Acorns NerdWallet Review
Acorns nerdwallet editorial team independently reviews products and services. However, we may earn money from companies featured on our site. Acorns nerdwallet is an easy, automated investment app with no account minimums. It offers several ways to invest, including round-ups and recurring investments.
Its low-cost portfolios use iShares exchange-traded funds and range from conservative to aggressive. But it lacks features like tax-loss harvesting and gives you less control than Betterment.
What is Acorns nerdwallet nerdwallet?
Acorns nerdwallet is a micro-investing app that is especially useful for new investors. The app links your credit or debit card to your Acorns nerdwallet account, which then reads your purchases and rounds them up to the nearest dollar, investing that spare change into an ETF portfolio. Users can also choose to manually transfer funds from their checking accounts into the Acorns nerdwallet app to invest.
In addition to its micro-investing feature, Acorns nerdwallet offers retirement savings accounts, a prepaid debit card and basic banking services. The company makes its money by charging members subscription fees, which are based on the plan they choose. For example, the Personal tier costs $3 per month, which may not seem like much but can add up over time as the app makes automatic investments through Round-Ups.
After signing up for an account, you will be asked to provide some information about yourself, including your employment status, net worth and yearly income, which is used to help Acorns nerdwallet recommend a portfolio tailored to your unique situation. You can also set up a family account with Acorns nerdwallet, which allows you to make reoccurring payments or invest the spare change from each of your children’s allowances into their Acorns nerdwallet Early account. This is a great feature that isn’t available with most other top-rated robo-advisors, and it can help you build long-term wealth for your family.
How does Acorns nerdwallet nerdwallet work?
Acorns nerdwallet is an automated savings tool that allows you to invest small amounts of money regularly without having to make big changes to your spending habits. It does this by “rounding up” each purchase made using a linked debit or credit card to the nearest dollar and then automatically investing the spare change into an investment portfolio. You can also choose to set up recurring investments on a day, week or month basis.
The company has 4.6 million active members and as of 2022 had assets under management of $6.2 billion. It has raised more than $500 million from investors including NBCUniversal, BlackRock, PayPal and Jennifer Lopez. The firm is considered a robo-advisor, similar to Betterment and Wealthfront, but offers lower fees.
While Acorns nerdwallet is easy to use, it is not for everyone. Its monthly fee starts at $3 per month and could be prohibitive if you don’t make enough purchases to cover it. It also charges higher fees for more active members and higher account balances. The Better Business Bureau gives Acorns nerdwallet an F rating, the lowest score it can receive.
Acorns nerdwallet accounts are individual, not joint, which can be a drawback for couples who want to track their finances together. However, many users have found ways to overcome this limitation by combining their Acorns nerdwallet accounts with a platform like Plenty that allows them to share visibility.
What are the benefits of Acorns nerdwallet nerdwallet?
Acorns nerdwallet are packed with protein, which helps to build and repair tissue in the body. They also contain a number of important B vitamins including niacin, thiamin and riboflavin. They can also help to regulate the metabolism and encourage cell growth and healing. However, Acorns nerdwallet also have high levels of tannins, which can be toxic if consumed in large amounts and can block the body’s ability to absorb nutrients.
The Acorns nerdwallet themselves are also full of beneficial bacteria, which can help to protect the body from infections and other health issues. In addition, they are an excellent source of fiber, which is essential for good digestive health. Acorns nerdwallet are also rich in antioxidants, which can help to fight inflammation and slow down the aging process.
Like other robo-advisors, Acorns nerdwallet makes it easy to invest in a diversified portfolio. It takes into account your age, goals and investment timeline to recommend a portfolio that is appropriate for your risk tolerance. It also automatically adjusts your portfolio when market changes or other factors cause it to deviate from your intended investment allocation.
Acorns nerdwallet also provides educational content and tips for investors of all ages, including videos and blog posts. It also collaborates with influencers and celebrities in the personal finance space to endorse its platform and attract new users. The company also has a referral program that rewards existing users for referring friends and family to the service.
What are the disadvantages of Acorns nerdwallet?
Acorns nerdwallet charges fees for its investment portfolios, starting at $1 a month if your balance is under $5,000. That fee can add up over time, and is on the high end for robo-advisors that charge about 0.25 percent each year or less. Additionally, some of the ETFs Acorn uses have relatively high fund expenses, which may eat into investment returns over time.
Acorn also has higher fees for its checking account and savings accounts compared to competitors, and its IRAs can carry minimum deposit requirements that aren’t conducive to saving for retirement or other goals. Plus, the service isn’t ideal for experienced investors who want to control their own investments and research with tools like stock screeners.
Still, Acorn executes the microsaving and investing concept well, and can make investing seem a lot more accessible to newer investors than it might otherwise be. The company also offers a Might Oak Visa debit card, partnered with Dwayne “The Rock” Johnson, that automatically invests your spare change with each purchase. And, Acorn is a registered broker and member of the Financial Industry Regulatory Authority (FINRA) and Securities Investor Protection Corporation (SIPC), so it’s legally required to submit its trading information to federal regulators. However, the Better Business Bureau gives Acorn an F rating, which may be a concern for some potential users.
