Savings: these “old” savings products that are recommended to be kept for life

Do you have an old popular savings plan or a housing savings plan? If so, think carefully before closing or transferring the sums to a new product. Very often, the tax system and the returns you like will always remain more advantageous than those currently offered.

Some old savings products are still very profitable today. In this period of inflation and despite the revalued regulated savings rates, it is sometimes more profitable to “let your money sleep” on these products opened several years ago, than to open new ones.

Indeed, depending on when you open, some risk-free investments can be real business both in fiscal terms and in terms of benefits. This is particularly the case for the housing savings plan (PEL) and the popular savings plan (PEP).

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PEL opened before 2011, a gold mine

The ELP benefits from generational remuneration. This simply means that their interest rate, fixed at the subscription, is valid for the entire life of the plan. However, in respect of PELs opened before 1 March 2011, this life is not limited.

Still set at 1% gross today, the PEL rate was much more advantageous a few years ago. Indeed, depending on the opening period, the interest rate reached up to 4.75% (excluding premium) in the mid-1980s. Specifically, if you are in possession of an “old” PEL, it potentially earns you much more than any other product at the present time. It’s better to keep it. And this, even though some bank advisors recommend closing them, arguing that they are taxed after 12 years.

Up to 92,000 euros from the PEP

If it is no longer possible to open a PEP from September 25, 2003, this product remains a blessing for those who still have one. There are two reasons for this. The first is that it offers a full capital guarantee, and the second is that it allows an exemption from income tax, if you opt for a capital flow or a life annuity. In addition, as long as the regulatory ceiling of 92,000 euros has not been reached, it is still possible to increase your PEP.

Finally, in the hope of obtaining a better remuneration, it is possible to change the manager and request a transfer against one hundred euros of expenses. Some insurers have carefully placed PEPs in their catalog to attract new customers by encouraging them to request the transfer of their product. Thanks to this operation, they can benefit from returns similar to the current high-end life insurance policies.

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