May 8, 2015
It is quite difficult to manage finances and think about savings at the same time during our busy day-to-day schedules. Digit is an app which quietly does the job of saving money for users after a careful analysis of their lifestyle and spending habits. The app’s algorithm tracks the income and spending patterns of the users and saves a meagre portion of the amount every two to three days.
As stated on their website, Save money, without thinking about it.
To start with, the Digit app has to be linked to the user’s checking account. The app constantly analyzes the user’s spending habits, cash flow and vital expenses. A complex algorithm integrates all this information, and after careful analysis, will transfer a small portion of the money to the Digit account, which is FDIC-insured up to $250,000.
The user can withdraw the amount from the Digit account by sending a text message specifying the amount and that amount will be transferred to the user’s checking account the next day.
Digit was founded by Michael Murray and Ethan Bloch. The start-up is headquartered in San Francisco, CA. The company has raised a total of $13.8 million so far in two rounds of funding backed by 17 investors.
Here are two other notable budget management apps:
Mint.com helps users track their spending and stick to a budget. Users can link their financial accounts, like checking account, savings account or retirement account, with the app. The app automatically tracks and categorizes a user's transactions, makes note of the spending patterns and creates a budget. The app also sends alerts to users to notify them of the fees or bills to be paid, or if a particular user’s spending is over-budget. Additionally, on the iPad, it generates graphs and provides visual representations of the user’s net worth and cash flow.
You Need A Budget (YNAB):
YNAB is an easy-to-use budget interface. It helps in paying debt, saving money, and breaking the paycheck-to-paycheck cycle. The app has features like cloud sync, geo-smart payees and now, balance updates, which provides up-to-date and on-time information about finances. The software operates by four simple rules: 1. Give every dollar a job 2. Save for a rainy day 3. Roll with the punches 4. Live on last month’s income. The app can be purchased for $60 and works on both Windows and Mac.