Overview
- The developing proposal could require customers to present a U.S. passport or citizenship certificate, with officials debating whether it would cover existing accounts.
- No formal rule, timeline, or executive order has been issued, and a White House spokesperson said any unannounced policy remains speculative.
- Banking industry sources warn that verifying the citizenship status of every customer would be unworkable and expensive, requiring major system changes, staff training, and secure document storage.
- Current federal KYC requirements verify identity details but do not require proof of citizenship, so the change would expand banks’ compliance obligations.
- The deliberations align with a broader immigration and data‑sharing agenda that includes a recent D.C. Circuit decision permitting limited IRS–ICE information sharing.