6 Popular Budget Apps With Surprising Privacy Policies
Budgeting has never been easier than it is now. There are so many different ways you can manage your money. You can go old-school with a spreadsheet or even more traditional with pen and paper. However, apps have made everything more readily accessible. That said, some of the most popular budget apps have been heavily criticized for the way they leverage user data. Here are six you may have heard of.
1. Mint: Popular, But Not Always Private
Mint was once one of the most downloaded budgeting apps, known for linking your accounts and offering smart money tips. At one point, it was under fire for its data-sharing practices. Users discovered that Mint shared spending and behavioral data with third parties for targeted advertising. Although some sharing was anonymized, it raised major concerns among privacy advocates. Since then, Mint has shut down and was “reimagined” on the Credit Karma app.
2. Truebill (Now Rocket Money): Powerful Tool, Questionable Practices
Truebill, recently rebranded as Rocket Money, has gained popularity for helping users cancel subscriptions and track expenses. While the app offers some useful features, it’s been criticized for collecting detailed financial data for marketing purposes. The company has stated it anonymizes user data, but critics argue the sheer volume of data collected makes it risky. Some users reported targeted ads shortly after interacting with the app. If you’re privacy-conscious, Rocket Money may not be the right fit.
3. EveryDollar: Faith-Based Budgeting Meets Data Mining?
EveryDollar, created by financial guru Dave Ramsey, is marketed as a faith-centered budgeting tool. But even this seemingly wholesome app raised eyebrows when it was found collecting user behavior data beyond what’s necessary for budgeting. A lot of the app’s privacy policy is unclear as to what it shares and what it doesn’t. While the Ramsey team hasn’t been directly accused of selling personal financial information, the permissions and vague data policies leave some room for concern for users. It goes to show you that, even if there’s a trusted name behind the app, you need to closely read the terms and conditions.
4. Goodbudget: Envelope Budgeting with Data Sharing Surprises
Goodbudget offers a digital take on the old-school envelope budgeting system and appeals to users who prefer manual control over automatic syncing. But even this low-tech alternative has been called out for sharing user data for “research and marketing” purposes. The site’s privacy policy states that it will only use your information to do any of the following:
- To fulfill your requests for service, such as providing access to your Envelopes, Accounts, and Transaction History through the website www.goodbudget.com and through Goodbudget’s mobile apps;
- To improve your experience, such as suggesting previously used payee names based on your location;
- To communicate with you regarding the Goodbudget service;
- To be used in the aggregate in a non-personally identifiable way to improve Goodbudget;
- To enforce our Terms of Use;
- As otherwise set forth in this Privacy and Security Policy.
Seems a bit vague, right? It also goes on to say that they would provide your info to third parties if you provide your consent. And, as with most apps, you agree to that when you sign up. You’ll have to opt out of specific data sharing options. On top of that, they store your data (and companies that work on their behalf do too).
5. PocketGuard: Budget Alerts—and Privacy Alerts
PocketGuard markets itself as a way to “protect your pocket.” Reports surfaced of the app sharing information with affiliates and marketing partners, often without users realizing it. The company’s privacy policy confirms that user activity and preferences may be used to provide suggestions for offers and products from their marketing partners. That said, users can freely opt out of sharing their information.
A representative from the company pointed out that everyone has the “Right to Opt-Out.” They wrote, “You have the right to direct PocketGuard to not sell or share your personal information to third parties at any time. Please note that PocketGuard has never sold or/and shared and not going to sell or/and share any personal data obtained from you.” But it’s an extra step you have to take to ensure your data isn’t being used in any way you don’t want it to be.
6. Clarity Money: Shutting Down, But Not Forgotten
Clarity Money gained traction for its clean design and automation tools, but it didn’t leave the best legacy when it comes to data privacy. Before being shut down by Marcus by Goldman Sachs, it was revealed that the app collected a large amount of user data—including transaction histories—and used it for internal product development and marketing. While technically legal and covered in the terms of service, many users felt blindsided.
Watch Where You Budget—Not All Apps Play Fair
In the digital age, convenience often comes at a cost, and when it comes to budget apps, that cost might be your privacy. These apps promise to help you take control of your finances, but some are profiting more from your data than your subscriptions. Always read the fine print, check privacy settings, and consider whether the features offered are worth the potential risks. A little research can go a long way in protecting your personal and financial well-being.
Have you ever stopped using a budgeting app because of data privacy concerns? Share your experience in the comments below!
Read More
