IBAN rejected — what to do? Your rights on IBAN discrimination in Germany

A bill, a contract, the Deutschlandticket — and suddenly: "We only accept German IBANs." If your IBAN starts with a country code other than "DE", that's usually not a technical necessity — it's simply against the law. Here's a calm overview of what's behind it and how to respond.

What is IBAN discrimination?

IBAN discrimination means a company or authority rejects an IBAN that's perfectly usable within SEPA just because it doesn't start with "DE" — for direct debits, transfers, or as a condition for signing a contract.

Is that even legal?

No. Since 2014, the SEPA Regulation (EU) No. 260/2012, Article 9, requires that any IBAN reachable within SEPA be accepted, regardless of country. It doesn't matter whether the company is discriminating on purpose or just using an outdated form: courts (including the Hamburg Regional Court) have already ruled that rejecting foreign IBANs violates competition law. You can read the full regulation on EUR-Lex.

Where this happens most often

Energy and water providers — direct debit is refused.
Insurance companies — contracts only possible with a German IBAN.
Telecom providers — mobile and internet contracts.
Deutschlandticket and transit operators — online forms only accept "DE...".
Employers — salary won't be transferred to a foreign IBAN.

What you can do

1. Point out your right in writing. A short, clear letter referencing the SEPA Regulation is often enough — many companies simply don't know better.

2. Set a deadline. Ask for written confirmation that your IBAN will be accepted, with a clear deadline.

3. If that doesn't help: report it. The Wettbewerbszentrale runs a dedicated complaints office for SEPA discrimination; for financial providers, BaFin is responsible; for general contracts, the Verbraucherzentrale can help.

A short example of how such a letter is structured

Reference to the rejection (date, case)
Clear statement: "I hereby object to the rejection of my IBAN ..."
Note that the IBAN is SEPA-reachable
Request for written confirmation within a specific deadline

This is exactly where BriefMagic helps: you describe your situation in your own language — and get a clearly structured letter in German, in the right tone for that specific company. There's a translation back into your language, and the letter stays saved in case a reply comes in.

In short

Rejecting a SEPA-reachable IBAN has been illegal since 2014.
A short written letter referencing the SEPA Regulation is often enough.
If ignored: contact the Wettbewerbszentrale, BaFin, or Verbraucherzentrale.

This article is not legal advice. For persistent problems, the Verbraucherzentrale or a lawyer can help further.