Covering financial, investment, and insurance apps for next year
Millennials, ages 22 to 37, whose population is at an estimated 72.1 million by the U.S. Census Bureau, are probably one of the biggest demographics affected by the financial crisis brought by the current pandemic and recession.
Many Millennials are facing student loan debts, delaying homeownership, and struggling to save any funds. Aside from that, the shortage of jobs has greatly affected Millennials when both the stock market and home market collapsed in 2008. It is important to note, however, that the financial sector has slowly recovered so does employment, but yet again, another crisis brought by the novel coronavirus pandemic has shaken the global economy, leaving most Millennials unemployed.
In these turbulent times, it is clear that everyone, especially Millennials should be in the habit of saving money and investing money. In this digital era, setting your short-term and long-term goals does not have to be complicated. There are hundreds of the most promising financial apps that you can download to help you when it comes to your long-term financial goals. But which among them are the best?
Below are the top 5 financial apps for your saving and investing needs.
- Robinhood: Investing
Robinhood, a free stock trading app, rose that does not charge commissions for stock, ETF, and options trades, and it has no monthly account maintenance fees (Unless you use the Gold version). The platform is best recommended to new investors who prefer trading small quantities and to active stock traders on-the-go.
The app makes it possible for everyday users to have easy access to buying and selling of stocks. It is compatible with both iOS and Android devices that come with trading tools and features stock traders need. It provides relevant news and real-time information about stock market data such as charts, earning reports, and analysis ratings.
The company has a wide array of available assets for trading or investing including stocks, cryptocurrency (Bitcoin, Ethereum, Litecoin, Ethereum, Litecoin, Ethereum Classic, Dogecoin, Bitcoin Cash, Bitcoin SV), simple and multi-leg options, and fractional share trading.
Through this app’s feature, investors earn decent interest or APY (Annual Percentage Yield) through uninvested cash by moving it to FDIC-insured banks.
This is an upgraded account that offers more features including bigger instant deposits, margin investing access, in-depth research, and Nasdaq market data.
Pre-market and Post-market Trading
Their pre-market trading hours are from 9:00 to 9:30 in the morning while their post-market trading hours are from 4:00 to 6:00 in the afternoon. They follow Eastern Standard Time (EST).
- Digit: Savings & Debt Management
Digit, FDIC-insured, helps users achieve financial well-being by automatically saving a portion of their money consistently after an advanced algorithm analyzes their spending habits, bills, and income.
After connecting a bank account to Digit once signed up, the app available for both iOS and Android will allow the users to set their goals including student debt loan, emergency fund, mortgage, credit card debt, and dream vacation. All the collected data along with the other information provided will be reviewed by the special algorithm before deciding the right amount to be transferred into the Digit account.
The company uses 256-bit encryption, military-grade encryption, which is one of the modern top-ranking encryption methods used in technologies. This ensures the security of one’s data.
Saving with Digit for 3 successive months earns investors 0.5% Savings Bonus which they receive through their Digit account. To illustrate, having a $2,000 savings multiplied by 0.5 is $100, which is more than enough to pay for an annual subscription.
Investors have the option to turn on this feature to avoid incurring overdraft fees when their bank or checking account has funds that are below the maintaining balance. If the account must have $100, but the balance is at $90, Digit will automatically transfer $10 to the bank or checking account.
There is a subscription fee for $5 to use the app, but as mentioned earlier, earning 0.5% annually can cover the fee.
- Coinbase: Cryptocurrency Investing
Coinbase is the world’s leading cryptocurrency exchange and digital asset broker headquartered in San Francisco. It is a great platform that allows newcomers and seasoned experts to buy cryptocurrencies. Investors also have the chance to buy and hold these cryptocurrencies for a short or lengthy period.
Coinbase was founded in 2012 and has slowly brought Bitcoin, Litecoin, and other altcoins onto the app. Today, it has 25 cryptocurrencies for trading, staking, and investment.
Simple User Interface
The platform ensures that every investor, especially the newcomers, will not face complexities when it comes to signing up and buying cryptocurrencies by designing a user-friendly interface, which promotes fast creation of accounts, linking to payment options, and eventually making transactions.
Coinbase is part of the highly liquid exchanges. Traders can exchange their assets for cash without putting the price of that asset at risk.
All the information that enables investors to keep track of their crypto is on their dashboard, which can be accessed on Coinbase’ website and app. It provides details about prices and one’s asset values.
After account creation, users are only limited to buying a small number of Bitcoins unless they raise their limit by providing and verifying their phone number, personal information, and photo ID. Today, fully verified US residents have a $25k limit per day.
- Acorns: Micro Investing
Acorns rounds up spending with one’s debit card to the nearest dollar and moves the money into an investment account. For instance, a shopper spent $55.15, the amount will be rounded up to $56, and the 85 cents difference will be invested.
Investors may either choose Acorns to apply recurring deposits for all their eligible purchases or manually select specific transactions for the round-up feature. Aside from that, they have the option to increase the amount that will be added to my Acorns Round-Up balance. Instead of the 85 cents, they can set $8.50 as their investment for that one transaction alone.
There are 3 types of membership. The first is Lite which costs $1 a month and has a taxable investment account. Second is Personal at $3 a month and includes retirement and checking accounts. The last is Family at $5 a month, which has all the features of Lite and Personal as well as Acorns Early intended for children.
Over 350 companies, including Airbnb, Walmart, and Sephora have accepted a partnership with Acorns. With this, for every purchase made using the card linked to the member’s Acorn active account, the member receives a cashback which is deposited into their account.
New investors may grow their knowledge through Acorns very own digital Grow Magazine that contains financial literacy content, including credit card debt and student loans.
This individual retirement account offers an opportunity for investors to save for their retirement. After setting up an IRA (Individual Retirement Account), Acorns provide the right plan.
- Eusoh: Pet Health Plan
Eusoh has revolutionized the pet insurance industry with its affordable unique crowd-sharing software platform. It has its community with thousands of members to help pet parents with their veterinary bills.
Each member pays a $48 deposit monthly that goes into a pledge account and $17 every month per pet for comprehensive coverage which includes injuries, annual checkups, surgeries, and prescribed medications. It is clear that the amount the company requires their members to pay is way lower compared to traditional pet insurance providers.
While Eusoh works like an insurance provider, it is NOT pet insurance; rather, it is an innovative alternative and is gaining popularity among pet parents.
Eusoh does not have premiums which imply that they will never generate their revenues from deposit funds, shared, costs, and interests. As such, it is unlikely that there will be any increase soon as the pet health provider does not have an incentive to bigger costs. Thus, members will continue to pay an amount that does not go beyond $65 per month.
The organization gives all the necessary information about coverage and reimbursements for a specific procedure. If a member is eligible, he will receive a quote. This kind of transparency helps members decide the next step they should take.
Members are not limited to visiting a certain vet who is in partnership with Eusoh as “networks” do not exist. They can visit their favorite vet while enrolled in Eusoh’s pet healthcare plan.
Easy and Instant
Invoices and receipts are easy to upload. Members can take a photo of their receipts, send it through their smartphone, and wait for the reimbursement.
The app will be released in Fall 2020. While that is being developed, the current mobile site is being redesigned for ease of use.
Be Financially Ready
Time has changed.
With the financial high and lows happening during this pandemic, people are akin to facing a blank slate, clueless about what the future holds. Will there be opportunities next year or will economic recession continue to surface?
To survive the future crisis, it is best to have a safe savings plan. Determine which financial aspects in your life needs (Debt, future purchases, savings) to be improved, and decide which among the 5 insurance apps mentioned would be an excellent choice for your needs. Then, start saving for your brilliant future.