The Federal Foreign Office issued a notification on July 23, 2019, stating that all students applying for a student visa must possess 10,236 euros in their bank account, plus this account will be blocked and strictly limited to the withdrawal amount of 853 euros per month.
The reason why you need funds
This shows the German government doesn’t want to spend tax money on foreign students. Eventually, it will also limit the number of international students studying at their campuses.
Those international students who are awarded fully-funded scholarships, they get monthly stipend instead of withdrawing their money from the blocked bank account.
This fund is never utilized by the government or the banks because its intended use is to act as a security blanket in times of need for the student.
The withdrawal limit for foreign students was 720 euros, but now it has increased to 853 euros.
How to open your bank account
In Germany, only two banks offer international students to open a blocked bank account, Fintiba – Sutor bank and the Deutsche Bank while opening a bank account requires you to show your passport, admission confirmation letter from university or college and some 10,236 euros ready to be deposited.
The recommended way to get yourself a blocked account is Fintiba because not like any other bank it is a company acting as an intermediary between you and the Sutor bank. The account opening here takes less than 15 minutes and is very convenient as compared to Deutsche bank.
It offers multiple packages including travel insurance, automatic activation and cancellation, Trusted German partner bank and much more. In the worst-case scenario, if you ended up getting rejected for a student visa, your money will be refunded.
On the other hand, Deutsche Bank is pretty orthodox when it comes to account opening procedure.
You have to download the application form available online and after printing and filling it. You will submit it along with a certified copy of your passport, offer letter and a bank statement showing enough funds in the local account with fees of 50 euros (not including other charges).
Monthly charges are 4.90 euros for Fintiba and 5.90 euros for Deutsche Bank and initial charges are 89 euros for Fintiba and 150 euros for Deutsche Bank.
Banking after getting graduated
After graduating, students can send a request to close the account.
If a student wishes to stay, he/she can continue to use accounts as normal current accounts, but these accounts will require the graduate to pay a monthly fee.