President Donald Trump on June 2 promoted a recent executive order aimed at preventing the use of the U.S. financial system being used to aid illegal immigration, human smuggling, drug trafficking, and criminal cartels, saying the measure could ultimately lead to the closure of some bank accounts and the seizure of funds.
In a post on Truth Social, Trump said illegal immigrants and “foreign fraudsters” cost U.S. taxpayers billions of dollars each year. He tied the order to his administration's broader immigration enforcement efforts.
“Illegal Immigrants and Foreign Fraudsters steal BILLIONS every year from the American Taxpayer,” Trump wrote. “As part of my Administration’s Historic effort to end FRAUD and reverse MASS ILLEGAL IMMIGRATION, I recently signed a powerful new Executive Order, which will be led by the Treasury Department, to stop Banks, Credit Cards, and Financial Institutions from being used to facilitate Human Smuggling, Drug Trafficking, Illegal Immigration, and the Criminal Cartels who orchestrate these activities.”
— Rapid Response 47 (@RapidResponse47) June 2, 2026
The executive order, titled "Restoring Integrity to America's Financial System," was signed May 19. It directs the Treasury Department and federal banking regulators to develop guidance identifying potential indicators of suspicious activity linked to unauthorized immigration, including nominee accounts, the use of Individual Taxpayer Identification Numbers without verified work authorization, and signs of labor trafficking or payroll tax evasion.
The order also calls for enhanced customer due diligence under the Bank Secrecy Act, including stronger verification of beneficial ownership and guidance on risks associated with lending to individuals who lack work authorization and could face deportation or a loss of income.
Trump said access to the U.S. financial system should be reserved for those legally present in the country and engaged in lawful commerce.
"Bank Accounts being used to enable Illegal Immigration, or to store the Welfare received by Illegal Aliens, will be shut down, and funds will ultimately face Impoundment and Seizure so they can be returned to Taxpayers," he wrote.
Trump also argued that individuals in the country illegally should not have unrestricted access to banking services simply because they can present state-issued driver's licenses or federal immigration documents.
"It has been said this measure we are taking is the most effective means of reversing Biden's Border Invasion. We shall soon find out!" Trump wrote.
A White House fact sheet accompanying the order describes it as an effort to combat illicit finance, including cartel money laundering and other threats to the banking system.
The measure builds on existing anti-money laundering requirements and adds immigration-related risk factors for financial institutions to consider. It does not explicitly mandate immediate, large-scale account closures or asset seizures.