German Blocked Amount for Indian Students 2026

The German Blocked Account: 2026 Guide for Indian Students

The "Blocked Account" (Sperrkonto) is the heart of your German student visa application. It acts as a financial safety net, proving to the German authorities that you have enough funds to live comfortably for one year without needing a job.

1. The Core Requirements (2026 Intake)

The German Federal Foreign Office has adjusted the required amounts to match the current cost of living. This ensure you have enough for rent, health insurance, and groceries.

*Calculated at an estimated exchange rate of €1 = ₹104.90. Actual INR will depend on the market rate at the time of transfer.

The "Buffer" Rule: We always advise students to transfer an extra €100–€150 (Total approx. €12,050). Intermediary banks often take small fees mid-transit. If your account arrives even €1 short, your "Blocking Confirmation" won't be issued. Any unused buffer is simply returned to you in your first monthly payout!

2. Major 2026 Tax Relief: TCS Updates for Indians

The Indian Budget 2025-26 brought massive relief for students under the Liberalised Remittance Scheme (LRS). You no longer have to worry about high upfront taxes eating into your budget.

If you have an Education Loan (0% TCS)

The best news of 2026: TCS has been completely removed for remittances funded by a bank loan (under Section 80E). Whether you send ₹11 Lakh or ₹50 Lakh, the government will not collect any tax at source. This keeps your loan amount intact for its intended purpose.

If you are Self-Funding (₹10 Lakh Exemption)

For families using personal savings, the tax-free threshold has been increased:

• Up to ₹10 Lakh: Zero TCS.

• Above ₹10 Lakh: A 5% TCS is applied only to the amount exceeding ₹10 Lakh.

• The "Split" Hack: Since the 2026 blocked amount is roughly ₹10.7 Lakh, a single parent transferring the full amount might pay roughly ₹3,500 in TCS. However, if Mom transfers half and Dad transfers half, you stay below the individual ₹10L limit and pay ₹0 in tax.

3. Why This Matters to You

Behind these numbers is your future. We know that navigating SWIFT codes, TCS certificates, and German banking portals can feel like a full-time job.

Our Human Commitment: At GermanMate, we don't just provide a link to a bank. We monitor your transfer daily, help you navigate the new tax rules, and ensure your Blocking Confirmation is perfect for your VFS appointment. We handle the bureaucracy so you can focus on your language prep and packing.

Next Steps

1. Check your funds: Ensure your total budget includes the €11,904 plus bank transfer fees.

2. Verify your loan: If using a loan, ensure your bank has the correct German IBAN.

3. Start Early: Transfers can take 3-5 working days to reflect in Germany.

4. Post-Landing & Payout Activation

Arrival in Germany is just the beginning. Your money remains "blocked" until you complete three essential administrative steps in your new city.

1. City Registration (Anmeldung): Within your first week, you must register your address at the local Bürgeramt. This certificate is the "master key" to all German bureaucracy.

2. Opening a Current Account (Girokonto): You need a local German bank account to receive your funds. While your blocked account holds the money, your current account is where you spend it for rent and groceries.

3. The Activation Request: Once you have your German IBAN (bank number) and your residence permit/visa stamp, you log into your blocked account portal to link the two and trigger the first payout.