Building financial security is a goal that many of us have, whether it’s creating a rainy-day fund or growing an investment portfolio for the future. But what if you could kickstart those goals without making drastic changes to your current lifestyle? By leveraging rewards and deal apps, you could turn everyday spending into meaningful contributions to your emergency or investment accounts.

From cashback platforms to loyalty rewards apps, these tools are designed to save you money on purchases you’re already making. With a little strategy and discipline, those small savings can grow into something more significant when redirected into your financial goals. Here’s how you can use apps like Rakuten, Ibotta, Fetch Rewards, and more to boost your financial security.

How Rewards and Deal Apps Work

Rewards and deal apps offer cash rebates, points, or discounts on everyday purchases like groceries, clothing, gas, and more. By simply using these tools, you can stretch your dollar further, freeing up extra money that can go directly into savings or investments.

Popular Apps That Can Help Fund Your Goals

  • Rakuten: Earn cashback on online purchases across thousands of retailers.
  • Ibotta: Get rebates on groceries, household essentials, and more when you upload receipts or link your loyalty cards.
  • Fetch Rewards: Earn points for every grocery receipt you scan, which you can redeem for gift cards or cashback.
  • Cashback Credit Cards: Many credit cards offer cashback percentages for different spending categories, which can be redeemed as statement credits or transferred to a bank account.

These apps and tools require very little effort and work seamlessly with your existing spending habits, making them a simple way to create extra cash flow.

Earning Rewards and Maximizing Savings

To get the most out of these platforms, it’s essential to use them strategically. Here are some actionable tips to maximize your rewards and save even more.

1. Take Advantage of Sign-Up Bonuses

Many rewards apps and cashback credit cards offer lucrative sign-up bonuses when you meet specific spending thresholds. For example, Rakuten may offer $30 after your first $30 purchase, or a credit card might give you $200 after spending $500 in three months.

Pro Tip: Look for sign-up deals and time them with necessary expenses, like holiday shopping or large purchases, to maximize your rewards.

2. Stack Discounts and Rewards for Bigger Savings

With most apps, your cashback and reward opportunities don’t need to stop at a single platform. For example, you can use Rakuten to earn cashback on your online purchase, then pay with a cashback credit card to double-dip on savings.

Example:

  • Shop at Target through Rakuten (get 3% cashback).
  • Input a promo code for an additional 10% off.
  • Pay with a cashback credit card offering 2% back on all purchases.

This stacking strategy can stretch your dollars further without costing you extra.

3. Use Apps Consistently

These tools work best when you make them part of your everyday routine.

  • Always activate cashback offers before shopping online.
  • Scan every grocery receipt to Fetch Rewards or Ibotta, even for small purchases.
  • Use your cashback credit card for regular expenses like gas and groceries to accrue rewards passively.

4. Focus on High-Spending Categories

Identify which areas of your budget are most active and target those spending categories with rewards tools.

  • Food and Groceries: Use Ibotta and Fetch Rewards for rebates on staples like milk, bread, and snacks.
  • Online Shopping: Rakuten’s cashback opportunities are ideal for e-commerce purchases.
  • Travel: Cashback credit cards are especially useful for larger travel expenses like flights and hotels.

Redirecting Rewards to Your Financial Goals

Earning rewards is one thing, but the real game-changer happens when you funnel those savings directly into savings or investments. Follow these steps to make the most of your hard-earned cashback.

1. Track Your Savings and Rewards

You can’t manage what you don’t measure. Use budgeting tools or apps like Mint or You Need a Budget (YNAB) to track how much you’re earning in rewards each month. Seeing the total can help you stay motivated and disciplined.

Pro Tip: Keep a separate log for rewards savings earmarked specifically for financial goals. It could be a spreadsheet or an app that tracks cashback balances.

2. Automate Transfers to Emergency Accounts

Once you redeem your cashback or points, immediately transfer the equivalent amount into a dedicated savings or emergency fund. Automating this process ensures the money doesn’t accidentally get spent elsewhere.

For example:

  • Redeem $50 cashback from Rakuten and set up a recurring transfer of $50 into your high-yield savings account.
  • Use Ibotta cashback earnings to fund a financial app like Acorns, which rounds up spare change and invests it on your behalf.

3. Turn Gift Cards into Cash or Savings

Many platforms like Fetch Rewards offer gift cards instead of straight cashback. Rather than spending those gift cards impulsively, redirect their monetary value to your savings account by budgeting for equivalent expenses.

Example: Use a $50 Walmart gift card from Fetch to buy groceries, then move $50 from your checking account to your savings account.

4. Invest Your Cashback

Why stop at saving when you can use rewards to grow wealth? Once you’ve built up enough for emergencies:

  • Apply rewards toward investing in a brokerage account. Consider apps like Robinhood or Betterment for easy entry into investing.
  • Use round-up apps like Acorns to automatically pair small savings amounts with professional investments.

The Power of Compound Growth

Shifting even small amounts of cashback and rewards into an investment account can yield impressive results over time. For example:

  • If you save and invest $50 a month (from cashback and rewards) in a market earning an 8% annual return, you’ll have approximately $37,449 after 20 years.
  • Now imagine combining those rewards savings with regular contributions from your income. The results can be even more significant.

Benefits Beyond the Numbers

The advantages of this strategy go beyond just having more money in the bank. By using rewards to fund your financial goals, you’re reaping psychological and practical benefits like:

  • Discipline: Building the habit of saving without changing your core spending habits.
  • Peace of Mind: Growing an emergency fund provides a safety net for unexpected expenses.
  • Future Gains: Investing your savings secures a brighter financial future.