Product Review: Worried About Overdrawing Your Checking Account? There's An App for That!
A whole lot of peoples’ pain ($33 billion in overdraft fees) seems like an opportunity to one entrepreneur!
Mark Cuban was crushed with overdraft fees in his 20s. Now he’s backing an app that’s trying to help people avoid having to pay them. The billionaire has invested in a new app called Dave that aims to predict coming expenses for users to help prevent them from overdrafting on their bank accounts.
Have your students go to Dave.com and review the app:
Questions (for more extensive set of questions, check out the NGPF project below):
- How does the app work?
- What information do you need to provide so the app can help you minimize overdraft fees?
- How is the app able to warn you about overdrafts? What information do they take into account to make that prediction?
- Describe the ideal customer for this product.
- How does dave.com make money?
- What sensitive information are you providing Dave? How do they protect it?
- Do you think this app would work for you? Why or why not?
As for me, I say save the $1 and “Just Say No” to overdraft protection.
Want your students to become financial app experts? Check out the NGPF Project: Online Tools and Apps
About the Author
Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.
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