Bank accounts in Germany: essential guide
Opening a bank account is a crucial step for those planning to live in Germany. Whether to study, work, or live, having a local account makes life in the country much easier. This guide will help you understand the types of accounts, required documents, and important tips about the German banking system.
Types of bank accounts and cards
In Germany, the current account (Girokonto) is essential to rent an apartment or receive a salary. With it, you get a debit card (Girokarte) to use on a daily basis, such as shopping at the supermarket. This card works in other European countries that use the euro.
The German banking system offers two main cashless payment options: the debit card (Girokarte) and the credit card. Girokarte usually comes free with a checking account, while a credit card usually comes with a fee. The main difference is in the billing cycle: debit payments leave the account on time, while credit payments are charged at the end of the month.
Opening a bank account
To open a bank account in Germany, you need to be prepared. Here are the necessary steps and documents:
- Valid passport
- Residence visa (if applicable)
- Proof of residence registration (Anmeldung)
- Proof of income (depending on account type)
It's important Study and Work in Germany with financial peace of mind. Therefore, compare the rates of different banks before choosing. Some charge different fees for account maintenance or international transfers.
Traditional banks vs. online banks
In Germany, you can choose between traditional and online (direct) banks. Each one has its advantages and it's important to understand the differences to make the best choice.
Traditional banks offer physical branches where you can deposit money and receive personal service. Online banks, on the other hand, operate only over the internet and telephone. They generally have lower costs but don't offer in-person services. The choice depends on your lifestyle and financial needs.
Peculiarities of the German banking system
The German banking system has some unique features that may surprise outsiders. Here are some important points:
- Use of cash: Despite the technological advance, many Germans still prefer to pay in cash.
- Limits for card payments: Some small stores only accept credit cards for purchases over a certain amount.
- ATM machines: Not all cashiers allow free withdrawals. Check your bank's network.
- Bank transfers: They are very common and generally free of charge within Germany and the eurozone.
- Banking apps: Most banks offer apps to manage your account from your cell phone.
International and alternative transfers
For those who need to make frequent international transfers, there are alternatives to traditional banks that may be more advantageous. A popular option among international students and expatriates is the Wise. This platform offers innovative solutions for international transfers and money management in multiple currencies. Here are some of Wise's key benefits and features:
- Single transfer system: Wise uses local accounts in several countries, making two local transfers instead of an international one, significantly reducing fees.
- Favorable exchange rates: It offers rates very close to those in the market, generally better than those of traditional banks.
- Multi-currency account: It allows you to keep balances in different currencies and make payments as a local resident in several countries.
- Ideal for students: It makes it easy to pay university fees and receive money from the country of origin.
- Transparency in fees: All fees are clearly presented before the transfer, with no hidden costs.
- Easy-to-use app: Intuitive interface that simplifies the transfer and account management process.
- Fast transfers: Many transfers are completed within a few hours, depending on the currencies and countries involved.
- Safety: Wise is regulated by financial authorities in every country where it operates, ensuring the safety of user funds.
- International debit card: It offers a card that can be used for withdrawals and purchases in multiple currencies.
It's an alternative worth considering, especially if you need to move money between your home country and Germany frequently.
Be Easy
Understanding the German banking system is fundamental to a successful exchange experience. Na Be Easy, we're ready to help you every step of the way. From choosing the ideal bank to tips for saving on international transfers, our team is here to make your financial journey in Germany simpler and safer. Contact us today and find out how we can facilitate your financial adjustment in Germany. Let's together make your dream of studying abroad a reality!
