I’ve been talking about it for months. It’s a great noob investing platform and it’s high time I do an official Acorns review. Right?
So what is Acorns?
Remember the BOA keep the change savings account? If you spend $5.50 on a hot dog and a drink, BOA would round that up to an even $6 and put the “change” into a savings account with what was, of course, a super shitty interest rate. So you didn’t actually earn anything.
Acorns takes this idea and jams that cash into ETFs. You make an account and pick a risk level. You can change this risk level whenever you want.
They call the “keep the change” idea “roundups”. They round up your change, and once you’ve accumulated $5, it is withdrawn from your bank account and placed into your acorns account.
As far as roundups, you can set it to 2x, 3x, and 10x. You can also set up recurring monthly investments and one-time investments. Personally, I invest $50 a month and then usually end up with about $25 in roundups for a total of $75 a month. That isn’t going to get me anywhere, but it’s a start.
This is why Acorns is great for investing noobs.
Related: You’re not stupid
No one is going to miss $5 being pulled from their account at one time. If you do notice it, you shouldn’t be investing.
This is a taste. Acorns allows you to get your feet wet without throwing tons of cash into the market.
Reasons for a bad Acorns review
Many investors scoff at the idea of Acorns’ $1 monthly fee. And they aren’t wrong. This shit is high.
However, both of the credit cards I use for roundups are cash back credit cards. If there is a way to hack Acorns, this is it.
I make anywhere from $10-$20 a month on cash back and pay the cards multiple times a month to ensure I’m not paying any interest. So my investment account is paying for itself just by spending the money I would be spending anyway.
While I may be a noob to investing, I know a good deal when I see one. So if you’re just starting out or you don’t want to sink a ton of cash into the market just yet, Acorns is a winner. As far as my Acorns review, I’m giving it the green light.
Sorry, I don’t have any fancy rating system.
You guys know I don’t do affiliate links on this site.
Related: Why I’m bailing on affiliate sales
While I have a referral link, I won’t post it here. You can message me through the contact page or on twitter and I’ll be happy to share it with you. After your first deposit, we’ll each get $5. So that’s pretty cool.
Hope you enjoyed the Acorns review and thanks for reading. If you have any questions, please let me know in the comments.