The constraints against N26 – first adopted in 2021 – have now been extended to include a special monitor and a limit on new customers at 50,000 per month.
Last year, in March, Italy’s central bank blocked the online bank from taking new customers over AML risks.
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According to N26, the bank has made “significant investments in anti-money laundering measures” and is “committed to comply with all aspects of the order as quickly as possible.”
BaFin admitted “some progress” as well, however, noted that “the institution still has deficiencies in its systems.” In mid-2021, N26 was fined approximately $5m by BaFin for AML-related issues.
N26: Company profile
Launched in 2013, N26 is a German neobank headquartered in Berlin.
In 2018, the bank launched services in the UK, gaining around 200,000 customers following an extensive marketing campaign.
However – less than 18 months later – in February 2020, it decided to leave the UK market, blaming the move on Brexit. Some commentators, however, doubted the reason behind N26’s departure, with some citing it was simply uneconomic for the German bank to apply for a British banking licence.
In January 2023, the bank expanded its crypto offering in five new European markets, bringing the total number of countries to six – Austria, Belgium, Germany, Ireland, Portugal and Switzerland.
N26 currently has around eight million customers in over 24 markets and employs roughly 1,500 people.
