Bright Money Review [2024] Pros and Cons

Picture this: You’re navigating life on a tight budget, wrestling with paycheck-to-paycheck living, and trying to tame the credit card debt dragon. 

But fear not! There’s an app with all the answers. 

Bright Money is here to demystify the credit card debt labyrinth and make payments a breeze. So, if you’re like the average American with over $5,000 in credit card debt, then read on. 

In this Bright Money review, I’ll help you decide if Bright Money is right for you!

What is Bright Money?

Bright Money (sometimes called “Bright”) is a cutting-edge app for managing your finances. 

It takes the guesswork out of paying off credit card debt and even handles the payment logistics for you. 

After connecting to your bank accounts, Bright Money operates by analyzing both your income and expenses to determine a reasonable amount for tackling credit card debt. Utilizing Artificial Intelligence (AI), Bright Money figures out the best amount for you to pay off by looking at your spending, credit card balances, interest rates, and the money you have available. 

Additionally, you can set goals for saving– like building an emergency fund or tucking away cash for a vacation.

At its core, Bright Money is dedicated to boosting the wealth of individuals by guiding them toward smarter financial choices. Keep reading this Bright Money review to find out more about how it works!

How Does Bright Money Work?

To get started with Bright Money, you’ll need to share information like your annual income, name, and address.

Next, the app will ask you what your number one financial goal is.

You’ll have two choices to pick from:

1. Tackle credit card debt, or

2. Increase your credit score. 

Then, Bright Money takes things a step further by asking you to link your primary checking account.

Once you link up your checking account, the app gets into action by sizing up your income and how you spend it. It will also examine your credit cards– balances, APRs, and those pesky minimum payments.

It uses all this information to figure out how much money you could be dedicating to your credit card debt and which debt needs a bit of extra attention.

From there, Bright Money recommends a payment method. Default mode? Debt avalanche. It targets the credit card with the highest APR first. But if you’d rather knock out smaller balances first, you can do that, too.

Smart Pace is one of Bright Money’s systems that keeps an eye on your accounts and transfers money from your checking account to a dedicated stash known as your “Bright Stash” account. The preset frequency is every 2-3 days. But remember, you’re the boss. You can switch to weekly transfers or align it with your paycheck schedule if you prefer.

If your checking account gets too low, Bright Money utilizes what it calls “MoneyScience AI” to adapt on the fly, especially when your finances shift or you’ve got upcoming bills. 

After that, it starts putting your money to work, helping you march toward your financial goals. So whether it’s smashing credit card debt or growing your savings, Bright Money has you covered. 

Is Bright Money Legit?

Yes, Bright Money is a legitimate company. It offers a secure method for achieving your financial goals, including settling credit card debt, improving credit scores, and increasing savings. 

Backed by over 500 Trustpilot reviews, Bright Money maintains an impressive average rating of 4.5 stars. 

Is Bright Money Safe?

Bright Money takes security seriously by utilizing Plaid to establish a connection with your current checking account. Plaid is a trailblazer in the field of financial information sharing and ensures top-tier security measures. 

Also, your savings account with Bright Money is FDIC-insured up to $250,000. Accessing the app requires either a PIN number or a facial scan, adding an extra layer of security.

Pros and Cons of Bright Money

Pros

• Financial Guidance. Bright Money offers personalized financial advice and educational content to help users make informed decisions about their money.

• Makes Budgeting a Breeze. The Bright Money app helps users create and stick to budgets, providing insights into spending habits and suggesting ways to save.

• Automatic Bill Payments. The platform can automate bill payments to ensure bills are paid on time, helping users avoid late fees. Also, when users opt to put payments on autopilot, they typically decrease debt (and even boost their credit score!) over time. 

• User-Friendly App. Many users find the Bright Money app easy to navigate, making it accessible to a wide range of people.

• Worry-Free Security. Bright Money utilizes security measures to protect users’ financial information, such as high-level encryption and authentication protocols.

Cons

• Monthly Subscription Fee. Bright Money charges a $15 monthly (or $7 a month when billed annually) subscription fee for its services.

• Not Suitable for Everyone. Bright Money’s services may not be suitable for those with complex financial situations or those who prefer a more hands-on approach to financial management.

• Limited Customer Support. Some users report finding it challenging to get assistance when they encounter issues or have questions.

Bright Money Reviews

With a 4.1-star Trustpilot rating, it’s pretty clear that Bright Money has a strong online reputation. 

Here are a few reviews from Trustpilot to give you a sense of the kind of experiences other people are having with Bright Money. 

In a 5-star Bright Money review on Trustpilot, someone labeled the company as “a game changer” and said it has helped them “make smarter financial decisions.” Now, that’s the kind of shout-out that’ll make you want to roll with this company!

In this 5-star Trustpilot review, this user praised the customer service: “I definitely ended the conversation feeling better and more confident about what I was doing.”

Another user had a few hiccups with customer service, but in the end, they were able to achieve the desired outcome.

Bright Money Reviews Reddit

There aren’t many Bright Money reviews on Reddit, but here’s what I found to be the most insightful. 

This user had trouble with Bright Money’s customer service. Experiences in the customer service arena seem to vary, which is important to be aware of before downloading the app.

Bright Money Review BBB

Bright Money is accredited and has an overall rating of an A- on the Better Business Bureau (BBB) website. This means it is dedicated to resolving consumer complaints and is committed to maintaining BBB standards. 

Although, the customer reviews on the BBB are mostly negative, with an average rating of 1.04 out of 5 stars. It seems many users were charged for a subscription even after they canceled their membership.

The good news is, Bright Money takes the time to respond to each customer complaint and attempts to make it right. In most of the reviews I read, Bright Money refunded the customer the amount they were charged and apologized for the inconvenience. 

Is Bright Money Worth It?

Wondering if Bright Money is the right fit for you? 

If you’re facing credit card debt and feeling uncertain about the best approach to tackle it, Bright Money is just what you need. 

Bright Money is a practical (and low-cost) alternative to a financial advisor. It employs a proven financial strategy (such as paying yourself first!) and takes care of the automation for you. 

Now, if you have a more complex financial situation, Bright Money might not be the best solution. But for most people, Bright Money is recognized as one of the top apps for paying off debt.

Commonly Asked Questions About Bright Money

What are Alternatives to Bright Money?

There are tons of finance apps and online banking platforms similar to Bright Money, such as:

• Upgrade (read Upgrade bank review here)
• CIT Bank (read CIT Bank review here)
• Current (read Current Bank review here)
• Chime (read Chime review here)
• Revolut (read Revolut review here)
• Fierce (read Fierce Finance app review here) 
• Wise (read Wise review here)
• Quontic Bank (read Quontic Bank review here) 
• Varo
• Raisin (read Raisin review here)

If you need more help fixing your credit, check out our comparison of Credit Saint vs Lexington Law, or see if working with the best tradeline companies could be the right credit repair solution for you. 

To make payments on your purchases without impacting your credit score, check out these no credit check shopping sites.

And if you’re looking for a way to manage your mail while you’re away, check out our Anytime Mailbox review.

Is Bright Money a Scam?

No, Bright Money isn’t a scam. It’s a legitimate finance app designed to help pay off debt, grow savings, and improve credit. For security, Bright Money employs Plaid, encryption, and FDIC insurance to keep users safe from potential scams. 

What is The Catch With Bright Money?

The only catch with Bright Money is its cost. There are two payment options of around $7 per month (billed annually) or about $15 per month. Despite this, Bright Money is trustworthy and secure, using Plaid for connections and offering FDIC-insured savings accounts.

Does Bright Money Give You Money?

While Bright Money does not directly give you money, it does help you budget. This means you will (hopefully) have more spending money left over. However, Bright Money helps you achieve your savings goals by automatically transferring funds from your “Bright Stash” account to your designated savings pods.

Do you get paid twice a month and find yourself struggling to account for that in your budgeting? Learn how to budget biweekly paycheck. And if you need to ramp up your savings fast, learn how to save $3000 in 3 months.

To learn about more budgeting apps that could help you manage your finances and boost your savings, check out these comparisons of Rocket Money vs the competition:

• Rocket Money vs YNAB
• Rocket Money vs Simplifi
• Rocket Money vs Copilot

If you’re looking for a low-tech, hands-on budgeting method, learn about cash envelope categories. And if you need to boost your savings fast, the 60/30/10 rule budget can help.

Then use a net worth tracker to see how your new financial strategies are paying off. 

Does Bright Money Charge a Monthly Fee?

Yes. There are two options for payment. You can either pay $15 a month or be billed annually at $7 a month. Be sure to read this complete Bright Money review to help you determine if the cost is right for you.

Is Bright Money a Credit Card?

No. Bright Money is not a credit card but a money management app designed to help users pay off credit card debt and improve their credit scores. It connects with users’ accounts to automatically withdraw funds and pay down debt. This process encourages consistent on-time payments, helping reduce debt and build credit.