Consider the use of 'here' in this sentence:
Is there a bank here in the vicinity? (Is there a bank ... here in the vicinity | here in the city | here in the country)
"Here" is just an extra word to emphasise that you are referring to your current surroundings. It's not necessary as the question works perfectly well without it but people add extra words for emphasis all the time in any language.
Note that your current surroundings do not need to be close by. Typically, when asking for directions, you will not want to travel too far but in terms of grammar and meaning, "here" only refers to whichever surroundings you choose to mention. In Duo's example, it is only the word "nearby" that highlights you want the bank to be close by.
Is there a bank here on this planet?
Compare that with:
Is there a bank here in the vicinity?
As long as you are physically located in the location "here" refers to (the city, planet etc.) then you can use "here" for emphasis.
Duo chose to translate the German sentence using "nearby" which doesn't specify a location and therefore "here" cannot be used.
As a native British English speaker, I personally wouldn't use the word "here" in this sentence. It's not wrong, but it seems redundant. The only exception is if I were to say "is there a bank near here?" which is marked as an incorrect translation on this sentence.
That's not the normal word order for a question in English -- those start with a verb (e.g. "is there...? did he ...?").
And it's not more literal than "Is there a bank nearby" -- you put the verb second where German has the verb first, and a literal translation of "gibt es?" would be "gives it?".