Taking care of our money can sometimes become overwhelming. Whether your goal is to save money or to invest in a new asset, the slightest mistake could lead you to many losses.
The best solution to this problem is to develop smart financial habits. Unfortunately, not many people know where to start or which resources to check out. One of the financial companies that aims to solve this problem for people is Finhabits.
Finhabits and its financial management platform claim it’s possible to manage your investment portfolio efficiently with the tools it provides. Unlike other financial companies out there, Finhabits stands out for having a dedicated app with an intuitive interface to help you manage your investment portfolios, retirement savings, and many other things.
I checked Finhabits thoroughly, and I’ll tell you what I found in this review. Is Finhabits the right platform to achieve your goals? Let’s find out!
My Gold IRA is With Goldco!
Why Did I Choose Goldco?
Finhabits is an investment app designed to help Spanish and English speakers. According to the platform, it’s best for those looking to build emergency savings, make excellent investments to achieve long-term goals, or open an IRA.
Something interesting about Finhabits is that it has partnerships with credit unions. One of them is the Neighborhood Federal Credit Union, which helps Latino communities around New York City. This gives the company more credibility when compared to other platforms. The company is also an SEC-registered investment advisor.
Once you open your Finhabits account, you’re greeted with an intuitive and user-friendly dashboard where you can set your investment goals and work toward a better financial future.
Why Should You Use the Finhabits App?
You should get the Finhabits app if you struggle to apply investment advice or don’t know how to manage your investment accounts the right way. Finhabits clients have access to a wide range of features from the mobile app, which makes the process much more convenient.
The fact that Finhabits is available in Spanish and English puts the platform higher than other investment apps that are only available in one language. I found this approach to investment management fresh and useful for those who may not be English experts.
What Features Can You Expect from Finhabits?
Finhabits offers benefits for many types of investors. Whether you’re struggling with asset allocation or managing your bank account, you’re likely to find the right tools to get everything done easily.
Here’s an overview of some of the features you’ll get from Finhabits:
Set Up Investment Goals
Contrary to popular belief, you don’t have to be an expert to invest money the right way. Thanks to the platform, you can set up investment goals for many things, such as:
- Paying for your child’s education.
- Buying a property.
- Funding your wedding or other big event.
- Preparing for retirement.
The platform helps you visualize your potential earnings for the future depending on how much you’re investing. There, you can adjust everything to fit your goals faster.
Creating Professional Investment Portfolios
Something I found useful from Finhabits is that it allows you to build an expert portfolio without the need to have too much experience. Finhabits works with Exchange-Traded Funds (ETFs). You can use ETFs to diversify your portfolio with the following assets:
- U.S. Stocks
- Government/Corporate Bonds
- International Stocks
Invest in an IRA
You can use Finhabits to invest in your Individual Retirement Account (IRA). IRAs can help people save money for retirement and enjoy a few tax advantages when they withdraw.
People can invest in either a Traditional or Roth IRA, whichever feels more appropriate. Even if you don’t know how these retirement accounts work, you can count on Finhabits to walk you through the process.
You can also do a rollover if you’re interested.
Look for Health Insurance
Thanks to Finhabits, you can find the right health insurance coverage for yourself and your family. It’ll compile different options and prices, and you’ll be free to choose the option that seems more convenient.
You can also use Finhabits’ guide to determine if you’re eligible for the plan you chose. Even if your goal isn’t necessarily to find a health insurance plan, I recommend you check that section out if you don’t have one.
Open a 401k Plan
Finhabits is also available to businesses. Offering a retirement plan can be a huge attraction point for potential employees. If you want to offer a 401k plan and don’t know where to start, you can try out Finhabits’ program.
How Much Will You Spend in Finhabits?
You’ll have to pay $3 per month for every $7,500 you have in your account balance. Keep in mind that you’ll also have to pay fees depending on the ETFs you invest in and other miscellaneous factors.
Finhabits will give you an advisory agreement once you sign up. There, you’ll have a better look at all the fees you can expect to pay.
If your balance is at or below $7,500 for a full year, you would pay $36 without counting any other miscellaneous fees. I think this is fairly reasonable for anyone looking to save money, but you should still pay attention to any other fees that could come up, regardless of how low they may seem.
Are There Any Disadvantages to Using Finhabits?
No investment platform is perfect. Even though Finhabits is great for the most part, it has a few disadvantages that you should be aware of.
The first thing you should keep in mind is that Finhabits only supports a limited number of account types, specifically:
- Individual non-retirement accounts
- Traditional/Roth IRAs
- Rollover IRAs
This means that there’s no support for joint non-retirement accounts, SEP IRAs, trusts, and other accounts.
Even though Finhabits prides itself in being a great financial advisor app, it won’t give you access to human advisors. This could be a problem for those looking for a more personalized approach to their investment goals.
Finally, remember that you will have to pay extra fees for each ETF you invest in. This could be a problem depending on your financial goals.
Bottom Line – Is Finhabits Right for You?
After doing enough research, I can conclude that Finhabits is an excellent platform for those looking for basic investment management tools. Those looking for a more “advanced” platform may not find this one helpful since it offers limited investment options.
I suggest you check out all the services that Finhabits offers on its website and come up with your own conclusion. Besides that, I believe Finhabits is legit and could be worth your time depending on your goals.