Credit Conscience is a mobile app that empowers consumers to make smarter decisions about otherwise impulsive credit card purchases. A preventative solution to bad debt, this lightweight utility makes the perfect companion for mall visits, online shopping and countless other potentially-costly activities.
Inspired by those of us with a tendency to carry a credit balance from month-to-month, this simple debt management calculator affords users the ability to enter the item price of a potential purchase, along with a prospective monthly payment amount of their choosing (Perhaps you’re the type to make minimum payments each month? Or maybe you’re the kind who pays a little more than necessary? Whatever the case may be, here’s the chance to reflect your habits.) Upon doing so, users, with the tap of a button, will then be able to calculate these figures against the (app-provided) national average APR and receive an estimate of the “true cost” of their potential purchase: a figure derived from how the item’s retail price will be inflated by a combination of interest and the user’s particular payment schedule*. Should they prefer, users will also have the ability to manually enter an APR of their own, in place of the aforementioned app-provided APR. Additionally, as a method of educating consumers about the time burden of eliminating debt, the app will display the number of months required to pay off their prospective purchase.
By giving users a glimpse into the potentially harsh long-term ramifications of their spending, Credit Conscience looks to encourage the financial literacy Americans need in order to be proactive about managing consumer debt.
Also, in the name of analytics, Credit Conscience will record insights as to whether or not users plan on completing the purchases they’ve entered into the app. In response to the user’s calculation results, the app will display a poll question asking “Is it worth it?” – to which users will have the option of tapping a “Yes” or “No” response. Also logged, for “Yes” and “No” responses respectively, will be the average dollar difference between the item’s “true cost” and its retail cost. Accessible to developer and end-user alike, these analytics will give an interesting look into consumers; namely in regard to how their behavior is being impacted by the app, and at what price.
*Estimate based on an account with average daily balance interest calculation, and no penalties or additional expenditures