Citibank Review 2022 part 2- Part one is here.
Explore Citibank’s account packages and how they compare with the Utmost International Professional Portfolio Plan.
Citibank savings accounts
Citibank’s primary savings account is referred to as a Citi Savings Account. Fees vary depending on the banking package you choose. Compared to the current national median savings account rate, Citi’s savings account doesn’t seem that stingy. However, compared to online savings banks with high-yield accounts, Citi Savings’ rate has room for improvement.
Available in select markets only, Citi Accelerate Savings is more like a high-yielding online savings account. Yields are high enough to compete with many online banks, and the $4.50 monthly fee is easy to avoid. For customers who have access to this account, this is a much better choice than the simpler Citi savings account.
When it comes to simple savings accounts, Citibank has several options. To get started, you open a Citi® savings account as part of the Citi banking package. Citibank offers five levels of banking packages: Citigold®, Citi Priority, Citibank Account, Basic Banking and Access Account. Each package provides levels of banking privileges and different interest rates and fees.
Regardless of the Citibank package you choose, Citi® savings accounts can be set up for automatic transfers using the AutoSave feature. You can even write personal checks with a Citi® Savings Account, unless you open an account with an Access account package.
To start depositing money into your Citi® savings account, you can link it to your checking account. You will need at least $100 to get started. You can also set up recurring payments so your savings grow without a second thought.
From a security point of view, your money is always insured by the FDIC up to the legal limits. You can also sign up for a Citibank safety check that uses your Citi® savings account to cover overdrafts on your checking accounts. All packages offer this feature for a $10 fee, except for the Access Account package and Citigold® and Citi Priority packages, which are free of charge.
Citibank certificates of deposit (CDs)
In addition to its many levels of basic savings accounts, Citibank offers certificates of deposit or CDs. These types of savings accounts come in different terms, depending on the financial institution. Typically, you deposit a certain amount on your CD and don’t touch it again until its expiration or redemption date.
Citibank offers CDs with expiration dates ranging from three months to five years. Fortunately, Citibank guarantees that your CD will keep the initial rate for the entire term of the CD. If you have a CD with a term of one year or less, you will be paid interest either monthly or at the end of the term, while deposits with a term of more than one year will be paid monthly.
Once your Citibank CD reaches maturity, you will have seven calendar days to take action. This means that you deposit more money into the account, withdraw funds or change the expiration date. If you take no action, the CD will automatically renew for the same period.
It is important to remember that you cannot make further deposits or withdraw funds from the CD before it expires. If you urgently need to withdraw funds from a CD, you will be fined. If you exit a CD early that is one year or less, you will have to waive 90 days of simple interest. If you exit a CD early for more than one year, you will pay simple interest for 180 days.
How to open an account with Citibank?
The process for opening a Citibank account will depend on which account you plan to open. Most accounts can be opened online. There are a few exceptions. The only exception is if you want to open a CD with over $100,000 as an initial deposit. In this case, you will have to visit a Citibank branch to open an account. The other exception is the Citibank IRA. You must apply by calling the bank, visiting a branch, or submitting a paper application. You can find the application on the bank’s IRA web page.
To open a basic savings or checking account, you must open it as part of a Citi banking package. The package you choose will help determine your rates, fees, balance requirements, and more.
The account application process usually takes less than 10 minutes. You will need to provide personal information for each application, such as your social security number, address, date of birth, and more.
Citibank account packages
Generally, when you bank with Citibank, you must open a new account within a specific Citibank account package. Each package has its own page on the bank’s website, which describes its benefits and requirements. Shown here is the Citigold package page. Below are the five account packages and their offerings.
Citigold package
As a top-tier package, Citigold provides you with a team of advisors including a Citigold Relationship Manager and Citi Personal Wealth Financial Advisor. This team will help you manage and optimize your funds. You get access to Citi Clarity® One-on-One, which is Citi’s own financial planning process. This package also includes access to market information and investments, including $4.95 online/mobile securities transactions through your personal wealth management.
When it comes to banking, the Citigold package has better prices and rates. Citibank will refund Citigold customers an unlimited amount of non-Citi ATM fees. In addition, Citigold customers can waive fees for overdraft protection, checkbook orders, stop payments, wire transfers and money transfers.
To become a Citigold customer, you must maintain a combined average monthly balance of at least $200,000 in your linked accounts. These accounts include deposit, pension and investment accounts. Other than this requirement, there are no fees to become a Citigold customer.
Citi Priority Package
The Citi Priority package provides professional advice from a Citi Personal Wealth Management financial advisor over the phone, in addition to investment resources to help you make investment decisions. This package offers $9.95 for web/mobile securities transactions using Citi Personal Wealth Management.
As a Citi Priority customer, you also receive discounted prices and rates on certain Citi products. Customers can also waive fees for overdraft protection, checkbook orders, stop payments, wire transfers, money transfers, and certain products.
The monthly fee for Citi Priority membership is $30. However, you can avoid this fee by maintaining a combined average monthly balance of at least $50,000 in linked deposit, retirement, and investment accounts.
Citibank account
The Citibank account package includes a $25 monthly service fee. However, you may waive this fee by maintaining a combined average monthly balance of at least $10,000 in linked deposit, retirement, and investment accounts. Maintaining this balance will also allow you to avoid Citi fees for using third party ATMs. This package can also provide higher interest rates on some savings accounts.
Basic banking package
Offering “Easy Verification”, the basic banking package provides special privileges for customers aged 62 and over. Benefits for these customers include no Citi fees when using a non-Citi ATM, unlimited check writing options, and no monthly package fees. All Basic Banking customers also have access to easy online bill payment and online money transfer services.
The basic banking package includes a monthly service fee of $12. You can avoid this fee in several ways. First, you can make one direct deposit per month and one payment per month. Second, you can maintain a combined average monthly balance of at least $1,500 across eligible linked accounts.
Account access package
The last one is the access account package. With this package, you can avoid overdraft fees. You also don’t have to use paper checks, which can be a plus or a minus depending on your preference. To become an Access account customer, a monthly fee of $10 is required. You may waive this fee by making one qualifying direct deposit per month or one qualifying invoice payment per month. You may also choose to waive the fee by maintaining a combined average monthly balance of at least $1,500 across eligible linked accounts.
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