Guide A: Surpassing Hurdles and Maximizing Engagement to Optimum Levels
Revamped Article:
Go ahead and give your savings a boost with the Livret A and LDDS tandem! While savers have been shy on their favorite book since March, with a lesser intake of 400 million euros compared to March 2016, the Livret A's yield remains a saving grace. With its 2.4% interest rate, it offers a return well above the 0.8% inflation rate in March and April.
But, a rising number of savers are hitting their limit with this go-to savings book. As per the Bank of France's report on regulated savings, the number of Livret A accounts surpassing the ceiling reached 12.7% towards the end of 2023, a figure that has seen a steady increase since the ceiling was set in 2013. Oh boy, that ceiling has not seen an update since the new year in 2013, when it inched up from 19,125 euros to 22,950 euros.
Quit panicking, though! For those feeling restricted by the Livret A's limits, there's a solution in sight – the LDDS or Livret de développement durable et solidaire. Open this alternative savings account, and you've got an extra ceiling of 12,000 euros at your disposal, while enjoying the same perks as your Livret A: 100% capital guarantee, instant withdrawals, no tax on interest, same deals with all banks, you name it.
What's more, both LDDS and Livret A sport the same interest rate of 2.4% since February 1 last year. This clever combo allows cap-hitters to nearly double their risk-free savings, going from a maximum of 22,950 euros to a whopping 34,950 euros, all with the same cushy conditions and rewards. That means monthly interest at 69.9 euros, in comparison to 45.9 euros with the Livret A alone at the ceiling. Seemingly, smart depositors are catching on to this extra piggy bank: the LDDS surpassed the Livret A in March, claiming 610 million euros in collected funds.
>> Earn More - Compare and pick your winning savings books Check out our latest articles On this topic: * Livret A * Savings books * Interest rates * LDDS * Savings * Investments
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- In the pursuit of maximizing savings, one could consider a combination of the Livret A and the LDDS, as the former's 2.4% interest rate, though lower in intake since March compared to 2016, still provides a substantial return above the inflation rate.
- For those savers reaching the Livret A's limit, the LDDS, with an additional ceiling of 12,000 euros, could serve as a viable alternative, offering similar benefits and rewards.
- By smartly utilizing the tandem of Livret A and LDDS, savers can nearly double their risk-free savings, reaching a substantial amount of 34,950 euros, with the same cushy conditions and attractive characteristics.
- To stay updated on the developments in personal finance, wealth management, and savings books, including the latest interest rates and investment opportunities, subscribe to our newsletter and explore our extensive collection of articles in 2023.
