Frozen Out: Debanking Practice and Policy in the New Administration

Financial institutions have faced growing scrutiny for debanking customers, with no explanation. While debanking is sometimes legally necessary when banks suspect unlawful conduct, recent reports have prompted high-profile questions about the practice, including from the President himself.

The lack of transparency does not help. How do financial institutions determine which accounts or services will be closed? Are these decisions driven by regulatory sensitivities, perceived reputational risk, or other considerations? Should legal limits exist on financial institutions' discretion to debank? What are the rights of corporations to choose what customers to serve and what, if any, limits might apply in an industry as heavily-regulated and protected as banks? What can be done to protect citizens' rights to participate in public discourse without fear of financial exclusion?

Featuring:

Nicholas Anthony, Policy Analyst, Center for Monetary and Financial Alternatives, Cato Institute
Hon. Rohit Chopra, Director, Consumer Financial Protection Bureau
Will Hild, Executive Director, Consumers’ Research
Prof. Todd J. Zywicki, George Mason University Foundation Professor of Law, Antonin Scalia Law School, George Mason University
Moderator: Megan McArdle, Columnist, Washington Post