Financial Institution Customer Protection Act of 2017

Bill 115 hr 2706, also known as the Financial Institution Customer Protection Act of 2017, aims to provide protection to customers of financial institutions by prohibiting federal banking regulators from requesting or ordering a financial institution to terminate a banking relationship with a specific customer unless certain criteria are met.

The bill states that a federal banking regulator may only request or order a financial institution to terminate a banking relationship with a customer if there is a valid reason to believe that the customer is engaged in illegal activities or poses a threat to national security. Additionally, the regulator must provide written justification for the request or order.

Furthermore, the bill requires federal banking regulators to establish procedures for notifying the affected customer and providing them with an opportunity to respond to the allegations before any action is taken. It also prohibits regulators from taking adverse action against a financial institution for failing to terminate a banking relationship unless the institution knowingly violated the law. Overall, the Financial Institution Customer Protection Act of 2017 seeks to ensure that customers of financial institutions are treated fairly and that their banking relationships are not unjustly terminated without due process.