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FinCEN tightens scrutiny of migrant money transfers
Treasury’s financial crimes unit warns money remitters to flag suspicious cross-border transfers tied to undocumented workers.
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Pranavi Sharma - Sat, 29, Nov 2025
- 00:59 EST
- 71
Representative image. / AI generated
The US Treasury Department’s Financial Crimes Enforcement Network on Nov. 28 issued an alert warning money services businesses about cross-border funds transfers involving undocumented immigrants, a move that could affect how immigrants send money to families abroad, according to the official document.
FinCEN said the alert is part of a broader effort to prevent the use of the U.S. financial system to move illicitly obtained money. The agency cited concerns about funds tied to unlawful employment or other activity it “knows, suspects, or has reason to suspect were illicitly obtained in the United States.” The alert directs money services businesses to file suspicious activity reports for transactions of at least $2,000 when those conditions apply.
John K. Hurley, Treasury’s under secretary for terrorism and financial intelligence, said money services businesses “should be vigilant in identifying suspicious financial activity involving illegal aliens who present significant threats to national security and public safety.” He said the Treasury would continue to enforce federal law.
The alert states that the guidance aligns with Executive Order 14159, Protecting the American People Against Invasion. It adds that the reporting requirements apply to cross-border transfers, including remittances from people in the United States, when the funds are believed to come from unlawful employment.
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Expanded scrutiny
FinCEN’s announcement notes that the agency regularly issues notices to financial institutions but describes this as a significant expansion involving immigration-related activity. The document reiterates that banks and money transfer companies face civil and criminal penalties if they knowingly process illicit funds.
The release also highlights FinCEN’s authority under post-September 11 laws, which gave the bureau broad oversight over the banking system. The document says financial institutions risk severe consequences if they fail to comply.
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Industry effects
The decision could affect industries where undocumented immigrants work, including trucking, which it describes as having low barriers to entry. Increased enforcement may reduce employment opportunities for undocumented workers and could limit their ability to send money abroad, a common source of financial support for families in home countries.
It may also create uncertainty in immigrant communities that have relied on the ability to remit money while living and working in the United States.
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