Donald Trump Signs Executive Order for 'America's Bank Account'

Trump Signs Orders Targeting Federal Spending Overhaul

President Donald Trump signed two major executive orders on Tuesday aimed at overhauling how the U.S. government manages trillions of dollars in financial transactions through what the White House refers to as "America’s bank account," or the General Fund. The White House / Wikimedia

Executive Order Expands Treasury’s Oversight of Federal Funds

One order, titled "Protecting America's Bank Account Against Fraud, Waste, and Abuse," grants the Treasury Department expanded powers to monitor, trace, and oversee federal transactions with the goal of reducing fraud and inefficiencies. Trump emphasized that the Treasury lacks the current ability to sufficiently track the massive cash flow that moves through the General Fund.

“Financial fraud threatens the integrity of federal programs and undermines trust in government,” Trump stated while signing the order. “To enforce sufficient controls and ensure accountability to American taxpayers, the Department of the Treasury requires financial information from executive departments and agencies beyond what they currently provide.” Carol M. Highsmith / Wikimedia

Musk-Led Efficiency Department Drives Trump’s Anti-Waste Agenda

The move is part of Trump’s broader second-term agenda to slash federal spending and eliminate bureaucratic waste, an effort spearheaded by the newly formed Department of Efficiency (DOGE), led by Elon Musk. Eric Hartline-Imagn Images

Up to $521B Lost Annually to Fraud, Says Government Report

According to government estimates, fraud and improper payments cost taxpayers between $233 billion and $521 billion annually. The executive order mandates that all executive agencies provide more comprehensive financial data to the Treasury and return disbursement functions to the Treasury from independently operating offices, known as non-Treasury disbursing offices (NTDOs). According to the executive order, these NTDOs were responsible for over $1.5 trillion in disbursements in fiscal year 2024. Kaboompics.com / Pexels

Second Order Pushes Shift to Electronic Federal Payments

Trump also signed a second order to modernize federal payment systems by phasing out outdated paper-based methods in favor of fast, secure electronic transfers. He criticized the government's reliance on paper checks as outdated and risky. cottonbro studio / Pexels

Trump Blasts Paper Checks as Costly, Outdated Relics

“It’s basically modernization of equipment and methods,” Trump told reporters. “We could let somebody else—whoever's next, whoever that may be—do it, but it's something that should have been done 25, 30 years ago.”

The government reported that maintaining paper-based payment infrastructure cost taxpayers over $657 million in 2024. Kaboompics.com / Pexels

Treasury Secretary Applauds Move; Paper Checks End Sept. 30

Treasury Secretary Scott Bessent praised the initiative in a post on X (formerly Twitter), writing, “Thank you, Trump, for this crucial order to help us root out fraud, waste, and abuse at the Treasury Department. We are full steam ahead at the Treasury.”

While a full timeline for implementation has not been released, one key deadline has been set: the Treasury will cease all paper check disbursements by September 30. United States Department of the Treasury / Wikimedia