Dutch bank account closure by the bank? When to consult a lawyer

In an era where banks are tightening their scrutiny of customers, bank account closures have become increasingly common. What used to be a rarity has, since 2018—following ING’s massive fine—turned into a regular occurrence. But what can you do if your bank suddenly decides to pull the plug?

Why are banks closing accounts in the Netherlands more often nowadays?

Banks are legally required to continuously screen their customers for risks such as money laundering or terrorist financing (under the Wwft). If the bank asks questions about cash withdrawals, certain transfers, your business structure, or the origin of your funds, this is part of that ongoing monitoring.

If you don’t respond or provide incomplete answers, the bank may quickly decide to end the relationship and close your accounts. For more on this, see the blog by my colleague Ilse Engwirda. Additionally, if the bank suspects fraud—such as mortgage fraud—that is also grounds for account closure.

Can banks close your bank account?

Yes, but not just arbitrarily.

Banks have the contractual right in their terms and conditions to close a payment account. However, this right is not unlimited. According to Dutch law (Article 6:248(2) of the Civil Code), account closure must not be “unreasonable according to standards of reasonableness and fairness.” The Dutch Supreme Court confirmed this in a 2014 ruling.

Key points to keep in mind:

• An account cannot be closed if it leaves you without access to payment services. For private individuals, this is rare since they have the right to a basic payment account. For business customers, efforts are underway to introduce a basic payment account option.
• The bank must have a compelling reason, such as unanswered inquiries or serious suspicions of fraud or money laundering. A criminal conviction is not required to close the account.
• You must be given the opportunity to provide information and defend yourself before the account is closed.

Wat kun je doen als de bank vragen stelt?

1. Take Information Requests Seriously

It may feel frustrating to answer questions about your finances after being a loyal customer for years. However, it’s crucial to respond fully and promptly. Banks are more likely to terminate the relationship if questions are ignored or answered vaguely. Our experience shows that selective or hesitant answers often raise suspicion and lead to more questions. At the same time, answer questions clearly enough to avoid causing further doubts.

2. Assess the Impact of the Account Closure

If you don’t have another bank account and can’t open one elsewhere, your legal position is stronger. It’s wise to explore whether you can establish a comparable banking relationship—with all necessary services—at another bank. If that’s not possible, you have more leverage when contesting the closure. If it is possible, you can decide which bank you prefer to continue with.

3. File a Formal Objection with the Bank

Many banks have internal objection procedures—make use of them. These procedures often suspend the notice period, giving you more time. Be factual, respond to any accusations, and provide clear explanations.

4. Consider Legal Action – Bank Account Closure Lawyer

If you can’t reach an agreement with the bank, you can take the matter to court. In urgent cases, a preliminary injunction (kort geding) can be sought. In about 30% of cases, courts rule that the bank must reverse the closure or grant more time to find a new bank. Even during the lead-up to legal proceedings, banks sometimes decide to maintain the relationship.

Trends in case law

• At the financial complaints institute Kifid, customers rarely win—less than 10% of cases.
• However, in court, account holders have more success, especially when:
  • The customer has no other bank account and cannot open one elsewhere.
  • There is no concrete, customer-specific risk for the bank.
• Account closures based on general policies (e.g., “we no longer want customers in the flower trade”) are often overturned.

Finally: Get proper advice

Often, account closures can still be reversed—especially if there has been miscommunication or misunderstandings about the information provided. So, seek advice early, preferably from someone experienced with banks and financial regulations.

Conclusion:

Having your bank account closed is serious, but you are not powerless. Respond carefully, file objections, and know your rights—especially if you risk losing access to payment services. If you can’t resolve things with your bank or fear the consequences of answering their questions, contact us for assistance.

This article is translated from Dutch to English with ChatGTP and may not be 100% accurate. Although we try to reproduce the original Dutch text as accurately as possible, no rights can be derived from the content of machine-translated texts.

Mr. N. (Nick) van den Hoek

vandenhoek@jaeger.nl

+31 (0)6 83 05 41 15