The Postbank, a subsidiary of Deutsche Bank, will not be able to solve all problem cases by the end of the year, contrary to their promises. However, customers should now be able to access compensations more easily.

The German bank is struggling to resolve the massive problems at its subsidiary, Postbank, as promised by CEO Christian Sewing. Some customers will have to wait until next year for their concerns to be addressed. The delay is due to IT conversions that have caused significant problems for numerous customers of Postbank and its building society subsidiary, DSL. Users were unable to access their accounts, could not access their money, and waited for months for urgently needed documents for purchasing a house.

The financial regulator BaFin strongly criticized Deutsche Bank in early September. In October, it sent a special representative to oversee the rectification of the deficiencies at Deutsche Bank. The delays in resolving the issues could not only further damage the bank's reputation, but also lead to additional trouble with the financial regulator.

The bank had promised to resolve all issues with garnishment protection accounts and with the disbursement of construction financing by October and to process all remaining backlogs by the end of the year. However, it is taking longer than expected. A Deutsche Bank spokesperson confirmed that progress has been made in addressing the backlogs since the summer, with the use of over 800 additional staff members, but it is also "complex and time-consuming in parts."

Therefore, the processing of some cases will not be completed until early 2024.

The bank was able to normalize the payment of construction financing by the end of October, however, there are still delays in the cancellation consent for the mortgage. Affected customers had already complained to Handelsblatt that their problems had still not been resolved. One example is Rainer Panske, who wanted to sell his shared house in Wipperfürth, North Rhine-Westphalia, with his mother and brother. Although the buyers had already agreed, the mortgage certificates were missing, which had already been requested multiple times by the notary from DSL Bank.

"It is a burden for all of us. We feel abandoned by the bank," says Panske. "My mother has to use the money from selling her house for her place in the nursing home, but this is being hindered by the delays." Deutsche Bank promises to work hard to find a solution and apologizes for the inconvenience.

In justified cases, the institute will reimburse the costs. The handling of the problems at Postbank by Deutsche Bank is sharply criticized by consumer advocates. Michael Peters of the Citizen Movement for Financial Transformation demands that those responsible take personal responsibility in the next board's bonus round. Ramona Pop, the head of the Federal Association of Consumer Centers, also describes the situation as a "badge of poverty" and emphasizes that the affected consumers are the ones suffering.

According to financial circles, Deutsche Bank has commissioned the auditor EY to examine the responsibilities for the service disaster of Postbank. The outcome could determine whether and to whom the bonus would be cut in case of doubt.

The German Bank has formed a task force to closely monitor the resolution of the problems. CEO Sewing, according to the financial institution, is usually informed about the progress twice a week.

To assist affected customers, the bank is now making it easier to receive compensations. Customers whose seizure requests were processed with delays can use an online compensation process through the Postbank website to claim damages up to 1000 euros. These must be proven with evidence such as reminder fees, returned direct debits, or late payment interest. The process is digital, and customers do not have to visit a branch to enforce their claims. Eligible compensation claims are typically reimbursed by the end of the following month.

Translation:

A Pfändungsschutzkonto is an account for indebted individuals in which a certain allowance is protected from creditor access. Incorrectly switching to this account can have dramatic consequences for those affected, such as the loss of all funds. For damages higher than 1000 euros or arising for other reasons, customers still have to use the usual procedures through the branch, call center, or in writing.

Consumer protection advocates such as Pop and the consumer policy spokespersons of the government-supported traffic light factions had already demanded compensation for Postbank customers. Pop emphasizes that it is high time for a simple and uncomplicated compensation for all affected customers. Peters from Finanzwende calls the adjustment of compensation processes the minimum that the troubled customers can expect from the bank.