Brightfin has debuted its financial wellness app, aimed at helping younger consumers.
“Younger generations think about money differently. Gen Z and Millennials don’t necessarily have the same life goals as their parents, but financial guidance hasn’t caught up with their changing needs and priorities,” Brightfin Co-founder and CEO Christine Devane said in a news release Thursday (July 18).
“We developed Brightfin to help the next generation understand their money and remove the anxiety around managing finances. Our swipeable app makes tracking spending feel more like a video game and creates a routine they’ll actually look forward to doing.”
According to the release, the app includes a swipeable interface that lets users sync their accounts with Brightfin and track spending by simply “swiping left and right.”
It also allows users to put their expenses in four categories: spend (things they need), splurge (things they want), save (savings) and share (gifts and donations).
The launch comes at a time when young adults — members of Generation Z especially — are finding it tougher to make ends meet, as PYMNTS Intelligence research has found.
“While 58% of all consumers live paycheck to paycheck, this number sits at 59% among Gen Z, even as half of this generation live in homes where they pay nothing toward rent or mortgage,” PYMNTS wrote earlier this year.
“With such a financial cushion, the question remains as to why these young adults struggle to live within their means. One answer: Gen Z consumers cite splurging on nonessential items as a top reason for their financial lifestyle.”
Meanwhile, additional research by PYMNTS Intelligence finds that financial institutions are developing new products with Gen Z in mind. This is especially true of credit unions (CUs), 95% of which are focused on boosting Gen Z memberships.
The reason: these consumers are on the verge of landing higher-paying jobs and more rewarding career paths, and will likely soon be spending more on big-ticket purchases, such as automobiles and homes.
“In fact, Gen Z consumers are projected to increase their spending by as much as six times by 2030,” PYMNTS wrote last month. “But it’s not only the potential for increased spending that has captured the attention of CU executives. As their incomes rise, CUs recognize that Gen Z consumers will likely need more sophisticated financial products and services.”
Less enthusiastic about wooing Gen Z are FinTechs, with 70% of these companies telling PYMNTS that zoomers don’t make enough deposits to justify efforts to win them over.
“Yet, this demographic group would appear to be an ideal segment for FinTechs to pursue,” PYMNTS wrote. “After all, Gen Z is made up of predominantly digital-first consumers who value the convenience of mobile banking and digital payments, something many FinTechs recognize.”