Danske Bank reported for overcharging customers

Tuesday 3 September 2019 09:47 CET | News

Denmark’s financial watchdog had reported Danske Bank to the police for overcharging customers.

The FSA said in June 2019 it was investigating the bank for failing to inform customers that it expected a poor performance from its Flexinvest Fri investment product and for continuing to sell it to new customers after raising fees associated with it in 2017.

Danske has said it will compensate around 87,000 customers who invested in the Flexinvest Fri product for a total of around 400 million Danish crowns (USD 60 million).

This announcement is viewed as latest blow to the lender as it tries to restore trust after involvement in a major money laundering scandal, according to Reuters. At the moment, the bank struggles to limit the fallout from the scandal over payments totalling EUR 200 billion made through its small Estonian branch, many of which the bank said were suspicious.

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Keywords: Danske Bank, money laundering, overcharging customers, fees, banking, regulators, Denmark
Countries: World

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