Best Bank In Germany

Best Bank in Germany for Expats: Loans, Online Banking, and Overall Top Picks

Choosing the right bank is crucial, especially when you’re moving to a new country like Germany. Whether you’re looking for an account with the best overall features, a bank that specializes in offering competitive loan options, or one that excels in providing a seamless online banking experience, Germany has a variety of options tailored for expats and residents alike.

In this comprehensive guide, we’ll explore:

1. The Best Overall Bank in Germany: Offering a balance between convenience, low fees, and accessibility, we’ll introduce the top choice for those seeking a dependable and well-rounded banking experience.
2. The Best Banks for Loans: For those considering taking out a loan, whether for personal needs, buying a home, or starting a business, we’ll break down which banks offer the most competitive interest rates, flexible terms, and expat-friendly services.
3. The Best Online Banks: Online banking has become a preferred option for many, thanks to its flexibility, ease of access, and often lower fees. We’ll highlight the best online banks that cater to expats and those who prefer managing their finances digitally.

By the end of this article, you’ll have a clear understanding of the top banking options available in Germany, helping you to make an informed decision based on your specific needs and preferences.

Best Banks In Germany

1. Commerzbank

Commerzbank is one of the most popular banks among expats in Germany, offering a balance between traditional banking services and modern conveniences. It has a strong physical presence, with over 500 branches across the country, and offers online banking services with partial English support.

Pros:

• Branch Network: Commerzbank has a broad network of branches, ideal for those who prefer in-person banking services.
• Free for Students: Students under 27 can enjoy a fee-free account, which makes it an appealing option for young expats.
• English-Friendly: While the sign-up process is in German, once you are registered, you can switch to English for online banking and customer service.
• Cash Group ATM Access: Free withdrawals from ATMs within the Cash Group, which includes Deutsche Bank, Postbank, and HypoVereinsbank.

Cons:

• Monthly Fees: If you don’t deposit at least €700 per month, you’ll be charged a €9.90 monthly fee.
• Credit Card Fees: The credit card has an annual fee of €39.90, which may not suit users who rarely use credit cards.

2. Deutsche Bank

Deutsche Bank is one of the largest banks in Germany, offering a comprehensive range of services for both private customers and businesses. It’s a popular choice for expats due to its international presence and strong reputation.

Pros:

• Branch Network: Like Commerzbank, Deutsche Bank has a widespread branch network, making in-person banking services readily accessible.
• Multilingual Services: Deutsche Bank offers some services in English, which can make it easier for expats to manage their finances.
• Comprehensive Financial Services: Deutsche Bank provides a full suite of services, including investment options, loans, and credit cards.
• Free Cash Withdrawals: Deutsche Bank is part of the Cash Group, allowing free withdrawals from partner ATMs across Germany.

Cons:

• Monthly Fees: Deutsche Bank’s basic accounts have a monthly maintenance fee, and the fees can increase if your account balance or monthly deposit is low.
• Higher Costs for International Transfers: While Deutsche Bank provides international transfer services, the fees are often higher than online-only banks.

3. Sparkasse

Sparkasse is one of the largest traditional banks in Germany, with a strong focus on serving local communities. It’s a widely recognized and trusted institution across the country and has an extensive network of branches and ATMs.

Pros:

• Local Presence: Sparkasse has branches in nearly every city and town in Germany, making it one of the most accessible banks for those who value face-to-face banking.
• Comprehensive Services: Sparkasse offers a wide range of services, from basic checking accounts to loans, mortgages, and savings accounts.
• Trusted Institution: With a long history in Germany, Sparkasse is a well-established bank that many Germans rely on for their financial needs.

Cons:

• Monthly Fees: Sparkasse typically charges monthly fees for its accounts, and these fees can vary by region and branch.
• Limited English Support: Unlike some other banks, Sparkasse doesn’t offer extensive English-language services, which can be challenging for expats who don’t speak German fluently.

4. Volksbank

Volksbank, like Sparkasse, operates as a cooperative bank with a focus on serving local communities. It has branches across Germany and offers traditional banking services.

Pros:

• Local Branches: Volksbank has a widespread network of branches, making it a convenient option for those who want in-person banking services.
• Personalized Service: As a cooperative bank, Volksbank emphasizes customer service and community involvement.
• Flexible Account Options: Volksbank offers various account types to cater to different customer needs, including basic accounts and accounts for students.

Cons:

• Fees Vary by Branch: Since Volksbank is made up of different cooperative banks, the fees and services can vary from one region to another.
• Limited English Support: Like Sparkasse, Volksbank primarily offers services in German, which can be difficult for expats who are not fluent in the language.

5. N26

N26 is a mobile-only bank that has quickly become one of the most popular choices for expats in Germany. Known for its user-friendly mobile app and international features, N26 is a great option for tech-savvy expats who prefer managing their finances on the go.

Pros:

• No Fees for Basic Accounts: The N26 Standard account is free, and while it doesn’t come with a physical card, it’s a cost-effective option for basic banking needs.
• English Support: The entire banking experience, from account setup to customer service, is available in English, making it one of the most expat-friendly banks.
• International Transfers: N26 integrates with Wise, allowing you to make low-cost international transfers directly from your account.
• Travel-Friendly: N26 doesn’t charge foreign transaction fees, making it ideal for frequent travelers.

Cons:

• No Physical Branches: N26 is an online-only bank, so if you prefer in-person banking services, this may not be the best option for you.
• Premium Accounts for More Features: While the basic account is free, more advanced features (such as insurance or extra sub-accounts) require a premium subscription, starting at €4.90 per month.
• Limited Customer Support for Free Accounts: Customer service is harder to reach if you’re using the free standard account, and many services are chatbot-based.

6. Postbank

Postbank is a subsidiary of Deutsche Bank and one of the largest retail banks in Germany. It offers both online and branch banking services, making it a good middle-ground for those who want the flexibility of both options.

Pros:

• Extensive Branch Network: Postbank has numerous branches and is part of the Deutsche Bank Group, allowing you to withdraw money for free at a wide range of ATMs.
• Comprehensive Services: Postbank offers a full suite of services, including savings accounts, credit cards, mortgages, and loans.
• Online and Mobile Banking: While Postbank offers traditional branch services, it also has a robust online and mobile banking platform.

Cons:

• Monthly Fees: Like many traditional banks, Postbank charges a monthly fee for most of its accounts unless you meet certain requirements, such as a minimum monthly deposit.
• Limited English Support: While Postbank offers some services in English, it may not be as expat-friendly as banks like N26 or Deutsche Bank.

7. DKB (Deutsche Kreditbank)

DKB is another popular online bank in Germany. Although it’s primarily an online bank, it offers many of the benefits of a traditional bank and is backed by Bayerische Landesbank, making it a trustworthy option for those who want the convenience of online banking with the stability of a major bank.

Pros:

• No Fees for Basic Accounts: DKB offers a free basic account with a debit card and Visa credit card, which is ideal for those who want to avoid monthly fees.
• Free Worldwide ATM Withdrawals: You can withdraw money for free from ATMs worldwide, making it a great option for frequent travelers.
• Comprehensive Online Services: DKB offers a full range of financial services, including loans, mortgages, and investment options.

Cons:

• German-Only Sign-Up: The sign-up process is only available in German, which can be a barrier for expats who don’t speak the language.
• Online-Only Support: DKB doesn’t have physical branches, so all support is provided online or via phone.

When choosing the best bank in Germany as an expat, it’s essential to consider your banking preferences. If you prefer the convenience of mobile banking, N26 or DKB might be the right choice. For those who value the security of traditional banks with branch access, Commerzbank, Deutsche Bank, Sparkasse, or Postbank are solid options. Expats who prefer cooperative banking with a local touch may find Volksbank to be the best fit.

Regardless of your choice, be sure to consider fees, language support, and whether you prefer online or in-person banking services. With these options, you’ll be well-equipped to manage your finances as you settle into life in Germany.

Best Banks in Germany for Loans

If you’re looking for a loan, Germany offers a variety of banks that cater to different financial needs. When selecting a bank for a loan, it’s important to consider factors such as interest rates, repayment terms, and flexibility. Here are some of the best banks in Germany for expats who need a loan:

1. Deutsche Bank

Deutsche Bank is one of the largest and most reliable options for obtaining personal loans in Germany. They offer various loan products, including personal loans, auto loans, and home financing. As one of the major traditional banks, Deutsche Bank provides personalized advice, which can be helpful for expats unfamiliar with the German financial system.

• Loan Amount: Deutsche Bank offers loans ranging from €1,000 to €75,000.
• Pros: Competitive interest rates and a wide range of loan products. They also provide in-depth financial advice, which is beneficial for navigating the loan process.
• Cons: Deutsche Bank requires good credit (SCHUFA score) and may have higher fees for processing international payments.

2. Commerzbank

Commerzbank offers personal loans for a variety of purposes, including home renovation, travel, or debt consolidation. Their loan products are flexible, and they provide detailed advice through their branch network. Expats can apply for loans if they meet the bank’s residency and credit requirements.

• Loan Amount: Loans range from €1,500 to €80,000.
• Pros: Quick approval process and relatively low-interest rates. Commerzbank also offers flexible repayment options.
• Cons: They require a solid credit history (SCHUFA score) and a steady income.

3. Postbank

Postbank offers both personal and mortgage loans, making it a popular choice for individuals looking to finance homes or large purchases. As a subsidiary of Deutsche Bank, Postbank provides comprehensive services, including online loan applications.

• Loan Amount: Up to €50,000 for personal loans.
• Pros: Wide variety of loan products, including long-term mortgages. Postbank has extensive branch access across Germany.
• Cons: Loan approval can take time, and they require a good credit score.

4. DKB (Deutsche Kreditbank)

DKB is primarily an online bank but offers competitive loan options, including personal and auto loans. Their loan application process is entirely online, making it a convenient choice for tech-savvy individuals.

• Loan Amount: Up to €70,000.
• Pros: Low-interest rates and no fees for early repayment. Online application process is fast and straightforward.
• Cons: DKB’s services, including loan applications, are primarily in German, and they require a good SCHUFA score.

5. ING

ING Germany offers personal loans with some of the lowest interest rates on the market. They are known for their customer-friendly terms, which include flexible repayment plans and the ability to adjust payments during the loan period.

• Loan Amount: Up to €65,000.
• Pros: Very competitive interest rates and flexible repayment options. They offer an easy online application process with quick approvals.
• Cons: SCHUFA score and proof of steady income are required for approval.

What to Consider When Applying for a Loan in Germany

When applying for a loan in Germany, there are a few important factors to keep in mind:

• SCHUFA Score: Most German banks require a good SCHUFA score to approve loans. SCHUFA is Germany’s credit rating agency, and it plays a key role in determining your eligibility.
• Proof of Income: You will need to provide proof of income, such as pay slips, tax returns, or other documentation, to show your ability to repay the loan.
• Loan Terms: Make sure to compare the loan terms, including interest rates, repayment periods, and any fees or penalties for early repayment.
• Flexibility: Some banks, especially online ones, offer more flexible repayment options, such as the ability to adjust monthly payments or make early repayments without penalties.

Choosing the right bank for a loan depends on your financial situation and preferences. Traditional banks like Deutsche Bank and Commerzbank provide personalized service and advice, while online banks like DKB and ING offer more flexibility and competitive rates.

Loans in Germany for Foreigners: Easy Approval Tips

Best Online Banks for Expats in Germany

Online banking has become a go-to option for expats in Germany due to its convenience, speed, and ease of use. These banks allow users to manage their finances entirely through mobile apps and websites, which can be especially useful for those who travel frequently or prefer to avoid the paperwork of traditional banking. The best online banks also offer English-language support, making them a great option for non-German speakers. Below are some of the top online banks for expats in Germany:

1. N26

N26 is a leading online bank in Germany, particularly popular among expats due to its fully mobile setup and extensive English-language support. N26 allows you to manage everything from payments to savings, all from a user-friendly mobile app.

Pros:

• No Monthly Fees for Basic Account: The standard account is free, although premium accounts with more features are available.
• English Support: N26 offers full English-language support, making it easy for non-German speakers to navigate.
• International Transfers: N26 partners with Wise for low-cost international transfers, which is beneficial for expats regularly sending money abroad.
• Travel-Friendly: No foreign transaction fees, making it ideal for frequent travelers.

Cons:

• No Physical Branches: As a fully online bank, N26 doesn’t have any branches, which might not suit those who prefer in-person services.
• Premium Fees for Extra Features: Features like travel insurance or extra sub-accounts require a premium plan starting at €4.90 per month.

2. DKB (Deutsche Kreditbank)

DKB offers a blend of traditional banking security with the flexibility of an online bank. While it operates primarily online, DKB is backed by Bayerische Landesbank, one of Germany’s major financial institutions. DKB is a good option for expats looking for an online solution with the credibility of a larger bank.

Pros:

• No Monthly Fees for Active Customers: DKB doesn’t charge a monthly fee for users who deposit at least €700 per month.
• Worldwide ATM Access: You can withdraw cash for free from ATMs worldwide, which is particularly useful for expats who travel often.
• Comprehensive Banking Services: Despite being an online bank, DKB offers a full range of services, including loans, investment accounts, and credit cards.

Cons:

• German-Only Sign-Up: The sign-up process is in German, which can be a hurdle for expats who don’t speak the language.
• No Physical Branches: All customer support is handled online or by phone, with no in-person service available.

3. Bunq

Bunq is an innovative online bank that appeals to expats due to its flexibility and commitment to sustainability. It offers a range of features designed to simplify banking, including multiple currency accounts and fast, easy money transfers.

Pros:

• Multi-Currency Accounts: Bunq allows you to hold and manage accounts in multiple currencies, making it ideal for expats who deal with international transfers.
• No German Address Required: Expats can open a Bunq account without needing a German address, which simplifies the process for those who have just arrived.
• User-Friendly App: The app is easy to navigate and offers various tools for managing your finances, including setting spending limits and categorizing expenses.

Cons:

• Monthly Fees: Bunq charges a minimum of €2.99 per month for its basic account.
• No Physical Branches: Like most online banks, Bunq operates entirely online, which may not be suitable for everyone.

4. ING

ING is another great option for online banking in Germany, offering a wide range of financial products with low fees. ING’s online platform is easy to use and provides a solid balance between cost and service.

Pros:

• No Monthly Fees: ING offers a free basic account with no monthly fees.
• Easy Online Sign-Up: The application process is straightforward, and many expats find it user-friendly.
• Comprehensive Services: ING offers various financial products, from loans to investment accounts, providing a holistic banking experience.

Cons:

• Limited English Support: ING’s services are predominantly in German, which may pose challenges for those who aren’t fluent in the language.
• No In-Person Service: Like most online banks, ING lacks physical branches, which might be a drawback for those who prefer in-person banking.

5. Comdirect

Comdirect is an online subsidiary of Commerzbank, offering a blend of online banking with the backing of a traditional bank. It’s a highly popular option among expats due to its user-friendly interface and robust financial services.

Pros:

• No Monthly Fees: Comdirect offers free banking with no monthly fees, which is a major draw for cost-conscious expats.
• Backed by Commerzbank: As part of the Commerzbank group, Comdirect customers can access services through Commerzbank branches, which is a rare perk for an online bank.
• Investment Products: Comdirect also provides a wide range of investment products, which is ideal for those looking to manage savings or invest in the stock market.

Cons:

• German Sign-Up Process: While many of Comdirect’s services are available in English, the sign-up process is in German, which can be a challenge for expats.
• Mixed Customer Service: Some users report inconsistent customer service, particularly regarding account setup and verification.

Online Banks for Foreigners in Germany

For expats in Germany, online banks offer a convenient and flexible way to manage finances. If you prefer a fully mobile solution with English support, N26 is a top choice. For those who want the benefits of online banking but also value traditional banking features, DKB and Comdirect provide the best of both worlds. Consider what you value most—whether it’s low fees, international banking options, or user-friendly apps—when choosing the best online bank for your needs.