ICYMI: Oklahoma Conservatives Furious with Big Banks for Cutting Off Right-Wing Customers
Major banks face backlash as Senate investigates claims they’re denying services to conservatives under the guise of regulations. 🌐 #News #OklahomaCityOK #Oklahoma #Politics
OKLAHOMA CITY, OK – Oklahomans watched closely as conservative lawmakers in Washington, D.C. took aim at big banks accused of pushing “woke” agendas by cutting off services to right-leaning businesses and individuals. Lawmakers grilled bankers and experts on Wednesday during a heated U.S. Senate Banking Committee hearing, as claims of politically motivated “debanking” dominated discussions. Allegations suggest major banks are denying services to individuals, groups, and businesses for their political affiliations—a claim that banks push back on, blaming confusing regulations instead.
The debate hit new heights after former President Donald Trump accused Bank of America and JPMorgan Chase of specifically targeting conservatives last month. Critics of “woke capitalism” point to these accusations as proof of systemic bias against right-leaning customers.
Political Firestorm Over “Debanking”
Conservatives argue that federal programs like “Operation Choke Point 1.0” under former President Barack Obama and “Operation Choke Point 2.0” under former President Joe Biden are central to the problem. These initiatives directed banks to scrutinize high-risk industries, but critics say they effectively blacklisted legal businesses.
The first phase of Operation Choke Point targeted firearms dealers, payday lenders, online gambling, and other industries seen as vulnerable to money laundering. The second phase expanded to cryptocurrency platforms, drawing heavy criticism from conservatives who view it as an ideological attack.
Bank Executive Calls for Market-Based Solutions
Mike Ring, President and CEO of Old Glory Bank—a financial institution launched in 2023 as a conservative-friendly alternative—did not hold back during his testimony. He argued that excessive regulations stifle competition, making it easier for large banks to pick and choose customers based on their views.
“Big banks debanking Americans is clearly wrong, but I do not believe the answer is additional regulations telling banks who they must bank,” Ring told the committee. He emphasized that specialized banks should be allowed to cater to their own customer bases without government interference.
Ring further explained how difficult it was to launch Old Glory Bank, highlighting that the U.S. “lost 73% of its banks” over the past 40 years, with only eight new banks established between 2023 and 2024. The process to acquire a small bank in Oklahoma, he said, was grueling and bureaucratic.
“I’ll never forget an all-hands Zoom call we had with the FDIC, the Federal Reserve, and the [Consumer Financial Protection Bureau], many of whom were D.C.-based,” Ring said. “These career bureaucrats behaved like they were on ‘Shark Tank,’ with the discretion to pick winners and losers.”
He warned lawmakers that the shrinking number of small banks has given big banks dangerous levels of influence. “With so few banks, the big banks have too much power over freedom and the economy,” Ring stated.
Clashing Views on Who’s Being Targeted
While conservatives claim the firearms and cryptocurrency industries are unfairly targeted, Democrats argue that the issue extends beyond ideological discrimination. Sen. Elizabeth Warren, the committee’s ranking Democrat, pointed to thousands of complaints from groups like Muslims and cannabis businesses who say they were denied banking access due to flawed algorithms.
Aaron Klein from the Brookings Institution testified that anti-money laundering rules contribute heavily to the issue. Banks have been required to report cash transactions over $10,000 since 1972. However, adjusted for inflation, that threshold should be over $75,000 today.
Klein revealed a troubling trend: reports of suspicious financial activity have skyrocketed from 288,000 in 2003 to 2.5 million in 2023. He argued that these excessive reports make banks overly cautious, potentially leading to the denial of services to law-abiding customers.
As lawmakers continue the investigation, the future of banking regulations and customer protections remains uncertain, with both sides of the aisle demanding answers to what could be a growing financial controversy.
RELATED TOPICS: Oklahoma | Politics | Washington, DC
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