Navigating German Banks as a US American: Tips from the Community
- BBA
- Jun 9
- 5 min read
Bank accounts – we all need one, and setting one up in a new country like Germany can seem like a daunting task. While international accounts or online banks may suffice initially, many situations require a German bank account for convenience and compliance with local regulations. And as US American citizens, you may have heard that we are treated a little differently when it comes to finances, investing, and opening up a bank account. This article will hopefully give you a bit of an overview of why that is and some tips on opening up a bank account in Germany.
The Challenge for US Citizens
You may have noticed that not every banking institution takes on US citizens as customers. This is because US citizens (and green card holders!) face unique obstacles due to FATCA regulations, which require German banks to report financial details to the IRS. This compliance burden leads some banks to avoid serving American clients. (Understandable, right?). Additionally, double taxation and restrictions on certain investment options can complicate financial planning.
Types of Bank Accounts in Germany
First let’s get a quick overview on the type of accounts that German banks offer.
Checking Account (Girokonto): The most common type used for everyday transactions like paying bills and receiving income. This will be your first priority when settling in Germany and finding a bank. You can get an International Bank Account Number (IBAN), you can transfer money in and out, and you can get a bank card to make purchases and withdraw cash from ATMs.
Savings Account (Tagesgeldkonto): A simple savings account with unlimited access to your account balance. There’s also a different kind of savings account called a Sparkonto or Sparbuch which is ideal for saving money and earning interest; available to residents and non-residents.
Blocked Account (Sperrkonto): Required for students or job-seekers to prove financial stability during their stay.
Choosing the Right Bank…
Select a bank based on your needs, and most importantly, a bank that accepts US Americans as customers:
Traditional banks like Sparkasse, Commerzbank, or Volksbank offer in-person services and extensive ATM networks.
Online banks like N26 or Wise provide easier account setup, lower fees, and user-friendly apps. These options can also be a quick fix when you need to set up a bank account before entering Germany or when you don’t have a permanent address yet.
Maybe you even choose to use both a traditional and online bank in tandem, which isn’t that uncommon!
Banks our 🇺🇸 Community Members Use and Their Thoughts
“N26 has been great. It was so easy to open when I first moved here. I love the simplicity of the app & that everything is in English. I especially love the “Spaces” concept, which makes it easy to move my money around for different goals & uses. I even designated one “Space” for my kid, with its own debit card & IBAN, without the hassle of opening a separate bank account. It’s just a drag & drop in the app to give him his allowance or to pay me back for certain purchases. N26 also gives me free ATM usage anywhere & a debit card that works everywhere.” - Steph
“N26 was very easy to apply to and offers a simple interface BUT I did, at one point, get scammed out of over 3000EUR. Their customer service is not great and, in the end, I did not get it back. I think if it were a larger German bank I may have, but it did not work out that was. Despite this, I still use them. I haven't had problems beyond this.” - Anonymous BBA
“Easy to apply as an American/Canadian. They have support in English via chat and phone call. Downside is cannot benefit from investment portion of it.” - Anonymous BBA
“I love N26 YOU. To be fair, I pay a very small fee since I signed up in 2018 but I've used my travel insurance at least 4 times already and they have covered everything. I love the budgeting space and the perks you have (discounts in different stores). Since I have YOU I have a special customer service number so everything is always really quick. Withdrawing money is super easy from abroad and I don't have to pay the ATM fees. Cons, but I think has changed, you couldn't do joint accounts a while ago so I have another account with DKB with my husband.” - Anonymous BBA
“I'm not a big fan [of DKB] I think it is not as user friendly as N26 but I haven't had any major problems with it. DKB also allows free withdrawals from abroad but you have to save the receipts and then claim the money N26 is just automatic.” Anonymous BBA
Haspa/Sparkasse (traditional bank)
“Sparkasse is the bank I used to use when I needed to deposit cash and I hate it so much everything about it is bad. Customer service, the app the whole concept.” - Anonymous BBA
“I had to open a proper German bank account in order to obtain a car loan. I’m at Haspa, and it’s nothing but hassle! I hate it. There are some pros: It’s good that there are tons of locations, and they gave me an EC card, which is still required to pay at some local offices & retailers. Also there’s a nice rewards program with discounts for show tickets, the Dom, and other local retailers. But everything is in German, the employees are usually not too helpful, the app & website are annoying, and everything takes longer than it should. The worst part is if I l forget my password or need to reinstall the app, I have to physically go into a branch (which often have short & unpredictable hours), and have an employee update everything.
Haspa feels like it’s always 1995.” - Steph
Consorsbank (online bank)
“Consorsbank is good for Americans and I hold more money there.” - Anonymous BBA
Wise (online bank)
“Super easy to navigate, especially with paying bills and direct deposits.” - Anonymous BBA
Volksbank (traditional bank)
“At the Volksbank I have had no issues, aside from not being allowed to invest. not that I’d want to through the Volksbank.” - Anonymous BBA
Deutsche Bank (traditional bank)
“I’ve been with Deutsche Bank for 10 years out of convenience because they were the first bank to accept me and they were willing to explain things to me in English when I first moved here. I’ve stayed with them out of laziness, but full disclosure, I’m switching to DKB. I haven’t had any major issues with them, but the online banking is annoying to use and they also don’t provide a credit card for free. It’s kind of a ‘meh’ experience all around.” - Chelsea
“I use deutsche Bank! Super easy to set up if you’re already angemeldet. At least at that time it was a requirement. Also if you prove you’re a student (or I think under 25?) it’s completely free. No fees at cash group atms in Germany and no fees for withdrawing cash in the US at Bank of America because they’re partners or something. People there were always nice to me and usually spoke English — back when I needed it!” - Kris
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