Deutsche Bank expects 300 million euro hit from high court ruling

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Deutsche Bank expects 300 million euro hit from high court ruling

Deutsche Bank expects to receive a 300 million euro hit from a recent case that favours consumers over banking fees, the Finance Chief of the lender said on Thursday.

The bank makes provision in the 3rd quarter of 100 million euro and temporary losses of 100 million euros in both the first and second quarters, CC James von Moltke said at an online conference.

A high court ruling at the end of April makes it harder for banks to change terms and conditions with their customers. Customers could claw back past price increases and change the way banks operate in the future.

This case officially overturned 45 years of legal practice in the market, von Moltke said.

The banks have been scrambling to assess the impact of the ruling and German financial regulator BaFin warned of a potentially significant impact on earnings.

Analysts expected Deutsche Bank to post a profit of 340 million euros in the second quarter, according to Refinitiv data.

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