Saving for specific financial goals is much easier when you’ve separate bank accounts to track your progress. But usually, that means opening multiple savings accounts at your present bank and having to handle a good deal of trades and fund transfers.
To make this process easy and straightforward, SmartyPig’s support lets you make dedicated goals and still use one checking account for all. Additionally, it is entirely free!
What Is SmartyPig?
Believe Of SmartyPig as an internet piggy bank that caters to organizing your cash so you can save for a vast array of financial objectives. Smart. Saving.” It is mainly in the same family as the additional micro-savings products we have reviewed, and the support is completely free to use.
Let’s say you wish to create a goal to save to get a down payment for a home, new car, or even for smaller purposes like a vacation or computer.
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How does SmartyPig work?
Founders, Jon Gaskell and Michael Ferrari created SmartyPig app so anybody can easily create a savings habits and reach little financial landmarks, while at the same time enabling friends and family members to offer their funds and support.
Start by opening a free SmartyPig account, just head over to their site (SmartyPig.com) and click on the”Create Account” button in the upper right-hand corner. You need to be at least 18 years old, be a US citizen and have an existing checking or savings account to link to after your account is set up.
To finish the account setup process, you’ll need your driver’s license or state-issued ID, in addition to your Social Security number, home address, email address, date of arrival, along with a mobile phone number. The whole sign up process only takes a few minutes and needs one to confirm things like your email address and phone number.
Next – Choose a New Goal. Once your account is set up, your dash will exhibit a place where your current goals will be displayed. You can name the goal whatever you want. Most pick one based on what they are saving for, then pick the category it best fits and lastly the amount you want to save.
Then you need to fund your account. You will set up an initial deposit amount, which has to be at least $25 or more. Then you are going to select the date when you want to reach this savings goal, along with the bank account where you want to install automatic transfers from.
Setup Recurring Deposits. You can set up Recurring deposits every month, every two weeks, or do one-time transfers whenever it’s most convenient. SmartyPig will suggest a reasonable savings deposit amount based on how far you need to save, and also the date you would like to attain your objective. Or you may type in a manual savings amount.
Once you’ve confirmed this new target, the first deposit from the bank to your SmartyPig account will happen instantly. An exciting feature is that you can also have family and friends contribute to your savings target for special events like birthdays or graduations. FYI Future transfers will require two business days to clear from the lender into the SmartyPig goal account.
One of the cool features is that you can broadcast your progress on interpersonal networking accounts and also take contributions from friends and family members that are monitoring your progress through Facebook or even Twitter.
Get Your Money. When you are ready to cash in on the money you’ve saved up, you’ve got 3 options: 1) Retail gift card and get a cash bonus that varies but can be over 14% 2) debit card, or 3) Bank transfer deposit.
The cash is saved in SmartyPig’s FDIC insured just like a regular savings account at any other lender.
Presently, all SmartyPig accounts paying a very competitive 1.60% interest rate.
How does SmartyPig Make Money?
Many people ask since SmartyPig is free for you to use as a consumer, how can they earn money? SmartyPig gets a commission when a client selects a retail gift card.
The bonus paid for to clients can be over 14% that select the gift card, so it is a good win for both SmartyPig and the client if the client uses the gift card company.
You can access your SmartyPig accounts on the move through their mobile app, Which is readily available for iPhone and Android users. View the current status of your goals, trade history, and move extra money to some of your targets or your friends’ goals via the app.
You can post upgrades to Facebook and Twitter right from the mobile program, too. For fast and secure access, the SmartyPig app includes a 4-digit security code, also like the SmartyPig service, the cell program is entirely free to download.
Along with short-term economic aims, SmartyPig is a fantastic place to park your emergency finance, But it is not the ideal vehicle for larger long-term targets. They do not offer any retirement or investment accounts since they’re strictly for rescuing.
Many find the social sharing aspect of the platform helps people remain on course with their short-term goals, and the recurring deposits assist in creating a smart savings habit. You will also earn a small amount of interest on your money while having the ability to use the service at no cost.
In summary, SmartyPig is a smart and straightforward micro-savings product. Provided That you have an existing checking or savings accounts, You can start using SmartyPig, at no cost, today.