WASHINGTON--The White House has issued an executive order aimed at cracking down on financial institutions that cut ties with customers over political or ideological beliefs—a move intended to address growing complaints from conservative groups and cryptocurrency firms about alleged financial bias.
The order, “Guaranteeing Free and Fair Banking for All Americans,” directs federal financial regulators to investigate whether these types of alleged account closures violate laws, such as the Equal Credit Opportunity Act or other consumer protection rules. Financial institutions found in violation could face fines, consent orders, or other enforcement actions.
“This decisive action sends an unmistakable message: in America, access to banking must be based on merit and law—not ideology,” said Anthony Hernandez, DCUC president/CEO. “We applaud the President’s leadership in targeting unlawful and politicized ‘debanking’ practices that have no place in our financial system.”
DCUC said its letter to the White House, sent Thursday, affirms strong alignment with the Executive Order’s objectives and highlights the real-world impact of unfair account closures—particularly on small businesses, entrepreneurs, veterans, and military families.
“No law-abiding American or legitimate business should be shut out of the financial system because of bias or political pressure,” said Jason Stverak, DCUC Chief Advocacy Officer. “This Order confronts that growing threat head-on. It’s a bold step, and it’s the right one.”
ACU Response
Jim Nussle, America's Credit Unions president/CEO, said, "The not-for-profit credit union system thrives by serving the diverse financial needs of all Americans. Industry bylaws have long reflected a mantra of 'once a member, always a member,' and despite regulatory pressures, it would be counterintuitive for a credit union to limit its membership beyond what the law requires. Some credit unions have also endured costly litigation in order to serve higher risk members.
“Guided by the industry's cooperative principles, credit unions continue to welcome Americans of all backgrounds, including those in unique economic sectors or with complex financial profiles, but we strongly support credit unions’ ability to lawfully manage risk,” Nussle said. “We look forward to working with the NCUA to protect credit union interests in implementing the executive order, and with the Administration and Congress to limit regulatory overreach to protect consumers' access to credit unions."
Wake-Up Call On ‘Debanking’
In recent years, banks have quietly terminated accounts based on vague risk models or ideological leanings—without transparency or due process. These actions disproportionately affect underserved communities, including the nation’s military and veteran populations, DCUC said.
“Debanking threatens the financial stability of the very people we’re supposed to uplift—veterans, military families, and low-income Americans,” said Hernandez. “Credit unions have been the safety net, stepping in when big banks walked away.”
DCUC highlighted that credit unions have long upheld the values now formalized in the Executive Order. With operations on military installations around the world, credit unions have repeatedly been the ones to step in and serve these communities that other institutions often overlook, the trade group said.
From providing banking services during government shutdowns to launching programs like the Veterans Benefits Banking Program (VBBP)—which offers free checking and financial counseling to unbanked veterans—DCUC member credit unions have consistently led in providing apolitical, inclusive, and mission-driven service, the trade association said.
“Credit unions don’t shut the door on people. We meet them where they are,” Stverak reminded. “Whether it’s a military spouse abroad or a veteran in a rural town, we make sure they have access to the financial tools they need.”