President Donald Trump announced Saturday that he intends to sue JPMorgan Chase (JPM) over what he calls improper "debanking" following the January 6, 2021 Capitol riot. According to Trump, the bank abruptly closed his accounts under influence from the Biden administration, giving him just 20 days to relocate hundreds of millions of dollars.
"I'll be suing JPMorgan Chase over the next two weeks for incorrectly and inappropriately DEBANKING me after the January 6th Protest, a protest that turned out to be correct for those doing the protesting," Trump wrote on his Truth Social platform.
The timing is notable. This legal threat surfaces while JPMorgan has been pushing back against the Trump Justice Department's criminal investigation into Federal Reserve Chair Jerome Powell. CEO Jamie Dimon has warned that undermining the Fed's independence could drive up inflation expectations and interest rates.
Trump also addressed speculation about Dimon potentially joining his administration. "One was led to believe that I offered Jamie Dimon the job of Secretary of the Treasury, but that would be one that he would be very interested in. The problem is, I have Scott Bessent doing a fantastic job, A SUPERSTAR — Why would I give it to Jamie? No such offer was made there, or even thought of, either," he said.
Meanwhile, the White House is pushing for a 10% cap on credit card interest rates for one year. JPMorgan executives have cautioned that such a move could restrict access to credit and ultimately harm consumers.
Trump's lawsuit threat revives a long-running complaint about his sudden removal from JPMorgan after his presidency ended in 2021, which he's consistently characterized as politically motivated retaliation.
JPMorgan has stated it doesn't close accounts based on political affiliation, though the bank hasn't denied that reputational risk considerations may have played a role in decisions during that timeframe.
The situation highlights ongoing friction between Trump and major financial institutions stemming from the Capitol riots aftermath. If he follows through, the lawsuit could establish new precedent around how banks manage relationships with politically controversial clients. It's another chapter in the broader debate over financial institutions' power to effectively exclude individuals from the banking system.
