Living in Germany

Best SIM card and phone plan in Germany for expats: prepaid vs contract, providers compared

You need a German phone number within days of arriving — banks need it for 2FA, employers need it for onboarding, and apps need it for verification. This guide compares prepaid and contract options for expats, covers what you can get without SCHUFA or a German bank account, and explains why a phone Vertrag (contract) is the second step to building German credit history.

Reviewed: 2025-11Read time: 6 min readBest for: New arrivals in Germany who need a working phone number and data plan fast, especially without yet having a German bank account or SCHUFA history

Written & reviewed by the Starting in Germany team, checked against official German government sources.

Why a German phone number matters more than you expect

A German mobile number is not just a convenience — it is a practical requirement for getting set up in Germany:

  • Banking 2FA: German banks (N26, DKB, ING, Sparkasse) require a mobile number for two-factor authentication when setting up an account or approving transactions
  • Employer onboarding: HR systems and company apps usually require a mobile number on day one
  • Landlord and flat viewings: responding to listings and confirming Besichtigungen (viewings) happens over WhatsApp and SMS
  • Government portals: some Finanzamt and Rentenversicherung online portals require mobile number verification
  • Parcels and delivery: DHL, DPD, Hermes all send delivery notifications and time-slot selections via SMS
  • App verification: most German apps (banking, insurance, ride-sharing) require SMS verification

The practical order: Get a prepaid SIM in the first day or two. Once you have a German bank account, consider upgrading to a contract plan for SCHUFA-building purposes.

Prepaid vs contract: which makes sense when

SCHUFA check None required Yes — requires positive SCHUFA or income proof Bank account needed No — can top up with cash or card Usually yes (SEPA direct debit) Commitment None — top up as you go 12 or 24 months minimum (usually) Cost Slightly higher per GB Lower price per GB for equivalent data SCHUFA benefit None Yes — shows up as a positive entry When to choose First arrival, no documents yet Once you have Anmeldung + German bank account

Recommendation for new arrivals: Get a prepaid SIM within the first 1–2 days. Once you have your Anmeldung done and a German bank account open (typically week 2–4), switch to a contract plan — both for better data pricing and SCHUFA history.

Best prepaid SIM cards in Germany for new arrivals

German prepaid SIMs can be bought at supermarkets, electronics stores, and petrol stations. You will need to verify your identity (Ausweis-Pflicht) — either online with your passport (VideoIdent) or in-store with your original passport.

ALDI Talk (uses Telefónica/O2 network)

  • €7.99/month for 10 GB, or pay-per-use
  • Wide availability — sold at every ALDI supermarket
  • Cheap and reliable for everyday use; coverage slightly weaker than Telekom outside cities
  • Verified in-store or via VideoIdent app

Lidl Connect (uses Telefónica/O2 network)

  • Similar pricing and availability to ALDI Talk
  • €4.99/month entry plans; €7.99 for reasonable data

Congstar (uses Telekom network — best rural coverage)

  • Telekom network = best coverage across Germany including rural areas and the train network
  • More expensive: ~€10–12/month for a comparable data allowance
  • Online purchase; verification via VideoIdent

REWE Mobil / Netto Mobil (various networks)

  • Budget prepaid options; sold at supermarket chains; minimal English support

Vodafone prepaid

  • Slightly more expensive than O2 network options
  • Decent city coverage; sold at Vodafone stores and electronics retailers

Practical tip: For the absolute fastest option on day one, walk into a Saturn, MediaMarkt, or Telekom store — staff can activate a SIM and verify your passport in person without needing a German bank account.

Contract plans: when to get one and what to expect

Requirements for a contract plan (Vertrag):

  • German Anmeldung address (billing address)
  • German bank account (SEPA direct debit) — most providers require this
  • SCHUFA check — providers check your credit; if no SCHUFA history, some will still approve, others will decline. If declined, try a different provider or use the no-SCHUFA workarounds below.

Major providers and networks:

Telekom (T-Mobile) Own (best coverage) Most expensive; best for travel across Germany, rural areas, trains Vodafone Own (good urban) Slightly cheaper than Telekom; good in cities O2 (Telefónica) Own (good urban) Cheapest of the three major networks 1&1 O2 + own 5G Competitive prices; building own network

Budget providers on the same networks (often significantly cheaper):

Aldi Talk / Congstar O2 / Telekom Prepaid and monthly tariffs freenet Vodafone/O2 Simple monthly contracts Mobilcom-Debitel All networks Wide plan choice Blau.de O2 Budget contracts; some English support

Typical contract price range (2025):

  • 10–20 GB: €10–20/month
  • 30–50 GB: €15–25/month
  • Unlimited: €25–40/month

No-SCHUFA contract options:

  • Some providers (Blau.de, yourfone) offer contracts with a SCHUFA-neutral check — they query your history without creating a hard inquiry
  • Alternatively, try smaller providers or MVNOs (mobile virtual network operators) who often approve without SCHUFA history if you show proof of employment

Phone Vertrag and SCHUFA: the second step to building credit history

When you sign a phone contract (Vertrag) in Germany, the provider registers it with SCHUFA. If you pay on time, this appears as a positive entry on your credit file.

The recommended SCHUFA-building sequence:

  1. Open a German bank account (day 1–14) — first positive SCHUFA entry
  2. Sign a phone Vertrag (week 2–4 after Anmeldung) — second positive entry
  3. Get a DKB credit card (free, available after ~3 months with DKB account) — third entry

After 2–3 months of this sequence, you have enough positive SCHUFA history to be credible to landlords requesting a BonitätsAuskunft. Paying the phone bill on time is the only requirement — even a basic €10/month plan works.

Important: Only contracts (Verträge) build SCHUFA — prepaid cards do not register with SCHUFA and contribute nothing to your credit file.

eSIM options for Germany

If your phone supports eSIM, several German providers offer instant eSIM activation — no physical card, no in-store visit.

eSIM providers in Germany:

  • Telekom — eSIM available online or in-store; their network gives the best coverage
  • O2 — eSIM online activation
  • Congstar — eSIM; Telekom network; good value
  • 1&1 — eSIM available

For arriving expats: If you need a German number on arrival day and your phone supports eSIM, Congstar or Telekom prepaid eSIM can be activated online before you even land — you'll need to complete VideoIdent (video ID verification) which takes 10–15 minutes.

Note: most eSIM options still require a German address eventually for billing — fine if you use a hotel address initially and update later, but some providers check this at sign-up. Read the small print.

Official Sources

Verify details against official guidance

Next Step

Get your Germany setup plan

A SIM card is one of the first things you need after arriving — but Anmeldung, health insurance, and bank account all interact with your first-week timeline. Get your personalised order.

Next Steps

Continue your relocation plan

Move straight into the next dependency instead of hunting across tabs and bookmarks.

SCHUFA credit check guide

A phone Vertrag is step 2 in building German credit history — bank account first, then phone contract, then a credit card. Understand how SCHUFA works and how to build your score.

German bank account guide

You'll need a German bank account to pay monthly plan fees by SEPA direct debit — most contract plans require this.

Anmeldung guide

Your Anmeldung address is used for billing and SCHUFA registration — do this before signing a phone contract.