Girokonto in Germany: how to open, choose, and use your account safely

Girokonto is the German current account for everyday payments: salary, rent, utilities, insurance, transfers, and card payments. Without it, normal financial life in Germany is difficult, so newcomers, students, workers, and families usually open an account soon after moving.

What is a Girokonto and why do you need one

The main payments between the customer, employer, government offices, landlord, and service providers go through a Girokonto. Salary, benefits, and refunds are usually paid into this account, and rent, electricity, internet, insurance, subscriptions, and purchases are paid from it.

The account often comes with a Girocard or a debit card from another payment system. Conditions depend on the bank: sometimes the card is included in the plan, sometimes it is charged separately, and in some online banks the main card may be a Visa or Mastercard Debit. Before choosing a bank, it is important to look not only at the monthly fee, but also at the cost of the card, cash withdrawals, transfers, paper-based transactions, and overdraft facilities.

You can open a current account with a German bank, Sparkasse, Volksbank/Raiffeisenbank, or an online bank. The number of standard Girokonto accounts is not limited by law, but having several accounts can affect the bank’s assessment when issuing loans or an overdraft.

Basiskonto: the right to a basic account

In Germany, there is also the Basiskonto, a basic payment account with the minimum functions needed for cashless payments. In general, consumers who legally reside in the EU have the right to such an account if they do not already have a payment account in Germany.

It is important to distinguish Basiskonto from a standard Girokonto:

• the bank may reject a standard account under its internal rules;
• if the conditions are met, the bank must not reject a Basiskonto solely because of a poor credit history in SCHUFA;
• Basiskonto does not usually mean free service;
• the bank may close a Basiskonto only for reasons provided for by the Zahlungskontengesetz.

If the bank rejects a Basiskonto, you can request a written explanation and contact BaFin or the relevant dispute resolution mechanism.

Free account: what to check in 2026

Completely free Girokonto accounts still exist, but the conditions are stricter than they used to be. Banks often waive the monthly fee only if there is a regular incoming payment, a certain turnover, or if you use online documents instead of paper correspondence.

When comparing plans, check:

• the monthly account maintenance fee;
• the condition for fee-free banking: salary, any incoming payment, minimum turnover, or student status;
• the cost of the Girocard and additional cards;
• the price of a credit card or debit card if you need it for travel and online purchases;
• the fee for cash withdrawals in Germany and abroad;
• the charge for paper transfers, statements, and branch transactions;
• the interest rate on Dispokredit and the rate charged if you exceed the limit;
• limits and delays for instant transfers;
• the quality of the app, the TAN procedure, and support in a language you understand.

Banks do offer sign-up bonuses, but you should not choose a bank only because of a bonus. A one-time payment quickly loses its value if account service, the card, or cash withdrawals are expensive.

How to choose a bank

It is easiest to start with how you will actually use the account.

If you need a branch

Branch banks and Sparkasse are suitable for people who want in-person service, help with documents, cash transactions, and local ATMs. The downside is that their plans are often more expensive, while online offers may be cheaper.

If low fees matter

Online banks often offer simpler pricing, faster account opening, and a convenient app. But check how to deposit cash, where you can withdraw money for free, whether support is available, and whether the chosen card is accepted in the places where you often pay.

If you have just arrived

If you are new to Germany, it is worth checking in advance which documents a particular bank accepts. Some banks open an account only after Anmeldung, while others may ask for a residence permit, tax number, or proof of income. Conditions differ, especially for students, job seekers, and people without stable income.

Documents to open a Girokonto

The bank usually asks for:

• a passport or another recognized identity document;
• an address in Germany, often through a Meldebescheinigung or another supporting document;
• a tax number, if you already have one;
• contact details;
• sometimes proof of income, studies, an employment contract, or residence status.

For a standard account, the bank may request more documents than for a Basiskonto. If your goal is specifically a basic account, it is better to state Basiskonto explicitly in the application.

Identification: Videoident and Postident

Before opening the account, the bank must identify the customer. The most common options are:

• Videoident, a video call via the app or website where you have to show your document and answer verification questions;
• Postident, identity verification at a Deutsche Post branch using the bank’s documents;
• eID or another digital method, if the bank supports it.

Videoident is convenient, but it may not work well if the document is hard to read on camera, the staff member does not work in the language you need, or the bank does not accept a specific type of passport. Postident is slower, but it is often easier for people who are not comfortable with video verification.

After the account is approved, letters with the card, PIN, access to online banking, and the TAN procedure usually arrive separately. This is normal: the bank separates the mailings for security reasons.

How to use a Girokonto

The account is not only for the card. Several types of transactions are important in everyday life in Germany.

Transfer by IBAN

For transferring money within Germany, the recipient’s name and IBAN are usually enough. Within Germany and the SEPA area, the BIC often no longer has to be entered manually, though it may still appear in documents.

This is how one-off bills, deposits, some services, and private transfers are paid. At a branch, the transfer can be arranged on a paper Überweisungsformular, but that operation is often more expensive than an online transfer.

Dauerauftrag

Dauerauftrag is a standing order for a fixed amount. It is suitable for rent, regular transfers to a savings account, or other payments with the same amount and date.

If the rent changes or the payment is no longer needed, the order must be changed or canceled at the bank or in online banking.

SEPA direct debit

For payments with a changing amount, SEPA direct debit is often used: you give the recipient a mandate to debit money from your account. This is commonly used to pay for phone service, electricity, internet, insurance, gym memberships, some subscriptions, the ARD/ZDF broadcasting fee, car insurance, home internet, daycare, transport passes, and other recurring services.

An authorized SEPA Core Direct Debit can be reversed within eight weeks after the debit. If the debit was not authorized, the period for making a claim may be significantly longer, but it is still best to check your statements regularly and react immediately.

Dispokredit: convenience at a high price

Dispokredit lets you go below zero on your Girokonto within the bank’s limit. It is convenient as a short-term buffer, but the interest rate is usually high. If you exceed the limit, the costs can become even higher, and failed debits can lead to fees and problems with service providers.

If the bank offers a cheap or free account, pay close attention to the overdraft rate: a low monthly fee does not always mean cheap banking in real life. For larger or longer loans, consumer credit is often cheaper, but for a newcomer to Germany it may be harder to obtain.

A practical rule is to keep enough reserve on your Girokonto to cover at least your next mandatory payments. It is more convenient to keep your general financial cushion separately so that everyday spending and emergency reserves do not get mixed together.

How to switch Girokonto

If the plan has become expensive or the service is unsatisfactory, the account can be moved to another bank. Germany has a gesetzliche Kontenwechselhilfe, a legally regulated account switching service.

The old and new bank must exchange information about regular incoming transfers, Dauerauftrag, and direct debits from the last 13 months if the customer has given the relevant permission. The new bank helps set up the payments and notify partners.

In practice, it is better not to close the old account immediately. Keep both accounts in parallel for one or two months, check rent, salary, insurance, internet, phone, and subscriptions, and then close the old account once all regular payments have definitely moved over.

How to close a Girokonto

The customer can close a standard Girokonto in writing or through the channel provided by the bank. If the contract provides for a notice period for the customer, it must not be longer than one month.

The bank can also terminate a standard Girokonto agreement if that right is provided for in the contract. In that case, the notice period on the bank’s side must not be less than two months. For Basiskonto, the rules are stricter: the bank may close it only on specific grounds under the Zahlungskontengesetz.

Before closing the account, check:

• whether there is a negative balance;
• whether regular payments have been moved;
• whether salary or benefits are already arriving on the new IBAN;
• whether statements and tax documents have been saved;
• whether you have specified the account for transferring the remaining balance.

Online banking and TAN

Online banking in Germany usually works through the bank’s app or website. Login, password, biometrics, or device confirmation are used to sign in. For transfers and changes to important settings, the bank requires strong authentication: TAN, push confirmation, photoTAN, chipTAN, or another method.

At N26 and other online banks, many operations are handled in the app. This is convenient, but it makes the phone a critically important device. If you lose your smartphone or number, restoring access may take time.

Minimum security:

• enable a lock on your phone and banking app;
• do not share TAN codes or push confirmations by phone or in messengers;
• check the IBAN and amount before confirming a transfer;
• download statements regularly;
• block the card and access immediately if the device is lost.

A short checklist before opening an account

• I understand whether I need a standard Girokonto or a Basiskonto.
• I have checked the monthly fee and the conditions for fee-free banking.
• I know the cost of the Girocard, debit card, and cash withdrawals.
• I have checked the overdraft rate even if I do not plan to use credit.
• I have clarified which documents the bank will accept for identification.
• I have compared Videoident, Postident, and digital identification.
• I understand how to move Dauerauftrag and direct debits when switching banks.

It is better to choose a Girokonto not by advertising and not by a one-time bonus, but by your real-life use case: how you receive income, where you pay by card, whether you need cash, how important a branch is, and whether you will be able to solve a problem in the bank’s support language.