Social importance of the current account

There are over 85 million current accounts in Germany. Statistically speaking, this means one account for every citizen. It is virtually impossible nowadays to imagine receiving wages and salaries or paying rent and utility bills without a bank account. With this in mind, the German banking industry associations which work together on a committee known as Zentraler Kreditausschuss (ZKA) issued a recommendation in 1995 for banks to make a basic current account available to everyone. The banks undertake to open a current account without overdraft facilities for anyone on request unless there are compelling reasons not to do so. A record at Germany's SCHUFA credit bureau indicating difficult financial circumstances is not in itself sufficient to refuse somebody an account. The bank is not, however, obliged to allow customers to overdraw.

This recommendation demonstrates that the German banking industry recognises the social importance of having a bank account, which is a key prerequisite for participation in economic life. With a minimum of bureaucracy, it helps economically disadvantaged sectors of the population avoid problems when operating a bank account. If a consumer complains that a bank has refused to open a current account, even without overdraft facilities, the Ombudsman investigates whether the bank has complied with the "Current Account for Everyone" recommendation.