SKN | OCC’s Gould Targets Debanking and Community Bank Relief

A Renewed Push for Fair Access and Regulatory Balance

Jonathan Gould, Comptroller of the Currency, is setting his sights on two long-standing issues in U.S. banking regulation: debanking and regulatory tailoring. Speaking at the Money20/20 conference in Las Vegas, Gould said he intends to confront both challenges directly rather than delay them.

“I hope that when the 33rd comptroller shows up at some uncertain date in the future, that person will not blame me for kicking any cans down the road,” Gould told Banking Dive. His message underscores a renewed effort at the Office of the Comptroller of the Currency (OCC) to strengthen fairness in the banking system while easing compliance burdens for smaller lenders.

Addressing Politicized Debanking

The issue of debanking—where financial institutions close accounts or deny services to lawful businesses or individuals—has resurfaced as a politically charged topic. Gould said it’s not new; he recalls similar debates during his earlier tenure at the OCC and while working on the Senate Banking Committee.

“It morphs from one lawful business category to another,” he said. “First, it was payday lenders, then ATM operators. It’s shifted over the years depending on certain individuals’ political or policy objectives—but in all cases, it’s inappropriate.”

Concerns about “politicized debanking” intensified in recent years amid allegations that the Biden administration discouraged banks from servicing crypto-related firms—a controversy critics dubbed Operation Choke Point 2.0. The issue gained renewed traction this year when President Donald Trump accused several large banks, including Bank of America, of targeting conservative clients.

Interest in resolving the matter now spans both parties. Even Sen. Elizabeth Warren (D-MA) acknowledged during a February hearing that “debanking shouldn’t be happening, and we need to figure out why and who is responsible.”

Gould said the urgency to act grew after Trump issued an executive order in August directing regulators to ensure fair access to financial services.

Easing the Burden on Community Banks

Beyond debanking, Gould is prioritizing regulatory tailoring—a reform designed to reduce unnecessary oversight for community banks. “We’re moving pretty quickly, but there’s still a lot to do,” he said.

In recent weeks, the OCC introduced new guidance eliminating certain exam requirements not required by law. The proposals stem from the agency’s newly formed Community Bank Supervision group, which Gould called “one of the most important things” the OCC has done recently.

The goal, he explained, is to make supervision proportionate to risk: “Community banks do a disproportionate amount of agricultural lending, small-business lending, and other critical work that keeps local economies running.”

More proposals aimed at reducing regulatory pressure and enhancing efficiency for small lenders are expected in the coming months, Gould added.

Looking Ahead: Reform and Renewal

Gould said he also plans to invigorate de novo bank chartering—encouraging new entrants into the U.S. banking system—and improve internal management processes at the OCC. “We’re trying to address issues both in the short term and the long term for the banking system,” he said.

His agenda reflects a broader vision: a regulatory environment that balances accountability with innovation, ensuring that banks of all sizes can compete fairly while maintaining trust and sound risk management.

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