Mobile savings apps: the must-know pros and cons

by Leeds Building Society

Mobile savings apps: the must-know pros and cons

As lockdown loosens, more of us are venturing out onto the high street. With the government encouraging us to get out there and help the economy get back on its feet, it’s tempting to go on a bit of a splurge.

Then again, many of us are still preferring to stay indoors. But the temptation to spend is still there – from streaming boxsets to taking up new hobbies or just treating ourselves to something special.   

Of course, on the flipside, that means it’s doubly important to keep track of your spending – especially if you have savings goals in mind.

That’s why more and more people are turning to mobile savings apps to help keep on top of our finances. So what better time to take a look at the pros and cons of mobile savings apps?

Mobile savings apps: five pros

  1. Control: using Artificial Intelligence technology (AI), a lot of mobile apps out there are able to analyse and categorise how you spend your money. At-a-glance graphics give you a handy snapshot of exactly where your money is going, helping you stay in control.
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  3. Auto-save: they can even squirrel away money for you too. Just set up a Direct Debit and your app will feed your savings account on a regular basis. Some savings apps will even round up purchases to the nearest pound and put the extra away for you. Every little bit counts!
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  5. Set goals: let your app know how much you want to save and it will help you get there. Many mobile savings apps have ‘mood’ settings which allow you to ramp up and down how ‘aggressively’ you want to save. Grrr.
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  7. Invest: with selected savings apps, you get the opportunity to immediately channel your savings into an investment, such as a stocks and shares ISA.
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  9. Chat: you can even link up some savings apps to your social media platform. So you can get updates about how your savings are performing.
 

Mobile savings apps: five cons

  1. Cost: quite a few savings app come with a subscription fee – so you need to balance this against how much money you can save whilst using your app of choice.
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  3. Data: as with any app on your phone, money savings apps can eat up your data. Depending on your contract and phone’s memory size, it makes sense to double-check before downloading.
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  5. Security: it always pays to be safe on public wi-fi – but especially so when your dealing with your finances. So always use a virtual private network (VPN) and don’t connect to unsecured networks.
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  7. Choice: whilst this may sound like a good thing, there are so many different savings apps out there, each doing different things. So before choosing, make sure you know what you want from your app first and that its features match your needs.
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  9. Tech-crash: like any piece of digital kit, there’s always the chance your mobile savings app might crash or get a bug. As this particular app is dealing with your all important finances, it pays to have a Plan B in operation.


This guide is intended as a summary only and does not constitute legal or financial advice given by Leeds Building Society. No reliance should be placed on this guide. We recommend that you seek independent legal advice and/or financial advice if you have any questions or queries. Leeds Building Society does not recommend or endorse any particular app.