Moneybox or similar ‘saving change’ scheme

[Janus]

I’d really like to save this way, ie it rounds up any expenditure from say £4.99, put the penny in a savings account. I have got half way through setting up the Moneybox app but it feels weird giving my bank passwords to an app! Am I being daft?
(I don’t want to change bank - I know Halifax have a similar scheme - as I’ve been with first direct for about 20+ years and love them.)

I do similar to this just myself on my banking app.
Just skim over any "pennies" to my savings every day I buy something, some (hardy ever) days I might even do it to the nearest £5/10.

I saved £1200 in 6 months on moneybox last year. I thought we were completey skint and would have never saved that off my own back. I'm sure the are fca accredited or something like that.

I was the same though, took me bakut 3 attempts to actually take the unge and give them my details

That’s funny icklepickle, it’s the second time I’ve got this far too. I think I may ring my bank and ask them?

I bank with Halifax and this is something you can opt into for any accounts you have with them. It's brilliant for saving without noticing.

Monzo have this option too.

I went round in circles before finally going with plum. I've saved £1470 since the middle of July and genuinely haven't felt the lack of it too much. It rounds up and does calculated savings every four or five days. It is astonishing how quickly it adds up. I can't recommend it highly enough; it paid for Christmas and will get me through January

I use Moneybox, Tandem and Plum. Happy with them - I use two diff accounts on money box, the 95 day access savings and the stocks and shares isa.
Plum and Tandem are simple saving accounts, Tandem gains interest

I don't understand the benefit of schemes like this. Surely if you aren't syphoning bits of money off into a savings account, it just mounts up in your current account anyway.

It doesn't magic money out of thin air, there might be a bit of interest gained but it won't be much and our current account pays as much interest, if not more, than most savings accounts anyway.

I think it’s because if you keep rounding up every time you pop to the shops, 23p here, 33p there, etc and it goes into another account then you keep looking at your bank balance and work on what is left each week/month. Therefore if £40 gets put aside one month you adjust your spending and as it comes out as such a small amount each time it somehow seems easier to manage than a lump sum of £40 coming out on the 1st of each month. That would be my way of understanding it. You can then access the money whenever you want. I just tend to be a bit rubbish at actual saving and hoping this would work for me.

Oh, I see. So it somehow tricks you into changing your spending habits by hiding money from you?

I don't spend from my current account or use the amount in there as an indication as to whether I should buy/do something, as it's a totally separate thought process so it's not something I would gain from.

If you dont want to change bank account then sign up to plum.

@Lumene how do you do it on Monzo?

There's an app called Chip that does a similar thing. I've currently got a code for a free £10 for new users

@Fifteenthnamechange you create a pot then if you edit it you can switch on the option to do roundups.

Thanks @Lumene

Chip is not FSCS protected and pays no interest.

open a savings account and transfer money using online banking. You won't get much interest, about 1.4% at the moment, but it will be protected and you'll earn a bit.

these millenial apps are absolute sucker-bait.