TotalDirectBank is an online bank that features two types of consumer savings vehicles: money market accounts and certificates of deposit (CDs). A division of City National Bank of Florida, TotalDirectBank offers high-yield banking products and 24/7 account access.
In this review, we’ll look at account options available through TotalDirectBank, the pros and cons of the online institution and who may benefit from using its banking services.
Annual percentage yields (APYs) and account details are accurate of Aug. 26, 2022.
Account Basics
Money Market
For high-yield earnings, TotalDirectBank offers its Direct Money Market Deposit Account. Money market accounts are similar to high-yield savings accounts, but they also offer some of the functionality of a checking account.
A Direct Money Market Account earns 2.00% APY, which is more than the national average, according to data from the Federal Deposit Insurance Corporation (FDIC).
Opening a money market account with this online bank requires a $2,500 minimum deposit, which is also what you need to keep in your account in order to earn interest. There are no monthly fees associated with this deposit account. Customers can have deposits of up to $500,000 total in all of their combined accounts at TotalDirectBank.
Like other money market accounts, this account has been subject to federal transaction limits in the past. Even though these limits have been relaxed, Direct Money Market Deposit Accounts are limited to six withdrawals or transfers per month. The accounts allow unlimited deposits.
Direct Money Market Deposit Accounts do not come with a debit card or check-writing privileges.
CDs
TotalDirectBank also offers customers a chance to save money through CD accounts. The bank provides six term lengths, ranging from three months to five years. When ranking the best CD rates available, there are several other top online banks that offer a more comprehensive range of terms to choose from and slightly higher APYs.
One drawback to TotalDirectBank’s CDs is its minimum deposit requirement. Opening a CD with the bank requires a hefty minimum deposit of $25,000, which is a much higher minimum than found at the majority of competing online banks.
CDs are subject to early withdrawal penalties of up to six months’ simple interest for any withdrawals made before a CD reaches maturity. Interest payment frequency and payment method depend on the CD term.
CDs automatically renew, but customers can opt out or add and withdraw funds during the 10-day grace period following maturity.
Other Accounts and Services
TotalDirectBank does not offer checking accounts, savings accounts or other banking services at this time.
Access on the Go
As an online bank, customers have virtual access to their accounts at TotalDirectBank. Customers can manage their accounts online via computer, tablet or mobile device. But with no debit card and no access to checks, online banking is limited to viewing your accounts and monthly statements and creating account alerts.
TotalDirectBank doesn’t offer account access through a mobile app yet, but a mobile app is said to be in development.
Pros
- Competitive rates on CDs and money market accounts
- Online account access
Cons
- Limited account options
- High minimum deposit requirements
- No mobile app
- No debit card or check-writing privileges
How TotalDirectBank Stacks Up
Since it only offers two types of banking products, TotalDirectBank is far from a full-service bank. Still, it warrants consideration for those in the market for a money market account or CD with a competitive rate. If you want a simple money market account—perhaps as a place to keep an emergency fund—that’s separate from funds at another bank, TotalDirectBank is more than adequate to meet your needs.
TotalDirectBank lags behind its competitors in terms of technology, although a mobile app should be available soon. If you want access to convenient features like bill pay and mobile check deposit, you’ll need to look at other online banks.
Note that some TotalDirectBank accounts aren’t available to residents of Florida at this time.
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Frequently Asked Questions
Is TotalDirectBank FDIC insured?
Yes, TotalDirectBank is FDIC insured (FDIC# 20234). The federal government protects your money up to $250,000 per depositor, per ownership category, in the event of a bank failure.
Does TotalDirectBank offer business accounts?
No, TotalDirectBank doesn’t offer any business or commercial banking services at this time.
Does TotalDirectBank have a mobile app?
No, TotalDirectBank doesn’t have a mobile app. But its website says the bank is currently working on a new mobile app. Account access is limited to online at this time.
Does TotalDirectBank have credit cards?
No, TotalDirectBank doesn’t carry any consumer credit cards at this time.
Does TotalDirectBank have local branches?
No, TotalDirectBank is strictly an online bank. It is a division of City National Bank of Florida, but you can only open an account online and all business is done online or by mail.
