USAA Debanking Trump Lawyer

USAA has recently come under scrutiny from its customers for its decision to close the accounts of John Eastman, a lawyer associated with President Donald Trump. USAA — which primarily serves military veterans and their families — has thrown itself into the center of the debate about corporate ethics and political bias inside America’s financial services giants.

Eastman, who also faced account closures at Bank of America, expressed his concerns over the seemingly arbitrary decisions made by these institutions. “And then two months later, we get a similar letter from USAA saying that they’re going to close your account, and they did like three weeks later,” Eastman said.

The issue of “debanking,” where financial institutions close accounts without clear financial reasons, seems to be a growing trend, especially among those with conservative affiliations. A de-banking expert, Eric Bledsoe, said that banks are increasingly making decisions based on “non-financial factors.”

USAA’s actions have mainly stood out given its military-centric customer base. According to a 2019 Pew Research poll, 59% of veterans identify as Republicans, which starkly contrasts with USAA’s recent practices that some perceive as aligning more with progressive ideologies.

Glenn Hegar, Texas Comptroller of Public Accounts, wrote on X, formerly Twitter: “USAA members deserve better from a company that once embraced its members as heroes but now apparently views them as extremists.”

USAA has embraced policies that align with progressive movements despite its conservative-leaning clientele. The company scored a 100 on the 2023 Corporate Equality Index (CEI) from the Human Rights Campaign (HRC), indicating strong support for LGBT policies, including transgender medical procedures and gender ideology in various operations.

The alignment could damage the institution, especially given USAA’s military roots and the traditionally conservative nature of the military community. The 1792 Exchange, a database assessing the likelihood of corporations engaging in viewpoint discrimination, has rated USAA as a high-risk organization.

The situation with USAA and Eastman has also prompted responses from political figures and raised legal concerns. Several state attorneys have spoken against debanking, suggesting it could violate state and federal laws by targeting individuals based on political beliefs.

USAA’s decision to debank John Eastman raises significant concerns about the influence of political bias in corporate behavior, especially in crucial sectors like banking. This action affects the individuals directly involved and could have broader implications for the perception of fairness and neutrality in financial services.

While USAA donates nearly evenly to both political parties nationally, its corporate policies suggest a more profound ideological shift that may not resonate well with its traditionally conservative customer base.

RELATED ARTICLESMORE FROM AUTHOR