What is a Livret A Saving Account in France?

Livret A is a simple savings account with instant withdrawal access that’s historically been very popular in France. It is a kind of on-demand, tax-free savings account similar to an ISA account in the UK.

In September 2024, there were 56 million accounts holding a total of 428 billion euros. French families felt confident in these government-backed accounts, which are easy to open and make a difference for the country. If you are settled and live in France, they can be a great idea for kids and grandkids, for the first car or a deposit on a house later.

Livrets A Are Popular Saving Accounts

Latest Interest Rate News

There is important news this summer: the French government has once again reduced the interest rate on the Livret to 1.7% from 1st August (from 2.4% in February 2025). It’s still a huge success with savers: more than 9Bn euros were deposited in Livret A savings accounts in January 2023, the highest in 14 years (source: Le Figaro). The latest figures for 2024 indicate that French savers have placed €508Bn in Livret A and LDDS accounts, a record amount driven by the cost of living crisis (source: Fitch).

The Highest Rate for 15 Years

The annual interest rate has been steadily declining over the last decade. In 2010, the Livret A had an annual rate of return of 4%. Two years late,r it had fallen to 2,25%, by 2015 to just 1%, by 2016, it had fallen to 0,75% and by 2020, the annual return rate was down to 0,5%.

Due the inflationary pressures at the start of 2022, the rate was increased to 1% in February 2022, which then doubled to 2% in August, the highest rate in nearly 10 years. At 3%, the rate was the highest it’s been for 15 years (source Service-Public).

Is the Livret A a New Savings Product?

Non, the Livret A was established in 1818 by King Louis XVIII to pay for debts incurred by Napoléon during his conquests. The funds were held and re-invested through the Caisse des Dépôts.

In the 19th century, funds were used to build railroads and canals across the country. Between World War I and World War II, to install electricity in rural France. Since then, it has mostly been used to build social housing.

How is the Interest Rate Calculated?

The Livret A rate is calculated twice a year (January and July) by averaging the average inflation rate over the last six months and the average interbank short-term rate. The new rate of 3% was applied on the 1st of February, the month following the decision from the Ministère des Finances taken in January.

Interest is calculated on the 1st and 16th of each month and paid in one instalment on December 31st. They are simply added to your capital.

Can Anyone Open an Account?

Any adult or child can open and hold a Livret A, it’s common for every member of a family to have one. The account is limited to a maximum amount of €22,950 per person/account. Any interest earned is exempt from French income tax as well as social charges. And there is no residence qualification for a Livret A savings account.

Where Can you Get a Livret A?

Until 2008, La Banque Postale and the Caisse d’Epargne had the monopoly on all Livret A accounts, but not anymore. All French banks now offer this savings account at the same rate as it’s regulated by the state.

If you already have a bank account in France, visit your account online and search for ‘épargne’, or talk to someone at your local branch. You could also walk to the village post office, which may be easier, or visit La Banque Postale website; their minimum payment amount is just 1,5€.

Do I Get a Bank Card? How to Close my Account?

You will not be issued a cheque book or bank card. Note that, as with any savings account, the Livret A cannot go into the red.  To close your account, you need to pay a visit to your bank in person to inform them of your decision, or you can post a simple letter. For more information, here’s the link to the French government’s website. Hopefully, we covered most of your questions above.

How to Deposit or Withdraw Money?

Money in a Livret A is available at any time; from the age of 16, anyone can withdraw money, unless parents or a legal tutor have decided otherwise. The minimum for a deposit or payment is 10€ (1.5€ for La Poste), and most transactions are made online or in person at a bank or post office.

New Rules for Savers

End of Duplicate Accounts

The Monetary and Financial Code in France prohibits holding two similar regulated savings accounts. To fight the opening of duplicate accounts, a decree published in March 2021 requires bank verification. This new measure came into force on January 1, 2024.

Many savers hold several accounts or regulated savings plans of the same type, sometimes without even knowing it (long-time opening of a young savings account by grandparents, change of bank, for example), even though this is forbidden.

Which Livrets and Accounts are Concerned?

The new regulation requires banks to verify that a customer doesn’t already have a similar savings account with another institution before opening a regulated savings product. The scheme concerns all accounts, schemes and regulated savings books:

• Livret A
• Popular savings booklet (SMP)
• Sustainable and inclusive development booklet (LDDS)
• Housing Savings Plan (PEL)
• Home Savings Accounts (CEL)
• Youth Savings Accounts

Since 1st January 2024, banks must comply with this new verification obligation and “question the tax authority to verify whether the person already holds a regulated savings product of the same class.”

What are the Controls?

From 2024, French banks will be required to:

• inquire of the tax authorities about information on other similar savings products
• refuse to open the account if the customer objects to communicating with tax authorities
• refuse to open the account if the French tax office confirms that the customer already holds one or more similar savings accounts. Until the holder has regularised the situation

If a person holds multiple identical savings books, they are given a 2-month grace period to reorganise their accounts. After this period, the savings product(s) will be cleared, and the money transferred to another non-interest-bearing account.


One of the easiest ways to save money is to commit to an amount and set up a monthly direct debit. If you earn income abroad, you could set up monthly or quarterly payments with our currency experts, either direct to your bank account, to your savings account or both. They are usually cheaper than high street banks or the post office.