Are you:

• Saving for a short-term goal?
• Ready to take the leap and start investing?
• A couple managing your joint finances?

Twine, a new savings and investment app, might be perfect for you.

Designed for younger users, Twine provides the benefits of a brokerage and the convenience of a robo-advisor. It’s backed by life insurance giant John Hancock, but the site itself has the fresh feel of a startup.

The app was created as a convenient way for partners to manage (or “entwine”) their savings goals together. Solo users can also set up savings and investment accounts of their own.

What is Twine?

Twine is a cross between a savings app and an online brokerage firm. Partners who want to save for a major purchase together – anyone from engaged couples planning a wedding to friends saving for a vacation – will find Twine especially helpful.

Right now Twine is available on Apple or iOS devices with an Android app coming soon. Most of Twine’s features work on a traditional web browser, but it’s easiest to use on the app.

How Twine works

There are two types of Twine accounts, and you can take advantage of both:

Open a “cash account” or automated savings account

Users are encouraged to save for specific goals. The account itself comes FDIC (Federal Deposit Insurance Corporation)-insured.

Variable 1.05% APY

Once you open a Twine savings account you’ll start earning a variable 1.05% APY (Annual Percentage Yield). While this is not a super high yield, it’s a solid one.

Choose your savings goal

Twine lets you pick a savings goal from several predetermined options. You can choose “General Savings,” pick from common options like “Large Purchase” or “New Home,” or add a customizable goal. Separate goals, if you choose more than one, are managed in separate accounts.

Next you pick the amount you want to save. Twine gives you choices for a direct monthly deposit amount based on your end total (you can change the deposit amount whenever you want). Then Twine breaks the monthly amount into weekly increments. This way you’ll see regular progress.

If you’re saving with a partner, you each set up an individual account linked to a joint goal.

Open a “managed brokerage account” or investment portfolio

This is an option, not a requirement, for users who meet their savings goals on the app.

The investment part of Twine is also focused on short-term savings. While users see how their investment is progressing, they don’t observe too much of the investment process; Twine keeps it simple.

ETFs and mutual funds

Twine invests your money in ETFs (Exchanged Traded Funds) and/or mutual funds.

Once you enter information about your goals, preferences, and financial status, Twine will recommend an investment portfolio.

Pick your own risk

You can pick a conservative (low risk), moderate (medium risk), or aggressive (high risk) portfolio – higher risks mean higher potential returns but greater potential losses. Portfolios will reduce risk as you approach your goal.

As with the savings account, you can sign up to invest with a partner or by yourself.

$100 minimum investment

While the savings account is free, the investment account requires a $100 minimum deposit. And it adds a charge of 25 cents per month for every $500 – an 0.6% annual rate.

How to sign up with Twine

After downloading the app, the sign-in process is pretty simple. First you link your bank or credit union account to your Twine account and verify your info.

Next you pick your savings goal. Then if you’re bringing a partner on board you invite them to join in. They’ll go through the same process. You can also start with an individual account, then add a partner further down the line.

Though you’ll have a joint goal, you retain your individual accounts. You won’t have access to the other person’s contribution and earnings information, and they won’t have access to yours. Twine doesn’t need to formally verify your relationship as long as you’re both over 18.

Twine features and benefits

• The savings account is free to use!
• The savings/investment combination helps you grow your account even faster than you would with savings alone.
• The investment portfolio does the diversification work for you, making investment less of a headache. You also get to pick and adjust your own risk comfort level.
• Twine lets you save with a partner while giving you individual freedom. You each maintain your own account whether you’re saving or investing.
• Savers and investors get regular recommendations and progress updates on their goals.

Who should sign up with Twine?

Couples

Couples who want to explore their joint savings and investment options should definitely give Twine a closer look – especially if they have short-term goals in mind.

The joint goals setup is something Twine does better than any other savings and investment app out there.

If you have common goals but you aren’t ready to combine finances yet, Twine is also a great choice. Each partner retains their own account, giving you as much independence as you need. Similarly, friends saving toward a common purchase might find Twine useful.

Individual investors

For individual investors Twine is one of many solid options, though a bit higher in cost than others.

Summary

For couples tackling savings and investment together, Twine is a great place to start. It’s low-maintenance, tailored to your goals, and lets you pick your level of risk.

Check out Twine’s website for more information.

Read more:

• Couples’ Credit—How Credit Scores Work With Your Significant Other
• ‘I Don’t…Want to Pay for That!’: Tips for Managing Finances With a Significant Other Before Marriage