Trouble at Deutsche Bank
Bafin watchdog checks “unacceptable” Postbank chaos
October 2nd, 2023, 2:15 p.m
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In some cases, access to the account is denied and customer service cannot be reached: The chaos at Postbank is extremely annoying to customers. The reason is the integration of the institute into Deutsche Bank. The financial regulator Bafin is now putting the business under control.
The financial regulator Bafin is sending another special representative to Deutsche Bank because of the IT problems at its subsidiary Postbank. “He should ensure that the institute quickly and completely eliminates the restrictions in customer service,” said Bafin. The authority took this measure to protect the interests of consumers. “The special representative will report to the supervisory authority and will remain at the institute until the deficiencies in order processing at Postbank and DSL Bank have been completely remedied.”
The Federal Association of Consumer Organizations described Bafin’s move as a “good signal”. “Many customers’ patience with Deutsche Bank has run out.”
Meanwhile, Deutsche Bank assured that it is making progress in dealing with the problems at Postbank. “We are making progress in improving processing times at Postbank as part of the action plan agreed with Bafin,” the Frankfurt financial institution announced. 400 additional full-time employees have been hired in customer service, and several hundred more workers are expected to be added in the coming weeks. “Our goal is to regain the trust of our customers as quickly as possible.”
Partially no access to accounts
Deutsche Bank had gradually taken over Postbank since 2009. The integration of the institute was slow. Significant problems arose when converting Postbank’s information systems, which was supposed to be completed in July. Customers were temporarily unable to access their accounts and customer service was almost impossible to reach.
This has already earned Deutsche Bank a reprimand from Bafin. Authority chief Mark Branson described the chaos at Postbank as “unacceptable”. Since 2018, his company has installed a special representative at Deutsche Bank who monitors internal controls to protect against money laundering. The US Department of Justice has also sent a watchdog to the German industry leader, whose mandate was extended last year. The trigger was so-called “greenwashing”. The fund subsidiary DWS presented investments as more sustainable than they actually were.