WASHINGTON (February 6, 2025) – WASHINGTON – Sen. John Kennedy (R-La.), a member of the Senate Banking Committee, joined Sen. Kevin Cramer (R-N.D.) in reintroducing the Fair Access to Banking Act to prevent banks from denying services to law-abiding businesses for political purposes.
“Banks shouldn’t stop customers from accessing accounts or services based on political affiliation or industry. I’m proud to help introduce the Fair Access to Banking Act to make sure financial institutions aren’t working as political activists against law-abiding Americans,” said Kennedy.
“When progressives failed at banning these entire industries, what they did instead is they turned to weaponizing banks as sort of a backdoor to carry out their activist goals. Financial institutions are backed by taxpayers, for crying out loud! They should be obligated to provide services in an unbiased, risk-based manner. The Fair Access to Banking Act ensures that banks provide fair access to services and enacts strict penalties for categorically discriminating against legal industries and individuals,” said Cramer.
In 2021, the Trump administration finalized its Fair Access Rule to require banks to make individual risk assessments and stop broad discrimination against customers. However, the Biden administration paused the rule’s implementation.
The Fair Access to Banking Act would penalize banks and credit unions with more than $10 billion in assets for refusing services to law-abiding companies or people. The bill also requires banks to give a written explanation for denying services to a customer.
Background:
- The Fair Access to Banking Act would protect Americans in the wake of major banks’ move to discriminate against legal businesses. Some of the largest U.S. banks have blocked businesses and consumers from accessing financial services based on political ideology.
- In 2020, five of the country’s largest banks announced they will not provide loans or credit to support oil and gas drilling in the Arctic National Wildlife Refuge even though Congress explicitly authorized it.
- In 2021, JPMorgan Chase declared it would refuse financial services to coal producers. Bank of America also began a politically motivated effort to achieve net-zero greenhouse gas emissions from its financing activities by 2050, an effort directly targeting producers of reliable American energy. Earlier this year, however, Bank of America quietly withdrew from a climate alliance seeking net-zero emissions.
- Payment services like Apple Pay and PayPal have denied their services for transactions involving firearms or ammunition.
Sens. Jim Banks (R-Ind.), John Barrasso (R-Wyo.), Marsha Blackburn (R-Tenn.), John Boozman (R-Ark.), Katie Britt (R-Ala.), Ted Budd (R-N.C.), Shelley Moore Capito (R-W.Va.), Bill Cassidy (R-La.), John Cornyn (R-Texas), Tom Cotton (R-Ark.), Mike Crapo (R-Idaho), Ted Cruz (R-Texas), John Curtis (R-Utah), Steve Daines (R-Mont.), Joni Ernst (R-Iowa), Deb Fischer (R-Neb.), Lindsey Graham (R-S.C.), Bill Hagerty (R-Tenn.), John Hoeven (R-N.D.), Cindy Hyde-Smith (R-Miss.), Ron Johnson (R-Wis.), Jim Justice (R-W.Va.), James Lankford (R-Okla.), Cynthia Lummis (R-Wyo.), Roger Marshall (R-Kan.), Dave McCormick (R-Pa.), Jerry Moran (R-Kan.), Bernie Moreno (R-Ohio), Markwayne Mullin (R-Okla.), Pete Ricketts (R-Neb.), Jim Risch (R-Idaho), Eric Schmitt (R-Mo.), Rick Scott (R-Fla.), Tim Scott (R-S.C.), Tim Sheehy (R-Mont.), Dan Sullivan (R-Alaska), Thom Tillis (R-N.C.), Tommy Tuberville (R-Ala.) and Roger Wicker (R-Miss.) also cosponsored the bill.
The full bill text is available here.
