Update How to Build an Effective Personal Finance Application

In today’s turbulent time, many people are facing problems related to exhausted finances and dried-up savings. This is completely in contrast to the concept of a penny saved is a penny earned. Earlier, people used complex accounting systems, but today, thanks to evolving technology, personal finance has become easier. Lets’ understand how fintech app development can make personal finance more convenient for your customers. 

As per the Statista prediction, the total transaction value in the personal finance segment is expected to reach USD 1715 million by the end of 2024. This number shows the growing importance of the personal finance management market in the world. 

Let’s understand the importance of this concept before moving to the key features of a customized finance app development. Personal finance includes all the financial decisions made by individuals. It enables your customers to plan financially to achieve short-term and long-term goals. 

Whether to buy a new car or a new home, plan for retirement, or save for a child’s education- financial planning is necessary at every stage of life. 

These days, as people are getting more conscious about their earnings and savings, personal finance application development gains more traction worldwide. Whether you own a startup or want to invest in a personal finance app, we have several options available including a budgeting app, taxes & insurance app, saving app, investing app, stock & mutual funds app, and planning app. 

A customized personal finance app can spread financial literacy that enables people to make the most of their income over the period. A personal finance app not only helps with accounting but also gives real-time insights on money management. 

Two main types of personal finance apps are based on the roles they are playing in investment, taxation, insurance, and other financial domains. 

Types of Personal Finance Apps

If you want to build a personal finance app with the necessary features, here are the two major types- simple apps that have a manual data entry process and complex apps that have an automated entry process. 

Simple Apps

These are simple finance apps that track income and expenditure. However, users need to give information inputs manually in it. These apps are simple and they are not linked with any bank accounts, so they are relatively safe. 

The development cost of simple finance apps is less than that of complex finance apps. The only problem is there is a high risk of human errors as the app needs manual inputs. 

Complex Apps

These are advanced finance apps. They enable users to link their bank accounts, cards and add necessary financial information. These apps synchronize data automatically with the help of advancements in AI and ML. 

Complex finance apps have higher efficiency but their development cost is also high. These apps offer real-time transaction updates to make the users more alert about money management. 

Also Read : Top Business Benefits of Fintech App Development Outsourcing

Let’s dig deep into the key features to make a personal finance app more effective and successful. 

Key Features to Make Financial App More Popular

Here are the top features of a tailored personal finance app- 

Account Integration

As mentioned above, a complex finance app can integrate all the financial accounts of the customers. This feature makes the finance app a one-stop solution for everything related to effective personal finance planning. 

Enhanced Security

A complex personal finance app contains all the confidential information of the users including credit cards, debit cards, mutual funds, and loans. The personal finance application development company makes the app highly secure by integrating various security-related features. 

Here are some of the most common and popular security features for fintech app development-

• Two-factor Authentication- It gives an additional security layer to the app. It makes the cybercriminal’s life tough as they just cannot gain access to the consumer’s confidential financial information. 
• Biometric Standards- Voice or fingerprint-based security features are highly secure and extremely difficult for hackers. 
• Real-time Alerts- The fintech app development company integrates real-time notifications into the app to send the notification in real-time.  This feature can give consumers or app users great confidence and they remain carefree as they know that they will receive notifications immediately in the case of fraud. 

AI-based Algorithms

These algorithms are useful for the categorization of expenditure for effective analysis. These algorithms make it easy to update and provide your consumers with data visualization to show where their money is spent. 

Real-time Spending

This is also a user-friendly feature that enables consumers to track their expenditure in real-time. App users can save their time and money effectively with the help of this feature. 

Chatbots

AI-powered chatbots can give useful advice and provide access to all of a consumer’s data as and when they wish. AI-based personalized recommendations can also help app users to manage expenditure. 

Alerts and Notifications

In the case of low balance, excessive expenditure, and bill reminders, the personal finance app can send real-time notifications. 

Other features include a currency converter, in-app calculator, tax calculator, and credit score calculator. Some apps also offer 24/7 customer support. These features can attract more people to your app and you can make the personal finance app successful. 

The last part is app monetization. You can add in-app purchases to enable your app users to use the premium features of the personal finance app. This is known as a Freemium version of the personal finance app. 

Your customers will appreciate new functionality and high-end features. You can also integrate with related third-party service providers to expand the usability and target audience of your personal finance app. 

Another effective option is- the financial app development company can integrate in-app ads into your app. Though it is the easiest way to make money, it is better to keep the frequency of ads low because it may annoy your users. 

Concluding Lines

A reputed fintech app development company can assist you to come up with an advanced personal finance app. If you want to build an app with key features and monetize it, it is better to consult a mobile app development company with experience in developing personal finance applications. 

Solution Analysts is a leading financial app development company. We integrate technological advancements of emerging technologies including AI, ML, and Blockchain to make a secure and user-friendly personal finance app. Our in-house team of experienced mobile app developers can assist you to leverage the benefits of a fintech app for your business.