According to the taxonomy used by the Bundesbank, banking in Germany can be divided as follows:
Commercial banks, called “credit banks” occupy a leading position in the banking system of Germany. Most of them are universal and perform a wide range of activities. Most of their operations are short. Commercial banks play a significant role in lending to foreign trade. In Germany, stand three large commercial banks – Deutsche Bank, Dresdner Bank and Commerzbank. This is one of the largest banks in the world with branches all over the planet. To commercial banks can refer and foreign banks that have branches in major financial centers of Germany. To the special credit institutions include: mortgage banks, credit cooperatives, savings banks, investment companies, banks for consumer credit, insurance companies and others.
Mortgage loans in Germany is highly developed and it involved both public and private banks. Mortgage banks provide long-term loans against real estate collateral and obtain their resources mainly from the issuance of securities.Credit cooperatives provide loans to small and medium-sized industrial and commercial companies, craftsmen and farmers. They have significant assets and developed a wide network outpost.Savings banks are engaged in attracting savings of the population. A new phenomenon in the banking system in Germany are investment companies that invest their capital in shares of industrial and other companies.Banks are provided consumer credit loans, as well as immediate users and commercial companies, to facilitate the realization of their goods.
In recent years the banking system in Germany has some changes caused by the the unification of previously existing Western and Eastern Germany. The main direction of these changes is to adapt the banking system of GDR to these of West Germany.