ArthPulse › AI expense tracker

AI expense tracker: how ArthPulse sorts your spending

ArthPulse uses AI, running on its own servers, to turn each bank, card or UPI alert into a clean, categorised transaction, and it learns from every correction you make. Here is what happens between your bank's SMS and the line in your spending list.

From an SMS to a sorted transaction

1. Only real transactions get through. OTPs, declined payments, offers and other non-transaction messages are filtered out, so they never become spending.
2. The details are read. Bank formats ArthPulse already knows are read by fast pattern matching; anything new is read by an AI model on our own servers. Out come the amount, date, account (last 4 digits), payee and type of payment.
3. The amount is double-checked against the message itself, so an "available balance" figure is never mistaken for what you paid.
4. Duplicates are dropped. When the same payment triggers more than one alert, it is counted once.
5. The merchant is cleaned up. Cryptic names from the SMS are turned into recognisable ones, and UPI IDs are kept so the same payee is recognised next time.
6. It is categorised and classified. Food, groceries, travel, bills, shopping and more; and whether it is spending, a transfer, a refund, income or savings, so card bill payments and transfers between your own accounts do not inflate your spending.
7. Anything uncertain is flagged. Transactions the AI is not confident about go into a short "need a quick look" list in the app.

It learns from you

No automatic system gets every merchant right first time, especially the local shop that shows up as a UPI ID. So the part that matters most is what happens when it is wrong: change the category or name once, and ArthPulse fixes that transaction and remembers it for that merchant. Future payments to the same merchant are sorted your way, without you touching them again.

Why "AI on our own servers" matters

Using a large third-party AI service would mean sending your transactions to another company. ArthPulse does not: reading your transaction messages and categorising your spending happens on our own systems, and your financial data is not sent to outside AI vendors. If that ever changes, our Privacy Policy will say so first. More on how we protect your data.

Good to know

• Corrections teach the app. When you change a merchant's category, ArthPulse applies it to that merchant from then on.
• It needs the SMS. A transaction your bank does not send an alert for cannot be read. Automatic tracking needs Android, because iPhones do not let apps read SMS.

Questions

Related: How SMS expense tracking works · Choosing a private expense tracker · Security & privacy