Banking

As an expat in Germany, one of the first steps in setting up your life will be to open a German bank account. You may need one to receive your salary, rent an apartment, transfer money abroad, or pay for health insurance.

Banks in Germany

Before opening a bank account, it is worth researching which bank best suits your needs. Germany has a wide range of banks, giving you plenty of choice.

When comparing banks, consider account fees, ATM access, online banking services, customer support, and whether services are available in English.

Many German banks charge account fees, and some may also charge fees when you withdraw cash from an ATM belonging to another bank.

Types of Banks in Germany

Banks in Germany can generally be divided into several categories.

Private Banks

Private banks operate nationally and may have extensive branch networks. In addition to everyday banking services, some also focus on areas such as wealth management, real estate, and investment banking.

Examples include:

• bunq
• DKB
• comdirect
• Commerzbank

Direct and Mobile Banks

Online and mobile banks have become increasingly popular in Germany. They often offer lower fees and convenient app-based banking, and some provide customer service in English.

Cash withdrawals can sometimes be more complicated with online-only banks, depending on the bank's ATM network or partnerships.

Example:

• bunq

Always check the account terms, fees, available services, and ATM access before opening an account.

Public Savings Banks and Cooperative Banks

Germany also has a large network of regional savings and cooperative banks.

Sparkassen and Volksbanken focus strongly on local customers, small and medium-sized businesses, and regional investment. Each regional bank operates independently, even though they use the same nationwide branding.

These banks often have a large number of physical branches, particularly in smaller towns and rural areas.

Examples include:

• Sparkasse
• Volksbank

Business Bank Accounts

Businesses in Germany generally need a separate business account (Geschäftskonto).

You can open a business account with many traditional banks, while some providers specialize in banking services for entrepreneurs and businesses.

Examples include:

• Qonto
• Finom

How to Open a German Bank Account

To open a private current account (Girokonto) in Germany, you can usually either visit a branch or complete the process online.

Depending on the bank, you may be able to verify your identity through:

• Video identification
• PostIdent
• In-person verification at a branch

Once your identity has been confirmed and your application has been processed, the bank will provide your account details and usually send your debit card and PIN separately.

Documents for a German Bank Account

Whether you open your account online or at a branch, you will commonly need:

• Valid identification, such as a passport or identity card
• Certificate of registration (Meldebescheinigung)
• German Tax ID
• Visa or residence permit, if applicable

If the bank has an income requirement or needs additional information, you may also need to provide proof of income, such as payslips or an employment contract.

Requirements vary between banks, so check the exact document list before your appointment or application.

Opening a Blocked Bank Account in Germany

If you are from outside the EU and need to prove sufficient financial resources for your stay in Germany, you may need a blocked bank account (Sperrkonto).

A blocked account limits the amount of money you can withdraw each month and is commonly used as financial proof for certain visa and residence applications.

The process for opening a blocked account is different from opening a regular current account.

Online Banking in Germany

Most German banks offer online banking, allowing you to manage your account, make transfers, and review transactions online.

Depending on the bank, you may need to activate online banking separately when opening your account.

Many banks provide their online services primarily in German. If you are not confident in German, check whether the bank offers English-language support before opening an account.

What Is a TAN?

A TAN (Transaction Authentication Number) is used by German banks to authorize certain online banking activities and transactions.

Banks increasingly generate TANs through smartphone apps or other secure authentication methods. Some banks may also use SMS-based authentication.

The exact authentication process depends on your bank.

What Is Giropay?

Giropay was a German online payment system that allowed customers of participating banks to pay online using their bank account.

The service was discontinued in Germany in 2024, so it is no longer available as a current payment option.

Banking for Businesses in Germany

If you are planning to start a business in Germany, you may need a German business bank account (Geschäftskonto).

Providers such as Qonto, Finom, and traditional German banks offer accounts designed for businesses and entrepreneurs.

The application process is similar to opening a personal account, but you will also need to provide information about your business.

Depending on your legal form and circumstances, this may include:

• Business registration documents
• Commercial register number (Handelsregisternummer), if applicable
• Company address
• Information about the company's activities
• Ownership information
• Expected turnover

If you are a freelancer, you may not always be required to have a separate business account, but keeping business and personal finances separate can make accounting easier.

What Is SEPA?

SEPA (Single Euro Payments Area) is a European payment system that makes euro payments between participating countries easier and more standardized.

Using your IBAN, you can make and receive euro payments with accounts in countries that are part of the SEPA area.

What Is an IBAN?

IBAN stands for International Bank Account Number.

It is a standardized account number used to identify bank accounts for domestic and international payments.

Your German IBAN will be provided by your bank when your account is opened and can usually be found in your online banking, bank statements, and other official bank correspondence.