Best Microsavings Apps

Saving money is in fact earning money. It is essential to build wealth to develop an optimistic future that is financially safe as well. The microsavings systems evolved over time and proved an asset for limited-income people as they can save even the smallest amount of money. Microsavings apps got immense popularity in the recent past. They automate your savings by rounding up transactions and transferring small amounts to your savings accounts, hence helping you save money effortlessly. These apps also offer bonus cash when customers purchase from partners.

Our Best Microsavings Apps Review will take you around top microsavings apps, so you can choose the best platform and nurture your savings habits.

What is Microsavings?

Micro means extremely small, so microsavings refers to saving on a very small scale. The concept of microsavings apps originally came from the savings goals of the developing countries where people strive hard to save even a few cents from their daily expenditures. Microsavings is a kind of microfinance. Microfinance refers to basic financial services for low-income earners. In this way, financial institutions and organizations urge individuals to save money by providing them financial services like checking accounts, savings accounts, investments, credit cards, and loans for personal and business purposes.

How Microsavings Apps Work?

Microsavings apps are very common these days. Many apps analyze spending habits, connect to your bank accounts and credit cards, and automatically deposit small amounts of money to a savings account or an investment portfolio. There are different strategies that microsavings apps act upon.

  1. Transfer money into savings account daily
  2. Round up purchases to the nearest dollar and deposit the savings
  3. Create rules or triggers and a specific amount is deposited to the customers’ accounts when a certain action takes place
  4. First, examine your spending habits and deposit a certain amount into your savings account by using an algorithm.

You don’t need to do anything and all these strategies function automatically.

What to look for in Microsavings Apps?

Various microsavings apps are available in the market. You should consider the following factors before getting subscribed to any microsavings app.

– Ease of use
– Budgeting feature
– Banking feature
– Savings schedule
– Investment options
– Interest rates
– Access to funds

Best Microsavings Apps

1. Acorns

What is Acorns?

Launched on August 26, 2014, Acorns is a fintech financial services company specialized in micro-investing and robo-investing allowing the users to invest their sub-dollar money. Acorns has made investing accessible to everyone. Acorns has pulled out the misconception that investing is the game of the haves only. Acorns’ micro-investment implies investing in small increments. So, with Acorns, you can maximize the potential of your money’s growth by getting an investment account in less than 5 minutes.

acorns-home
acorns-home

The mission of the company is to look out for the financial benefits of its investors by assisting them through micro-investing. As a robo advisor, Acorns offers algorithm-based financial services by placing customers’ assets in many investment products. On Acorns, it is easy to earn passive income as your spare change is rounded up through your linked accounts and invested automatically for just $1 a month. The smart pre-built portfolios designed by Acorns experts and innovators are turning the investing journey light and inexpensive and making more than 8 million people grow financially. In 2020, Acorns had more than $3 billion FUM (funds under management).

Acorns Fees

Acorns offers three subscription tiers to back up your journey to achieve your financial goals.

  1. Acorns Lite – $1/month includes:
  • Investment account
  • Round-Ups
  • 350+ brand partners for bonus investments
  • Hundreds of articles to grow financial knowledge
  1. Acorns Personal – $3/month includes:
  • Investment account
  • IRA (Acorns Later)
  • Checking account (Acorns Spend)
  1. Acorns Family – $5/month includes:
  • Investment account
  • Acorns Later
  • Acorns Spend
  • Acorns Early

Acorns Pros and Cons

Acorns Pros

  • Quick account opening
  • Automatic saving and investing
  • Minimum investment
  • Portfolio suggestions and rebalancing
  • Easy to navigate mobile app
  • Bonus investment
  • Investing for kids
  • Educational content
  • Unlimited accounts and debit/credit cards connection

Acorns Cons

  • No individual investment option
  • Not good for hands-on investors
  • Limited investment portfolios
  • $5 aggregate limitation
  • High fees on small accounts

2. Digit

What is Digit?

Digit is a microsavings platform that encourages passive saving and investing. Digit analyzes your spending habits and determines the amount that could be saved. It was founded in 2013 to empower the concept of automatic saving by enabling non-savers to save money. Digit calculates your income, and spending patterns and transfers small chunks of amount into your savings account. There are no minimum account balance requirements. The goal of the company is to enable everyone to start saving irrespective of their income. Digit helps you save and grow your money for retirement and long-term investing with ETFs and IRAs. An average member saves $2,200 per year on Digit.

Digit considers the following factors before transferring money into savings.

  1. Balance of your linked account
  2. Approaching income
  3. Bills
  4. Immediate spending
  5. Safe Saving Level

Digit makes use of machine learning to review your account every day, but transfers into savings are made twice or thrice a week. Digit claims digital security up to the government and military level. Customers’ data is secured by 256-bit encryption. Savings made to Digit are 24/7 FDIC-insured. Your cash is protected up to $250,000.

Digit offers a 30-day trial period. Digit prevents overdraft and sends money to your bank account if your balance drops below a certain amount. After every three months, Digit offers your 0.10% savings bonus. Digit members have saved more than $2.5 billion up to now.

Properties

  • Financial technology
  • Consumer technology
  • Personal finance

Digit Fees

Digit charges just $5 per month for its membership. The Digit membership cost is charged automatically from your linked checking account if you do not close your account before the 30-day trial period. You will receive an alert email before the first charge.

Digit Pros and Cons

Digit Pros

  • Savings is automatic, simple, and easy
  • Overdraft prevention
  • Investments and IRAs
  • No savings account required
  • 0.10% savings bonus
  • FDIC insured
  • High-level security
  • Mobile app

Digit Cons

  • $5 monthly fee
  • Available in the U.S only
  • Only one checking account allowed
  • No interest rate
  • Limited customer support
  1. Chime

What is Chime?

Chime is one of the fastest-growing fintech companies in the U.S helping you achieve peace of mind. Chime itself is not a bank, but partners with two FDIC member banks i.e. The Bancorp Bank and Stride Bank. The company was founded in 2013 with a new approach to online banking and helping people grow savings automatically. Unlike traditional banks, Chime does not charge any hidden fees, help you grow savings, and keep you updated on your spending and account balance.

Chime offers a mobile bank account with early direct deposit. Opening a bank account through Chime brings the following perks:

  1. Visa Debit Card
  2. Spending Account
  3. Savings Account

The mission of the company is to turn financial peace of mind into an accessible reality for everyone. Chime follows the principle of providing protection to its members and making them manage their money with ease. Chime claims to never profit from its clients’ misfortune or mistakes as they are focused to improve their members’ lives.

Chime works as a primary financial management platform that allows direct deposit. It was designed to save and earn extra money by avoiding complex financial situations. Chime makes money from the interchange fee every time you use Chime Debit Card or Credit Builder Secured Credit Card. Your Chime deposits are FDIC insured up to $250,000. Chime debit cards are secured by the Visa Zero Liability Policy, and Chime offers 2-FA and fingerprint authentication.

Chime allows you to save money when you purchase something or pay a bill with Chime Visa Debit Card. Chime will round up transactions up to the nearest dollar and deposit them into your Savings account. Once the round-up is done, your money is instantly available to you. This feature makes Chime different from other round-up savings apps.

Chime Fees

  • No overdraft fees
  • No minimum balance fees
  • No monthly fees
  • No foreign transaction fees

Chime charges fees when you use an out-of-network ATM or get cashback from a non-partner retailer. Chime does not offer overdraft protection transfers.

Chime Pros and Cons

Chime Pros

  • No monthly fees
  • No overdraft fees
  • Automatic savings
  • Visa Debit Card
  • Savings are immediately available to use
  • ATM network

Chime Cons

  • Difficult to deposit cash
  • Limited banking services
  • Out-of-network ATM fee

4. Qapital

What is Qapital?

Qapital is a personal finance mobile app that offers a complete financial solution where users can set their savings goals. Qapital automates finances and helps individuals and couples reach their financial goals by combining behavioral science and the power of automation. With its Payday Divvy feature, you can automate your payday to save, invest and spend money.

Qapital was released in 2013 in Sweden and then in the US in 2015. Now it only focuses only on the US market. Qapital can connect to 180+ apps like Facebook, Twitter, Dropbox, Instagram, etc. With 100K+ 5-Star reviews and over 2 million members, Qapital enables you to save money effortlessly to make major purchases. The customers’ balance is secured and protected by FDIC “pass-through insurance” i.e. $250,000 per user.

Qapital renders control in your hand to boost your savings. This it does with the help of Rules that initiate money in your Qapital savings account.

These Rules are:

  • Set and Forget Rule
  • The Round-Up Rule
  • The Guilty Pleasure Rule
  • The Spend Less Rule
  • The Freelancer Rule
  • The 52 Week Rule
  • Apple Health Rule
  • IFTTT Rule (If This Then That Rule)

Properties

  • Personal Finance
  • Online Money Management
  • Automated Savings
  • Mobile Banking
  • Fintech
  • Banking

Qapital Pricing

Qapital offers a 30-day free trial. The other monthly paid plans are as under.

  • Basic – $3/month

The Basic members save average $1,500 per year

  • Complete – $6/month

The Complete members save average $4300 per year

  • Master – $12/month

The Master members save average $5,000 per year

Qapital Pros and Cons

Qapital Pros

  • 30-day trial period
  • Savings rules
  • Hands-off savings
  • Spending account
  • Referral bonus
  • Mobile app

Qapital Cons

  • No interest
  • Desktop access unavailable
  • No phone support

5. Stash

What is Stash?

Stash is an automated saving and investing app to impart financial freedom to Stashers. Stash was launched in 2015 to assist build achievable financial goals. Stash features savings, spending, and investing. It is an all-digital financial service platform where you can spend, save, and invest. Stash’s goal is to make investing accessible for everyone. Stash is determined to achieve this goal by offering fractional shares and other investing and saving tools, e.g. Stock-Back Card. Stash has helped 5 million+ customers. With the mission to empower people to build wealth, Stash provides saving, investing, and financial education to build healthy financial habits by removing the two biggest barriers i.e. inaccessibility and lack of financial literacy.

Stash is an award-winning fintech financial services company that follows the core values of individuality, accountability, empathy, integrity, and quality. Stash as a useful microsavings platform for the newbies uses SmartStash and round-ups to make transfers to the savings account.

Properties

  • Investing
  • Financial Technology
  • Personal Finance
  • Banking

Stash Cost

Stash offers retirement, banking, individual investment, and custodial accounts with the help of 3 subscription plans.

  • Stash Beginner – $1 per month
  • Investing
  • Stock-Back Card
  • Banking
  • Saving tools
  • Personalized advice
  • $1k life insurance by Avibra
  • Stash Growth – $3 per month

All from Stash Beginner plus:

  • Smart portfolio
  • Roth or Traditional IRA
  • Tax benefits
  • Personalized retirement advice
  • Stash+ – $9 per month

Everything from Stash Growth plus:

  • Smart portfolio
  • Investing for children
  • Stock-Back Card bonuses
  • 2× stock with the Stock-Back Card
  • Premium research and advice
  • $10k life insurance by Avibra

Stash Pros and Cons

Stash Pros

  • SmartStash
  • Round-Ups
  • Fractional shares
  • Educational resources
  • Debit account
  • No minimum deposit required
  • Flexible plans
  • Stress-free saving and investing

Stash Cons

  • Available in the U.S only
  • No in-person advisor
  • Costly for small accounts

Final Thoughts

Microsavings accounts are possibly the easiest savings options to grow your wealth. Today, saving and investing money is easier with the power of technology. These best microsavings apps not only add peace of mind but also contribute towards your financial goals. These apps adjust your behavior patterns, regularly move small amounts of money into your savings, and bestow secured wealth for rainy days. Microsavings apps are best for those who are not in the habit of saving and investing and more importantly, they make it all automatic.

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