View the definition of technical terms

All the FGDR’s protections rely on relatively complex banking and financial mechanisms. This glossary provides the definition of many technical terms used on this website or in the FGDR’s documents.

ALL WORDS A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

L

LDDS - Livret Développement Durable et Solidaire (formerly LDD) 

Regulated savings i product available only to persons whose tax residence is in France. The funds deposited are available at any time. An LDDS account has an unlimited term. However, it may be closed at any time by the account holder. Only one LDDS account may be opened per taxpayer plus one for their spouse. The interest paid on an LDDS account is tax-exempt. The maximum amount that can be deposited into an LDDS account is currently €12,000.

Source: Banque de France

Group of individuals that is recognised as having a legal personality separate from that of its members and is a subject of law. A distinction is made between public legal entities: central government, departments, communes, regions, public institutions and private legal entities (companies, trade unions, professional bodies, associations).

Source: Larousse

LEP - Livret d’Épargne Populaire

Regulated savings i product available only to individuals whose tax residence is in France and whose income tax does not exceed an amount that is revised each year. The funds deposited into an LEP account are available at any time. The term of an LEP account is unlimited so long as the tax ceiling requirement is met. However, it may be closed at any time by the account holder. Only one LEP account may be opened per taxpayer plus one for their spouse. Children included in the tax household may not hold this type of account. The interest paid on an LEP account is tax-exempt. The maximum amount of deposits is €7,700.

Source: Banque de France

Life insurance

Life insurance is a contract by which the insurer agrees, in exchange for a premium, to pay the beneficiary an amount stipulated in the contract in the event of the policyholder’s death or the policyholder's survival over a specified period.

Source: AMF

Life insurance policy

Contract by which the insurer makes a commitment, in return for the payment of contributions or premiums, to pay to the policyholder, the subscriber or their designated beneficiaries a lump-sum payout or an annuity in the event of the death or survival of the policyholder, based on the terms and conditions defined in the policy. Life insurance i policies are subject to a specific tax regime. Policies may be issued to an individual or a group. The Fonds de Garantie des Assurances de Personnes (FGAP) covers these products taken out with insurance companies. 

Source: Banque de France et FGDR

Limited liability individual business owner (EIRL)

A limited liability individual business owner (EIRL) is an option that allows Individual Business Owners to allocate assets to their business, and thereby separate their personal assets from their business assets, without creating a legal entity. However, its legal status and the separation of assets make it comparable to a legal entity. Individual Business Owners use a company name that includes their name, preceded or immediately followed by the words: Limited Liability Individual Business Owner or the initials EIRL. (Law no. 2010-658 of 15 June 2010 on Limited Liability Individual Business Owners).

Source: FGDR

liquidator

Trustee appointed by the court in proceedings involving the court-supervised reorganisation or liquidation of a company.

Source: Larousse

Livret Bleu savings account

Regulated savings i account available in the Crédit Mutuel network. As of 1 January 2009, it is no longer possible to open a Livret Bleu account. However, accounts existing as of that date remain in effect. A Livret Bleu account is similar to a Livret A account. A person may not have a Livret A account and a Livret Bleu account at the same time.

Livret Jeune savings account

Regulated savings i product available only to individuals aged 12 to 25 who reside in France. For those under age 16, withdrawals from a 'Livret Jeune' savings account must be authorised by their legal representative. A 'Livret Jeune' savings account is closed by no later than 31 December following the account holder's 25th birthday and the credit balances are transferred to another account designated by the account holder. The interest paid on a 'Livret Jeune' savings account is tax-exempt. The interest rate is set by the credit institutions and may not be lower than the Livret type “A” rate.

Source : Banque de France

Livret type “A” savings account

Regulated savings i account that can be opened by any individual and by certain associations. The funds deposited are available at any time. A Livret type “A” savings account i has an unlimited term. However, it may be closed at any time by the account holder. Only one Livret type “A” savings account may be opened per person (including minors). The interest paid on a Livret type “A” savings account is tax-exempt. The maximum amount that can be deposited by an individual into a Livret type “A” savings account is €22,950.

Source: Banque de France

Livret type “Bleu” savings account

Regulated savings i account available in the Crédit Mutuel network. As of 1 January 2009, it is no longer possible to open a Livret type “Bleu” savings account i. However, accounts existing as of that date remain in effect. A Livret type “Bleu” savings account is similar to a Livret type “A” savings account i. A person may not have a Livret type “A” savings account and a Livret type “Bleu” savings account at the same time.

Source : Banque de France