Fee ruling: Berliner Sparkasse has to pay

Fee ruling: Berliner Sparkasse has to pay

Berliner Sparkasse recently increased fees without customers' explicit consent, leading to an emotional legal battle between consumer advocates and savings banks. A court ruling in the first instance has now determined that Berliner Sparkasse has carried out unlawful fee increases for checking accounts since 2016. This decision could have an impact on a large number of Sparkasse customers.

According to the Federal Association of Consumer Organizations (vzbv), Berliner Sparkasse was not permitted to increase or introduce new fees without the consent of customers. A lawsuit filed by the vzbv before the Berlin Court of Appeal led to this clear verdict. The court classified the lawsuit as justified in key respects and could provide customers with future repayments as soon as the judgment becomes final.

The consumer advice center accuses the Berliner Sparkasse of having increased the fees several times without the explicit consent of the customers. A concrete example was the switch from the “Comfort checking account” to the “Giro flat rate” at the end of 2016, accompanied by a unilateral three-euro increase in the monthly fee. Due to the Sparkasse's refusal to repay the excess amounts, a class action lawsuit, a model declaratory action, was filed by consumer advocates.

The ruling could also have an impact on other Sparkasse customers, as similar cases are pending in other institutions such as Sparkasse Köln/Bonn. The ongoing lawsuit is on hold pending the ruling from Berlin, which could give customers hope for a refund. Customers could in principle hope for a refund if the bank's general terms and conditions (GTC) stipulate that customers agree to the changes if they do not object within two months. However, asserting claims carries the risk of account terminations by banks with changed terms and conditions.