Most banks also require proof of a German address and/or registration with the local Residents’
Registration Office (also required of locals).
American citizens living in Germany have
complained that certain German banks have closed their investment accounts due to additional
administrative burdens and legal complications caused by the U.S. Legislation known as the
Foreign Accounts Tax Compliance Act (FATCA), which requires German banks to report
information on accounts of American citizens to the IRS.
Reports of such closures have
decreased since the United States and Germany signed a bilateral agreement in 2013 to reduce
some of the legal issues related to FATCA, mainly by allowing German banks to report the
required information to the German government, which will then share it with the appropriate
U.S. Government agencies.