Tuesday , July 23 2024

Plum App Review: Revolutionizing Personal Finance Management

Introduction to Plum: the Money-Saving App

Plum App

Welcome to Plum, an innovative money-saving app that helps you to save more and spend less. Plum uses artificial intelligence (AI) to understand your spending habits, income, and bills, and to suggest personalized ways of putting more money aside. In this article, we will review some of the features of Plum and explain how Plum can help you to become more financially savvy.

Launched in 2016, Plum has quickly become one of the most popular money-saving apps in the UK, with over 1 million users. The app has won multiple awards for its user-friendly interface and its ability to make saving effortless and fun.

The premise of Plum is simple – the app analyses your spending and suggests smart ways to save money. Once you link your bank account to Plum, the app will start analyzing your transactions and will suggest a monthly savings amount based on your income, bills, and spending patterns. Plum will also move the money it has recommended to a separate account for you, so you don’t have to worry about manually transferring funds.

Plum’s service is entirely free, and the app makes money through affiliate links. Whenever Plum suggests a provider that can help you save money, such as a cheaper utility company, Plum earns a commission. This business model ensures that Plum is entirely impartial and always acting in your best interest – it wants you to save money, not spend money.

Plum’s main USP is its AI-powered savings algorithm. Plum’s AI algorithms analyze your spending habits and suggest personalized ways to save money. For example, it might suggest that you set up a direct debit to save money towards a rainy day fund, or invest in a stocks and shares ISA. By setting up these smart saving actions, you can save money without having to think too much about it.

One of the most popular features of Plum is the ability to set savings goals. Whether you’re saving for a holiday, a new car, or just a rainy day, Plum allows you to set a target amount and save in small chunks each month. The app also shows you your progress towards your goal, which can be a great motivator to keep saving.

Another useful feature of Plum is its smart investment options. The app allows you to invest your savings in a range of funds and companies, taking into account your risk tolerance and investment goals. By investing your money, you could see greater returns than in traditional savings accounts.

Overall, Plum is an excellent money-saving app that is perfect for anyone looking to save more and spend less. With its AI-powered savings algorithm, savings goals, and smart investment options, Plum makes saving money effortless and fun. Plus, with its impartial business model, you can be sure that Plum is always acting in your best interest. So, why not give Plum a try and start saving today?

How Plum Works: A Step-by-Step Guide

plum app interface

Plum’s Interface is primarily divided into three main categories. Let’s look at each category one by one:

1. Account Settings

plum app account settings

Account settings are those settings that you choose and customize in order to make the app work best for you and your financial goals. It includes setting up a financial plan, choosing the investment option of your choice, setting up regular savings, or even setting up a “Rainy day fund”. To access this section, you must first log in to your Plum account and click on the Settings tab located on the bottom right of the screen.

2. Chatbot Interface

plum app chatbot

The chatbot interface is one of the essential aspects of Plum’s operation. It is an Artificial Intelligence feature that enables the app to gather information about user spending and saving habits and provide tailored recommendations. The chatbot, or “AI bot,” integrates with the user’s bank account and tracks spending behavior. It also allows users to communicate with the bot using natural language and specify savings goals, such as paying off credit card debt or building an emergency fund.

The chatbot section is located on the home screen of the app. To start a conversation with the chatbot, simply click on the Messenger icon located on the bottom left of the screen. The interface is user-friendly and easy to navigate, making it accessible for users of all age groups and financial backgrounds.

3. Savings and Investment

plum app savings and investment

The savings and investment section is where users configure their investment options and set up regular savings. The interface presents a straightforward, user-friendly graph that shows how user savings are performing over time. The investment feature uses a diversified investment strategy that balances risk and reward, which ensures that users’ savings are protected and provide a good return.

To access this section, simply click on the Savings icon located at the bottom of the screen. The interface also shows users how much they can save and invest based on their spending habits and financial goals, which encourages wise financial decisions.

In conclusion, Plum is an innovative app that allows users to save and invest money in their own terms. Its user-friendly and modern interface, alongside the chatbot and investment features, make it appealing for users of all ages and financial backgrounds. Setting it up is hassle-free, and it takes users through an easy-to-follow set-up process that tailors the app to the user’s specific goals and preferences. Overall, we fully recommend Plum as a cost-effective and efficient way to manage personal finances.

Plum’s AI Chatbot: The Pros and Cons

Plum's AI Chatbot

Plum’s AI Chatbot is one of the major features of the app that is geared towards making personal finance easier for its users. With the chatbot, users can easily save, invest, and avoid extra expenses without the need for any special financial knowledge. In this section, we will discuss the pros and cons of using Plum’s AI Chatbot.

Pros of Plum’s AI Chatbot

Plum's App Pros

Here are some of the pros of using Plum’s AI chatbot:

  • Quick and Easy Money Management: One of the major advantages of Plum’s chatbot is its ability to help users manage their money quickly and easily. The chatbot provides financial insights and recommendations in real-time, allowing users to make informed decisions on their savings and investments without needing any special knowledge or experience.
  • Personalised Experience: The chatbot provides a personalised experience to users by tailoring its recommendations to each user’s unique financial needs. The AI algorithms used by Plum ensure that users receive a customised chat experience based on their spending habits, income, and investment goals.
  • 24/7 Availability: The chatbot is available 24/7, making it convenient for users who want to manage their money outside of regular banking hours. It is always available to answer financial questions and provide recommendations on the best way to save and invest money.
  • No Extra Fees: There are no extra fees associated with using Plum’s chatbot. Unlike other financial management apps that charge a subscription fee, Plum’s AI chatbot is completely free to use.
  • Easy to Use: Plum’s AI chatbot is easy to use, even for those who have no knowledge of finance. Its interface is user-friendly and intuitive, making it easy to navigate and understand.

Cons of Plum’s AI Chatbot

Plum's App Cons

Despite its many advantages, Plum’s AI chatbot has a few drawbacks that users should consider. These include:

  • Limited Service Area: Plum’s AI chatbot is only available in the UK, so users who live outside the UK cannot use the app.
  • No Personalised Investment Advice: While Plum’s AI chatbot provides investment recommendations, it does not provide personalised investment advice. Users who need detailed advice about their portfolio may need to consult with a financial advisor.
  • No Face-to-Face Customer Support: Plum’s AI chatbot does not offer face-to-face customer support. Users who need assistance with their account or have questions about the app may need to rely on online help resources or email support.
  • No Manual Override: Some users may prefer to have more control over their account and transactions. However, with Plum’s AI chatbot, there is no manual override. The chatbot makes all the financial decisions based on its algorithms, which may not be suitable for users who want more control over their account.
  • Inability to Identify Uncommon Transactions: Plum’s AI chatbot may have difficulty identifying uncommon transactions, which may lead to some transactions being missed or underappreciated. This may affect the accuracy of the user’s savings calculations.

Final Thoughts and Recommendations: Is Plum Worth Downloading?

Plum App Review

After using Plum for a few weeks and analyzing its features, we have come up with our final thoughts and recommendations about the app.

In a nutshell, Plum is an excellent app for those who are looking to save money without putting much effort into it. It offers a great user interface that is easy to navigate, making it accessible to users of all ages. It also has a simple and straightforward sign-up process that takes only a few minutes to complete. Once you have linked your bank account to the app, you can start using Plum’s features.

Plum analyzes your spending habits from your linked bank account and categorizes them accordingly. It then suggests ways that you can improve your spending habits to save more money. These suggestions can range from skipping a subscription to finding a cheaper alternative for your daily coffee. The app also has an automated savings feature that transfers small amounts of money from your bank account to your Plum account without you even realizing it. These savings can then be used to achieve your financial goals, such as saving for a vacation or paying off debt.

One of the best things about Plum is that it is completely free to use. There are no hidden fees or charges, and you can withdraw your savings at any time without any penalties. The app also provides real-time updates and notifications, giving you complete control over your finances.

However, there are a few downsides to Plum. First, it is only available in the UK, so if you live elsewhere, you cannot use it. Second, some users may be uncomfortable linking their bank accounts to a third-party app. Although Plum uses bank-level security to protect users’ data, there is always a risk involved. Lastly, some users may find that Plum’s suggestions are too obvious or do not suit their lifestyle, leading to frustration.

Overall, our recommendation is that if you live in the UK and are looking for an effortless way to save money, then Plum is definitely worth downloading. However, if you are uncomfortable with linking your bank account to a third-party app or are looking for more personalized financial advice, then you may want to consider other options.