Skip to main content

2.0

EO 14406: "Restoring Integrity to America's Financial System"

  1. Original Date Announced

    May 19, 2026

    President Trump issued Executive Order (EO) 14406, "Restoring Integrity to America's Financial System." The order requires the Secretary of the Treasury to issue an 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," including a description of "red flags and typologies" associated with activities such as payroll tax evasion, "off-the-books" wage payments, and labor trafficking or forced labor. The order also directs the Secretary, in consultation with certain federal financial regulators, to propose changes to financial regulations to strengthen risk-based customer identification requirements for financial institutions.

    The EO also directs the Consumer Financial Protection Bureau (CFPB) to clarify that potential deportation and loss of wages are factors that could adversely affect a non-work authorized borrower's ability to repay an extension of credit under standard "ability-to-repay" credit-underwriting metrics. Additionally, the EO orders federal financial regulators to issue guidance regarding the management of potential credit risks posed by the non-work authorized population.

    Trump 2.0 [ID #2294]

    2026.05.19 EO 14406 - Restoring Integrity to America's Financial System
  2. Effective Date

    May 19, 2026
  3. Subsequent Trump and Court Action

    June 5, 2026

    2026.06.05 Treasury FIN-2026-A002 - Joint Advisory on Non-Work Authorized Populations and Their Employers and Risks to the Integrity of the U.S. Financial System

    The Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN), in coordination with the Internal Revenue Service (IRS) and federal banking regulators, issued an advisory to execute the mandates of EO 14406. The advisory instructs financial institutions to maintain heightened vigilance regarding the employment of non-work authorized populations. It outlines specific financial typologies associated with the hiring of undocumented noncitizens, such as identity theft, off-the-books cash processing via shell companies, and the use of Individual Taxpayer Identification Numbers (ITINs) to secure credit. It also describes eighteen "red flag" indicators to help financial institutions detect suspicious activity.

    View Document

Current Status

None

Original Trump Policy Status

Status: Final/Actual
Trump Administration Action: Presidential Orders
Subject Matter:
Agencies Affected: Other

To provide information, corrections, or feedback, please email IPTP.feedback@gmail.com