Save Money Automatically: An Honest Review of Digit
Is there such a thing that will let you save money automatically? Actually, there is. And it’s not a scam or anything like that at all. It’s time for an honest review of Digit.
I only learned about Digit a few months ago, and I wish I had heard about it sooner! It really could have helped me a great deal back when I was struggling to figure out how to save money on a shoestring budget.
What is Digit?
Digit is a FREE app and a website that automatically takes your bank account information and moves some money into a savings account for you. It does this automatically and without you ever needing to think about moving money into savings.
How does it work?
All you need to do is connect Digit to your bank accounts. It isn’t tough at all. You just need your online bank account login information and it’s all set.
It then analyzes your past balances, running balance, withdrawal and spending histories, and deposit history. From there, it sets up a percentage or a dollar amount that it withdraws every other day or more.
It takes the money that gets withdrawn from your account and puts it into a separate savings account held by Digit. You can withdraw that money anytime and put it into your own savings account (or you can use it to invest and really amp up your earnings).
Why should you use it?
I’m going to level with you here: I love hiding money. It sounds so dishonest, but there really is something to be said for “out of sight out of mind.”
If you don’t know that you’re building a savings account, you won’t feel the need to spend it. It takes all of the difficulty out of saving money. You don’t even know that it’s happening. And then at the end of the month, they’ll text you and tell you how much money they saved for you in a month.
Can you really save money automatically?
You really can save money automatically. Even if it’s just a few cents, it will all add up.
Digit isn’t giving you money, it’s just moving your money into a savings account for you. When you need it or want to use it, you can move it easily with Paypal or direct deposit.
What I’ve done with my Digit savings.
I’ve been using my modest savings from Digit to invest in Betterment and earn more than I would have if I just left it in a savings account. That $169.40 is now $176.92 with Betterment. Very exciting stuff right there!
What’s the catch?
True story: I’m a little bit of a cynic. I’m always looking for the other shoe to drop or for there to be a catch. Especially with anything that gives your money or saves you money. I was hemming and hawing about joining Ebates for months because I was so sure that it was a scam; I mean, who gives away money?! (Spoiler alert: Ebates is awesome and 100% not a scam and has earned me more than $550!)
I want to give you a real honest review of Digit. And in the 2 months since I started using Digit, I can’t find the downside.
I have the automatic savings set to the standard setting. It’s a very modest amount, but I still managed to save $169.40. But that’s money that I didn’t know that I could save. I didn’t know that I had almost $200 in my budget that was going us used.
The best part?
I didn’t miss the money. I didn’t even know it was gone!
If you’re like me, the idea of saving money is great, but you can’t shake the “what if I need it” instead of saving it. Digit takes the control and does it for you little by little.
Is Digit for me?
I think everyone should have a savings account built up. But it’s not always easy to find the money to put into savings. That’s why I’m a huge fan of automation.
That’s why I’m a huge fan of automation. Automated withdrawals from your checking into savings make a huge difference. The less that you have to think about, the more that you can save. Digit does that for you.
Digit does that for you. It takes your checking account and finds money that you didn’t even know that you could save. Every penny counts!
Even if you have an air-tight budget, you should get Digit. It will automatically save the change from your budget and turn it into a nice rainy-day fund.
Have you tried Digit yet?
I thought about using Digit but my husband and I include our savings in our budget. We put 10% of our paychecks into savings every month. I think this allows us to save even more money than a budget app would. Our mentality is “tithe first, pay ourselves second (save), pay bills last.” Dave Ramsey teaches this method in his Financial Peace University course and it has helped us save more money than ever before.
That’s great, Rachel! I love Dave Ramsey! 🙂