The Livret de Développement Durable et Solidaire is a solidarity-based savings product designed to finance environmentally-friendly and socially-responsible projects. This guide aims to provide you with an in-depth understanding of this financial scheme.

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1. Who can open an LDDS?

Any adult taxpayer domiciled for tax purposes in France can open a Livret de Développement Durable et Solidaire (LDDS), with a limit of one LDDS per person. It is also possible to open this passbook even if you are attached to your parents tax household.

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2. What is the LDDS ceiling?

You can deposit up to €12,000 on the LDDS; however, the interest earned can exceed this limit.

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3. How does the LDDS work?

Opening an LDDS presents no risk for its holder. To open an LDDS, all you need to do is deposit at least €15. Thereafter, you are free to pay in amounts of your choice and at your own pace, while maintaining the minimum balance of €15. Once the ceiling has been reached, it is no longer possible to make payments into the savings account. However, the interest rate continues to rise, allowing you to exceed the maximum authorized amount. Withdrawals: you can withdraw all or part of your savings instantly (depending on your bank s policy). Since January 2023, some banks have also been issuing a withdrawal card linked to the LDDS, which can be used at ATMs in their networks.

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4. How is it remunerated?

The LDDS is remunerated at a rate set by the French government. From February 2023 to January 2025, this rate is set at 5%. Interest is calculated on the 1st and 16th of each month. On December 31, accumulated interest is added to the capital, enabling the ceiling to be exceeded.

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5. Do I have to declare anything?

LDDS income is exempt from income tax and social security contributions.