Australian first in-app tool Free2Spend revolutionises the personal finance management game

Today UBank, Australia’s leading digital bank[1], unveiled Free2Spend, a ground-breaking in-app tool that simplifies budgeting. Designed and built in Australia, the innovative new tool delivers users one number giving a daily spend that adapts in real-time.

Free2Spend first asks users to set goals, whether they’re saving for a wedding, investment property or holiday or even just saving in general. Users then input income and fixed expenses, with the tool then using these figures to calculate the daily Free2Spend number or ‘one number’. For example, if you’re saving for a $20,000 car, and you have a monthly income of $5,000 with monthly expenses like rent, utilities and bills of $2,500, Free2Spend will take these into consideration to provide a unique daily spend figure for the month (or the chosen pay cycle) to be spent however you please.

Unlike other tools, Free2Spend is revolutionary in the way its future focused and works in real-time[2] to provide a daily spending number, based on a user’s savings goal. Whether you overspend or underspend, the app will automatically adjust your one number for the rest of the month, helping you to meet your financial goals.  For example, if a user’s daily Free2Spend number is $68, and they purchase a coffee for $4, their Free2Spend number will reduce to $64. Similarly, if a large purchase of $100 is made, exceeding the Free2Spend number by $32, the app will automatically redistribute the $32 across the remaining days in the cycle. Thus reducing the customer’s daily Free2Spend number for the rest of the days in the cycle and keeping them on track towards their savings goal.

Inspired by the simplicity and functionality of fitness trackers, Free2Spend aims to streamline budget management one day at a time, with one number to help users stay on track each and every day in the simplest way possible.

UBank CEO Lee Hatton said “Australians have become confused by hundreds of numbers in their lives, from apps to bills to bank statements to even the money in their back pocket. Free2Spend will change that forever, designed to take the stress and guesswork out of personal finance. Our research showed almost 1 in 5 Australians still don’t have the tools to accurately monitor their expenses, and 22 per cent don’t feel like they have the time to invest in keeping track anyway. Thanks to this latest innovation from the team at UBank, Australia can now take back that control with utter simplicity.”

With more than 400,000 UBank customers already in Australia, this new tool is set to revolutionise how they save.

“Just like fitness trackers have kept people moving to the goal of 10,000 steps a day, Free2Spend does the same with your finances by consolidating your spending and saving goals into one number that changes with you and your life.  If you go over or under that number, the tool automatically decreases or increases your daily spend for the rest of the month.  By automating the saving process even more, our customers will be free to spend on the things they love,” said Hatton.

“When developing Free2Spend, we noticed that budgeting tools focus on the past and bring to light negative behaviour, like over-spending or spending in certain categories, without providing easy tactics to help you readjust and recover,” explains Hatton.

“At UBank, we’re less interested in what you spend your money on and are more focused on helping Australians achieve their financial goals. By giving our customers one simple number, we’re helping them make in the moment decisions and change their spending habits for the better. If you’re having a busy month or want an extra few cheat days to splurge on take-away, go for it. Free2Spend will adapt accordingly so you can have your takeaway and still be able to put money aside for your next holiday.”

Through in-depth research and customer insight, UBank found Australians are increasingly overwhelmed by personal finance, a cause of stress, anxiety and loss of sleep for many (59 per cent). The one number approach aims to simplify personal finance and gives users an easy tool to help them reach their financial goals.

For more information or to sign up go to https://www.ubank.com.au/free2spend.

Free2Spend is available on iOS (10+) and can be downloaded from the App Store today via the UBank app: https://itunes.apple.com/au/app/ubank-mobile-banking/id1313119623?mt=8

[1] UBank was awarded Best Online Bank 2017 in November 2017 by Mozo.

[2] Free2Spend works with UBank accounts only