In the digital era, financial planning and investment have become more accessible than ever. Among the top-rated Indian personal finance apps, ET Money has carved a unique identity by offering a one-stop solution for mutual funds, insurance, credit score tracking, NPS, and financial planning tools.

Backed by Times Internet (The Economic Times group), ET Money has earned the trust of millions of investors. But before you decide to make ET Money your go-to financial app, it’s important to weigh both its advantages and disadvantages.

This guide covers ET Money’s features, strengths, drawbacks, and suitability for investors in 2025.

What is ET Money?

Launched in 2015, ET Money is a financial services app designed to simplify money management. Unlike discount brokers like Groww or Zerodha that focus on stock trading, ET Money is built primarily for:

• Mutual fund investments (Direct Plans)
• Insurance (term, health, car, etc.)
• National Pension System (NPS)
• Credit score tracking (free)
• Expense management tools

Its biggest attraction is commission-free direct mutual funds, which ensure higher long-term returns compared to regular funds.

Advantages of ET Money

Let’s dive into the key benefits that make ET Money a popular choice among Indian investors.

1. Direct Mutual Fund Investments – Zero Commission

ET Money allows you to invest in Direct Mutual Funds, meaning there are no distributor commissions. Over the long term, this can increase your returns by 0.5%–1.5% annually compared to regular plans.

For example:

• ₹10 lakh invested for 20 years in a regular plan may grow to ₹35 lakh.
• The same in a direct plan could grow to ₹40–42 lakh.

This difference is significant for long-term wealth creation.

2. Smart Fund Recommendation & Tracking

ET Money offers personalized mutual fund recommendations based on your:

• Risk appetite
• Investment goals
• Time horizon

Additionally, you can easily track all your mutual fund investments (even those outside ET Money) by linking your email. This consolidated view is helpful for portfolio monitoring.

3. Wide Range of Financial Services

Unlike apps that focus only on stocks or mutual funds, ET Money offers multiple financial services in one place:

• Mutual Funds
• Insurance (Term, Health, Car, Bike)
• Fixed Deposits (partner banks)
• NPS investments
• SIP tracking
• Credit score monitoring

This makes it a comprehensive financial planning app, reducing the need for multiple apps.

4. User-Friendly Interface

The app has a simple, clutter-free design, making it easy even for beginners to explore, invest, and track. ET Money is available on both Android and iOS with high user ratings.

5. Automated SIP & Expense Tracking

ET Money supports Systematic Investment Plans (SIPs) with reminders and auto-debit features. Additionally, it has a built-in expense manager that tracks and categorizes your spends through SMS alerts, helping you maintain financial discipline.

6. Free Credit Score Tracking

Users can check their CIBIL credit score for free within the app, which is useful for loan planning and credit management.

7. Tax-Saving Options (ELSS & NPS)

ET Money enables easy investments in ELSS mutual funds (Equity-Linked Saving Scheme) and NPS, both of which help save taxes under Section 80C and 80CCD(1B).

8. Safe and Backed by Times Group

ET Money is owned by Times Internet, part of the Times of India group, giving it credibility and financial stability. Investments made via ET Money are securely routed through SEBI-registered fund houses and remain safe with respective AMCs (Asset Management Companies).

9. No Account Opening or Maintenance Charges

Unlike discount brokers that charge for Demat accounts, ET Money has no account opening fee, no AMC, and no hidden charges for mutual fund investments.

Disadvantages of ET Money

While ET Money has several benefits, it is not without its drawbacks. Let’s examine the key limitations.

1. No Stock Trading Option

Unlike Groww, Zerodha, or Upstox, ET Money does not provide direct stock trading or intraday trading. If you’re a stock market trader, you’ll need another broker.

2. Limited Advanced Analytics

Although ET Money provides recommendations and performance tracking, it lacks advanced technical and fundamental analysis tools that serious investors or traders may require.

3. No NRI Investments

ET Money does not currently support NRI mutual fund investments, which limits its user base to resident Indians.

4. Dependence on Partner Platforms

Certain services like Fixed Deposits, Loans, or Insurance are provided through partner banks and insurers. This means:

• The terms and benefits vary.
• Customer service depends on the third-party provider.

5. Limited Asset Classes

While ET Money covers mutual funds, insurance, and pension products, it does not offer:

• Direct equities
• Commodities
• US Stocks
• Bonds or ETFs

This limits diversification for advanced investors.

6. Customer Support Concerns

Many users report delays in customer care responses, especially regarding insurance claims or fund transfer issues. Unlike traditional brokers, ET Money does not have physical branches.

7. Expense Manager Accuracy

Though useful, the automatic expense tracking sometimes misclassifies transactions (e.g., clubbing bill payments under shopping). For precise budgeting, manual adjustments may be required.

Quick Advantages and Disadvantages of ET Money

Should You Use ET Money in 2025?

ET Money is an excellent choice if you are:

• A beginner investor looking for a safe, simple platform to start with mutual funds and SIPs.
• A long-term investor focusing on tax-saving and wealth creation through ELSS and NPS.
• Someone who wants all-in-one financial management (insurance, mutual funds, credit score, and budgeting).
• An investor who values zero commission and easy expense tracking.

However, ET Money may not be the right choice if you are:

• A stock market trader (intraday, derivatives, or commodities).
• An NRI investor.
• A professional investor needing advanced research and diversified asset options like bonds, ETFs, or US equities.

Final Verdict

In 2025, ET Money stands as one of the best platforms for long-term, goal-based investing and personal finance management. Its zero-commission mutual funds, easy interface, and multi-service offering make it an attractive app for retail investors.

That said, it is not a replacement for a full-service trading platform like Zerodha or Upstox. Instead, ET Money works best when paired with a brokerage account, giving you a balanced approach to both investing and trading.

👉 Verdict:

• ✅ Best for mutual fund investors, tax planners, and personal finance management.
• ❌ Not suitable for active stock traders and advanced investors.