Dedicated to Deposits: Deals, Data, and Discussion

4.00% No-Minimum Online Checking Account at UnivestDirect

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Update 4/19/08: The rates have fallen. Please check the bank's website for the latest rates.

UnivestDirect is offering a no-minimum online checking account with a yield of 4.00% APY on all balances. There are no monthly fees. It seems very similar to ING Direct's new Electric Orange Checking Account with one big advantage: paper checks are allowed. It may even have a better ACH funds transfer system than ING. According to the online funds transfer page, everything is done 100% online at UnivestDirect.com. Some other perks of the UnivestDirect checking include free online bill pay, debit card, and free ATM usage (although it doesn't refund charges by other banks).

UnivestDirect also has a no-minimum online savings account with a yield of 4.75% APY, a 4.10% APY online business savings account and a 5.22% APY 1-year CD with a $500 minimum deposit. These other accounts are competitive, but the checking is the most competitive compared to other online accounts, especially those that don't have requirements for direct deposit, debit card usage or minimum balance.

UnivestDirect is part of Univest National Bank and Trust Co. which is FDIC insured (FDIC Certificate # 7759).

For a list of other high yield checking accounts in the nation, please refer to my best checking account summary post.

Thanks to the reader who emailed me info on this checking account.

Update 4/19/08: The domain UnivestDirect.com was no longer pointing to the bank. The online savings and checking are now accessible under Univest National Bank and Trust's website at univest.net. Changed all links to this.
  Tags: checking account

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Comments
14 comments.
Comment #1 by Eddie (anonymous) posted on
Eddie
I was reading about some of the limitations on fund transfers..

"- Funds transferred into Univest are subject to a five (5) business day hold"
http://www.univestdirect.com/univestdirect_anytime_online_funds_transfer.asp

I use ING DIRECT and like it, although not being able to use checks is annoying. But I don't want to have to deal with a long hold time such as that

1
Comment #2 by Banking Guy (anonymous) posted on
Banking Guy
That's a good point about hold time. According to ING Direct's FAQ, their official hold time is only 2 business days.

1
Comment #3 by Anonymous posted on
Anonymous
i read in their truth in savings document that it is their policy to make funds available the next day after transfer. only certain transfers are subject to the 5 day period. is this wrong?

is a hard credit pull performed?

1
Comment #4 by Anonymous posted on
Anonymous
With both high-yield savings and checking under the same roof, though, there would be no holds, right?

1
Comment #5 by Anonymous posted on
Anonymous
Does anyone have a UnivestDirect account to get a referral bonus
if so send me a referral link to harvcomputerhelp@verizon.net

1
Comment #6 by Jeannie (anonymous) posted on
Jeannie
One definite advantage that Electric Orange has over the Univest account is that ING doesn't charge you a $35 overdraft fee for tapping your OLOC. You only get charged a small amount of interest based on the amount and length of your overdraft.

1
Comment #7 by Banking Guy (anonymous) posted on
Banking Guy
That's a good point regarding overdraft fees. $35 at Univest is a large one.

1
Comment #8 by Anonymous posted on
Anonymous
Why are overdraft fees such a big deal to people? Just manager your finances prudently, and they're not an issue at all.

1
Comment #9 by Anonymous posted on
Anonymous
Have a printer ready when the email for the account opening arrives.

There is a link to the IRS website for a W-9 form "backup witholding" which must be mailed to the bank. There is also the account information which prints out 17 pages, including the signature card which needs to be sent in with the W-9. There is a message that the page will disappear in 15 minutes, it can be called up again for the next 7 days.

1
Comment #10 by Banking Guy (anonymous) posted on
Banking Guy
Thanks for the info. Sorry to see it's not an entirely online account opening process. Well, that's one advantage of ING Direct.

1
Comment #11 by L J (anonymous) posted on
L J
I posted the comment about printing 17 pages.

I tried to open a secondary acoount & was declined. I called the bank & they said it takes about 72 hours between account applications for security reasons.

Concerning the printing of 17 pages there is a way to just print the first 2 pages & not have to print the disclosues. Instead of clicking the print icon, click on print from the menu & select the number of pages.

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Comment #12 by Anonymous posted on
Anonymous
For Future Reference concerning, Univest "Anytime Online Checking"

No Hard Credit Checks / Soft Pulls Only.

National Surcharge Free ATM deal was signed and should be implemented in early August of 07.

This is the information I received from Univest, when I emailed them.

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Comment #13 by Anonymous posted on
Anonymous
Univest just got rid of the W9 form requirement, and it no longer requires a 17 page printout. This bank's improving and listens to its customer base.

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Comment #14 by Anonymous posted on
Anonymous
My wife and I have a Univest checking and savings account. Recently, we needed to ACH money from Univest to a (local) bank in order to write a certified check for a house closing on Thursday. The ACH was schedule on Monday evening and went out on Tuesday morning. The local bank could see on Tuesday that ACH was apparently on its way through. However, when I went on Wednesday to get the certified check, I found out there was no money. Calling Univest, the electronic funds transfer department claimed there was a glitch and that they were sending it again that day. In fact, Univest had canceled the ACH and held the money another day. I'm now sweating on whether Univest will come through today (Thursday). Univest apologized for the inconvenience. However, this is more than an inconvenience. I'm disappointed with Univest. Though a pain, I will probably migrate to ING. Moreover, I suspect that Univest held my money for another day (to their advantage), and hopefully, (only) nearly cost me a house closing.

1