On October 15, 2024, it became known that the Austrian bank Euram Bank (European American Investment Bank) stopped its activities due to violations of the regulator's requirements.
The reasons for the closure of the Austrian bank EURAM Bank
In 2022, Austria's financial regulator (FMA) found significant anti-money laundering (AML) and anti-terrorist financing (CTF) violations by the bank. In 2023, the FMA was re-inspected, but no positive changes in the bank's work were recorded, which led to the closure of EURAM Bank.
Another reason for the closure of EURAM Bank was the bank's loan portfolio, which was characterized by risky lending practices and significant write-offs. It was these internal financial problems, combined with non-compliance with the requirements of the financial regulator, that led to the closure of the bank.
Consequences and impact on the Austrian banking system
- Financial losses. As in all European countries, Austria has a deposit guarantee system of up to 100,000 euros. Since EURAM Bank was mostly an investment bank, customers who had more than the guaranteed 100,000 euros in their accounts could suffer financial losses.
- Strengthening of monitoring of the regulator. In connection with the closure of EURAM Bank, the Austrian regulator has stepped up inspections of other Austrian banks to avoid a repeat of the situation.
- Reputational damage. The international reputation of other Austrian banks is at risk as Austria's stable banking system has failed.
How can Maira Consult help?
- We provide our clients with professional assistance and legal support in obtaining the payment.
- Opening an account in a foreign bank for you and your company. Other European banks will be a good alternative for opening accounts after the closure of this bank. Among the most well-known and stable banks are:
These banks have strong positions in the European financial market and meet all anti-money laundering and anti-terrorism requirements.
Contact us for help!
