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BREAKING: President Trump Signs Major Order Targeting Financial System Abuse
President Trump just took the immigration fight somewhere the cartels and their enablers never wanted it to go: the money.
On Tuesday, President Trump signed an executive order titled “Restoring Integrity to America’s Financial System,” directing the Treasury Department, federal financial regulators, and the Consumer Financial Protection Bureau to crack down on the financial infrastructure that makes illegal immigration profitable.
The targets include money laundering, cartel cash flows, payroll tax evasion, ITIN abuse, off-the-books wage schemes, and reckless lending to illegal aliens who may be deported or lose their income.
Yesterday, @POTUS signed an Executive Order restoring integrity to our financial system by kicking out illegals.
Expect more self-deportations to follow!https://t.co/WbQnmVcJRL
— Rapid Response 47 (@RapidResponse47) May 20, 2026
The executive order lays out the problem in blunt terms. The White House order laid out the national-security and credit-risk rationale.
America’s financial institutions serve a critical role in safeguarding the American people against financial fraud and abuse.
My Administration will not tolerate national security and public safety risks caused by illicit cross-border financial activity, nor will it permit risks to our financial system posed by the extension of credit or financial services to the inadmissible and removable alien population.
Low-dollar cross-border funds transfers have been used to facilitate or commit terrorist financing, narcotics trafficking, human trafficking, and other illegal activity.
Financial trend analyses have uncovered hubs of deadly fentanyl-related financial activity in the United States related to Mexico-based cartels. A recent analysis of Chinese money laundering networks identified how foreign passport holders have used United States-based accounts to facilitate the laundering of over $312 billion for criminal organizations, with human trafficking highlighted among the activities associated with the transfers.
Banks and other financial institutions should also be attentive to the credit risks posed by the extension of mortgage and auto loans, credit cards, and other consumer credit to the inadmissible and removable alien population.
Within 60 days of the date of this order, the Secretary of the Treasury shall issue a formal Advisory to financial institutions regarding the risks associated with the exploitation of the United States financial system by non-work authorized populations and their employers.
Within 90 days of the date of this order, the Secretary of the Treasury shall propose changes to Bank Secrecy Act regulations to strengthen risk-based customer due diligence requirements for covered financial institutions.
$312 billion laundered through U.S. accounts by Chinese criminal networks alone.
The order directs Treasury Secretary Scott Bessent to issue a formal advisory to financial institutions within 60 days, identifying red flags tied to illegal alien financial activity and the employers who enable it.
Those red flags include payroll tax evasion, nominee accounts, shell companies, money-services businesses, third-party payment processors, peer-to-peer platforms, structuring and micro-structuring schemes, labor-trafficking typologies, and the use of ITINs to open accounts or obtain credit without verified lawful immigration status.
Within 90 days, Treasury must also propose changes to Bank Secrecy Act regulations to strengthen customer due diligence requirements across the board.
And the CFPB is directed to consider clarifying that potential deportation and loss of wages can affect a borrower’s ability to repay under existing lending standards.
The White House fact sheet tied the order directly to costs paid by law-abiding Americans.
Today, President Donald J. Trump signed an Executive Order to protect America’s financial system from illicit activity, strengthen customer identification requirements for financial institutions, and address the credit risks posed by extending financial services to non-work authorized illegal aliens.
The Order directs the Secretary of the Treasury to issue a formal advisory to financial institutions identifying red flags and suspicious activity patterns tied to payroll tax evasion, concealment of true account ownership, off-the-books wage payments and structuring schemes, labor trafficking, and the use of individual taxpayer identification numbers to open accounts or obtain credit without verified legal presence.
The Order directs the Secretary of the Treasury, in consultation with Federal financial regulators, to propose changes to Bank Secrecy Act regulations to strengthen customer due diligence requirements and the authority to obtain additional information when warranted.
The Order directs the Consumer Financial Protection Bureau to consider modifying regulations to clarify that potential deportation and loss of wages are factors that could affect a borrower’s ability to repay a loan under ability-to-repay standards.
Gaps in customer identification practices have allowed terrorists, drug traffickers, money launderers, and other criminal networks to exploit U.S. financial institutions to move illicit funds and evade law enforcement.
Extending mortgages, credit cards, and auto loans to illegal aliens who face potential removal or loss of wages creates structural credit risks that threaten the safety and soundness of the national banking system.
When banks are forced to absorb these elevated credit risks, the costs are passed on to American consumers in the form of higher fees and interest rates. Restoring sound underwriting standards puts money back in the pockets of law-abiding Americans.
That last line is the one every American taxpayer should read twice. You have been subsidizing the financial risks created by illegal immigration through higher bank fees and interest rates.
Yesterday, @POTUS @realDonaldTrump signed the Executive Order, Restoring Integrity to America’s Financial System.
This bold America First move slams the door on money laundering, terrorist financing, and cartel cash — while ending reckless lending to illegal aliens.… pic.twitter.com/lm2cId8fbj
— Katie Zacharia (@KatieZacharia) May 20, 2026
The order works through regulatory guidance and proposed rule changes rather than an immediate mandate that every bank collect citizenship documents from all customers. The banking industry had lobbied hard against that kind of blanket requirement.
The Associated Press confirmed the order and added banking-industry context.
President Donald Trump on Tuesday signed an executive order that requires banks to take a closer look at the citizenship of their customers, a new measure in his administration’s push to clamp down on people living in the country illegally.
The order directs bank regulators and government departments to look for signs that people without legal status are opening accounts or obtaining loans or credit cards.
The order is less aggressive than banks had expected, as earlier reports suggested the White House was drafting an order that would make collecting customers’ citizenship information mandatory.
In the order, the White House framed the decision around credit risks if one of their customers were deported and any loans could no longer be repaid.
Treasury Secretary Scott Bessent said last month that “there should be stricter rules” to open bank accounts.
“Why can the unknown foreign nationals come and open a bank account?” Bessent said.
Claiming bank executives were supposed to “know your customer,” he asked, “So how do you know your customer if you don’t know if they have legal or illegal status, whether a U.S. citizen or green card holder?”
The banking industry had been lobbying for months to stop a mandatory-citizenship-status order, arguing it would be expensive and require vast amounts of paperwork.
It is a fair question, and now it has the force of an executive order behind it.
The strategy here is clear: make illegal immigration harder to finance and harder to hide. When cartel cash gets flagged, when off-the-books payrolls get scrutinized, when reckless lending to people who may be removed from the country gets treated as an actual credit risk, the entire economic engine that sustains illegal immigration starts to break down.
Follow the money has always been the most effective enforcement tool in existence. President Trump just aimed it squarely at the border crisis.
This is a Guest Post from our friends over at WLTReport. View the original article here.