Well it's clearly working as designed....
I upset a German bank a long time ago, by replicating 'an error'.
For a while I lived in deepest darkest south Germany (so south it is technically Switzerland, but the German's nicked it), and returned some years later for a holiday - and attempted to use my NatWest Switch card (that dates it doesn't it?) in a Sparkasse ATM.
Removed card from wallet, inserted card into machine, machine immediately reboots itself.
Once rebooted, of course, there is no sign of my card...and the bank was closed - and the phone numbers went to answer services services.
Next morning, waited outside the bank until they opened, and explained (in halting German) that their pesky machine had b0rked and could I have my card back please?
The attendant's response was (gesturing at the machines) "all the machines are working, if your card has been taken, it's because your bank has reported it stolen". I protested.
Eventually, someone checked the machine, and found the card. I could see them looking at it, but still refusing to give it back. I protested a bit more, saying I'd been using it happily in other places and it was fine, and offered to ring my bank to have them explain.
After a few minutes I was handed my card back, and asked to show them what I did.
So I put the card back in the same machine. And it rebooted again.
They apologised, retrieved my card again, and I toddled over the Deutsche Bank and I withdrew some cash from their machines quite happily.
No idea what combination of info was on the magstripe that clearly b0rked Sparkasse machines, but it did tend to mean I used "larger" banks after that :)