Ubank Ultra accounts only need a $1 opening balance (Ends 31/10/14)

I just read on the Ubank website that instead of needing the regular $5000 opening balance to start a Ubank Ultra account you only need $1 IF you open the account before the 31st of October this year. This is because Ubank is changing the Automatic Savings Plan (ASP) or something.

This is helpful for those like me who don't have $5000 or won't have that amount for some time. The benefit of this account is a higher bonus interest rate compared to the regular Usaver account (I think they're removing this bonus with the regular accounts, don't quote me on that) and a debt card among other features (https://www.ubank.com.au/products/transaction-accounts).

The link is www.ubank.com.au/changes-to-bonus-rates, more specifically look at 'More about the USaver Ultra Bonus Rate'. Keep in mind that to get the bonus rate of 1.06% you need to deposit $200 a month through ASP, down from $2000 a month. I see this as more of a special than a bargain, which is why I'm putting this in the forum. If this should be under deals let me know, or someone can post it up if they'd like :)

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Comments

  • +4

    It's sort of like a replacement for USaver.

    However, I strongly recommend everyone to open the account after Aug 25th as they will lower the deposit threshold from $2000 per month to $200. That's the only requirement to get the bonus interest. For now, just stay with USaver.

    • the lower deposit threshold will apply to everyone from 25th aug(existing and new customers)..so there is no reason to wait till 25th of August…

      • If you apply for Ultra now you will lose the bonus from USaver ASP and you have to deposit $2k a month in order to get new Ultra bounus. So unless you have 2k monthly deposit anyway; do NOT open a new account atm.

        • … unless you deposit $200 on the 26th?

  • Any monthly or ATM fees?

  • -1

    1. Opening balance

    For a limited time, we are reducing the amount you need to open a USaver Ultra account. From 1 August to 31 October 2014, we’re reducing the minimum opening balance from $5,000 to just $1.

    I'm still unclear.. It seems that the reduce is only from 1 August to 31 October 2014. Compared to their second point where they specifically mention "From 25 August 2014 onwards".

    2. Monthly deposit

    We’re reducing the amount you need to deposit each month to earn the USaver Ultra Bonus Rate. From 25 August 2014 onwards, the monthly deposit will fall from $2,000 per month to just $200 per month.

    • I say that's it…

      1. The opening balance drops to $1, but only until 31 Oct.
      2. The montly deposit will remain at $200 from 25 Aug onwards.

      In other words, before 31 Oct people only have to deposit $1 to open an account. After 31 Oct new accounts will have to deposit $5,000 again.

  • Well I had a couple of USaver accounts for my wife and I already (which I'd stopped using as my 'saver accounts' due to them no longer offering the best interest rates around) - so I tacked on the Ultra accounts with a view to moving our everyday transaction accounts over.

    I can't see any great downside from using the Ultra/USaver combo as a transaction/Saver account.

    Basically no fees….very good - if not best rate of interest….very good online facilities….decent ATM options (though this isn't a big deal as we always use Citibank CC where possible).

    Can anyone see any hidden or significant downside with this product offering as a transaction account as it seems quite good to me.

  • +1

    So they sign us up an account that requires $200 per month deposit to earn bonus interest. Then they make a new account, that pays a fraction more. Then they decide to cancel the first account, and drop the automatic deposit on the second account and tell us we have to switch to it. Their email says they're "making things simpler". Hm… Funny definition of "simple". What would be simple would have been to just add the bonus interest to the first account so we didn't have to switch anything.

    Anyway… Someone said they don't have the best interest anymore. So who does?

    • According to my research today, UBank (even after their continual rate drops) still has the "best" interest rate on savings.

      • @realfamilyman
        Yep
        See my post Below :)

  • Correct
    http://www.infochoice.com.au/banking/savings-account/high-in...

    Then remove the tick from the Sponsored listing box on the right hand side. :)

  • Hmmmmmmm well as a multiple account holder with UBank one of the annoying things I found out today is that they have NO WAY for account holders to deposit cheques into their accounts!

    So realistically there is no way you could ever just have them as your one account - even the arrogant staff member I call advised you'd have to deposit into another account and then EFT over.

    What a rubbish solution and why are they not part of the AustPOst bank option etc - some common sense people!

    FWIW the staff member did say that its not official but IF you posted the cheque and the details of your account to Ubanks PO BOX postal address they will get deposited into your account - so there is that as an option - albeit a shitty/unofficial one.

    Still very unsold on converting over to these guys as my transaction account. :-/

    • deposit a cheque…. what year is it!?

  • I've just opened a Ubank and Ubank Ultra account. It all seems somewhat confusing, could someone clarify that I've got it all set up correctly.

    So, I've adjusted the sweep minimum to $100 and max to $1000. I have the bulk of my money in the standard account and $100 sitting in the Ultra account. So now do I just need to set up a monthly periodic payment of $200 into the Ubank Ultra account?

    • Yup - thats it.

      The whole sweep feature just confuses folks - I don't know why they don't just give you interest on the entire two account balances - seeing as there's an 'instant sweep' feature to cover the vast majority of when you might not have enough in the account. Is complication with no real benefit IMHO.

      • I don't know why they don't just have one account with the higher interest and features.

        Actually, I do - they're a bank - and they're hoping some people don't bother going after the extra interest, but they still get to claim they have the "best" interest rate. (The "best" amongst a bunch of greedy scum banks = the least rotten apple in the barrel.)

        • felix, i think you're better off having the bulk of your money ni your standard account/usaver, $100 sitting in the ultra account, plus the monthly payment of $200 (after 25 august) into the usaver as you earn more interest in that account (you have it going into the ultra). can anyone confirm?

  • So it is what I do before.. I hv the Ubank Saver and Ultra for half year.
    I put most of the money in the Ubank Saver (4.17% interest) and $500 in Ultra (0% interest)
    Then I set ASP $2000 every month.

  • If I sign up before the savings bonus of 1.06% ends (31 October) - will I still receive the savings bonus after the 31 October?

    Thanks.

    • +1

      yes.
      the deal is only for opening account balance - after 31 OCT you need $5000 to open the Ultra account.
      the bonus rate will stay at 1.07%

      • Thank you.

  • I think I just figured it out…

    Saver account linked to Ultra account +$200/m into Ultra account = 4.17% (3.11+1.06) interest on balance of the Saver account that is linked to the Ultra account. If you have other Saver accounts they get 3.11% and do not get any 0.70% bonus interest - because you can only link one Saver account.

    Using the Sweep feature of min$100/max$1000, your Ultra account fills to $100 but will auto drain back extra funds over $1000 from/to your linked Saver account. This way you can have between $100-$1000 in Ultra sitting there for emergency funds on the VISA Debit.
    This is because you add funds to Ultra (eg wages) or your $200 monthly deposit, and any extra balance in Ultra over the $1000 is put back into the Saver account nightly.

    You only have to deposit $200 min into either Saver or Ultra to get Ultra 1.06% bonus

    To get most interest in your pocket, you have to manually transfer every $ over $100 sitting in the Ultra (getting 0% interest), back in the Saver account which gets 4.17%

    This way the Ultra Account only has $100 min available on the VISA Debit card earning 0%, and 4.17% interest is paid on the bulk of your saving sitting in Saver account.

    And that is how Ubank have just sold you a VISA debit card!
    LOL - How much does VISA want your business.

  • NOTE: Be careful what time you create this account I created an Ultra account before midnight and then at midnight it automagically transferred $500 into my Ultra account - this is because UBANK has a default sweep setup for you of min$500-max$2500

    I did not have a chance to edit the Sweep before midnight to min$100-max$1000

    So… what happens if you do not have any funds in the Saver account of have less than $500???

  • I'm confused.

    Today I received my UBank Visa card that is linked to my new USaver Ultra account. But the letter states I must deposit $2000 per month to earn the bonus interest. But I signed up during the period where $200 per month was supposed to be the required deposit!? Is there a mistake in the letter, or do must I deposit $2000 per month?

    Also, whatever the deposit amount, does it have to be made into the Usaver, or the USaver Ultra to earn the full interest, including the bonus interest?

  • Currently have a USaver account in my wife's name.

    Can we have a USaver Ultra account in joint names which sweeps money to from the savings account only in her name?

    Also, looks like you can have 1 USaver Ultra in Joint names and 1 in Individual name - do you need a corresponding USaver account for each Ultra account or can you set-up 2 Ultra accounts to sweep into the same USaver account?

  • It is possible to get $0 in your Ultra…

    Read the Manage Sweeps carefully.

    • Please explain…

  • Looks like it's dropped to 4.02% now?

  • Few questions guys,

    I have my everyday account at Westpac. My eSaver is at 2.50% and won't go anywhere else.

    How would it work if I open the Saver + Ultra Saver?
    Every month, I need to transfer from Westpac to Ultra Saver?
    Is that correct?
    Do I have any fees from westpac to Ubank?

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