In an August 2026 Oval Office meeting, President Donald Trump asserted that U.S. banks are prohibited from operating in Canada. This claim is inaccurate. According to a spokesperson for the Canadian Bankers Association, 15 U.S.-based banks currently operate in Canada, either as branches or subsidiaries. The Bank of America, J.P. Morgan Chase, Citibank, Capital One, and Wells Fargo are among these institutions, which collectively hold over CAD 124.6 billion (USD 904 million) in assets, representing more than half of all assets held by foreign bank subsidiaries and branches in Canada.

While U.S. banks face certain regulatory restrictions when operating in Canada, they are not barred from entering the market. Canadian banking regulations categorize banks into three schedules, with foreign-owned banks operating as either Schedule II (foreign-own​ed subsidiaries incorporated in Canada) or Schedule III (branches of foreign banks not incorporated in Canada). Schedule III banks, which most U.S. banks choose to operate as, encounter restrictions such as high deposit minimums (e.g., a $150,000 minimum for individual deposits). These regulatory differences and the substantial market power of established Canadian banks may explain why only a limited number of U.S. banks have chosen to operate in Canada despite the absence of a outright prohibition.

Source: Yahoo News - FACT FOCUS: Trump claims US banks cannot operate in Canada. That’s not true

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