U.S. Lowers Cash Transaction Reporting Threshold to $200 in Border Areas

The Treasury's new measure targets cartel money laundering but raises privacy and economic concerns for residents and businesses in 30 ZIP codes.

The Financial Crimes Enforcement Network (FinCEN) has issued a Geographic Targeting Order (GTO) requiring money service businesses in 30 ZIP codes to report cash transactions of $200 or more, down from $10,000.
The measure, effective April 14, 2025, for 179 days, aims to counter cartel money laundering and fentanyl trafficking along the U.S.-Mexico border.
Critics, including the Cato Institute, argue the policy imposes excessive financial surveillance on law-abiding citizens and could burden small businesses.
The affected areas span counties in Texas and California, including Webb, Hidalgo, San Diego, and Imperial, impacting approximately one million residents.
The Trump administration’s recent designation of Mexican cartels as Foreign Terrorist Organizations underscores the heightened focus on combating cartel-related activities.