likely would have stayed open with a clearer explanation. Reputation risk remained a consideration at many banks, sometimes relabeled "franchise" or "brand" risk. No bank had fully and publicly acknowledged its past decisions. The OCC could not quantify the full extent of debanking.

Comptroller of the Currency Jonathan Gould said the banks' efforts to curb these practices may not be enough. The OCC will assess further changes to the supervisory framework for the largest banks. It is also considering actions to bar discrimination based on political or religious beliefs and to address reputation risk. It may issue more guidance on risk-based application of Bank Secrecy Act requirements to prevent pretextual account closures.

CFPB Acting Director Mark Paoletta said the agency will "fully investigate" the banks. The CFPB said it reviews compliance with the Equal Credit Opportunity Act and the Fair Credit Reporting Act, particularly their adverse action notice requirements. It also reviews compliance with the prohibition on unfair, deceptive, or abusive acts or practices.