Livret A, LEP: here are the rates you get with the new rates for 2022!
Regulated savings rates are on the rise from 1.8. Savings book A increases to 2% and gives you €315.56 in additional interest throughout the year. But in reality the inflation-related loss of purchasing power of your savings can amount to up to 1,000 euros. The popular passbook rate will rise to 4.6%, giving your savings a little more protection.
Inflation affects savings accounts
In six months, the rate of issue A has quadrupled! Yes, four! Fixed at 0.5% on February 1, 2020, its lowest point, it reached 1% on February 1, 2022. As of Monday 1st August it is now at 2%. And this, just like its cousin, the Social and Solidarity Savings Book (LDDS). That’s a rate that hasn’t been seen in 10 years.
This is good news for the 56 million people who are homeowners an A bookletso more than 8 out of 10 French. decrease in your purchasing power. This is due to inflation, which is expected to be 5.6% for the year as a whole. As a result, the real return on your Livret A account becomes negative.
Savings book A: loss of up to €1,000
If you deposit €1,000 into your savings account A, you will receive €13.75 in interest. At the same time, however, you suffer an inflation-related loss of €56. Your purchasing power falls so €42.25. Specifically, €1,000 invested on January 1st, 2022 earns €1,013.75 in cash on your Livret A on January 1st of the following year… Except that at the same time the “true value” of this money deteriorates. Schematically, your savings in your Sparbuch A would be “worth” only €957.5 at the end of 2022 if inflation remained at 0% throughout the year.
With €5,000 or €5,800 in your savings account A
If you deposit €5,000 into your savings account A, you will receive €68.75 in interest. And that with a loss of 280 euros due to the price increase. Or 211.25 euros less purchasing power. In addition, 5,800 euros make up the average outstanding amount of a savings book A according to the latest figures from theRegulated Savings Observatory for the year 2021. The positive side, 79.75 euros in interest at the end of 2022, which in turn is swallowed up by 324.80 euros of inflation. Finally, a loss of purchasing power of 245.05 euros from the initial 5,800 euros.
With 10,000 and 15,000 euros
With an investment of €10,000, the annual interest increases to €137.5. On the other hand, the purchasing power of savings has fallen by EUR 422.5 because inflation has eroded by EUR 560. At 15,000 euros, however, the interest increases to 206.25 euros. But at the same time you lose 840 euros because of inflation. After all, you are missing 633.75 euros in purchasing power over the course of a year.
With 22,950 euros in your savings book A
This amount corresponds to the maximum amount that you can deposit on a Livret A, the interest is 315.56 euros. On the other hand, inflation leads to a loss of 1,285.20 euros, i.e. a loss of purchasing power of 969.64 euros. So almost 1,000 euros!
LEP at 4.6%: What is of interest in 2022?
the People’s Savings Book (LEP) usually provides protection against rising prices. And this in contrast to the savings book A, whose calculation method has been changed. Open to LEP by income. With a tax budget of one person, for example, it is 20,297 euros. The upper limit is 7,700 euros for deposits, the calculation formula follows the average inflation rate of the last six months. That is why the LEP rate “only” reaches 4.6% and no more.
An unbeatable interest rate for a secure investment that will benefit 18.6 million French. But in reality there is hardly any 7 million LEP holders. And according to the latest figures from the Banque de France. If you can benefit from it, opt to open an LEP to secure your savings instead of investing them in a Livret A.
By placing €5,600, the average outstanding amount of a LEP in 2021, the rate ofRate hike to 4.6%. The interest amount is then 173.60 euros in 2022 compared to 77 euros for a savings account A. Inflation reduces the value of your savings by 313.6 euros, ie a loss of purchasing power of 140 euros for an LEP. With a Sparbuch A it would have been 236.6 euros.