President Donald Trump is poised to strike a blow against woke banking practices with a bold executive order. On August 7, 2025, he will sign a directive to halt debanking, where financial institutions shutter accounts over political differences.
Fox Business reported that Trump’s order targets the shady practice of banks closing accounts based on “reputational risk” or political bias, demanding federal regulators and the Small Business Administration act swiftly to correct this.
The directive aims to dismantle a system where banks, nudged by regulators, punish clients for their beliefs. It’s a direct challenge to a framework that’s been weaponized against free speech.
The executive order, exclusively obtained by Fox News Digital, requires regulators to scrub “reputational risk” from their guidance manuals.
This vague term, introduced in 2013 under Obama’s Department of Justice, let banks treat public opinion as a financial liability. The result? Account holders, often conservatives, were left in the dark with no explanation, just a deadline to transfer funds.
“The banks discriminated against me very badly,” Trump told CNBC’s “Squawk Box” in the week of August 7, 2025. He’s not wrong—banks have leaned hard into closing accounts of those with unpopular views, often at regulators’ behest. The order demands a review of these practices, with fines and remedial actions for guilty institutions.
Melania Trump’s bank account was shuttered after years with one institution, a glaring example of debanking’s personal toll. Barron Trump faced rejection when trying to open an account post-January 6, 2021. These aren’t isolated cases but part of a pattern targeting those who don’t toe the progressive line.
“I believe [the Biden administration] told the Banking Commission, the bankers [and] the banking regulators, to do everything you can to destroy Trump,” Trump said on “Squawk Box.”
His claim points to a deeper issue: regulators wielding unchecked power to pressure banks. It’s a system ripe for abuse, and conservatives have felt the sting.
“The regulators control the banks,” Trump told reporters in June 2025. Wall Street sources confirm banks often have no choice but to follow regulators’ whims, whether through formal rules or casual chats. This cozy relationship has enabled a culture where dissenters are quietly pushed out of the financial system.
The executive order instructs the Treasury secretary to craft a strategy, including new laws, to combat debanking.
It also pushes regulators to check complaint data for religious-based debanking, referring violations to the attorney general. This is a clear signal: political bias in banking won’t be tolerated.
“[Regulators] go and make life impossible for big banks and little banks,” Trump said in June 2025. His words highlight how regulators’ vague guidelines create a chilling effect, forcing banks to act as ideological enforcers. The order aims to flip the script, prioritizing fairness over woke agendas.
Big banks, surprisingly, are cheering Trump’s move. “We welcome the Trump administration’s efforts to provide regulatory clarity to banks,” a Bank of America spokesperson told Fox News Digital. It’s refreshing to see Wall Street align with a policy that protects clients from arbitrary account closures.
JPMorgan Chase echoed this sentiment, with a spokesperson saying, “We don’t close accounts for political reasons, and we agree with President Trump that regulatory change is desperately needed.”
Their support suggests banks are tired of being strong-armed by regulators into discriminatory practices. Maybe even they see the absurdity of punishing clients for their politics.
The Small Business Administration is tasked with ensuring banks reinstate clients wrongfully debanked. This provision could offer relief to countless Americans who’ve been unfairly targeted. It’s a practical step toward undoing the damage of overzealous regulation.
Senate Banking Chairman Tim Scott, R-S.C., nailed it in a Fox News Digital interview, saying regulators “weaponize consistently against Republicans, consistently against conservatives.” His point cuts through the noise: debanking isn’t just bad policy—it’s a targeted attack on free thought. Trump’s order is a direct response to this abuse of power.
The 2013 Obama-era rules gave regulators a blank check to bully banks into closing accounts over “negative public opinion.”
This vague standard turned banks into thought police, punishing clients for their views rather than financial risks. Trump’s executive order aims to slam the brakes on this nonsense.
With Wall Street’s backing and a clear directive, Trump’s order could reshape banking for the better. It’s a stand against a system that’s been quietly suffocating conservative voices under the guise of “risk management.” Here’s hoping it restores fairness—and a bit of sanity—to America’s financial institutions.
