The 24-year-old defender has been a fringe player in the Liverpool squad this season and has made just three appearances for the Reds this season.
Liverpool are open to letting him depart in the winter window and West Ham are keen on snapping Phillips up as David Moyes aims to add a centre-back to his squad.
However, the Hammers may well face competition for Phillips due to interest from the German top flight.
According to German daily Bild, the defender is on the shortlist of targets of Bundesliga club Eintracht Frankfurt.
The German club are preparing for the departure of Evan Ndicka, who is likely to leave in January or next summer.
The Liverpool defender has emerged onto the radar of Eintracht Frankfurt, who are also looking at other targets.
Phillips is keen to move on as well as he wants to play regular first-team football in the latter half of the season.
It remains to be seen whether either West Ham or Eintracht Frankfurt make a concrete move for Phillips next month.
