Money Tracking Apps - Is Your Financial Data Safe from Hackers?

Money Tracking Apps - Is Your Financial Data Safe from Hackers?

Are you struggling to manage your money? If so, you are more often than not advised to use budget tracking software to be on the saddle. You can link all of your financial accounts to the app, categorise your expenses, and keep tabs on where your money is going. How fantastic is it, but are they safe? 

Regardless of the apps you use, you will have to provide them with permission to access all your financial accounts so they can delineate a summary of incomings and outgoings to you without you running between your accounts. 

The fact is that no money-tracking software is 100% risk-free. Cybercriminals are smarter than you are. They know how to break the barrier to access all your financial details and make off with your whole money with a few taps. 

What are the Risks Pertaining to Budgeting Apps?

Budgeting apps are linked to some risks, and the biggest security risk is that the company behind the app can be hacked, which means your financial data will be compromised. It is crucial to remind yourself to do some research before downloading a third-party app on your smartphone. Look for apps with good reputations. 

Make sure you read their security policy carefully. If the app is transparent about how it processes your data, it could be a good start. Be careful of those apps that share your data with third parties, and do not take up the responsibility for how your data is used. 

A majority of apps share data with third parties for sending you promotional emails and messages. This is the biggest loophole of these apps that leaves room for cybercriminals to have easy access to your data. 

Money Tracking Apps and Their Security Features

A good budgeting app is one that ensures multi-level protection. Money apps are not just meant to be used by those who have just started earning money. Even if your budget is so strong that you can easily afford a £10,000 loan with a fair credit score, you will need these apps to stay on top of your finances. Without budgeting, you cannot get to know where and how much money is going out. Here are the most popular budgeting apps, along with their security features:

PocketGuard

You can link all your types of bank accounts with this application. Whether it is about credit cards, investments, or loans, you will get a consolidated report detailing your spending. The app can let you know how much you are left to spend after covering all your bills. With the help of this app, you will have more transparency about your money. The security features of this app include:

• Encryption – the app uses advanced encryption that most of the renowned banks use, lowering the risk of losing your data to hackers. 

• Additional user-level protection – you can set a PIN code that you keep to yourself. For enhanced and tighter security, you can also use a touch or face ID. It provides you with protection in case your mobile phone. 

Quicken

Another popular app is Quicken. This is a perfect app for household budgeting. If you are new to budgeting, you should use this app. It might not help you with investments, but it can help you with loans for 19-years-old. You can link all your bank accounts and get all your information in one place, so you have a clear idea of how much money you have already spent and how much is left to be spent. Here are the security features of this app:

• Multi-protection layer and firewall controls – The app can protect your information using various protection methods using socket layer technology. The app also highlights its feature of protection against firewalls. 

• Unreadable during transmission – your financial information will stay encrypted to stop hackers from accessing your data when it is being sent to Quicken. 

You Need a Budget (YNAB)

The most popular feature of this app is zero-budgeting. If you are bad at managing your money and often find yourself clueless about where it has gone, you should use this app. According to this budgeting, every penny goes towards bills, savings, or investments. Instead of tracking your money, the app informs you how you will be spending. Here are the security features of this app:

1. Encrypted data – the most important security feature it offers is the encryption of data. It uses advanced encryption that makes it hard for hackers to get access to your financial data. 
2. Encrypted browsing traffic – unless your browser is secure, YNAB will not let you access it. This is an advanced level of encryption. 
3. Password-protected communication – no YNAB team member will initiate communication without asking you for your username or password.

EveryDollar

This app also backs a bare-bone budgeting method that allows you to plan your spending ahead. You can decide in advance how little money you want to spend on each category and to ensure that you are on track, you will track your expenses every day. Here are the security features of this app:

• Encrypted data – your financial information will be encrypted, so nobody will be able to see your accounts. It is you or a person with whom you share your details who can see your budget information. In fact, the app team cannot access your financial information. 
• Multilayer security – in addition to firewall controls, the app’s security layers add authentication procedures and transmission encryption. 

How to Prevent Yourself From Hackers’ Attack

It is not bad to use a budgeting app, but you should not throw caution to the wind even if it boasts about being the safest. Here are some of the ways to prevent yourself:

• Research as much as possible.
• Create unique passwords.
• Keep tabs on your accounts.
• Use a secured network.

The Final Comment

There are a lot of money management apps, and none of them is 100% risk-free. Do careful research before choosing any app. The aforementioned apps are deemed to be the safest apps.