3 days Ago
Citigroup on Tuesday said it would have “no ongoing policy as it relates to firearms,” noting that the original rules were about sales practices, not helping to make products like guns.
The move comes as political pressure is increasing to investigate whether large financial institutions are unfairly biased against conservative people and businesses. The Trump administration and At least some officials in state capitals have criticized banks for what they say is “politicized de-banking,” or when banks decide to terminate relationships with clients they consider high risk.
Citigroup said it is adapting to recent regulatory changes, executive orders, and new federal legislation.
Original Rules Focused on Certain Gun Sales Practices
In 2018, Citigroup restricted doing business with businesses that sold firearms to people under the age of 21 or who had not passed background checks, or those that marketed high-capacity magazines or bump stocks.
The protocols were put in place for various clients, including small businesses, institutional partners, and credit card affiliates.But these limits did not pertain to private cardholders who were activating their own cards.
Wider Political and Industry Reaction
Citigroup’s reverasal in the policy follow criticism from former President Donald Trump and others that the top financial power brokers have been discriminating against conservative clients. At a high-profile economic forum in January, Trump singled out leaders such as Bank of America chief executive Brian Moynihan and JPMorgan Chase’s Jamie Dimon, calling on them to guarantee that their services would not be closed to conservatives.
To allay fears of unfairness, Citigroup said it will change its internal Code of Conduct and its Global Financial Access Policy. The bank said the update will make clear that it does not measure its employees by such characteristics, any more than it measures them by race, religion or other personal factors.
