Europe

Payment methods in Germany

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Updated

October 27, 2026

Ludovic Plisson

Chief Brand Officer

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How people pay in Germany in 2026

Germany, long known as a cash country, crossed a line in 2025. In the Deutsche Bundesbank's latest payment behaviour study, consumers paid without cash for 55% of their everyday purchases, the first time non-cash payments were in the majority. At the checkout, the domestic girocard debit card still leads, and in stores cards reached 65.1% of retail turnover in 2025 according to the EHI Retail Institute. Phones are catching up fast, with mobile payments making up 19.3% of cashless payments at the till.

Online, Germany looks like no other market. PayPal and purchase on invoice (Kauf auf Rechnung) together take more than half of e-commerce turnover, followed by SEPA direct debit and cards. The bank-owned giropay closed at the end of 2024, and Wero, the European wallet from EPI, is now taking its place at online checkouts. New consumer credit rules from November 20, 2026 will change how invoice and BNPL are offered. For merchants and their payment providers, a German checkout needs PayPal, invoice, direct debit and cards at a minimum. For the neighboring Swiss market, where TWINT and invoice lead, see our guide to payment methods in Switzerland.

55% of everyday transactions paid without cash in 2025 (Deutsche Bundesbank)
8.3 billion girocard payments in 2025 (girocard)
28.7% PayPal share of German online retail turnover in 2025 (EHI via IT Finanzmagazin)
26.1% share of online turnover paid on invoice in 2025 (EHI via IT Finanzmagazin)

Payment by card in Germany

Germany has its own debit scheme, girocard, run by the German banking industry. About 100 million girocards handled 8.3 billion payments worth around EUR 308 billion in 2025, and 88.5% of them were contactless in December 2025. Debit dominates overall: Bundesbank payment statistics, as reported by IT Finanzmagazin, count 12.1 billion debit card transactions in 2025 against 2.3 billion on credit cards. Total card payments rose 11% to about 14.5 billion.

The international schemes are gaining ground. Since banks stopped issuing new Maestro cards in July 2023, they have been switching to Debit Mastercard and Visa Debit, which also work for online shopping. In retail, these debit cards reached 9.4% of turnover in 2025, up 2.5 points, while girocard slipped to 40.5% and credit cards stood at 8.2%. Online, cards of all kinds take only 13.7% of turnover. Card costs follow the EU interchange fee caps, and knowing how card networks work helps when routing girocard and scheme cards.

Card schemes in Germany

girocard

Domestic debit scheme

The German banks' debit card scheme, issued with almost every current account and accepted at about 1.3 million terminals. It is used in stores and at ATMs, rarely online.

8.3 billion girocard payments worth about EUR 308 billion in 2025, girocard

Visa

International scheme

Visa is growing fast in Germany through Visa Debit cards issued by banks and neobanks, alongside its credit cards. Its tokens are used in a majority of transactions.

21 million Visa debit cards in circulation in Germany, fiscal year 2025, up 24%, Visa

Mastercard

International scheme

Mastercard issues credit cards and the Debit Mastercard, which replaces Maestro on many German bank cards and works for online shopping.

Visa Debit and Debit Mastercard

International debit card

Debit cards on international schemes, debited from the current account and usable online and abroad. They are the fastest-growing card type in German retail.

9.4% share of German retail turnover in 2025, up 2.5 points, EHI via IT Finanzmagazin

Credit cards

Credit and charge card

Most German credit cards are charge cards settled once a month. About half of adults hold one, and they are used more for travel, online and foreign purchases.

2.3 billion credit card transactions worth EUR 154.4 billion in 2025, Bundesbank via IT Finanzmagazin

Payment by cash in Germany

Cash is still part of daily life, but it is no longer the default. The Bundesbank's study Zahlungsverhalten in Deutschland 2025 found that cash covered 45% of everyday transactions and 23% of spending, down from about half of transactions in 2023. Only 26% of respondents now prefer cash, against 52% who prefer non-cash payments. People carried EUR 98 on average, and cash could be used in 94% of in-person purchases. In retail, EHI puts cash at 32.3% of turnover and 50.5% of transactions in 2025, and expects cards to overtake cash in number of transactions.

Online, cash survives in two forms. Barcode payment services let shoppers pay for online orders at the till of a drugstore or supermarket; Paysafe's viacash network counted 12,500 retail locations in 2024, including REWE, Penny and dm. Cash on delivery (Nachnahme) remains a niche, and DHL started accepting girocard at the door for Nachnahme parcels in July 2026.

Cash payment methods in Germany

Cash

Banknotes and coins

Euro banknotes and coins are still accepted in almost every store, and a quarter of Germans prefer them, but their share keeps falling.

45% of everyday transactions paid in cash in 2025, Deutsche Bundesbank

Barzahlen/viacash

Cash barcode payment

Paysafe's service lets shoppers pay online orders and bills in cash with a barcode at partner retailers, and bank customers deposit or withdraw cash at the till.

12,500 participating retail locations in Germany in 2024, Paysafe

Cash on delivery (Nachnahme)

Cash on delivery

The shopper pays the courier when the parcel arrives. Since July 2026, DHL couriers also accept girocard for Nachnahme amounts.

Payment by bank transfer in Germany

Germans trust their bank account, and SEPA direct debit (Lastschrift) shows it. Bundesbank statistics reported by IT Finanzmagazin count about 10 billion direct debits in 2025, 30% of all cashless payments. Online, direct debit takes 14.4% of e-commerce turnover, and prepayment by bank transfer (Vorkasse) another 3.5%. Underneath, instant payments are taking off: SEPA Instant transfers doubled to about 680 million in 2025, 9.4% of electronic credit transfers.

Pay-by-bank at checkout went through a reset. The banks' giropay was shut down on December 31, 2024, and Sofort was folded into Klarna and dropped as a standalone method in 2025. Wero, the wallet from the European Payments Initiative, now fills the gap. After launching for person-to-person transfers in 2024, it has been live for German online payments since the end of 2025, with dm, Decathlon and Lidl among the first merchants. Adoption is early: 5% of Bundesbank survey respondents had set up Wero. Our guide to account-to-account payments explains why these rails matter.

Bank transfer methods in Germany

SEPA direct debit (Lastschrift)

Direct debit

The shopper gives an IBAN and a mandate at checkout and the merchant collects the amount. It is used online, for subscriptions and, as electronic direct debit, at store tills.

14.4% share of German online retail turnover in 2025, EHI via IT Finanzmagazin

Wero

Bank wallet

EPI's account-to-account wallet, built into German banking apps, used for P2P transfers and, since late 2025, for online payments at merchants such as Decathlon. It replaces giropay and paydirekt.

57 million Wero users in Belgium, France and Germany in August 2026, EPI

Klarna Pay now (formerly Sofort)

Pay by bank

Klarna's immediate payment option, which took over the Sofort online banking transfer. Sofort is no longer offered as a separate method by most PSPs.

0.9% share of German online retail turnover for Sofortüberweisung in 2025, EHI via IT Finanzmagazin

SEPA Instant Credit Transfer

Instant payment

Euro transfers that arrive in seconds, available from all German banks. A third of Bundesbank survey respondents already use them regularly.

680 million SEPA Instant transfers in 2025, up 102%, Bundesbank via IT Finanzmagazin

Prepayment by bank transfer (Vorkasse)

Bank transfer

The shopper pays by transfer before the merchant ships. Its share is falling as faster and safer options spread.

3.5% share of German online retail turnover in 2025, down from 4.3%, EHI via IT Finanzmagazin

Payment by installment and BNPL in Germany

Germany is the home market of pay later. Purchase on invoice took 26.1% of online retail turnover in 2025, and installment purchases another 4.7%, according to the EHI. Most invoices are handled by specialists that buy the receivable and take the risk: Klarna, Ratepay, which is PayPal's exclusive invoice partner in Germany since 2022, Billie for B2B and Unzer. Germany is Klarna's largest market by volume, and weaker German demand led Klarna to cut its 2026 volume forecast in August.

The rules change on November 20, 2026, when Germany applies the EU's revised consumer credit directive. Buy now, pay later offers become regular consumer loans, with creditworthiness checks and full cost disclosure even for small amounts. A merchant's own invoice stays outside the rules only if it is free, involves no third party and is due within 50 days, or 14 days for large online sellers. Expect more declined invoice requests and new checkout flows.

Installment and BNPL providers in Germany

Klarna

BNPL

The market leader for invoice and pay later in Germany, offering pay in 30 days, pay in 3 interest-free installments and longer financing at German online shops.

48% of internet users surveyed held a Klarna account in 2025, Deutsche Bundesbank

PayPal Pay Later

Wallet BNPL

Inside PayPal checkout, German users can pay after 30 days for purchases up to EUR 3,000 or pay in installments, and merchants can offer invoice with Ratepay.

Ratepay

Invoice and installments

Berlin-based provider of white-label invoice and installment payments, part of the Nexi group, and the invoice partner behind PayPal in Germany.

Billie

B2B BNPL

Invoice and pay later for business buyers, who get up to 30 days to pay while the merchant is paid at shipment. It is distributed through PSPs such as Stripe and Adyen.

500,000+ business customers and 3,500 shops served, June 2024, The Paypers

Unzer

Invoice and installments

German PSP offering white-label invoice and installment payments, used for example by outdoor retailer Bergzeit as a second option alongside Klarna.

Payment by digital wallet and X-Pay in Germany

PayPal is the reference online wallet in Germany. It took 28.7% of online retail turnover in 2025, and 77% of internet users surveyed by the Bundesbank hold a PayPal account. PayPal counts about 39 million active accounts in Germany, and since 2025 it also lets users pay in stores by tapping the PayPal app, a feature launched first in Germany.

In stores, X-Pay wallets grew quickly. Mobile payments reached 19.3% of cashless payments at German retail checkouts in 2025, up from 12.8%, and the Bundesbank measured mobile payments at 10% of all transactions, roughly double their earlier share. Apple Pay supports the digital girocard at participating banks and Sparkassen, while girocard is not yet in Google Pay. Online, Apple Pay appears in EHI data for the first time with 1.3% of turnover, and Amazon Pay holds 0.6%.

Digital wallets and X-Pay in Germany

PayPal

Online wallet

The most used online payment method in Germany, accepted by most web shops, with buyer protection, pay later options and, since 2025, contactless payments in stores from the app.

28.7% share of German online retail turnover in 2025, EHI via IT Finanzmagazin

Apple Pay

Mobile wallet

Apple's wallet for contactless payments with girocard, Visa and Mastercard cards in stores, and for one-click payments online and in apps.

1.3% share of German online retail turnover in 2025, EHI via IT Finanzmagazin

Google Pay

Mobile wallet

The Android wallet for tap-to-pay with tokenized Visa and Mastercard cards and for online checkout. Girocard cards cannot be added yet.

Digital girocard

Mobile debit card

The girocard on a phone or watch, available in Apple Pay at participating banks and Sparkassen and in banking apps on Android for contactless payments at the till.

Amazon Pay

Online wallet

Lets Amazon customers pay in third-party web shops with the payment details stored in their Amazon account.

0.6% share of German online retail turnover in 2025, EHI via IT Finanzmagazin

Payments in Germany: FAQ

What is the most popular online payment method in Germany?

PayPal. It took 28.7% of online retail turnover in 2025, just ahead of purchase on invoice at 26.1%. Direct debit (14.4%) and cards (13.7%) follow, so a German checkout needs all four.

Do people in Germany still pay in cash?

Yes, but less. Cash covered 45% of everyday transactions in 2025, and for the first time Germans paid more often without cash than with it. Cash still accounts for 32.3% of retail turnover according to the EHI.

What replaced giropay in Germany?

Wero. The banks closed giropay on December 31, 2024, and Wero, from the European Payments Initiative, has been live for online payments in Germany since the end of 2025. Retailers such as dm, Decathlon and Lidl already accept it.

How do the 2026 consumer credit rules affect invoice and BNPL?

From November 20, 2026, BNPL offers become regular consumer loans that require a creditworthiness check whatever the amount. Invoices financed by providers such as Klarna or Ratepay are covered, while a merchant's own free invoice due within 50 days (14 days for large online sellers) stays outside the rules.

Accept local payments in Germany with NORBr

In Germany, merchants usually use a domestic PSP such as PAYONE, Unzer, Computop or Novalnet. A PSP, PayFac, ISO or ISV should check girocard acquiring, SEPA Direct Debit mandates, invoice and installment partners, and Wero readiness.

With NORBr, you can connect any acquirer, PSP or local provider that offers girocard, PayPal, purchase on invoice, SEPA direct debit and Wero. Some are already in our connector catalog; Mapper™ gets the others live in days, and Smart Checkout shows each shopper the right methods. Explore the other #PayWorldTour guides.

Local payment providers in Germany

PAYONE

PSP

Frankfurt-based payment provider closely tied to the German savings banks, serving retailers and e-commerce merchants with terminals, girocard acceptance and online payments.

Covers: girocard, Cards, SEPA Direct Debit, PayPal, Invoice, Apple Pay, Google Pay