Danske Bank asked to expand debt-collection investigation

A view of the Danske financial institution headquarters in Copenhagen, Denmark October 22, 2019. REUTERS/Jacob Gronholt-Pedersen/File Photograph

COPENHAGEN, Dec 6 (Reuters) – Danske Financial institution (DANSKE.CO) has been requested by the Danish monetary watchdog to increase and broaden an exterior investigation into points with its debt-collection practices, Denmark’s largest lender mentioned on Monday.

The Monetary Supervisory Authority (FSA) requested Danske Financial institution in November final yr to launch an neutral investigation into the matter.

Final yr Danske mentioned it had wrongly collected debt from as much as 106,000 prospects due to IT system errors and in September the financial institution admitted it had identified about this for years however had not correctly addressed the issue.

Since then, Danske has uncovered further points, saying the case has proved extra advanced and in depth than initially anticipated. In November Danske suspended all debt assortment in Denmark till all points had been resolved. learn extra

The Danish FSA on Monday mentioned that the order to increase the investigation was wanted to correctly comply with up on Danske’s remediation efforts, which have been taking longer than anticipated.

Reporting by Nikolaj Skydsgaard
Modifying by David Goodman

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