FDIC Encourages Voluntary Information Sharing Under 314(b) of the USA PATRIOT Act

Summary:

On June 12, 2026, the U.S. Department of the Treasury's Financial Crimes Enforcement Network (FinCEN) issued updated guidance clarifying how financial institutions can voluntarily share information under section 314(b) of the USA PATRIOT Act. The FDIC recognizes fraud and other unlawful activity are a significant and growing concern nationwide for banks and consumers, and the FDIC encourages financial institutions to participate in the 314(b) program as a means to share information, mitigate potential losses, or increase suspicious activity detection.

Statement of Applicability: The contents of, and material referenced in, this FIL apply to all FDIC-supervised financial institutions.

Highlights:

Participation in FinCEN's section 314(b) program allows financial institutions to voluntarily share information with other program participants about fraud, money laundering, terrorist financing, sanctions evasion, and additional illicit criminal activities. The section 314(b) program provides financial institutions with the flexibility and connectivity to counter such threats by identifying repeat actors or financial schemes that move across financial institutions to evade detection, thereby limiting the exploitation of information gaps in the financial system.

FinCEN's updated guidance highlights the ability of participants to share information in real time and presents new examples of information types that can be shared (such as video surveillance footage, cyber-related data such as IP addresses, and fraud indicators). Additionally, the guidance clarifies the following:

• Institutions may share information relating to activities that may involve suspected illicit activity even if such activities are merely an attempt to engage in a transaction;
• Information can also be shared with other program participants even if the entity sharing has no reason to believe that the information relates to any specific customer, account, or transaction of the financial institution receiving the information; and
• The sharing and the receiving party must maintain adequate procedures to protect the information's security and confidentiality.