Some 55 million French people have an A passbook. The success of this regulated savings account is explained by its advantageous terms. At the top of the list, the money that is placed on this portfolio is exempt from all taxation (taxes and social security contributions). Reason why the law allows only one passbook A per person (accessible from 16 years in any bank) and within the limit of a ceiling set at 22,950 euros for individuals (excluding interest calculation capitalized).
Second asset, the funds deposited are centralized by the Caisse des Dépôts et Consignations and make it possible to finance social housing and urban renewal. In other words, it is a completely secure precautionary savings. Finally, the management of your passbook A is completely free: it is possible to make payments when desired and to withdraw all or part of the amount as desired.
A dormant reserve
However, this savings product suffers from a major drawback: its rate of pay. In recent years, it has been steadily decreasing. And for good reason, since this regulated account is linked to the level of inflation, very low. To stop the collapse, the State reformed the method of calculating the Livret A in 2016. Since then, the interest rate has been obtained from the average of short-term monetary interest rates and that of inflation over the last six months. However, after being set at 0.75% since 2015, it rose to only 0.50% on February 1, 2020.
While the French have deposited nearly 12 billion euros on their Livret A in 2019, this product should only be seen as a stocking of wool immediately available. It is therefore not useful to leave more than three months of income on this account.
Society
Booklet A, tolls, taxis, gas and electricity prices… We will summarize what changes on February 1
Economy
Booklet A: The rate will be lowered to 0.5% from February 1
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