3. Opening a French Bank Account - Compte Bancaire

1. 3.1. Eligibility
   3.2. Types of Account
   3.3. Bank Charges
   3.4. Application to Open Account

3.2. Types of French Bank Account

The current account you open is called a compte courant, but it may also be referred to as a compte à vue or compte de dépôt.

If you are depositing any funds, for which there is no immediate use, then you will also need to open a deposit account, which is called a compte sur livret, or Livret B, or compte à terme if it the account is not instant access.

The Caisse d’Epargne and La Banque Postale also operate exclusive regulated savings accounts called Livret A. Their monopoly of this savings account will change in January 2009, following a ruling from the European Commission that monopoly granted to them amounted to unfair competition.

Most banks do not make a charge for maintaining a basic current account, although a monthly charge will apply if you take one of the ‘packages’ offered by the banks.

Although the banks have now been granted the right to offer interest on current accounts (they were previously forbidden by law to do so until the EU stepped in) the practice has yet to be adopted by most banks, and France certainly lags behind the UK in the remuneration of current accounts.

Barclays currently has a rate of 3% on a current account, and Caisse d’Epargne offer a rather paltry 0.5%, but check the detail of the offer regarding minimum balance and charges.

Needless to say, tax and social charges are payable on interest earned so the net sum may not amount to very much! The accounts are only likely to be of interest to those who require a high degree of liquidity on their current account.

A large number of the internet banks also pay interest on current accounts.