Virginia Launches Task Force to Combat ‘Debanking’ Practices
ALEXANDRIA, va. — May 11, 2024 —
Virginia has launched a task force addressing the growing issue of banking practices known as debanking.The Equal Access to Banking Task Force, formed in the Eastern District of Virginia, will investigate situations where individuals and businesses in Virginia face denial of financial services. the initiative comes in response to concerns over unfair practices, with the task force aiming to uphold fair access to the financial system. Experts and officials are collaborating with federal agencies, and the public is encouraged to come forward with any complaints, perhaps influencing further action.
Virginia Launches Task Force to Combat ‘Debanking’
ALEXANDRIA, Va. – A new initiative aims to protect Virginians from discriminatory banking practices.
What is Debanking?
the Eastern District of Virginia has formed the Equal Access to Banking Task Force to investigate debanking,
which occurs when banks deny customers access to financial services based on unlawful factors [1], [3].
Did you know?
Debanking can affect individuals, businesses, and even organizations. It raises concerns about fairness and equal access to financial systems.
The Cambridge Dictionary defines debanking as the act by a bank of closing someone’s account becuase they are regarded as a risk legally, financially, or to the bank’s reputation
[3].
Task Force Formation
U.S. Attorney Erik S. Siebert and Assistant Attorney General Harmeet K. Dhillon of the U.S. Department of Justice Civil Rights Division announced the formation of the eastern District of Virginia Equal Access to Banking Task Force.
The task Force includes officials from:
- The United States Attorney’s Office for the Eastern District of Virginia
- The Civil Rights Division of the Department of Justice
- The Office of the Attorney General for the commonwealth of Virginia
Objectives and Scope
The Task Force will investigate allegations of debanking in Virginia, focusing on actions taken against Virginians.If warranted, the task force will seek civil relief against banking institutions in federal or state court.
pro Tip
Document everything. If you believe you’ve been a victim of debanking, keep detailed records of your interactions with the bank, including dates, times, and names of representatives.
Statements from Key Leaders
U.S. Attorney Siebert emphasized the importance of banking access:
Access to banking services is essential in today’s modern economy, and unlawful debanking practices prevent citizens from achieving financial security. My office, along with our partners in the Civil Rights Division of the Department of Justice and the Virginia Office of the Attorney General, is dedicated to eliminating these unlawful actions and ensuring that all Virginians can realize their own personal American dream.
U.S. Attorney Erik S. Siebert
Assistant Attorney General Dhillon affirmed the right to fair banking access:
All Americans have the right to fair access to banking.No customer should be refused credit or other financial services for discriminatory or unlawful reasons. The Justice Department will work together with our federal and state partners to vigorously enforce these rights and protections to the fullest extent of the law.
assistant Attorney General Harmeet K. Dhillon
Attorney General Jason Miyares highlighted the importance of equal treatment under the law:
The practice of unlawful debanking undermines public trust and erodes the foundational principle of equal treatment under the law. When banks act without accountability, they threaten not onyl individual livelihoods but also the broader promise of fairness and freedom that makes Virginia, and America, strong. No American should ever be denied access to basic financial services because of their political views, religious beliefs, or lawful activities.
Attorney General Jason miyares
Partnerships and Collaboration
The Task Force will collaborate with federal financial regulatory agencies to systematically address and combat unlawful debanking. U.S. Attorney Siebert and Assistant Attorney General Dhillon will convene regulatory partners to leverage the full power of the federal government on this issue.
How to File a Complaint
Individuals or entities who believe they have experienced inappropriate debanking practices in Virginia are encouraged to submit a complaint directly to the Task Force at USAVAE.debanking@usdoj.gov.
Complaints in other jurisdictions can be submitted to the Civil Rights Division’s complaint portal.
The Task Force will investigate allegations to determine if they violate federal or state law and will refer matters for civil and criminal prosecution as appropriate.
FAQ: Debanking and Your Rights
- What is debanking?
- Debanking is when a bank closes or denies access to financial services to a customer, often due to perceived risks or reputational concerns [1], [3].
- Why is debanking a concern?
- It can limit access to essential financial services and disproportionately affect certain groups [1].
- What can I do if I think I’ve been debanked unfairly?
- File a complaint with the Eastern District of Virginia Equal Access to Banking Task Force or the Civil Rights Division’s complaint portal.
