How invasive can lender get?

I'm applying for a refinance here in California. They wanted me to send my checking account information, so I sent them the top page which lists all my accounts and the balances. Then they tell me they need to see all pages of the statements.

I felt like this was a real invasion of privacy, so I blacked out all the places we made purchases from, leaving the dates and amounts and they now say that's unacceptable due to the Money Laundering Act.

I don't know who's seeing these documents on the other end or how safe my documents are and I don't think they should have the right to be so invasive.

Do I have to show them this information?