Online Banks in France: What You Actually Need to Know in 2026

Online bank vs neobank: legal status comes before the interface

In everyday language, anything that runs on an app without a physical branch is called an online bank. That label is convenient but legally imprecise. French and European rules distinguish three statuses with different services and different protections.

Fully online banks (credit institutions)

Boursorama Banque, Fortuneo, Hello bank!, BforBank and Monabanq are credit institutions authorised by the ACPR. Like a traditional bank they may take deposits from the public, run current accounts, grant credit (mortgages, consumer loans), distribute regulated savings products and life insurance. What makes them different is the distribution model: no physical branches of their own, lower running costs, and as a result lower pricing on everyday services.

Most are backed by a major French banking group: Boursorama Banque belongs to Societe Generale, Hello bank! is BNP Paribas' mobile bank, Fortuneo is part of Credit Mutuel Arkea and Monabanq belongs to Credit Mutuel Alliance Federale. That backing explains, where it is contractually offered, access to ATMs or branches of the parent group for cash or cheque deposits.

Neobanks (electronic money or payment institutions)

Revolut, Lydia, Nickel and a range of specialised players for professionals typically operate under a different status: electronic money institution (EMI) or payment institution, authorised either in France or in another EU member state under freedom to provide services. These structures run a payment account, issue a card and execute transfers, but they do not in principle offer the full range of banking services: no general overdraft facility, no mortgage, no regulated savings book.

N26 is the notable exception: it is a full bank, authorised by the German regulator BaFin, and therefore covered by the German deposit guarantee scheme harmonised at EUR 100,000 across the European Union.

This distinction is not a footnote: it determines how your deposits are protected if the institution fails, and which products you can actually access.

FGDR deposit guarantee: what is covered, what is not

The Fonds de garantie des depots et de resolution (FGDR) is the French body responsible for compensating depositors if a French-authorised bank fails. It implements a harmonised European directive, which is why the ceiling is the same across the European Union.

What is covered up to EUR 100,000

The guarantee is capped at EUR 100,000 per depositor and per institution, across all accounts combined. This includes current accounts, non-regulated savings books, term deposits and foreign-currency deposits. The cap applies per person and per bank: a couple holding a joint account and two individual accounts at the same bank effectively benefits from EUR 300,000 of coverage.

The favourable exceptions (regulated savings)

The Livret A, the Livret de developpement durable et solidaire (LDDS) and the Livret d'epargne populaire (LEP) are guaranteed directly by the French State, in full, on top of the FGDR scheme. See our savings accounts guide for details.

What is outside the scope

Securities held in a PEA or a regular brokerage account are not covered by the deposit guarantee but by a distinct securities investor compensation scheme, also run by the FGDR, capped at EUR 70,000. Life insurance falls under a separate scheme operated by the FGAP. Finally, funds entrusted to an electronic money institution or payment institution that does not hold a banking licence are outside the FGDR scope. Regulation requires those funds to be segregated in a separate account at a credit institution, which protects them from the EMI's creditors, but does not provide automatic compensation in case of failure.

European neobanks

When a neobank is a bank licensed in another EU country (N26 in Germany, for example), the relevant deposit guarantee scheme is the one in the home country. The cap remains EUR 100,000, harmonised across the EU, but the compensation procedure goes through the foreign body. Always check the terms and conditions to identify the applicable scheme.

Banking mobility: a free, automated service since 2017

The banking mobility service was introduced by the Macron law of 6 August 2015 and came into force on 6 February 2017. It is codified in Article L. 312-1-7 of the French Monetary and Financial Code. The principle is simple: your new bank takes care of transferring your recurring operations to the new account, free of charge and without any extra action on your part.

How it works in practice

1. You sign a mobility mandate when opening the new account. It authorises the new bank to act in your name towards the previous bank and the issuers of recurring payments.
2. The new bank collects from the previous bank the list of SEPA direct debits and recurring transfers issued or received during the last 13 months.
3. It sends your new bank details (BIC and IBAN) to each issuer.
4. Issuers have 10 working days to update their records and confirm.
5. You keep the choice of whether to close the old account; the new bank can pass on that instruction on request.

The total legal deadline is 22 working days from receipt of the mandate. The service is entirely free, including closing the old account. To open an account in compliant conditions, see our guide on opening a bank account in France.

What is not covered

The service does not automatically transfer your savings products (Livret A, LDDS, LEP, life insurance), your outstanding loans or any cheques not yet cleared. Leave a buffer on the old account while payments in transit are processed, and keep your statements for your tax filings.