In 2020, 1.9 billion people used online banking worldwide!
If you're still lining up at the bank to see your teller, or spending hours on the phone with investment advisors, why not hop on the bandwagon?
Online banking and related financial tools can help you manage your finances quickly and easily.
Budgeting 101
Budgeting can be overwhelming at first but taking ownership of where your dollars go will help you plan and play offense instead of reacting and playing defense.
If you have a debit or credit card through your bank, you can use your bank's app to:
review bank statements instantly without having to wait for statements to be mailed to you
track your income (how much cash you have coming in) and expenses (how much cash you have going out)
set budget goals
keep an eye on your spending habits through graphs and other helpful visuals
Bank Accounts 101
Moving and receiving money is a lot easier when you do it online!
Your bank app will give you easy access to your bank accounts and help you take advantage of automation features so you don't have to do everything manually.
Checking
Use it for everyday spending
Deposit checks electronically with your phone camera
Set up auto payments for bills
Send/receive money to/from friends and family through Venmo or Cash App
Transfer money from one account to another instantaneously
Savings
Set up auto savings to send a percentage of your paycheque directly to your savings account
Save up cash for long-term goals like paying for college, buying a house or car, etc.
Use as an emergency fund for rainy days and unexpected expenses
Investments
Investing involves committing money to something — stocks, bonds, real estate, business — in the hopes of making a return (aka more $$S).
Because it involves risk-taking, you'll need help. If you want that help online, you can use:
robo-advisors: investment services that use algorithms to help you make investment decisions
investment platforms: buy, sell, and manage a variety of investments online
PROS
make your own investment decisions based on your specific needs
cheaper than going through a broker
keep track of your investments with online tracking tools
CONS
not the best option if you prefer investment advice with a human touch
can be very risky to invest with so much independence, and computer errors or slow internet can affect transactions
Take Action
If you're ready to manage your finances online, take these next steps:
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