Advertiser Disclosure

Advertiser Disclosure: The credit card and banking offers that appear on this site are from credit card companies and banks from which receives compensation. This compensation may impact how and where products appear on this site, including, for example, the order in which they appear on category pages. does not include all banks, credit card companies or all available credit card offers, although best efforts are made to include a comprehensive list of offers regardless of compensation. Advertiser partners include American Express, Chase, U.S. Bank, and Barclaycard, among others.






Dig Deeper

Become a Money Crasher!
Join our community.

Digit Review – A Great Tool to Automate Your Savings




At a Glance
Digit Logo
4.2 / 5

Apply Now


  • Accounts: Automated savings
  • Bonuses: 0.50% annualized Savings Bonus, applied quarterly
  • Monthly Maintenance Fees: $5 (waived for first 30 days)
  • Minimum Deposit Requirements: None
  • Benefits: Savings goals, Digit Pay, responsive customer service, set-it-and-forget-it automation with manual override

I’m in favor of anything that makes it easier to add to my savings account balance, and Digit definitely fits that bill. It’s a free-to-join, automatic savings tool that ties into your checking account, uses a sophisticated algorithm to analyze your income and spending habits, and then makes regular transfers to your FDIC-insured Digit savings account, typically every week or every few days.

What Is Digit?

You don’t have to direct or schedule your Digit transfers in any way. In fact, you don’t even know in advance how much Digit will transfer. With its automated, hands-off saving algorithm, pretty much all you have to do is sit back and watch your savings account balance grow over time. Though if you’re unsatisfied with the pace of Digit’s automatic withdrawals, you can tell it to save more or less with each withdrawal.

Digit isn’t the first online tool designed to simplify and incentivize savings. There are plenty of bank-run programs, such as Bank of America’s Keep the Change, which both allow for recurring checking-to-savings transfers and small, automatic savings deposits when you make a debit card purchase. And, of course, you can set up recurring checking-to-savings transfers at banks – including online banks such as Ally Bank and Capital One 360 – without formal savings incentive programs.

The difference is that Digit is the first completely automated savings tool. When it first launched, it was functionally unique, though it has since spawned imitators.

Digit is free to join and use for 30 days. After that, it costs $5 per month. A 0.50% annualized yield – or “Savings Bonus,” in Digit’s parlance – offsets this monthly charge, though Digit only pays out once every three months. There’s no minimum balance required at any time.

All told, Digit has some useful advantages over any other program, account, or service on the market, plus a few drawbacks that may hamper your experience.

How It Works

Here’s how Digit works.

Sign-Up & Account Management

To get started with Digit, you need to provide some basic personal information and contact details. You’ll then be asked to securely link your bank account with your new Digit account. You won’t need to provide your account number or routing number, and the link usually happens near-instantaneously.

Once you’re set up with your FDIC-insured Digit savings account, the app goes to work. It uses its proprietary algorithm to get a sense of your spending (debit transactions and ATM withdrawals), income (paychecks), and recurring obligations (monthly bills).

To get the most out of Digit, you should make sure that all important bills are included in your checking account’s bill pay system – or otherwise paid out of the tied checking account – so Digit’s algorithm can see them. The same goes for paychecks and other income sources. Digit doesn’t know what goes on outside the tied checking account, so you need to make sure it has as much information as possible.

Transfers & Withdrawals

Based on your income, spending patterns, and obligations, Digit begins making transfers from your checking account to your savings account, the first typically coming within a week of sign-up. These transfers are entirely automated; you never have to set an amount or frequency. Digit’s algorithm only allows for transfers it thinks you can afford, so there’s little chance of an overdraft or cash crunch. After the first one, transfers usually happen every two or three days in relatively small amounts.

Bear in mind that you may not receive a notification of each withdrawal. However, if Digit determines at any point that you really don’t have the funds to save, it simply stops making withdrawals until you can afford them again.

You can withdraw funds held in your Digit account whenever you wish, with no daily or monthly limit, and have the money in your checking account the following business day. You can also manually override Digit’s automatic savings algorithm and make manual deposits into your Digit account at any point, provided you have enough money in your linked account to support the transfer.

Key Features

Here’s a closer look at some of Digit’s key features.

Savings Goals

Digit lets you set savings goals for just about anything, from your next date night to a down payment on a house. Simply follow the prompts in the app.

Digit Pay

Digit Pay is a free bill pay service designed specifically to help you pay down credit card debt. You can activate it when you set a “credit card debt” savings goal in the app.

No Overdraft Guarantee

Since Digit’s algorithms are designed only to withdraw what you can afford, the likelihood of a checking overdraft due to a Digit withdrawal is low. However, should Digit ever cause an overdraft, the company guarantees reimbursement of up to two overdraft fees.

Customer Support

Digit has a live customer support team available by phone during Pacific Standard Time business hours. You can also email for a fast response, typically one business day or less.


1. Next-Business-Day Transfers

If you need to withdraw from your Digit savings balance, you can have the funds in your checking account on the next business day. By comparison, transfers from savings accounts – especially from online banks such as Ally – to external accounts can take two or three business days. If you need funds fast, that can be an inconvenient time frame.

2. “Set It & Forget It” Automation

Digit is unique among savings tools in that it’s completely automated. It measures your spending and income daily and uses a sophisticated algorithm to determine how much you can save without affecting your lifestyle. If you earn more and spend less, Digit automatically increases your savings. If you earn less and spend more, Digit automatically saves less.

As long as you’re satisfied with the amount you’re saving, you never have to manually transfer funds to your savings account, though you do have that option to fall back on. This setup is superior both to recurring bank transfers (which need to be manually adjusted to account for changes in income and spending) and budgeting tools such as Mint (which aren’t truly automated).

3. Unlimited Savings Withdrawals

You can make unlimited withdrawals from your Digit savings account – one per day if you like, or even multiple times per day. Savings accounts at traditional banks and credit unions, including those tied to a recurring savings plan, typically limit withdrawals to six per month.

4. No Overdraft Fees

In the unlikely event that a Digit transfer results in an overdraft from your checking account, the company promises to pay any associated fees and charges. However, it doesn’t specify if there’s a limit to what it pays in this case. If your balance remains negative for many days on end, you could stretch the limits of this guarantee.

Regardless, you get no such protection from banks such as Capital One 360, Ally, or brick-and-mortar institutions such as U.S. Bank. These charge daily or interest-based overdraft fees that can amount to $10, $20, $30, or more per day.

5. No Balance Requirements

Digit savings accounts don’t have balance requirements. That isn’t always true of comparable services offered by big banks such as U.S. Bank and Bank of America.

6. Responsive Customer Support

For such a small company, Digit has an impressive customer support team. When you call its main line during business hours, you’re promptly connected with a human representative. That’s a far cry from the convoluted phone menus that big institutions such as Bank of America and U.S. Bank require you to navigate – not to mention the long wait times that could eat up your lunch break.

7. 0.50% Quarterly Savings Bonus

Digit savings accounts don’t accrue interest in the traditional sense, but they do have de facto yields: 0.50% APY, paid quarterly as a Savings Bonus. To qualify for each quarter’s Savings Bonus, you must maintain your Digit savings account for the entire three months prior. The bonus is annualized, meaning you earn 0.125% of the balance in your account at the end of each quarter.


1. $5 Monthly Maintenance Fee

Digit has a 30-day fee-free introductory period. Eventually, however, the bill comes due. After the intro period ends, you’re automatically charged $5 per month. When you’re just starting out and your balance is low, this charge is likely to swamp your Savings Bonus.

2. You Need to Give Your Bank Account Information to a Third Party

To work properly, Digit requires your external checking account number. That’s a problem if you’re bothered by the thought of providing sensitive financial information to yet another third party and thus increasing your risk of exposure to a data breach. Safer options include bank-run savings incentive programs with checking and savings accounts under the same roof.

3. No Option for Transaction-Based Withdrawals

Digit doesn’t let you tie automatic checking-savings transfers to a debit card transaction, which is another way to make easy savings deposits – sometimes multiple deposits per day – without dramatically reducing your checking account balance. Bank of America’s Keep the Change program lets you round up debit card purchases to the next dollar and deposit the difference in your savings account.

Final Word

According to the advocacy organization America Saves, only 68% of Americans say they spend less than they make. That means about one in three of us doesn’t save a dime. In that light, Digit’s couldn’t-be-easier savings automation tool is welcome news.

However, Digit isn’t a panacea. It only squirrels away funds on your behalf if you consistently demonstrate that you spend less than you earn. It can’t force you to rein in your spending habits or live within your means. For that, a strict personal budget and lifetime savings plan are still your best options.

Digit Logo
4.2 / 5

Apply Now


Digit might not be the first tool to streamline and incentivize personal savings, but it definitely evolves the concept. Thanks to near-total automation, Digit users may barely notice the steady stream flowing back into their pockets. If the alternative is saving irregularly or not saving at all, that’s OK. Fast transfers, unlimited withdrawals, and no overdraft fees are particularly attractive.

However, Digit isn’t perfect. For starters, it needs lower maintenance fees for low-balance users.

Digit’s easy-as-pie automation, great customer support, and fast, flexible withdrawals are all great. Its score would be higher with a better fee structure and more flexible withdrawals.

Editorial Note: The editorial content on this page is not provided by any bank, credit card issuer, airline, or hotel chain, and has not been reviewed, approved, or otherwise endorsed by any of these entities. Opinions expressed here are the author's alone, not those of the bank, credit card issuer, airline, or hotel chain, and have not been reviewed, approved, or otherwise endorsed by any of these entities.

Brian Martucci
Brian Martucci writes about credit cards, banking, insurance, travel, and more. When he's not investigating time- and money-saving strategies for Money Crashers readers, you can find him exploring his favorite trails or sampling a new cuisine. Reach him on Twitter @Brian_Martucci.

Comments Disclosure: The below responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.

  • Next Up on
    Money Crashers

    Halloween Baby Witch Broom Pumpkin Diy Costume

    15 Halloween Costume Ideas for Babies, Toddlers & Kids – Homemade DIY

    Costumes for babies, toddlers, and preschoolers present a special challenge each Halloween. Most aren’t old enough to care what they are, but parents still enjoy dressing them up. But don’t break the bank on a costume your kid probably won’t remember. These DIY options are perfect for little ones.
    Bitcoin 3d Illustration Digital Currency Symbol

    6 Best Bitcoin & Cryptocurrency Wallets of 2020

    Once you become involved with cryptocurrency, one of the major questions becomes how to secure your holdings. Several digital wallets allow you to trade and store cryptocurrencies, and some even double as payment platforms. Here are the best cryptocurrency wallets to consider today.

    Popular on
    Money Crashers

    Sign Up For Our Newsletter

    See why 218,388 people subscribe to our newsletter.

    What Do You Want To Do
    With Your Money?