Bank Account

One should attempt to open a bank account as soon as possible in Germany. It is not a compulsion that one should have a german bank account, but it is mandatory in many cases. You should register in Germany first to get a bank account opened. Most banks provide similar services, but special offers, interest rates, and fees may differ. All banks offer two essential services:

  1. Current account (Girokonto)
  2. Savings account (Sparkonto)

What you most need is a transactional current account (girokonto ) where all your expenses and earnings go into.

Documents required to open a Bank account

To open a online bank account you needed the following documents

  1. City registration ( Meldebescheinigung )
  2. Valid Passport

Some banks also ask for work permit and the pay slip.

Banks in Germnay

Here is a list of few banking giants in Germany

  • N24 - This bank is all online and the very preferred thing is its fully english starting from the initial form. The account can be opened online quick with few verifications
  • Deutshe bank - If you don’t speak any German at all and wish to remain independent concerning your financial affairs, then you should get a bank account at Deutsche Bank. It may be more costly, but they offer you all services in English – apart from the application form and the mobile banking
  • Commerzbank
  • Postbank
  • Sparkasse
  • Targobank
  • Hypovereins Bank

About ATM fees

Most of the  Germans prefer paying small transactions in cash and ATMs (Geldautomat) are widely available. Generally speaking, you can withdraw cash from any machine. But, some banks doesnt allow customers from other banks withdraw cash from their ATM. The fee maybe between 3euro to 8 euros. When you are opening a German bank account, you should check where you can withdraw cash for free.

Some supermarkt like REWE, Penny allow you to withdraw money when you purchase things above a certain amount.

Bank Statements

The bank statements can be printed in the branches free of cost. It is also posted to you when you don't print the statement yourself until a certain period of time and the bad part is it will be charged in your account. But most of the accounts can be checked online by logging in or by App.

Online banking - How does it work

An online banking login number, an online banking pin number, a list with “TAN” numbers are sent to you by the bank you choose to open account. Using the login number and the pin, you can log in to your bank account online. There you can see an overview of your account status, previous payments etc. You can make bank transfers using the TAN number: for each transaction you will be asked to enter one of these numbers on the TAN sheet. Since 2014 most banks require the name of the account holder, the IBAN and the BIC number, as well as a reference for the transfer.

Many banks use a digital ‘TAN’ number these days. Using a mobile phone app you can generate a unique TAN number whenever you make an online transfer. This method is more secure than the paper based TAN number. 

Most banks now offer mobile banking with a so-called Photo Tan or Push Tan. To use this function, you have to download your bank’s app in your mobile and follow a set of instructions.

Key terms in Banking

  • Zinsen - Interest
  • Disposition kredit / Dispokredit - Overdraft limit
  • Überwisung - Money transfer
  • Bargeld - Cash
  • Mietkautionskonto - When you can't pay the deposit for the apartment, the bank pays the landlord for you and you should repay it with interest