Stop leaving your money in your checking account, it’s a bad idea and we’ll explain why. In this sense, you should not make money sleep in your current account, it is better to opt for secure investments. At the same time, the ideal would be to invest your money in an activity that will bring profits a little later.
Stop leaving your money in your checking account
Indeed, stop leaving your money in your current account, it should just allow you to pay for your daily expenses.
In particular, it is a unpaid support, unlike regulated savings accounts which earn an interest rate.
And yet, many individuals choose to leave part of their savings there.
In this direction, the French accumulate more than 544 billion euros in their current accountsaccording to the Bank of France.
On another side, the assets placed on the Livret A and LDDS accounts combined amount to only 509.7 billion euros.
In other words, that the French have more money in their current account than in their regulated savings accounts.
Apparently it isa choice that is not necessarily wise against the Livret A rates which are currently skyrocketing.
Opt for secure investments
Indeed, stop leaving your money in your current account, instead place them in regulated savings accounts.
In this direction, their rates are starting to get interesting againan effective solution to avoid letting your savings sleep.
Apparently, the calculation of their remuneration takes inflation into account and varies proportionallyhence the rise in rates.
Recently, the Minister of Economy and Finance revalued upwards three times the yield of the Livret A.
In particular, this rate goes from 1% net in February 2022 to 2% in August, and finally to 3% on February 1, 2023.
On another side, the interest rate for the People’s Savings Account reached 6.1% in February last.
As a result, if you have money, consider opening a bank book whose yields have risen sharply lately.
Nevertheless, we recommend that you keep about a month’s salary in your checking account to pay for your expenses.
Apparently, a month’s salary should allow you to cover unexpected expenses with some flexibility.