Santander and Deutsche Bank fail to clear 'stress tests'

  • Santander and Deutsche Bank failed a so-called "stress test" in the US, aimed at checking if lenders have the ability to withstand a future financial crisis.

    The review examines if big banks retain the ability to lend to businesses and households “even in times of stress”.

    While 28 other banks cleared the stress test, Bank of America was told to revise some of its financial plans which had “weaknesses”.

    All banks operating in the US with over $50 billion worth of assets have to undergo such annual examinations.

    Tagged as: Santander, Deutsche Bank, US stress test, lenders, financial crisis, Bank of America, US banks, business news