Ways Technology is Helping Your Finances

With newer, more innovative advancements in technology in production every day, life has certainly become easier for the average consumer. Technology has given people access to a wide variety of information right at their fingertips. So it’s easy to see why getting your finances in order has also become simpler. Here are a few ways that technology is helping you achieve financial success.

1. Online Wallet

Just a few years ago the concept seemed ridiculous. Today, going out without credit cards, checks, or cash is easily manageable. Many banks offer the ability to check your balance, deposit checks, or pay bills with an app or an online program. Other options such as PayPal or VenMo allow you to transfer money to friends or family with the tap of a button or the click of a mouse. The amazing thing is that most of these programs are free, making them even more valuable to you.

2. Peer-to-Peer Lending

In the past, gaining enough capital to fund a small business, car, house, or even vacation would have to be done through years of hard work. However, due to peer-to-peer lending websites such as Kickstarter or LendingClub, there are other options to earn funds for your next big expense. From these websites, users can plead their case to people willing to fund their endeavors. The sites allow everything from professional propositions to somewhat hilarious ideas to apply for funding, allowing consumers to bypass obstacles like credit history. You can even fund ideas on the go using your Android phone, making this lending a true technological innovation.

3. Easy Financial Planning

Before websites made it easier to plan for a financial goal, you had to consciously put money aside each paycheck to achieve your goals. This was tricky for some because it didn’t give you an adequate representation of how well you’re managing your finances or if you were blowing money needlessly. Now, websites such as SmartyPig allow you to set a goal and give to it each month by an automatic deposit. This way, you don’t ever miss the money.

4. Cheap Wealth Management Advice

Technology is now giving people the ability to invest their earnings to gain the most return. Prior to websites such as Personal Capital or Betterment, this service was unavailable to anyone but the wealthy, as financial advisors would only deal with a minimum of six figures. Today, with this technology available to everyone who wants to use it, financial investments became easier to plan at little to no cost at all.

5. Mint.com

Mint.com is a website, as well as a mobile app, that allows you to keep your finances up-to-date. Its innovative interface allows you to see your money come and go, categorizing your expenditures. Mint imports all of your pertinent financial information with the aim of sending you reminders on whatever goals you choose.

6. Online Credit Reports

Many people today aren’t aware of their credit score. Keeping track of your credit report can help you decipher whether or not making a big investment is a good decision. Credit Sesame and AnnualCreditReport are just two websites that give consumers access to their credit score. Knowing your credit score can allow people to reconcile their outstanding debts and begin earning better credit. However, remember that you can only pull one credit report per year without it adversely affecting your credit rating.

Technology has certainly given us an alternate way to manage our finances. With all of the apps and programs out there, there is something out there for every financial need. So, why wait? Start managing your money and putting aside some cash. You’ll be cruising in a new car or taking an exotic vacation in no time.

Image via Flickr by GuySie