You can put your money in a term account that yields a little more than 3%, but you still have to agree to lock up your money for a period of time. Life insurance is a very comprehensive savings product, but it is recommended to hold it for at least 8 years. There are then classic savings accounts, or even worse, letting your money sleep in a current account, which is available at any time, but is not interesting from the point of view of yield. And even more so in times of high inflation, as is the case today.
Don’t let your money sleep
That was before Plum Interests. With Plum interest you get a variable net return of 3.61%* (*valid November 2023) on your cash. The money remains available all the time, there is no minimum or maximum deposit and returns are paid out every day. Above all, this rate is expressed without fees and there are no hidden fees, the account is set up for free!
Finally, the perfect product to complete your Livret A and stop letting your money lie idle!
Sounds good, but how does it work?
When you deposit money on Plum Interests, it will be invested mainly to finance the short-term debts of European countries such as France or Germany, while respecting the interest rate that the ECB sets to control inflation. The advantage is that it allows you to touch:
- Almost a daily reward
- To track the amount of accrued interest
- To withdraw money whenever you want
- No minimum or maximum deposit
So this is an account that pays a really favorable rate in the market, but without any ceiling and without the need to block your money. If the ECB rate rises, as it did last September, for example, the Plum interest rate will also rise, unlike the Livret A rate, which will remain at 3% until 2025, for example.
An alternative to bank books
As explained, this rate follows the ECB rate, which means it will be variable. If the ECB rate increases, your Plum interest rate will increase and vice versa.
When you put your money into Plum Interests, it is invested in these short-term bonds and thus there is capital risk. However, the risk is considered very low because the assets are issued or guaranteed by the EU.
Plum is a smart personal finance app that already has more than 1.7 million customers across Europe. The app is free to download, an account can be created in 5 minutes and can be a great alternative to traditional savings accounts where you can benefit from better rates.
Legal Notice :
As with any investment, there is a risk of capital loss.
Terms and conditions apply. Returns are not guaranteed. Plum does not provide financial or other forms of advice.