Looking to invest your stimulus check? Here are some apps to help beginners get started

SALT LAKE CITY – For most people, 2020 has been a year dedicated to managing the devastating impact of the COVID-19 pandemic, which included the worst economic crisis since the Great Depression.

Now that people are eagerly awaiting a new year, the second round of stimulus checks are hitting Americans’ bank accounts starting this week, leaving many wondering what the best way to spend their $ 600 is.

The second stimulus is half of the $ 1,200 that many received from the first coronavirus relief funding earlier this year and far less than the proposed $ 2,000 that Congressional Democrats and President Donald Trump have been pushing in recent weeks.

So how can you do more with less? Invest.

Investing is just one of the many ways that individuals can choose to use money, although most financial experts have advised citizens to pay their bills and high interest debts first. that any willingness to invest is not taken seriously.

At the end of the day, it’s a personal decision on how to spend the money, even if it’s just about buying something for yourself. But if you are a newbie investor looking to get new funds to market, it can be daunting.

However, with easy-to-use apps, you can invest right from your phone. You might not become the next Warren Buffett, but you can diversify your finances without having to find a broker or visit Wall Street in New York City.

Here are a few app-based brokers that can help you get started:

Robin Hood

Available on the App Store and Google Play

Based on the principles shared by its namesake, the app offers easy access to anyone looking to go public and “not just the rich,” according to its creators. Robinhood does not charge a commercial commission and is free to download. Users can pay monthly fees for Robinhood Gold, which offers more resources.

The app allows users to buy stocks directly after linking a bank account. Robinhood allows users to engage in day-trading, but with certain restrictions; it also depends on the type of account a user has before day-trading.

The app recently encountered some issues with the government. This month, Robinhood Financial agreed to pay $ 65 million to settle the fees of the Securities and Exchange Commission which alleged that it did not disclose all the details of high-speed traders and did not give the best prices for customers trading on the platform, the Associated Press reported. .

Tassels

Available on the App Store and Google Play

Unlike Robinhood, where you choose which stocks to buy, Acorns automatically rounds up the spare currency of your daily purchases over $ 5 and invests the money. The download is initially free, but you must agree to a monthly fee in order to use it. For example, if you buy a lunch for $ 7.85, the app will round up and invest 15 cents. Users select the level of risk they’re willing to take and answer a few more questions before the app creates your profile and starts investing.

SoFi

Available on the App Store and Google Play

SoFi is free to download and allows users to start purchasing stocks once they have set up their profile and linked a bank account. The platform does not charge an annual management fee and users can start investing immediately.

Public

Available on the App Store and Google Play

Public, formerly known as Matador, prides itself on being “the social investment app” and is free to download. It allows users to buy stocks without commission fees. The app not only allows users to buy stocks, but also offers unique features like group chats with other users and following other investors to see which stocks they are interested in. The app does not have a day trading policy, unlike other apps.