Why do investment apps need to know so much about you?

 Why do investment apps need to know so much about you?

Investment apps are very popular with millennials and younger generations, but they’re also very different from traditional forms of investing. Before you download an investment app, you should know how much information it will require you to give up, and how that affects your privacy and data security. Read on to learn more about why investment apps need to know so much about you, and what that means for your finances going forward.

How people use them

Investment Apps are taking the investing world by storm. They allow people of all financial backgrounds to invest in stocks, bonds, and other funds. The problem is these investment apps want a lot of personal information from their users. Is it worth the trade-off for more investments or does it just make them more vulnerable? 

Investment Apps are taking the investing world by storm. They allow people of all financial backgrounds to invest in stocks, bonds, and other funds but they have their own set of issues. With many Investment App providers asking for social security numbers and birthdays upfront there is an inherent risk that your data will be compromised or used against you later on down the road. There is also the possibility that if a company goes bankrupt, your money may not be able to be accessed. It's important for investors to weigh the risks with this type of technology when making decisions about where to put their money.

How these companies make money off your data

The first reason that investment apps want your data is for marketing. They want to target ads at you based on your personal information. For example, if they learned that you're a business owner, they would show you financial services ads. The second reason they want your data is because they make money off of it. Investment app companies sell your data to marketers and other businesses who then use it for their own purposes, like targeting advertisements at you based on the information the investment app company has collected about what kind of things are important or interesting to you. That's how these companies make money off of you. In order to keep making profits, they must continue collecting more data from as many people as possible - which means every new person will be more valuable than the last one because there will be more data available to mine and resell in order to keep profits up.

Data privacy policies are changing

Investment apps are popular because they're easy, convenient and usually free. However, a recent study shows that one in five people who use investment apps don't read the data privacy policies before signing up. In order for these companies to offer their services for free, they collect a lot of information about the users that can be shared with third parties or sold to other companies for use in marketing purposes. All this information is collected without your consent, which could make it easier for hackers to steal your identity. The only way to avoid this is by reading the data privacy policy before you sign up for an app.

What are they doing with all this information?

Investment apps are designed to help make investing easier. However, in order to use the app, you have to provide a lot of personal information. What is the investment app doing with this information and should we be worried? The answer might surprise you.

Investment apps collect all kinds of personal information. They will ask for your name, email address, phone number, credit card number and bank account number. This is usually not enough though because they also want your social security number and date of birth as well as information about where you live such as your address or zip code.

Should I delete my account and stop using these apps?

If the information on your account is accurate, then there's no reason why you should delete your account. However, if the information isn't accurate and you don't have time to update it, then deleting the app will be your best option. There's also a chance that these investment apps are just meant to make money off of their users by charging fees every time they want to use the app. If this is true, stop using these investment apps as soon as possible.

Resources

Investment apps are an increasingly popular way of investing because they're quick, easy and require little-to-no experience. As a result, there are a lot of investment app startups popping up all over the place, each with their own take on what makes an ideal app. However, it's important to keep in mind that these companies often ask for your bank account number or other personal financial information before they even let you see what the app is like or how it works. Why do they need this information? Here are some reasons why: 

They may be seeking investors themselves - Investment companies often use data from users in order to attract investors to their platform.