Volksbanks cancel AfD accounts: Political dispute in Minden-Lübbecke!

Volksbanks cancel AfD accounts: Political dispute in Minden-Lübbecke!

A startling topic is currently causing a stir in the political landscape: two cooperative banks in East Westphalia have closed the accounts of the AfD local branch in Minden-Lübbecke. This decision met with strong criticism from the district association, which classified the closure as “politically motivated”. The affected banks, Volksbank OWL and Volksbank Ostwestfalen, have confirmed the terminations, but have not revealed any further details on how to do so for reasons of banking secrecy Yahoo Finance reports.

What is interesting is that this measure is not isolated. In January, Volksbank Düsseldorf-Neuss had already terminated an account belonging to an AfD local association, which was also only generally confirmed. In the summer of 2024, the AfD federal party's donation account was closed by the Berliner Volksbank and in September 2024 the accounts of the Thuringian AfD politician Sascha Schlösser were terminated. These incidents raise the question: Is this a new wave of debanking?

What does debanking mean?

Debanking, also known as de-risking, is the closing of bank accounts by banks that deem the account holders to be financially or legally risky. Unless legitimate reasons are given, closure often occurs with no opportunity to appeal, such as Wikipedia explains. The direct impact of these decisions can be serious, excluding those affected from many social activities.

This practice is not just a problem for the AfD. It also affects other groups. For example, examples have been observed where sex workers or politically exposed persons were turned away from banks. Pressure on banks to reject certain account holders may also arise from regulatory and reputational considerations.

Political and social effects

The AfD district association in Minden-Lübbecke has criticized the closure as debanking and is calling for courageous, democratic-minded customers of the affected Volksbanks to switch to another bank. These demands show that the political implications of account closures are far-reaching and can polarize society.

In May 2024, the Office for the Protection of the Constitution classified the AfD as a confirmed right-wing extremist organization. This classification has a direct impact on the treatment of the party by private and state institutions. Companies such as Deutsche Bahn and Siemens have already carried out campaigns against the party.

Legal advisors point out that banks, such as Volksbanken, have the legal right to close accounts if they deem it necessary. In contrast, according to a 2018 ruling by the Federal Administrative Court, savings banks are obliged to maintain accounts for political parties, further increasing the discussion about the political dimensions of debanking.

The current developments in East Westphalia seem to be part of a larger trend. The AfD and its members not only face increased scrutiny from the Office for the Protection of the Constitution, but also the risk of being rejected by financial service providers. This situation could have a long-term impact on the political landscape in Germany.