Security Deposit Account Change: Tenants Germany 2025

Many tenants in Germany consider transferring their security deposit account to another bank, for example because of higher interest rates, better conditions or because the previous bank is closing. As a tenant you should know which rights and obligations exist, which steps require formalities and how to keep the deposit secure during the change. This article explains in plain language what information you must give the landlord, which deadlines and proofs are important and which courts or laws can help in disputes. Read the step-by-step instructions below to carry out the change safely and in compliance with the law in 2025.

What is a security deposit account and which rules apply?

A security deposit account is a blocked account or escrow account where the deposit is kept separate from the landlord's assets. Under federal law, the Civil Code (BGB) regulates the obligations of landlords and tenants regarding rental deposits, in particular §§ 535–580a^[1]. The account is intended to ensure that the deposit is available for repayment at the end of the tenancy.

Why might a bank change be sensible?

• Higher interest: you want more return on the deposited security deposit.
• Better conditions: lower fees or clearer blocking rules.
• Better customer service or easier online management.
• Security: more stable banking relationships or deposit insurance.

Rights, obligations and formalities when changing

Before you open a new account, inform your landlord in writing and provide a bank offer or the account number. Some landlords require written consent or proof that the new account meets certain blocking conditions. In disputes, the local court (Amtsgericht) is competent; depending on the case, the regional court or the Federal Court of Justice may be involved^[2].

Practical steps: what you should do

1. Contact: inform the landlord in writing that you wish to change the deposit account and give the new bank details.
2. Collect documents: prepare account opening documents, ID and, if necessary, a proposal for a blocking agreement.
3. Arrange the transition: agree with the landlord how the deposit will be transferred, e.g. by bank transfer or trustee release.
4. Check returns: compare interest rates and fees before final transfer.
5. Get written confirmation: ask the landlord for written confirmation after the transfer is completed.

FAQ

Can the landlord refuse the change of the security deposit account?

The landlord can raise legitimate security concerns, but may not arbitrarily refuse a change if the new account provides the required security.

Does the deposit have to be kept in a special "rental deposit account"?

There is no uniform name; what matters is that the deposit is kept separate and available. Many landlords prefer a pledge account or escrow account.

Who decides in disputes about the security deposit account?

Initially the local court (Amtsgericht); depending on the importance and instance, the regional court or the Federal Court of Justice may be involved^[2].

How-To

1. Open an account with blocking for the deposit at the new bank.
2. Inform the landlord in writing and attach the account details.
3. Transfer the deposit or arrange the transfer according to the agreement.
4. Obtain written confirmation from the landlord that the deposit has been accepted.

Help and Support / Resources

• Gesetze im Internet – BGB §§ 535–580a
• Federal Court of Justice (BGH) – rental law decisions
• Federal Ministry of Justice (BMJ) – forms and templates

1. [1] Gesetze im Internet – BGB §§ 535–580a
2. [2] Bundesgerichtshof (BGH) – Entscheidungen zum Mietrecht
3. [3] Bundesministerium der Justiz (BMJ) – Formulare und Muster