Stash is an American financial app that offers reliable financial tools to subscribers. It first came into operation in 2015 to aim younger investors to save, spend and invest their money wisely. Since then, Stash has been steadily growing, and in July 2017, it had over 5 million users. At first, the app was only available for Apple users but became available for Android users in March 2016. Join us, as we discuss the pros and cons of this service with our stash app review.
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How it works
One reason why people love Stash is because of its friendly user interface. However, its philosophy makes it a force to reckon with. It applies its philosophy, The Stash Way. Stash Financial, Inc provides a beginner-friendly investment platform and accentuates its role as a long-term partner.
As a user, you get huge returns even to the smallest investment as you get 5% yearly growth to your investment. The app also diversifies your investment so that you are not putting all your eggs in one basket.
How to become a user
Before you can invest in the app, you need to enter your email address. You will receive prompts through a questionnaire guiding you on how to set up your financial profile. You will also need to select your investment interest rate. To complete your profile, you will provide an SSN. This is just for formalities. It does not check your credit or affects the score.
You will then need to select a suitable plan according to your financial muscle. The entire process, from entering the email address to selecting plans, takes only 10 minutes. The instructions will continue to pop out, guiding you through the steps as they come.
Charges
The investment app simplifies selecting investments like stocks and exchange-traded funds for beginners. You only pay a monthly fee of $1 if you are going for the brokerage and access to the Stash online bank account plus debit card. The subscription also comes with a reward program.
Your balance in your Stash personal portfolio can be as little as $0. Stash also offers fractional investing, meaning that you can always acquire portions of the Stash Financial, Inc. stocks or fund shares for minimal amounts.
Stash also has the account option. You can invest $3 monthly for the brokerage and bank accounts. With the plan, you also have the flexibility to choose either the brokerage or bank accounts.
Alternatively, you can pay a monthly fee of $9 and get the brokerage and bank accounts the brokerage and bank accounts. You also get access to two custodial accounts for minors, a reward program, and an investment research report every month. While paying all these, it is essential to note that Stash is not a Robo-advisor. Therefore it does not come with discretion to manage your accounts.
Advantages of joining Stash
As a competitive investment app, Stash has some advantages that give it an edge over others in the market. They include –
Free banking
Stash offers online banking services with debit cards that do not pay any interest. The Stash checking account does not charge any monthly fees and gives you free ATM usage. It also gives you direct contact with your brokerage account.
User-friendly app
Stash is an ideal investment app if you are a beginner looking to grow in this industry. The app is easy to manage and wander across. Plus, you can always trust the company to manage your funds. The app also teaches you how to grow your funds and investment and gives you a diversified portfolio.
Lots of reward programs and stock back rewards
Stash will always appreciate its users. First, you get reward programs for the $3 and monthly subscription options. Not only that, you earn Stock-Back rewards whenever you shop with selected retailers. Stock-Back rewards work in the same principles as traditional cashback programs. But instead of money, you get fractional stock of the company.
Disadvantages of the Stash app
The biggest undoing for Stash is its ETF expenses. Stash gives you an exchange-traded investment option (ETFs). These options come with an average expense ratio of 0.25%, which investors have to pay as an annual fee. It is so expensive when compared to the ETFs charged by Robo-advisors. It is like Stash is bringing numerous niche funds, which makes everything seem expensive for thematic investors.
Final verdict
If you are looking for a platform that will hold your hand as you grow, think no further than Stash. It provides educational assistance to every member. With that, you will learn how to manage your finances and avoid costly mistakes. After getting that experience and growing in the field, you can venture into other avenues.
