The Deutsche Bank’s CEO promised customers that it is devoting additional employees and advanced technology in the Postbank unit to resolve customers’ complaints and develop their trust.
Deutsche Bank customers were disappointed with the disturbance they experienced at the Postbank unit’s online platform, along with the issue in reaching their customer services and processing time. These problems damaged customers’ trust in Deutsche Bank. Germany’s top banker, Christian Sewing, also commented on these issues as “unacceptable” in this digital world. Previously, in 2017, Deutsche Bank was fined $7.2 billion in the United States for its role in money laundering. Unfortunately, this issue is a setback for all their efforts to restore its credibility, creating a positive impact in the market, and can topple their banks out of the business world. While the largest bank in Germany has previously expressed regret about the issues at Postbank, Sewing’s remarks show that most lenders are not complying with adequate regulation measures.
During the 2008 global financial crisis, Deutsche acquired Postbank with its various branches in the country’s postal system, including its millions of clients. However, they are struggling to complete the integration of these branches to provide customers with a streamlined and convenient banking experience. In July, the bank reported that they resolved all the customer complaints and completed a final step of integration, but two weeks ago, BaFin, the German financial regulatory department, disclosed in the nonregular investigation that they noticed “considerable disturbances” at Postbank.
At the financial conference in Frankfurt, Sewing mentioned that, “Customers had been disappointed very much, We have not lived up to our responsibility here – and now we have to work all the harder to fix the problems quickly and completely – and regain trust.” He also noted that this is a “clear mistake” by Deutsche Banks, underestimating the number of customer complaints the advanced robust IT integration would resolve. But according to Sewing, “This situation is anything but good, anything but nice,” adding that there are various improvements happening in the Postbank in the past weeks. Furthermore, he added that the board member briefed that the bank had onboarded 400-500 additional employees to adequate their online banking system and integrate compliance properly.
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