From mid-2027, a new EU regulation will also apply in Germany. In the business sector, this not only provides for a cash payment limit of 10,000 euros.
When it comes to cash, things quickly become emotional. Many citizens now prefer to use a card or cell phone to pay, but cash is sacred to many users. Accordingly, there was already excitement about it in 2024 adoption a new one EU regulationwhich deals with a cash cap.
Key point: In 2027, a cash payment limit of 10,000 euros will apply across the entire EU in order to make money laundering and terrorist financing more difficult. However, cash payments in private areas and the possession of cash over 10,000 euros remain permitted.
New cash rules from mid-2027
Paying in cash remains permitted, but a limit is being drawn for German citizens for the first time. With the new EU money laundering package (including EU Regulation 2024/1624), the European Union will significantly tighten the rules for cash payments in business transactions from mid-2027.
The new rules are part of a comprehensive package of measures from July 10, 2027 is binding in the EU. The aim is to curb the misuse of cash for illegal purposes. The new EU rule is Europe-wide Maximum value of 10,000 euros for cash payments in business transactions, i.e. for payments from and to companies or the self-employed.
In addition, the regulation expressly gives Member States the option to introduce even lower thresholds if this is justified in the public interest. However, Germany has not yet presented any plans for a tougher approach here.
A particularly important point for consumers and companies: increased control and identification requirements should apply to cash payments of 3,000 euros or more. That means specifically:
- Commercial sellers must verify and document the customer’s identity when accepting cash payments above this threshold.
Private individuals hardly affected
There is currently no upper limit for cash payments in Germany. However, 10,000 euros is already a relevant amount today, because from this amount onwards there is an obligation to identify oneself when making cash payments. In addition, these purchases must be documented and the origin of the money must be proven.
Private individuals are more likely to be affected by the new regulations in exceptional cases. There are statements circulating online that cash payments over 10,000 euros will generally become illegal in the EU with the new rules, but that is misleading.
The Cap applies to business transactions only. Private individuals are still allowed to own, withdraw, deposit and exchange as much cash as they want. A private individual can therefore continue to pay for a car for more than 10,000 euros in cash. However, this maximum payment limit will apply to commercial traders from 2027.
However, different cash limits already apply in Germany for certain areas:
- Since January 2020, there has been a cash payment limit of 1,999.99 euros for the anonymous purchase of precious metals. For purchases of precious metals above this amount and paid for in cash, the dealer must verify the customer’s identity.
- Since April 1, 2023, cash payments when purchasing real estate are prohibited.
The planned upper limit for cash payments and the additional ID requirement for certain amounts show how closely payment transactions are currently regulated and monitored. At the same time, there is a growing awareness of the need to better protect personal data and financial information in everyday life – not just online, but also physically: modernity RFID wallets This is exactly where they come in: They prevent unauthorized reading of cards and offer an additional protective shield in daily payment transactions. A look at the current bestsellers shows which models are particularly in demand.
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