There are 4 main things that influence Digit's savings algorithm:
- Checking account balance
- Upcoming income (paychecks or predicted irregular income)
- Upcoming bills
- Recent spending
Every weekday Digit uses these 4 inputs to try and find a small amount of money it knows you don't need for upcoming spending, and more importantly won't feel based on how you've recently been spending money.
If it is able to find some money, Digit will auto-transfer those funds to your Digit account.
The funds in your Digit Account are held at FDIC insured banks for your benefit and are insured up to a balance of $250,000.