Mobile banking apps don’t just provide users with a convenient way to manage their money. They provide them with plenty of opportunities to save their money, too. Find out how your banking app could help you save.
Skipping ATM Fees
When you use an ATM that is out of your bank’s network, you will be charged two separate fees. The first fee will come from your own bank, and the second will come from the bank network that runs the ATM. Altogether, the fees will likely cost you a total of $5. This out-of-network ATM fee doesn’t seem like that big a deal, but if you continue to see this small charge on your bank statements, you’ll be frustrated by how much it has whittled down the funds sitting in your account. It’s a complete waste.
There is an incredibly simple way to avoid out-of-network ATM fees: only use ATMs that are in your network. But how can you find ATMs that are in your bank’s network? This is where your mobile banking app can help you. Your mobile banking app may have an ATM locator that will show you all of the nearby ATMs in your network. You’ll know exactly where to go to make a cash withdrawal without having to worry about fees.
Avoiding Overdraft Fees
With a mobile banking app, you can set up mobile bank alerts. These alerts will trigger when a specified problem arises and needs your immediate attention. For instance, you can set up a low balance alert for your checking account. It will warn you when your balance has dipped below a certain threshold (for example, $100).
Why is this important? Well, it can stop you from putting your checking account into overdraft. You’ll know that you have a limited amount of money in your checking account, so you’ll be more careful about your spending. You might take action to add more funds to your checking account, or you might delay certain payments until another paycheck gets deposited into the account. All of these actions can save you from collecting overdraft fees and NSF fees.
Synching with Budgeting Apps
Many of the top budgeting apps can synch up with your online banking account or mobile banking app. With this feature, you can view your personal budget along with your checking accounts, savings accounts and other financial accounts (like your credit cards) at the same time.
How does this help you save? Well, having your banking information synched to your budget will help you stick to the budgeting guidelines that you set — instead of ignoring them and spending blindly. You’ll be able to get real-time updates of the spending from your checking account so that you can confirm you are following the expense limits that you set for the month. You can also view your savings account to confirm that you are making regular contributions and moving closer and closer toward your savings goals.
Unique Savings Tools
Your mobile banking app might have some savings features that are completely unique to the app or to the type of account that you’ve signed up for. Some apps will automatically round up checking account transactions to the nearest dollar and move the digital change into your savings account. Some apps will analyze your bank statements to see how much you can afford to add to your savings and notify you of this suggestion. And some apps will offer a number of financial literacy tips for users to help them build savings all on their own.
Take advantage of the savings tools that your mobile banking app offers. It could help you build an emergency fund in a short amount of time. An emergency fund is a safety net that you can rely on in a moment of crisis when you’re hit with a sudden expense that your budget just can’t handle.
Without an emergency fund, you might be compelled to borrow funds to cover that sudden expense. You could do this with a line of credit loan. One of the biggest benefits of using this option is the convenient application process. You do not have to go to a bank to submit an application for a line of credit loan. You can apply online or over the phone. If your application gets approved, then you can pay off your emergency and handle the loan repayment process afterward.
Don’t underestimate the power of your mobile banking app. As you can see, there are plenty of ways that it can help you save!
