Livret A

[CeeJay]

Excuse my ignorance but I am not sure how to top up a Livret A.

I had the maximum saved but recently had to withdraw 2000 Euros, I now find myself in a position to pay that amount back but cannot decide if that amount has to include any interest accrued this year so not taking it over the maximum.

[woolybanana]

It used to be that you could not exceed the maximum even if it was interest but I am not sure if this has changed.

So many people have shut their Livret A accounts as the rate of interest has shrunk to almost zero. Thank you Mr Hollande!

[nomoss]

You are allowed to exceed the limit by accruing interest, but if you then withdraw money you can only replace it if (a) the account total is below the limit, and (b) the amount you add does not take the total over the limit.

[CeeJay]

Nomoss

Thank you, it is as I expected!

[Blodwyn]

Is the interest rate worse than UK accounts? I had a bit in an ISA and left it there when I moved to France. I realise there is no point in keeping it and the interest is currently 0.25%. I was thinking of starting a Livret A as it's interest free and you don't even have to declare it on the French tax return, which would simplify things.

[NormanH]

The Livret A is not the only possibility.

If you look at the Credit Agricôle site

https://www.credit-agricole.fr/epargne/livret/compte-sur-livret.html

and click on the little arrow  type de livret you get a list.

Some have a slightly better rate.

[parsnips]

Hi,

A good online french life assurance acc. using the guaranteed euro fund (linxea, fortuneo etc for example) can be used as a savings account (there are no entry or withdrawal fees and 100% safe ), see here for performances;

 http://www.cbanque.com/placement/assurance-vie-palmares.php

 tax treatment is increasingly favourable with length of time acc. is open, and only the interest fraction of withdrawal is subject to tax and contributions.

 

[woolybanana]

Parsnips, am I right in saying that French life insurance can be free of inheritance tax if a child or children are named as the inheritors when it is opened?

The last Hollande government made certain changes to the conditions which raised quite a stink; basically they can now control the interest rate and encashment in moments of national crise ( define crise, svp!)