The Obama administration is pushing new rules that would require banks to report all electronic money transfers in and out of the country.
James Freis Jr., director of the Treasury Department's Financial Crimes Enforcement Network, said Monday that expanding requirements would improve the government's ability to track funding sources for terrorist groups.
"This regulatory plan will greatly assist law enforcement in detecting and ferreting out transnational organized crime, multinational drug cartels, terrorist financing, and international tax evasion," Freis said in a statement.
Currently, banks only have to report transactions above $10,000. They are also required to keep records on all electronic transfers of money in and out of the country above $3,000.
The government also wants to make it easier to track activity online, including correspondence via e-mail and social networking sites like Facebook and Skype.
Officials say new regulations are needed because more terrorists are communicating online. The proposed requirements would not take effect until 2012.