Banking in Germany: Your Ultimate Guide
This guide provides a comprehensive overview of banking in Germany. We compare key criteria, including fees, customer service and user-friendliness to help you determine the best bank in Germany for your needs.
Opening a German bank account is a top priority for most newcomers to Germany. Without it, your life in Germany will be considerably more difficult. Among other things, a German bank account is often required to:
Get paid by your employer.
Rent an apartment.
Set up utilities (gas, electricity, internet, etc.).
And these are just some of the practical reasons for needing a German bank account.
Financially, opening a German bank account will ensure you save on foreign transaction fees and withdrawal fees as well as avoid delays in transferring money from overseas 💰
But which German bank is the best, and why? Find out all about banking in Germany below…
Best Bank in Germany: A Snapshot
If you do not fancy trawling through our reviews below, then here is a quick overview of the results of our assessment:
🥇 N26
🥈 bunq
🥉 DKB
These 3 banks have won out over more traditional high street banks as they offer a quick sign-up process, are free to open and offer free ATM withdrawals.
While a good option, the only reason DKB did not fare as well in our assessment is that it can be more difficult to open an account and only offers German customer service. However, we thought it worth including in our list as it is a firm favourite among Germans and is free to set up and maintain, comes with a free Visa Debit Card and offers free, unlimited ATM withdrawals throughout the eurozone.
Below, we have provided further details of how each bank did in our assessment to help you determine which is the best bank in Germany for you.
A logical place to start is with our winner: N26! Operating entirely online, N26 currently serves 7 million customers and has quickly established itself as a top German bank since its formation in 2013.
✅ Customer service and support
When it comes to your finances, it is important to have responsive customer support in a language you understand. There are few things more frustrating than being sent in circles speaking to a German operator.
When it comes to customer support, N26 delivers. They offer English-speaking customer support via their live chat function from 7 am to 11 pm, 365 days of the year. Support is also available in French, German, Spanish and Italian, making N26 a top choice for expats living in Germany.
Further to this, N26’s app and website are in English, which is a far cry from the German-only websites of most traditional high street banks.
✅ Sign-up process
N26’s sign-up process takes just a few minutes and can be completed using just your smartphone. The process is simple:
Confirm your email address
Download the app
Verify your ID
Get your bank card in the post
You can initiate the N26 sign-up process here. Best of all, the process is completed entirely online! You will not be inundated with endless bank mail cluttering your hallway.
👌 Top tip! You do not need to have officially registered at an address (Anmeldung) in Germany to open an N26 account. You can instead have your bank card sent to a temporary address (e.g. Airbnb), friend, relative or workplace in Germany. This is great for newcomers to Germany who need to open a bank account but who have not completed their Anmeldung yet.
✅ Bank account fees
N26’s Standard bank account is 100% free to open and has no monthly fee. With most high street banks charging €5 – €10 a month just to have an account, this is a nice little saving if you are just looking for a standard account in which to store your money.
However, N26’s Standard bank account only includes a virtual debit card. If you would also like a physical Mastercard debit card, then N26 charges a one-off €10 delivery fee.
N26 also offer a number of paid accounts (N26 Smart and N26 Metal) if you would like a broader range of banking features and services.
✅ ATM and withdrawal fees
To the surprise of many expats, ATM withdrawals are often not free in Germany, with some banks charging a staggering €6 – €7 per time you visit a cashpoint.
However, with N26’s standard account, you benefit from 3 free ATM withdrawals per month. While this may not seem much, it is really helpful in times when you cannot pay by card and absolutely need cash.
If you need more free withdrawals than what is offered by N26’s Standard Account, then an N26 Smart Account offers 5 free withdrawals per month while an N26 Metal Account offers 8 free withdrawals per month.
✅ Nifty features
N26 allows you to manage all your finances on their slick, user-friendly app, which has a range of features including:
N26 Spaces – sub-accounts that allow you to divide up your money and achieve your savings goals.
N26 Insights – an analytics feature that shows you where, when and how you are spending your money.
Wise integration – N26 has integrated Wise (formerly TransferWise) into its app. This allows you to quickly make international transfers with minimal fees and at current market exchange rates.
❌ Drawbacks
It is easy to get carried away with the positives. So we have also looked at some drawbacks of banking with N26:
There is no in-branch support. N26 operates entirely online. If you prefer face-to-face support, then you may also want to open an account with one of the traditional high-street banks listed below.
Not all ID documents are accepted by N26. See here to find out if you are eligible for an N26 account. If your ID document is not accepted N26, then check out our other banking options below.
N26 does not offer a credit card. Instead, they offer a Mastercard Debit and Maestro.
N26 only offers limited free ATM withdrawals per month. If you would like an account with unlimited free ATM withdrawals, then your best option will likely be DKB.
Hot on the heels of N26 is bunq, a rival online bank that has a number of standout features that make it an attractive option when weighing up German banking options.
✅ Customer service and support
bunq prides itself on offering 24/7 online support via its app. While their default support is in English, they will endeavour to accommodate any specific language requests (or you can use the translation tool integrated into their chat function).
For more urgent issues, they also offer an SOS number, which will bump you up the priority list and ensure you receive the customer support you need as quickly as possible.
For less urgent issues, you can reach bunq at support@bunq.com or refer to the bunq community (bunq Together), which is a large resource base and forum covering a wide range of bunq-related topics.
Similar to N26, bunq does not have branches. All banking services and support are provided via their mobile app. This is something to consider if you are someone who prefers face-to-face support.
✅ Sign-up process
Signing up for a bunq account is a piece of cake and can be completed in roughly 5 minutes. All you need is your phone and your ID. You can initiate the bunq sign-up process here.
👌 Note! As with N26, bunq provides a comprehensive list of IDs that are accepted when opening an account. However, while N26 often requires that you also have a German residence permit to open an account, bunq only requires that you have a valid passport to open an account if you are from:
Argentina, Australia, Brazil, Canada, Chile, China, Colombia, Ecuador, Hong Kong, Iceland, Indonesia, India, Israel, Japan, Liechtenstein, Mexico, Morocco, Malaysia, New Zealand, Norway, Peru, Russia, Singapore, Switzerland, South Africa, South Korea, Turkey, Ukraine, the UK, the US, Uruguay, Venezuela and Vietnam
This is a big bonus of bunq, as it allows you to open a German bank account right away with just your passport, before you have obtained your residence permit (long-term visa) for Germany.
✅ Bank account fees
While bunq does offer a free account option, this has very limited functionality. Therefore, this article will focus on bunq’s Easy Money account, which most closely aligns with N26’s standard account detailed above.
bunq’s Easy Money account is free to set up. Once opened, it costs €8.99 a month to maintain.
For this fee, you get some great features including a Mastercard Credit card, 25 sub-accounts (each with separate IBANs), as well as the ability to save and spend in 15 foreign currencies.
When combined with the fact that Wise (formerly TransferWise) is integrated into the bunq app, you get a true multi-currency account that allows you to spend around the world with minimal hassle while avoiding expensive foreign transaction/card fees.
✅ ATM and withdrawal fees
bunq’s Easy Money account includes four free ATM withdrawals per month.
As the world continues to transition to being a cashless society, four free ATM withdrawals per month is generally sufficient for most bunq users. If you are needing to make a few more withdrawals than this, the next five withdrawals are charged at €0.99 per withdrawal.
✅ Standout features
In addition to all the features listed above, bunq’s benefits do not stop there:
Budgeting features
As mentioned, when you open a bunq Easy Money account, you get 25 free sub-accounts. Through a nifty feature called Payment Sorter, you can then automatically split your salary into these sub-accounts, making it very easy to apportion your funds for different purposes.
On top of this, you also get detailed spending insights in the bunq app, giving you a clear overview of what you spend your money on.
Savings features
You can dedicate one of your bunq sub-accounts for savings. This gives you a very clear view of how your savings efforts are progressing.
An additional feature called Auto Save rounds up any payments you make to the nearest euro – the difference is added to your savings. This is an effective way of saving without even realising it!
Investment features
bunq offers a simple and effective way to get into investing directly from the mobile banking app. Simply choose from three risk appetites and start growing your portfolio.
❌ Drawbacks
bunq has largely the same drawbacks as N26:
bunq is an online bank. There are no branches or in-person support.
A bunq account is not available to all nationalities. Here is a list of which ID documents are currently accepted as part of the bunq verification process.
Some people will see four free ATM withdrawals a month as a drawback of bunq. If you are someone that frequently withdraws money, then you may be more interested in opening an account with DKB (who offer unlimited free ATM withdrawals).
Squeezing onto the podium is DKB, a firm favourite amongst Germans when it comes to online banks. The bank was started all the way back in 2000 and has built up a great reputation, which stands it in good stead against some of its younger competitors when assessing the best banks in Germany.
✅ Bank account fees
If you are someone that is infuriated by pesky bank fees chipping away at your funds, then DKB may be for you. As with N26, DKB offers a completely free bank account. There are no fees for opening an account and no ongoing monthly charges.
Added to this, a DKB account comes with a free Visa debit card. This allows you to easily make purchases (both in-store and online) and withdraw cash at ATMs throughout the eurozone, all completely free!
For a small monthly fee of €2.49, you can also get a Visa credit card with DKB.
✅ ATM and withdrawal fees
Unlike N26 and bunq, who both limit the amount of free monthly ATM withdrawals you can make, DKB offers unlimited free ATM withdrawals across the eurozone. For people that like or need to use a lot of cash in their day-to-day lives, this is a huge plus for DKB.
✅ Sign-up process
DKB’s sign-up process is completed online and takes a matter of minutes. You just need to:
Complete the application form
Verify yourself via video
Receive your Visa debit card in the mail
❌ Application criteria
While the application process is quick, DKB often rejects expats looking to open an account. The reasons for this are slightly unclear. Anecdotally, it appears that they favour expats that either have permanent residency in Germany or an established financial history in the country.
If you are rejected by DKB, then we would suggest trying N26 or bunq, who are far more flexible as to who they accept as customers.
❌ Customer service and support
DKB only has German customer service and support. Similarly, the DKB app and website are only in German.
As many of our website readers are non-German speakers, we felt it important to note that DKB does not offer any English customer support. This will be a deal breaker for many newcomers to Germany, and a big negative when weighed up against the multilingual support offered by N26 and bunq.
Fourth on our list and offering up a largely similar product to N26 and bunq is Vivid, a young challenger bank that is quickly gaining a foothold in the German banking sector.
✅ Customer service and support
As with N26 and bunq, Vivid has gone out of its way to create a customer-friendly experience. They offer multilingual customer support in German, English, French, Spanish and Italian, and you can also adjust the language in the Vivid app.
Vivid’s customer support is primarily available via their in-app chat function, which is available from Monday to Saturday (8 am – 11 pm).
Similar to N26 and bunq, Vivid offer no in-branch services, meaning all their customer support is delivered via their app. This is something to consider if you are someone who prefers face-to-face support.
✅ Sign-up process
Vivid’s sign-up process is as easy as they come. It takes just a few minutes and is completed with just your phone:
Download the Vivid app
Enter your personal details in the app
Complete Vivid’s video verification process in the app
After just these 3 simple steps, your Vivid account is good to go!
👌 Top tip! As with N26, you do not need to have officially registered at an address (Anmeldung) in Germany to open a Vivid account. You can instead have your bank card sent to a temporary address (e.g. Airbnb), friend, relative or workplace in Germany. This is great for newcomers to Germany who need to open a bank account but who have not completed their Anmeldung yet.
✅ Bank account fees
Vivid’s Standard account is free. There is no sign-up fee and you will not incur a monthly account fee. The account includes a free Visa debit card.
Better still, Vivid’s Standard account includes a feature called ‘Pockets’. This allows you to create up to 15 sub-accounts, which can all hold different foreign currencies. If you travel a lot outside of Germany, this is a fantastic feature as it allows you to avoid costly bank and card fees when spending overseas, all the while benefiting from live exchange rates when transferring money between your Vivid sub-accounts.
In short, Vivid’s Standard account is not just a German account but a multi-currency account that allows you to spend money around the world at a minimal cost!
✅ ATM and withdrawal fees
Vivid’s Standard account allows you to withdraw €200 per month from ATMs for free. In Germany, where ATM fees are commonplace, this is arguably a benefit when compared with some of Vivid’s competitors.
For many Vivid customers, €200 per month in cash withdrawals is sufficient in a world where card payments are becoming more and more prevalent. However, if you would like a little more, then Vivid’s Prime account offers €1000 per month in free ATM withdrawals.
✅ Standout features
Vivid offers some really unique features that set it apart from its competitors:
Investing features
You can invest in 3000+ EU and US stocks and ETFs directly via the Vivid app. For those intimidated by trading platforms, this gives you an accessible route to investing in many of the largest companies in the world. Best of all, trading via Vivid is commission free.
Cashback
Vivid has a great cashback programme that rewards you for your everyday spending. This includes 0.5% cashback on all card purchases and up to 25% on purchases from specific brands including Amazon, IKEA, H&M, REWE, EDEKA and many more.
Budgeting tools
The Vivid app provides real-time notifications, tracking tools and an overview of spending trends to help show where, when and how you spend your money.
❌ Drawbacks
The drawbacks with Vivid largely mirror those with N26 and bunq:
Vivid operates 100% online. If you require in-branch support, then Vivid is not for you.
Not all nationalities can open a Vivid account. Here is a current overview of who can open a Vivid account and what ID documents you need to show in order to be verified.
Vivid does not offer a credit card. Instead, they only offer a Visa debit card.
Vivid only offers limited free ATM withdrawals per month. If you would like an account with unlimited free ATM withdrawals, then your best option will likely be DKB.
Banking in Germany: High Street Banks
As you can likely tell, we have a preference for modern, online banks when it comes to picking a bank in Germany. The quick and easy sign-up process, free accounts and user-friendly experience make the banks listed above a great option for newcomers to Germany.
However, while fantastic as day-to-day transactional accounts, online bank accounts do not suit everyone. This is especially true for those wanting in-branch support or more advanced banking services such as loans and financing or savings and investment services. For more extensive banking services, you may wish to consider a more traditional high street bank.
❗ High street banks accept far more nationalities than online banks. Therefore, if you are rejected by N26, bunq, DKB and Vivid, your best bet is to try a high street bank, who will likely be able to open an account for you in-branch.
🏃Runner Up 1: Deutsche Bank
➖ Limited English-speaking customer support
While Deutsche Bank provides an English version of online banking and some English customer support, the rest of their communication is in German. However, because they are a global bank, you will likely find that most branches have some English-speaking bank workers that can help you out if you do not speak German.
➖ Bank account fees
Deutsche Bank’s standard current account costs €6.90 per month.
➖ Sign-up process
The easiest way to open a Deutsche Bank account is in your local branch – you can find your local branch here. To sign up, you will need to show your passport and address registration certificate (Meldebescheinigung).
Once signed up, you will then receive a series of letters containing your Deutsche bank card, pin, online bank info, etc. All in all, it will take a few weeks to receive all the details you require for a fully functioning bank account. This is significantly slower than the sign-up process for the online banks (N26, bunq, DKB and Vivid).
➖ ATM and withdrawal fees
Deutsche Bank only offers free ATM withdrawals if withdrawing cash at one of their branches or from an ATM belonging to the Cash Group (which includes Deutsche Bank, Postbank, Commerzbank and HypoVereinsbank).
On paper, this sounds promising, but Cash Group ATMs are not as common as you would hope them to be, especially when you need them most!
Withdrawing from ATMs that do not belong to the Cash Group will result in a €6 withdrawal fee.
🏃Runner Up 2: Commerzbank
➖ Limited English-speaking customer support
As with Deutsche Bank, most of the communications from Commerzbank are in German, although they do have an English version of their website as well as English online banking and mobile app.
Depending on the branch, they may also have some English-speaking staff although this is not a guarantee.
➖ Bank account fees
Deutsche Bank’s standard current account costs €6.90 per month.
➖ Sign-up process
The easiest way to open a Deutsche Bank account is in your local branch – you can find your local branch here. To sign up, you will need to show your passport and address registration certificate (Meldebescheinigung).
Once signed up, you will then receive a series of letters containing your Deutsche bank card, pin, online bank info, etc. All in all, it will take a few weeks to receive all the details you require for a fully functioning bank account. This is significantly slower than the sign-up process for the online banks (N26, bunq, DKB and Vivid).
➖ ATM and withdrawal fees
Deutsche Bank only offers free ATM withdrawals if withdrawing cash at one of their branches or from an ATM belonging to the Cash Group (which includes Deutsche Bank, Postbank, Commerzbank and HypoVereinsbank).
On paper, this sounds promising, but Cash Group ATMs are not as common as you would hope them to be, especially when you need them most!
Withdrawing from ATMs that do not belong to the Cash Group will result in a €6 withdrawal fee.
Banking in Germany: Other Options
The five banking options profiled above will satisfy most customers’ needs. Personally, I use N26 as my day-to-day transactional account and keep my savings locked away with Deutsche Bank – I find this to be a flexible, secure and economical setup for my finances.
However, we have also provided a list of alternative banking options in Germany below. While we have not covered these in detail, we have provided the relevant links to allow you to explore these options further:
Blocked Bank Accounts / Escrow Accounts
In certain instances, newcomers to Germany require a blocked account, known in German as a Sperrkonto. A blocked account is an account that effectively imposes a monthly allowance on your funds so that you cannot spend it all at once – this is often required by the German immigration authorities to show that you can afford your life in Germany.
A blocked account is only required for certain visas. You may need a blocked account for a Student Visa, Language Visa or Job Seekers Visa, although this will depend on where you apply. Some German embassies, consulates and immigration offices request this as part of your visa application, while others do not.
If you require a blocked account to apply for a visa, then it is important that this is with a German bank. For this, we like Fintiba, who offer a market-leading blocked account that is simple to set up, cheap to open and maintain and fully approved by the German immigration authorities.
As we hope to have shown above, there are a wide array of options when it comes to banking in Germany. From slick, modern online banks to famous financial institutions, there is something for everyone. Whether you are just looking for a simple current account or need a secure place to park your savings, we hope our guide has clarified which German bank is the best for you.
See here for further tips on which products and services can facilitate your move to Germany.