Tuesday Topic: Navigating the New “Debanking” Executive Order

President Trump’s recent executive order on debanking brings new scrutiny to how banks handle account closures and client relationships. Regulators are directed to prohibit politically or religiously motivated terminations and remove vague reputation-risk language from examiner guidance. The Treasury Department is also tasked with developing a long-term strategy to prevent politicized debanking. Bank Director recently outlined what’s changing and how banks should prepare.

How do you balance regulatory demands with discretion when selecting clients? Does this order change how you view reputation risk? Do you expect compliance costs or processes to rise as a result?