UFB Direct Review – Pros, Cons and Coverage

With competitive APYs, UFB Direct offers options to help you build your savings without the constant threat of fees.

As you build your savings, having the right bank in your corner can help put the wind in your financial sails. Instead of being held back by an array of lackluster savings options, you need a bank that has designed savings accounts to help you grow your savings more easily. UFB Direct might be the right bank to help you build your savings with two worthwhile accounts.

Let’s dive into the details of what accounts UFB Direct offers and how they can help you reach your savings goals.

UFB Direct: What You Need to Know

UFB Direct was created in 1999 as a division of Axos Bank. As a direct bank, it offers an online-only experience that connects it directly to customers. With that, you will not have access to any physical branches.

All of the accounts offered by UFB Direct are protected with FDIC insurance. That means that up to $250,000 of your savings will be protected within accounts at this bank.

What UFB Direct Has to Offer

The bank offers two different accounts that can help you reach your savings goals - the UFB Premium Money Market and the UFB High Yield Savings Account. Both offer competitive interest rates and a number of features that make the bank a good option for serious savers looking to grow their savings quickly.

It is important to note that this bank doesn’t offer any checking account of CD options. All of the rates we mention below are current as of June 2020.

UFB High Yield Savings Account

The UFB High Yield Savings Account offers a competitive yield for savers. As an account holder, you’ll earn up to 1.51% on your funds. However, you’ll need to meet a minimum threshold of a $10,000 balance in order to earn that APY.

Although that is a somewhat hefty base balance to earn a competitive APY, you will enjoy some other account features. A few include no maintenance or service fees, a free ATM debit card, a useful digital platform to manage your banking needs. Plus, you’ll have free transfer options between direct deposit accounts.

The account doesn’t require any minimum deposit to get started. But until you reach the $10,000 threshold, you will earn 0% APY.

UFB Premium Money Market

The UFB Premium Money Market offers a tiered approach to APYs that rewards savers with more funds in their accounts. If you have between $0 and $24,999, then you will earn an APY of 0.50%. Once you hit the $25,000 mark, you will enjoy a boosted APY of 1.51%.

Beyond the competitive APY, this money market account offers an array of helpful features. A few include a free Visa debit card, some check-writing abilities, and complimentary postage-paid envelopes.

The account has some useful features, but there are drawbacks including a minimum opening balance of $5,000. Plus, you’ll need to maintain a minimum average daily balance of $5,000 each month in order to avoid the monthly maintenance fee.

How Much Does UFB Direct Cost?

Luckily, UFB Direct offers competitive interest rates with a minimal number of fees holding you back. For the High Yield Savings Account, you will not need to worry about any monthly service fees. With the Premium Money Market, you must maintain a minimum daily balance of $5,000 in order to avoid the $10 monthly account maintenance fee.

Overall, there are a limited number of fees to worry about with these accounts. However, you may find that you are missing out on the opportunity to earn a higher APY due to the relatively high account balances requires.

Where is UFB Direct Available?

UFB Direct is available in all 50 states.

Pros and Cons of UFB Direct

By now you have some idea of how UFB Direct works. Here we will go into some of the pros and cons that will help you make a decision.

Pros

• Award-winning customer service. Although you will not have access to a physical branch, helpful customer support associates are accessible via phone or chat.
• Competitive APYs. The 1.51% APY is a competitive return on your savings.
• Low fees. You can avoid a monthly maintenance fee altogether with the High Yield Savings Account.

Cons

• High thresholds. Although the APY is competitive, you’ll need to have a solid amount of savings in these accounts to earn that rate.
• No physical branches. If you prefer in-person service, then UFB Direct is not the right fit for you.

How to Get Started with UFB Direct

If you are interested in working with UFB Direct, then here is how to get started.

What are the Eligibility Requirements?

In order to work with UFB Direct, you’ll need to meet the following criteria:

• You must be 18 years old.
• You must be a U.S. citizen or Resident Alien.

UFB Direct Sign Up Process

If UFB Direct sounds like a good fit, it is easy to sign up.

1. Head to the UFB Direct website.
2. Choose the savings tab in the upper right-hand corner.
3. Select the account you want to open.
4. Choose the “open an account’ button.
5. Have you information such as your Social Security Number and government ID ready to go.
6. Use the application to set up your account and make your initial deposit.

How to Contact UFB Direct

If you need to get in contact with UFB Direct for any reason, then this is the information you’ll need.

Address: PO Box 509127 San Diego CA 92150 Customer service phone number: 1-877-472-9200 Website: UFB Direct Online chat with customer service: Log into your account and click the support tab Facebook: @UFB_Direct Twitter: @UFB_Direct

Is UFB Direct Right for Me?

UFB Direct offers competitive rates for savers that are well on their way to their goals. You’ll need to have a solid amount of cash in the bank in order to take advantage of these competitive APYs. With that, it may not be the best option if you are just starting out. You can secure an equally competitive APY at other banks that do not require such high minimum thresholds.

If you already have a substantial amount in savings, then UFB Direct is a good place to stash your savings. The APYs are competitive and will allow you to build your savings quickly. Plus, the seamless online banking features will allow you to manage your growing savings with ease.

Summary

UFB Direct offers two worthwhile savings products that can help you grow your savings over time. If you are interested in a streamlined online experience, then UFB Direct might be a great option for you.