Moving to Germany as an expat means handling several bureaucratic processes, and one of the first things you’ll need is a German bank account. Whether you’re relocating for work, study, or business, having a local bank account makes it easier to receive your salary, pay rent, and handle daily transactions.
This guide covers everything you need to know about banking in Germany, including how to open an account, the best banks for expats, banking fees, online banking options, and tips for managing your finances.
Types of Bank Accounts in Germany
Before opening an account, it’s important to understand the different types of banking services available:
1.1 Girokonto (Current Account)
• The most common account for everyday banking.
• Used for salary payments, rent, bills, and debit card transactions.
• Can be opened with most German banks or online.
1.2 Sparkonto (Savings Account)
• Ideal for saving money and earning interest.
• Some banks offer fixed-term savings accounts (Festgeldkonto) with higher interest rates.
1.3 Geschäftskonto (Business Account)
• Required for freelancers, self-employed individuals, and business owners.
• Helps separate personal and business finances.
1.4 Digital and Online Banks
• Many expats prefer online banks as they have lower fees, English-language support, and easy setup.
• Some well-known online banks: N26, Revolut, Wise (formerly TransferWise), and Monese.
How to Open a Bank Account in Germany
To open a German bank account, you typically need to provide the following documents:
✅ Valid passport or residence permit
✅ Meldebescheinigung (Proof of Address) – Registration certificate from the Bürgeramt
✅ SCHUFA (Credit Score Report) – Required for some banks, especially for credit cards
✅ Proof of employment or student enrollment (optional)
Step-by-Step Process:
1. Choose a bank – Decide between a traditional bank (Deutsche Bank, Commerzbank) or an online bank (N26, Wise).
2. Gather your documents – Have your passport, residence registration, and other required paperwork.
3. Book an appointment (for traditional banks) – Some banks require an in-person visit.
4. Complete identity verification – Either online via video call (for online banks) or in person at a post office (PostIdent procedure).
5. Activate your account – Once approved, you’ll receive your bank card and login details.
👉 Tip: If you’re new to Germany and haven’t completed your Anmeldung (residence registration), some online banks (like N26) allow you to open an account with just your passport.
Best Banks for Expats in Germany
Traditional Banks (With Physical Branches)
✅ Deutsche Bank – English-friendly, international presence, and offers expat-friendly services.
✅ Commerzbank – Free basic account if you deposit a minimum amount per month.
✅ Sparkasse – Regional banks with strong local presence but limited English support.
✅ Volksbank/Raiffeisenbank – Cooperative banking system, good for community banking.
Online and Mobile Banks (English-Friendly)
✅ N26 – One of the most popular banks for expats; fully digital, no monthly fees on standard accounts.
✅ Wise (formerly TransferWise) – Great for international money transfers and multi-currency accounts.
✅ Revolut – Good for frequent travelers and low-fee currency exchange.
✅ Bunq – A mobile-first bank with flexible plans and sustainability features.
💡 Which one to choose?
• If you need a bank with physical branches, go for Deutsche Bank or Commerzbank.
• If you want a fully digital experience with English support, choose N26 or Wise.
Banking Fees and Costs in Germany
Most German banks charge fees for certain services. Here’s what you need to know:
🔹 Monthly account fees – Many banks charge €5-€10 per month, though some offer free accounts with conditions.
🔹 ATM withdrawal fees – Withdrawing from your bank’s ATM is free, but using other banks’ ATMs costs around €5 per transaction.
🔹 International transfer fees – Traditional banks charge high fees; use Wise or Revolut for cheaper options.
🔹 Credit card fees – Many banks charge an annual fee (€20-€100) for credit cards.
💡 Tip: Online banks like N26 and Wise have no monthly fees and cheaper foreign transactions.
Debit Cards, Credit Cards, and Payment Methods
Germany is still a cash-heavy country, but card payments are becoming more common. Here’s what you need to know:
💳 Girokarte (EC Card/Debit Card) – Most banks issue this card; accepted in most shops but not always for online purchases.
💳 Credit Cards (Kreditkarte) – Not as widely used as in other countries; some places only accept Visa or Mastercard.
💳 Contactless & Mobile Payments – Apple Pay and Google Pay work with some banks like N26, Deutsche Bank, and Commerzbank.
👉 Important: Many restaurants and shops only accept cash or Girokarte, so always carry some Euros with you.
Transferring Money to and from Germany
As an expat, you may need to send money internationally. Here are the best ways to do it:
💰 SEPA Transfers – Free or low-cost transfers within the Eurozone.
💰 Wise (TransferWise) – Best for low-fee international transfers at real exchange rates.
💰 Revolut – Good for quick, cheap currency exchange.
💰 PayPal – Convenient but can have higher fees.
💡 Tip: Avoid using traditional banks for international transfers, as they charge high fees and offer poor exchange rates.
How to Close a German Bank Account
If you decide to leave Germany or switch banks, you must formally close your account. Here’s how:
1. Check your contract – Some banks require notice (e.g., one month before closing).
2. Withdraw or transfer remaining funds.
3. Submit a cancellation request – Visit the branch or send a written letter (some banks allow online requests).
4. Confirm closure – Get a confirmation to ensure no further fees are deducted.
Tips for Managing Your Finances in Germany
✔️ Always keep track of your SCHUFA (credit score) – It affects your ability to rent an apartment or get a loan.
✔️ Avoid overdraft fees – Many banks charge high interest on overdrafts.
✔️ Use apps like Finanzguru or N26 Insights to track expenses.
✔️ If you’re self-employed, consider a separate business account to manage taxes easily.
Final Thoughts
Banking in Germany can seem complicated at first, but with the right information, you can choose a bank that suits your needs. Whether you prefer a traditional bank with a physical branch or a fully digital banking experience with N26 or Wise, setting up your account is an essential step in settling into life in Germany.