"Banning customers from using their products due to political differences is not good business,” Sen. Cruz writes in new letter
WASHINGTON, D.C. – U.S. Senate Commerce Committee Ranking Member Ted Cruz (R-Texas) today welcomed Intuit’s decision to no longer forbid lawful gun sellers and manufacturers from using certain QuickBooks services. Intuit’s recent policy reversal came after Sen. Cruz’s Committee staff spent months probing how the financial services provider, along with JP Morgan and Bank of America, had restricted certain gun sellers and manufacturers from using Intuit’s payment and payroll processing services.
In a letter to Intuit, Sen. Cruz wrote:
“While Intuit boasts that QuickBooks is the number one accounting software for small businesses, not all small businesses were welcome to use the full suite of QuickBooks services. Until August 1, 2023, Intuit’s acceptable use policy stated that businesses engaged in ‘[g]uns and [f]irearms [m]anufacturing…[are]…ineligible (or may become ineligible)’ for QuickBooks’ payroll services. It also stated that businesses engaged in ‘mail order, phone, or online … firearms and weapons sales…[are]…ineligible (or may become ineligible)’ for QuickBooks’ payment processing services. Those were not just empty threats. Intuit informed my staff that pursuant to these policies, the company has cancelled access to the less popular desktop version of QuickBooks for hundreds of businesses.”
Back in March, a Texas company that manufactures small firearm parts informed Sen. Cruz’s office that Intuit had cancelled its subscription to QuickBooks payroll services without warning. Intuit later claimed it cancelled the company’s account because, as a firearm manufacturer, it was in violation of Intuit’s acceptable use policy. Despite explaining to Intuit that it did not manufacture firearms and therefore was not in violation of said policy, the financial services provider refused to give the company any meaningful opportunity to appeal its decision.
The Committee's investigation also discovered that Intuit’s policies surrounding firearms sellers and manufacturers may have been influenced by JPMorgan and Bank of America.
The Committee's investigation also discovered that Intuit’s policies surrounding firearms sellers and manufacturers may have been influenced by JPMorgan and Bank of America.
“When my staff approached Intuit about this issue, your company explained that its banking partners, JPMorgan and Bank of America, demanded that Intuit create and enforce bank policies regarding firearm sellers and manufacturers. After our staffs met with those banks, Intuit clarified that Bank of America required it to prohibit gun manufacturers from using QuickBooks’ payroll services while JPMorgan required Intuit to restrict gun sellers from using QuickBooks’ payment processing services. JPMorgan acknowledged that it indeed was the source of Intuit’s payment processing services policy restricting firearm sellers. Bank of America, however, denied that it had ever given Intuit any instructions relating to firearm manufacturers or sellers. Intuit insisted that it did. Regardless of who originated these discriminatory policies against gun manufacturers, Intuit was right to end them.”
While Intuit lifted its restrictions on the firearms industry, Sen. Cruz pledged to continue the Committee’s work to ensure gun sellers and manufacturers maintain access to financial services. Sen. Cruz also directed Intuit to confirm when it offers to reinstate the accounts of the hundreds of customers impacted by its discriminatory actions.
Full text of Sen. Cruz’s letter to Intuit is available HERE.
Full text of Sen. Cruz’s letter to Intuit is available HERE.
