Mercedes-Benz bank AG

Mercedes-Benz Bank AG is a German credit institution headquartered in Stuttgart and wholly owned by Mercedes-Benz Mobility AG, part of Mercedes-Benz Group AG. The bank focuses on financing and leasing of Mercedes-Benz vehicles for private and business customers, provides dealer financing, and distributes related insurance and fleet services in cooperation with group companies. In retail banking it operates largely as a direct bank, offering deposit products such as call money and fixed-term accounts and issuing co-branded credit cards; it does not maintain a traditional branch network, with most products arranged digitally or via the manufacturer’s dealer network. The institution is authorized under the German Banking Act and supervised by BaFin and the Deutsche Bundesbank. Customer deposits are protected by the German statutory deposit guarantee up to EUR 100,000 per depositor; the bank also participates in industry schemes of the Association of German Banks in line with applicable rules. Funding is sourced from deposits and capital markets, including regular securitizations of auto receivables (for example, Silver Arrow transactions). The business model entails credit and residual-value risks from auto financing and leasing and interest-rate risk on the deposit base, addressed through established risk management and hedging practices. The bank began operations as DaimlerChrysler Bank AG in 2001 and adopted the name Mercedes-Benz Bank AG in 2007.