Major U.S. banks restrict AI access to customer accounts amid concerns over deposit loss

U.S. banks, including Citigroup and Bank of America, have imposed restrictions on AI agents' access to customer accounts to prevent potential deposit losses. The move comes as concerns grow over AI systems potentially redirecting idle funds to higher-yield accounts, leading to significant outflows from traditional banking institutions. According to a report by Apollo Global Management, AI assistants could automatically transfer funds from low-interest checking accounts to higher-yield accounts, potentially costing banks billions in lost interest income. Citigroup and Bank of America have both banned third-party AI agents from accessing customer accounts, emphasizing the need for manual authorization for any fund transfers. Meanwhile, JPMorgan Chase's CEO Jamie Dimon has also restricted AI access to customer accounts, citing the risk of 'thousands of uncontrolled agents' operating within the banking system. Regulators have expressed support for these measures, calling for clearer legal frameworks to define consumer authorization and liability for AI-driven financial transactions.