Blocked account or Sperrkonto is a special type of bank account required for financing your study and living costs in Germany. As of 2019, the amount that needs to be blocked is set to be 10236 Euro and the banks release 853 Euro per month for your living expense. Blocked account act as the proof of financial stability for your visa process.
There are six ways in which one can open a blocked account and these are briefly described below.
1. Coracle Blocked Account (Recommended) : Coracle, based out in Hamburg, Germany provides a digital solution for students coming to Germany. The process is completely digital and the account can be opened in 1-2 days after filling the application form. The service charge is kept at 99 Euro for the block account service and does not include any monthly charges. After you reach Germany, you have to open a student bank account (Deutsche Bank, Commerzbank.. ) and provide the information to Coracle for your monthly payout. Get your online application done here.
2. Expatrio (Recommended): Expatrio is a relocation startup company with its Headquarters in Berlin, Germany. The process is completely digital and the account can be opened in 2 days. Additionally, Expatrio costs approximately 110 Euro (Setup Fee of 49 Euro; Monthly fee of 5 Euro) for opening the blocked account for a time period of 12 months. After you reach Germany, you will have to open a new German local account (similar process as Coracle) and provide the information to Expatrio. The monthly fees of 5 Euro starts after you reach Germany i.e. when you provide Expatrio with all the details such as student enrollment certificate, bank details and address. You can do the online application here.
3. Fintiba (Recommended): Fintiba is a startup company with its headquarters in Frankfurt, Germany. The company provides blocked account confirmation to international students with the help of its banking partner (Sutor Bank). The opening account process is completely online (3-4 days) and costs 150 Euro ( Set up fee of 89 Euro; Monthly fee of 4.9 Euro). It should be noted that the monthly 4.9 Euro per month charges apply as soon as you open the blocked account wiht Fintiba. After you reach Germany, you will have to open a new German account similar to X-Patrio/Coralce and provide the information to Fintiba. Additionally, you have to do a postal verification or legitimation with Deutsche Post after your arrival. You can check more about the products offered by Fintiba here.
4. Deuteche Bank (DB) Germany (Not Recommended): Attest your application documents from German consulate in your country and send to DB Hamburg in Germany. The account is opened in 10-15 days after documents reach Hamburg. Apart from the 8640 euro, 20 to 30 Euro is charged for attestation and 150 euro is charged for the blocking process which is paid after coming to Germany. You can learn more about the process here
5. Deuteche Bank (DB) Local (Not Recommended): Open a savings account by visiting DB local branch and one has to deposit INR 25,000-100,000 (in India) for a month of 3-6 months. The time and cost variation is negotiable and varies from branch to branch. Kindly keep in mind not to buy the health insurance or student cards recommended by the employees at local DB bank.
6. Kotak Mahindra Bank (Not Recommended): Blocked account can be opened in 4-5 days at a local branch and close to 9000 Euro has to be paid. The extra amount is paid to take care of the volatility in currency exchange rate. You can get interest on the money deposited, however you need to open a German bank account after coming to Germany and give the details to Kotak after which they transfer the amount to German bank account. The currency exchange rate will be finalized by Kotak Bank after you are in Germany and is mostly non-negotiable. Unless you transfer the amount and complete the process which in some cases take a couple of weeks, you will not be able to withdraw any money.
All the above mentioned options are good and a candidate should decide which one to go depending on his or her preferences on cost and time. However based on our assessment, fs2ym highly recommend to use Coracle or Expatrio. If you are looking at personalized support on which blocked account to go for, reach out to us at +91 965446797 ( Whats App) and make use of our FREE consultation support. Below you can find a quick overview on the digital solutions available in the market.
Frequently Asked Questions
1. Can I change the university or course after opening the blocked account ?
Yes, you can change and bank account is not dependent on your course of study even though you provide a copy of the admit letter for opening the bank account.
2. If i opt for one of the digital solution offered by Coracle/Fintiba/Expatrio, can i open a savings account in Deutsche Bank after reaching Germany?
Yes. You can open a student bank account with any bank of your choice after reaching Germany. The student account is offered for free and does not incur any costs. Once you open a student account, you can share the details (IBAN, BIC) to Coracle/Fintiba/X-Patrio to receive your monthly payouts.
3. For attestation of blocked account documents, can I go to any German consulate in my country?
No, you can get the documents for blocked account attested only from the consulate assigned to your region. You are assigned to a particular consulate if your passport address matches with the region or if you have stayed for more than 6 months in the consulate jurisdiction. For e.g., if your passport address is that of Kerala (in India), then you can go only to Bangalore consulate and not to other consulate such as Chennai or Mumbai.
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