South Carolina Guarantee Banking Act

The Guarantee Banking Act prohibits the largest banks and payment companies from cutting off South Carolina residents and businesses because of their protected speech or business sector when the decision isn't based on real, risk-based standards.

It applies to banks with over $100 billion in assets and payment processors, card companies, or card networks that processed over $100 billion in transactions last year. These institutions cannot refuse, cancel, or restrict service because of:

• A customer’s protected speech, expression, or religion
• A customer’s business sector – unless the decision is based on a fair, risk-based standard
• Pressure from an outside group pushing the bank to cut you off (for example, an activist campaign)

If cut off, a customer has 90 days to request a written explanation. The institution must respond within 30 days by mail or email. Vague answers like "internal policy" or "failed our scoring system" are not allowed – if any protected factor played a role, they must say so.

Violation are treated as an "unfair or deceptive act or practice” and can be enforced by the state Attorney General. South Carolina’s Unfair Trade Practices Act may open the door to private lawsuits.

The law takes effect December 30, 2026.