Digit Review

Digit does the math for you so you don't have to worry about investing. Is Digit legit and how much can you make? Here is the ultimate Digit review.

Bottom Line

If you are in the market for an automatic saving app, Digit might be a good option for you. Most importantly, you can take full advantage of the 30-day free trial to see how things work out for you. People have different financial habits and will therefore respond to the app differently. It can help you save and clear your debts.

4

The Pros:

  • Automatic savings
  • Simplified and adjustable savings goals
  • $5 reward for every referral
  • Extremely easy to use

The Cons:

  • Small savings interest
  • No transactions through the website
  • Unclear savings algorithm

Are you looking for a painless and easy way to save money? There are various apps offering users ways to manage their finances.

You see:

In this digital era, the best way to manage your money is through automating your processes such as expenses and income.

Digit is an app whose main agenda is to help you save money by tracking your spendings and helping you save.

Read on to get a clear picture of how Digit works and how the app can help you grow financially.

What Is Digit?

Digit is a mobile application that tracks how you spend your money and determine how best to start saving.

This app automatically withdraws a specific amount considering your spendings to determine the amount available for transfer to your savings account.

The main aim of this app is to help users save without altering their usual behavior.

Digit is wholly automated and frequently skims off small amounts of extra cash to your savings account.

Features Of Digit

When you sign up to Digit and link your checking account, the app monitors your spending habits to determine the safe amount to withdraw and transfer to your savings.

It has no minimum balance requirement, and the saving’s algorithm automatically moves the money to the account based on the following factors:

  1. Recent spending
  2. Upcoming balance
  3. Upcoming income
  4. Linked checking account balance
  5. Your set savings controls

The Digit app has an easy-to-use interface that offers its users the following features:

Set Savings Goals

Digit allows its users to set one or multiple goals and give each a description and target date.

It allows you to edit, delete, transfer, and add funds through one-time deposits from your checking account.

In case you might be asking yourself:

Suppose you have multiple goals running at the same time. Digit splits the money from your checking account equally among all your goals.

Overdraft Protection

Digit monitors your checking account, and if the balance goes below a specific amount, the app transfers money back from the savings account.

However, if your checking account is overdrawn due to the app’s automatic withdrawals, Digit reimburses overdraft fees up to two times.

Savings Bonuses

When you use Digit consecutively for three months, you will start receiving a 0.10% annual saving bonus.

The bonus automatically appears in your account with no minimum requirements to qualify.

You receive this bonus on a pro-rata basis every three months and is based on the average daily in your Digit savings account.

Referral Program

If you enjoy using the Digit app, you can inform your friends about it and earn $5 for every friend you refer.

Best of all:

You can refer as many people as possible and receive the reward money in your Rainy Day Fund.

Digit Chatbot

This feature allows you to turn the app into a personal financial assistant where you text commands to trigger a specific action.

Some of the commands to use in the Digit Chatbot include:

  • Pause – temporarily turns off withdrawals to your Digit account.
  • Save – informing Digit you want to transfer funds to your savings account. The chatbot then asks for a specific amount.
  • Today – view your daily savings activity.
  • W or Withdraw – informing Digit you want to make a withdrawal. You can also add the amount you wish to withdraw in the command, for example, “withdraw 200.”

Using Digit To Clear Loans And Credit Card Payments

Digit can help you get out of debt and clear payments on your student loans and credit cards.

All you need to do is set the debt as one of your savings goals and link your student loan servicer or credit card account number.

The savings are ideal for making extra payments but do not interfere with the regular monthly payments you are responsible for.

Digit Membership Fees

To use the service, Digit charges its users $5 every month after a 30-day free trial. It also charges users $0.99 for instant withdrawals.

The app is not set up for significant savings apart from users with a large bank balance since it is created to save money depending on your checking account.

Digit Limitations

Despite all the great things about this app, it still fails in some areas which could use some upgrades. They include:

Limited To One Checking Account

Currently, the Digit app is only limited to one checking account. It is discouraging for users who would like to link their multiple bank accounts.

Digit claims the reason for allowing the use of one checking account is for security reasons.

Customer Service

If you have an issue with the app you would like help with, your best option is to look for the solution in Digit’s Help Center.

Here’s why:

Their customer service runs through the website or app and is generally limited. To reach the customer desk, you have to fill out a contact form and wait.

Fee For Saving

Some people find it quite challenging to pay a membership fee to get help saving their money.

Digit is relatively expensive, considering that your money is not deposited in a high-yield savings account.

The app also claims that an average of their users saves up to $2,200 annually. But to save that much, you have to spend a lot.

Digit Vs. CountAbout

Digit (4 Rating) CountAbout (3.6)
Minimum investment $0Minimum investment
$5 monthly fee$99 annual fee
Customize savings goalsCustomize savings goals as part of the budget

Conclusion

To some people, $5 monthly is not a considerable amount to spend on a savings app. However, if this price makes you think twice, then Digit is probably not for you.

It is an excellent way to save money you can use for emergencies automatically.

The app is also fun and exciting, allowing you to set savings goals that motivate you to reach your target.

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Matt Castillo Bennet is a former banker and restaurant worker. After paying off $30K of student loan debt and saving up for a couple of years, he left his job to manage Cash Math full-time and help others achieve financial freedom.