I first heard about Digit, through a technology news article that I had read. It was announced as the latest and greatest app that would help you save money.
I love “latest and greatest apps” and I need help saving money, so I jumped to their website to check it out and began using it right away. It’s been a few months now and I love it! So, I wanted to share my own perspective.
First of all, it’s not really an app. I don’t know if that was my own idea, or something that I had read. You can sign up from the digit website without downloading any software. From there, all it does is send you text alerts to let you know when it is saving you money. You can text it a variety of commands at any time to find out your checking account balance, how much you have saved, and a variety of other things.
The genius of this new way to save money (in my opinion) is the simplicity for the user. If you don’t like to do anything, than this is perfect for you. It is meant to be a “set-it-and-forget-it” operation. And that is exactly what it has been for me. The registration took only a few moments at most.
It simply scans your spending patterns from your checking account, and through careful analysis, automatically moves small amounts to a digit savings account (only when you can afford it.)
Wait! If you are like me, my last sentence may have set off some immediate concerns for you. The first of which may be that you have to give it access to your checking account. Your personal information is anonymized, encrypted and securely stored. If you use Quicken, Microsoft Money, or a variety of other financial programs, this is really no different.
Maybe you were concerned about it moving money without you telling it how much it can move. This is the point! Remember? This is for the people who don’t want to think about transfers every day, so it is important that you trust it. I can tell you that I have one of the MOST unpredictable income/spending patterns of any people. I am self-employed as a musician. When I get paid, how much I get paid changes frequently enough. But the program has not let me down once. In fact, it has even concerned me at all. It has safely moved money without me having to worry one bit about my financial situation. In fact, it has only made me feel more secure. I should mention that Digit also comes with an no-overdraft guarantee. So if your account did go into a negative balance because of Digit (which it won’t,) they would pay your overdraft fees.
One other thing that initially raised a concern with me was the savings. I thought to myself, “Ohhhh… this is where they make their money.” I expected some sort of fee from transactions or for using their savings account, but there are no fees what-so-ever. And your savings account is FDIC insured for up to $250,000.
And there it is… my beaming review of Digit.co. It’s a great service. Give it a try. It was a great find, and I’m always excited to share the news about great services.
When you get to their website, there is a quick 60-second video that explains how it works. Watch it. It’s fun and interesting.