The financial regulator Bafin has slowed the fast growing Berlin bank N26. For the time being, N26 is only allowed to accept “a maximum of 50,000 new customers” per month. In addition, the Bafin limits certain risk positions in the balance sheet. A special representative is to monitor the implementation of the measures. The aim is “the elimination of deficiencies, especially in risk management in the areas of information technology and outsourcing management,” announced the Bafin on Tuesday. The shortcomings are due to the strong growth of the bank.
Bank boss and founder Valentin Stalf had already announced the new customer limit a few weeks ago. The Bafin had already imposed the measures at the beginning of October, but they have only now become final. N26 has been in trouble with the supervisory authority for a long time, not least because of deficiencies in money laundering prevention, for which the Bafin sent a first special representative to the bank in the spring. In the summer there was a fine of 4.25 million euros for suspicious money laundering reports submitted too late. N26 had repeatedly received negative attention because online fraudsters had misused the bank’s accounts. The bank, founded in 2013, has repeatedly promised to remedy the situation. After the latest round of financing, the money house is valued at more than nine billion dollars. This makes it the most valuable German financial technology company.