Menu
Personal finance
GE Capital Purchasing MetLife Bank

Washington DC Might Divest from Bank of America, Wells Fargo

Miles By Discover Offers Relief to Noncommittal Travelers

Collection Agencies Resurrecting Old Debts Through Credit Card Offers

Treasury Doubles Purchase Limits on Electronic Savings Bonds

Cordray’s First Move as CFPB Head: Regulate Nonbanks

Weekly Wrap: Bank of America’s Worst Week Ever?

Dear U.S. Banks, Your Business Model Stinks

Shadow Banking Due for Some Time in the Spotlight

Weekly Wrap: Banking Slowly Dissolves?

Under the Roofs of Coffee Shops You’ll Find Your Online Bank

Brokerage Checking Still a Competitive Choice

Beware the Mirthful FOMC Meeting

Did ING Direct Customers Overreact to the Capital One Purchase?

No Balance Transfer Fee Offers Reappear But Hard to Exploit

Russell Simmons’ RushCard Lowers Fees, Is Still Bad

The Reason Why Freddie Mac Doesn’t Want to You to Refinance

New Bank Perks Cater to Tech-Savvy Customers

St. Louis Fed President: Raise Interest Rates

Whitney Warns: Banks to Banish Middle Class

Dime Savings Cites Regulations in Switch to State Charter

FDIC to Banks: Start Lending Again!

Weekly Wrap: Grey Days and a Sideshow

Weekly Wrap: Banking’s Spring Is Still Far, Far Away

American Express and Gen Y: BFF?

UFB Direct Adds Money Market Account With 1.15% APY
UFB Direct, an online bank known for competitive interest rates, is unleashing its new money market account to keep Americans saving. Launched on Friday, UFB Direct’s money-market account — available online nationwide — touts an attractive 1.15% APY, which is a tad below TIAA Direct’s money market rate of 1.25% APY.

In addition to a $5,000 minimum opening deposit, the account requires a $5,000 average daily balance to earn interest — anything less would result in a $10 monthly fee and no interest earned. Balances greater than $250,000 will earn 0.25% APY.

Requiring customers to maintain a specific account balance is not unusual. Money-market accounts at many brick-and-mortar banks have similar terms to warrant the higher interest rates (compared to savings accounts). But, it may not be the norm for online banks. TIAA Direct, Sallie Mae Bank, EverBank and Ally Bank are examples of online banks that offer money-market rates regardless of the account balance.

UFB Direct also offers a savings account with a 0.80% APY, that’s 0.35% APY less than the money-market account. Last year, the savings account carried a leading rate of 1.30% APY that topped most online banking competitors.

Perks of having a money-market account, as opposed to a savings account, include online bill pay, check-writing capability and a debit card for purchases and ATM withdrawals. It offers more convenience for savers who may need to conduct a transaction in an emergency. (The Federal Reserve allows a maximum of six outbound transfers and debit transactions per month on savings and money-market accounts.) UFB Direct imposes an excess transaction or withdrawal fee of $10.

Additionally, UFB Direct offers remote check deposits — a popular feature among bank customers — through a smartphone application or a scanner.

Despite historically low rates on savings accounts, money-market accounts and certificates of deposit (CDs), Americans haven’t stopped saving. In the first quarter of 2012, more than $166 billion have been deposited into these accounts, according to the FDIC.

Äëÿ ïå÷àòè

Weekly Wrap: Astrology is Bunk

Refinancing Your Mortgage Lines the Pockets of the Biggest Banks

Experian Unveils New Credit Score for the Underbanked

New Upromise Credit Card Gives 10% Cash Back at Major Online Retailers

The Best Experiences Your Credit Card Can Buy This Summer

Citi Offers New Way to Spend Rewards

Fed Study: CD Rates Are Less Attractive

Wells Fargo Raised Checking-Account Fee, Slashed Bill-Pay Fee

Weekly Wrap: Get Bullied, Get Rich

Taibbi: No Difference Between Banks and the Mafia

Why You Should Probably Raise Your Credit Limit, Especially When You Don’t Want the Money

Accounts Push Relationship Banking

Weekly Wrap: LIBOR Aside, You’re Still in Control

serial com port monitor

Articles
Fed Report Shows Mobile Banking Empowers the Underbanked

Top Gas Credit Cards to ‘Refill’ Your Wallet

Prepaid Cards for Payroll Purposes: Fair to Workers?

Weekly Wrap: Mobile Banking’s Onward March

Banks Close Revenue Gap from Overdraft Fee Losses

Banks Lack Social Media Efforts… Oh Really?

SpringCoin: Out to Automate Credit Counseling

Could Student Loan Forgiveness Help the Economy?

Chase United MileagePlus Club Card Takes Flight

Caviar and Champagne With Your Checking Account?

Weekly Wrap: Cash Rules Everything Around You? Not For Long

SmarterBank’s Checking Account Helps Pay Off Student Loans

Chinese Furious Over Banking Fees

Banks Should Use Prepaid Cards to Hook ‘Em While They’re Young

Prepaid Travel Debit Card Provider Eyes U.S.

Sallie Mae Credit Card Helps Pay Back Student Loans

Post-CARD Act, Banks Shift to Prepaid on Campus

Weekly Wrap: Things Are Not as They Seem

Gen Y Eyes Retirement with Rose Tinted Glasses

Low Interest Rates: A Ticking Time Bomb?

Are Discover Partner Gift Cards Worth the Rewards Points?

Kony Solutions’ Branding Problem: Bank Software Firm Has Killer’s Name

Weekly Wrap: Fancy Gadgetry, No Money

Weekly Wrap: Millenials’ Big Day at the Races

UFB Direct Adds Money Market Account With 1.15% APY