The intercity train had just left Paris and was heading towards Limoges when it derailed, crashing into a station platform at about 17:00 local time.
Passengers were said to be trapped inside the train and a local official said there were “many casualties”.
Interior Minister Manuel Valls said seven people died and dozens were hurt.
Local MP Michel Pouzol said some carriages were lying on their sides.
A police source quoted by Le Figaro website said the train had split in two for reasons that were as yet unclear.
Other media reports spoke of passengers being electrocuted and crushed.
Jean-Paul Boulet of French rail company SNCF, said the train was carrying some 350 passengers when it derailed, Associated Press news agency reports.
French routes were particularly busy at the time of the crash due to the run-up to a holiday weekend marking Sunday’s Bastille Day.
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