It’s official since February 1, 2026: the Livret A rate falls to 1.5%. A drop that hurts for the 58 million French people who hold this star investment. Concretely, this means that on a full booklet (€22,950)you will only gain €344 per year, against €551 when the rate was 2.4% a year ago. Should we, however, remove everything and look for better elsewhere? Not so simple. Livret A retains unique advantages: guaranteed capital, total liquidity, zero taxes. The real question is therefore not “Should we keep it?”but “up to what amount and for what use?”.
Because it is essential to remember this rule: before embarking on more profitable investments, it is good to always keep the equivalent of four to six months of expenses on your Livret A. Rent, groceries, bills, gas… This so-called savings “precautionary” will be immediately accessible in the event of a hard hit to be able to pay your charges. This is your safety mattress. Once this base is established, you can consider other options depending on your situation.
So, what investments become interesting with the drop in the Livret A? Answer in three profiles.
For a small saver
If you have little money to put aside, it’s understandable that you don’t want to take a risk with it. Booklet A therefore remains the right placement. With its net rate, it does better than the Great Booklets banks. Plus, you can withdraw your money at any time, without fees or penalties. The 1.5% rate may seem low, but it remains above expected inflation in 2026 (around 1.3%).
But perhaps you are one of the French people eligible for the LEP (Livret d’Epargne Populaire)? For this, your 2024 reference tax income must not exceed €23,052 (for a single person) or €35,296 (for a couple). This booklet reports 2.5% as of February 1, 2026or 67% more than Livret A, with the same guarantees. On €10,000 (its ceiling), this makes €250 in annual earningscompared to €150 for the same amount on a Livret A.
Are you saving for a medium-term project?
Have you already built up your safety net and are you preparing for a real estate purchase or a project in the next three to five years? Livret A is no longer enough. It must be completed. The first investment to turn to is the Euro life insurance fund. The best have largely exceeded Livret A in 2025 (with CARAC at 3.55% and Suravenir Opportunities 2 at 3%) excluding bonus. For 2026, forecasts are based on maintaining around 2.5% to 3%. In addition, if your life insurance reaches 8 years, you have advantageous taxation (for a single person, €4,600 tax deduction : only the 17.2% social security contributions are due). A euro fund with a yield of 3% thus gives 2.48% net of withdrawals after deduction.
There are also term accounts, which offer a good return in exchange for locking up your money for several years. The duration is defined at the time of subscription. They can thus go up to 2.85% gross, but unlike life insurance, there is no tax advantage: the flat tax of 31.4% will apply.
You can also consider the Housing savings plan (PEL), which displays 2% gross. But with barely 1.40% net (after flat tax at 30%), it does little better than Livret A, while imposing compulsory monthly payments (€45 minimum) and a four-year lock-in. Its only real benefit is if you are preparing to purchase a main residence: the right to a home savings loan of up to €92,000 at a rate of 3.20%. A useful addition to your main credit.
For an saver wishing to diversify
If you don’t have a short or medium term plan and money available, it may be time to put it to work. But be careful, if you have learned your lesson, you have understood that you do not touch your safety cushion: the money you invest is the one you are not likely to need for several years.
SCPIs (Real estate investment companies) display attractive returns, from 4.5% to 8% on average. The objective: to diversify into real estate and earn rents without all the constraints of “real” real estate. But in return, your capital is not guaranteed and entry fees are applied, 8 to 10%. This is why it is better to keep them for at least eight years.
Finally, investing your money in the stock market offers prospects of greater gains in the long term (more than 10 years), but with significant volatility: your capital can fluctuate up or down. To minimize this risk, we will have to diversify as much as possible. For this, ETFs are the best instruments: they allow you to invest worldwide in a single financial product, which can be purchased as simply as a share.
