Have you ever thought about increasing your savings rate? In this day and age, many people do not save money at all.
Thinking about saving and actually doing so are two different things altogether. The recent availability of Money Saving Apps in the system is can help you out.
The apps will help you to build your emergency fund or retirement account, save or invest and round up your spare change.
Benefits of a Money-Saving App
- The best automatic savings and investing apps help you to reach your financial goals at a lower cost.
- They are stress-free and are available at a lower price. Other benefits include:
- They help you save small sums of money without impacting your lifestyle.
- They help you to budget, set and reach multiple money goals
- They help you to earn interest on your savings
- Help to invest automatically and at a lower cost.
- They make saving very easy and convenient. You can simply set it and forget about it.
Best Money Saving Apps for 2022
Let’s look at some of the apps below:
This is one of the most popular and first micro-investing apps to be introduced in America. The app rounds up purchases made to the credit or debit cards linked to your account and saves or invests your change automatically.
Acorns offer three types of accounts:
Acorns Core: This is free for college students and it allows you to invest in a taxable investment account with a $1 a month fee.
Acorns Later: This account helps you to save for retirement through an Individual Retirement Account. You can start with as little as $5 and the combination of the Core Acorn and Later accounts will cost you $2 every month.
Acorns Spend: This is a checking account and debit card that helps you to spend, earn, invest and save. You can select all three accounts for $3 per month. The Acorns checking account has unlimited free ATM use and no minimum balance or overdraft fees.
- It is great for college students
- You can start with as low as $5
- It has automatic savings and investing
Is the Acorns App Safe?
Acorns is a member of the Securities Investor Protection Corporation (SIPC) and your investments are protected to the tune of $500,000.
Your deposits are also insured to the tune of $250,000 by the FDIC. They also protect your account using 256-bit encryption.
This app helps you to save using a hands-off approach. When you add your bank account and sign up, the Digit algorithm analyzes your spending and automatically saves money on your behalf several times a week.
An FDIC insured account is where your money is transferred to. The algorithm makes sure you do not miss a bill payment and they will reimburse the fees for up to two instances of overdraft.
Fees: It costs $2.99 every month after a free 30 days trial.
- It is available on IOS and Android devices
- You can set up multiple savings goals on the app.
- The account earns a 1% annual interest that is paid every 3 months. You can withdraw your funds whenever you want.
- You earn $5 for every friend who signs up using your referral link.
- You can connect with more than 2,500 banks and credit unions in the U.S
If all you do is save your spare change, then the $2.99 monthly is quite expensive.
Is Digit Safe?
Your funds are kept in an account that is FDIC insures up to $250,000.
This is one of the most popular robo-advisors in the United States, the U.K and Canada. They have more than $3 billion in assets under their care.
They simplify the investment process by automating everything. They are very cheap and use low-cost ETFs which cost much less than traditional mutual funds.
They always ask you questions to determine your risk tolerance and investment goals when you open an account.
An approximate investment portfolio is recommended to you and you can set up automatic deposits.
They have a feature you can turn on or off; which is the “Roundup”.
This allows you to round up your purchases to the nearest dollar and invest your spare change. They also offer a smart savings account that pays high-interest rates.
Fees: They charge a 0.5% fee on accounts with less than $100k and 0.4% on accounts more than $100k.
- They give free financial advice
- They offer Halal and socially responsible accounts if you are interested.
- The app is highly rated on both the App Store and Google Play.
- Your investment account requires no manual work on your part.
- The management fee is lower than what is charged by the average mutual fund manager.
- The app does not offer goal-setting or budgeting functions.
Is Wealthsimple Safe?
Your account is protected by the SIPC up to $500,000 in the U.S ($250,000 for savings). Your funds are insured up to $1 million by CIPF/CDIC in Canada.
Chime is a bank that also doubles as a savings app. You receive a debit card, checking and savings account when you open an account.
Every time you make a transaction through a chime debit card, the app automatically rounds up your purchase to the nearest dollar and saves the change.
You can also automatically transfer 10% of your paycheck into savings Chime users have access to more than 38,000 free ATMs.
Fees: There are no monthly fees with chime however, there is a $2.50 fee when you make a cash withdrawal over the counter or use an ATM outside of the network.
- They have no banking fee
- They have automatic savings
- You get your paycheck 2 days early
- It is available on IOS and on Android devices
- The interest paid is a very low 0.01% APY.
- They have no physical location you can walk into.
Is Chime Safe?
Your deposit account with them is FDIC-insured.
This is an online bank and savings app that helps you save and invest easily using goals.
How it works: You can apply some rules to fund your goal once you set up your account.
Spend Less: this allows you to save the difference whenever you spend less than you have budgeted.
52 Week: Helps to determine how much you set aside every week or the year.
Guilty Pleasure: this save your money anytime you give in to temptation.
Round-Up: Rounds up your purchase to the nearest dollar and saves the difference.
Payday: Saves money anytime you receive a paycheck.
Set and forget: You select how much you want to send to your savings on a daily, weekly or monthly basis.
Freelancer: Saves a percentage of the deposits in your account
Apple Health: When you run, take a walk, work out or take a number of steps a day, you get paid.
They also offer a spending account that functions as a checking account that is linked to your debit card.
The account also uses pre-built-in portfolios composed of ETFs.
Fees: They have three membership plans which are:
- Qapital Basic -$3 a month
- Qapital Complete-$6 a month
- Qapital Master- $12 a month.
- There is a free 30-day trial period for payment to begin.
They make it very easy to save
The interest rate is a measly 0.1%
Is Qapital Safe?
The funds are FDIC-insured up to a sum of $250,000.
It is a mobile bank that offers a very high-interest savings rate, a free personal assistant that helps you stay on top of your money and a cashback on debit purchases.
Benefits of Empower
- Easy budgeting app with alerts, reports and trackers
- They have access to 25,000 free ATMs
- There are no monthly fees
- They have up to 2% cashback on your $1000 debit spending
- They’ve got automatic savings with high interest currently at 2.15% to 4.30% APY.
Is Empower Safe?
Your funds are FDIC insured up to $250,000 and they also use 256-bit encryption to secure your account.
This app can help you cancel unwanted subscriptions, access your free credit score and track your spending.
Your savings are kept in online savings account from Marcus by Goldman Sachs.
The accounts earn a 2.25% APY and it is also FDIC insured. The app is available on both Android and IOS devices.
Fees: It is free to use.
You can use the Keep The Change Program to boost your savings when you bank with the Bank of America.
When you make a purchase with your debit card, they round up your purchase to the nearest dollar amount and transfer the change from your debit to your savings.
Fees: There are no fees
- Integrated into your regular banking
- Available on the Google Play store and the App Store.
- They have automated savings
You need to have a checking and savings account with Bank of America to use the app.
9. Stash Invest
This app automates your whole investment process. You simply have to connect your bank account; choose how much you want to invest whether on a weekly or monthly basis and the app does the rest.
With as little as $5 you can invest in stocks and ETFs using fractional shares.
Fees: You pay $1 a month for the Stash Invest and custodial accounts. You pay a fee of $2 a month with the retirement accounts (Traditional IRA and Roth IRA).
- It is good for beginners who want to learn about investing
- They have multiple investment options
- They have automated investing
- They are available on Android and IOS devices
If you’re not investing regularly, the monthly fee can add up.
Is Stash Safe?
Your funds are SIPC insured up to $500,000 and are kept in the custody of Apex Clearing Corporation.
10. Bonus- Moka
This is the Canadian version of the Acorns app. The app automatically rounds up your purchases and invest them in a professionally managed low-cost ETF investment portfolio immediately after you sign up and link your bank account.
You can use multipliers to increase your contributions and reach your money goals faster.
The app allows you to set multiple financial goals.
Fees: It cost $3 per month.
- They have free withdrawals
- You earn cashback from your favourite brands
- They also have socially responsible portfolios.
If you save just a little stipend every month, the monthly fee becomes very hefty.
Is Moka Safe?
Your funds are insured by the CIPF for up to $1 million. They also use 256-bit encryption to secure your data.
Savings App will help you grow your finances and increase your net worth without little effort on your part.