Currently, it turns out that having too much money in your checking account is no longer a good idea. We will explain everything to you.
Inflation, a phenomenon that even affects banks.
The French love to accumulate their money in the bank. Indeed, this is the case according to a study conducted by BPCE in January 2019. The results of this study showed that French people hold an average of 14,000 euros in their current account. However, according to some, this is a bad idea. In effect, it is not advisable to accumulate too much money in the bank.
Moreover, in these times of inflation, it is even a mistake that could harm your savings. Indeed, the fees can increase at any time because even the banking sector is currently on the brink of crisis. Instead, we should focus more on savings. Indeed, only the minimum necessary for our daily life should be stored in the bank.
How to use your current account properly?
Having a bank account is very useful. But you have to know how to use it intelligently so as not to have any unpleasant surprises. First, store only double your salary in your account. In effect, your salary will allow you to survive during the month. As for his double, it will help you plan for the unexpected during the month. It will also help you treat yourself to certain little pleasures.
To help you even more, they are also advised to make a list of your monthly expenses. The advantage of these current accounts, unlike savings accounts, is that they have no minimum balance. So, the account may very well remain empty. Moreover, they are also not subject to a maximum ceiling. But the problem is that the money you are going to store in it will earn you nothing and will be interest-free.
What should be done then?
According to bankers and experts in the field, the current account is the most dangerous account. The reason is that credit card fraud is very common. Thus, it is advisable to put only the minimum necessary to maintain your lifestyle.
This sum will then help you to pay your expenses and finance your contingencies. As for the rest of your money, transfer it to passbooks. For example, there is the Livret A whose rate is very interesting. Indeed, it went from 0.5% to 1% in February 2022. Then, it increased by 2% on August 1, 2022. Now, it has reached 3%.