Choosing an app for small, regular buys
For steady investing, the best app is the one that makes small automatic buys cheap and easy. Here is what to check.
Most popular investing apps can run a recurring plan. The differences show up in the details, and on small amounts the details add up. Use this checklist before you sign up.
The checklist
Free recurring buys
Check what each automatic purchase costs. Many stock brokers charge nothing, while some apps and most crypto exchanges charge a fee or a spread on every buy. On a $25 weekly plan, even a small flat fee is a large percentage. Our recurring buy fee calculator shows the long-run cost.
Fractional shares
With fractional shares, $50 buys part of any stock or ETF, so every dollar is invested on schedule. Check that the funds you want are eligible for fractional and recurring buys, not just a selection.
No account minimum
Some providers ask for a minimum deposit or minimum purchase amount. For a small plan, look for none.
The account types you need
If you want tax advantages, make sure the app offers a Roth IRA or traditional IRA and allows recurring investments inside it, not only in a regular account.
Dividend reinvestment
Automatic dividend reinvestment should be free and easy to switch on.
Protection
US brokerages that are members of SIPC protect customer securities and cash up to $500,000 (including up to $250,000 in cash) if the brokerage itself fails. This does not cover market losses. Crypto held on an exchange is generally not covered by SIPC, so check how the exchange stores customer assets.
Stocks vs crypto apps
A stock broker is usually the right home for the core of a plan: index funds, low fees, retirement accounts. Crypto exchanges are built for coins and often cost more per buy. If you want both, compare the fee on a recurring buy of the size you plan to make, not the headline rate.
App-by-app guides
We are writing guides for specific apps with exact steps and costs. Until then, use this checklist and read each app's own fee schedule before you start. See what is coming.
FatDCA may earn a commission from some apps we link to. It never changes what we recommend or how we rank options. Read our affiliate disclosure.