Upgrade is a financial technology that offers affordable credit solutions. It aims to equip consumers with the knowledge needed to manage their finances better. Account holders can also access free credit health tools to view valuable insights and optimize their credit scores.
About Upgrade
Headquartered in San Francisco, Upgrade exists to provide affordable and responsible credit products. The fintech platform also features fee-free banking solutions with enticing perks and valuable tools to help you steer clear of traps that suck the life out of your finances.
Is Upgrade a Bank?
Upgrade is not a traditional bank but a fintech company operating online.
What Bank Does Upgrade Partner With?
Upgrade partners with Cross River Bank to provide financial services. Cross River is FDIC-insured and offers protection of up to $250,000 on deposit costs.
Upgrade Banking Products and Services
Upgrade Rewards Checking Plus
The Upgrade Rewards Checking Plus account gives you the opportunity to earn up to 2% cash back on debit card purchases. You also won’t pay monthly fees or overdraft fees, and you can get your paycheck up to two days early when enrolling in direct deposit.
Upgrade Premier Savings
With an Upgrade Premier Savings account, you can earn up to 5.07% APY if you carry a balance of $1,000 or more. This is a generous return, considering you won’t pay monthly fees or overdraft fees.
Upgrade Cards
Upgrade cards combine a credit card’s flexibility with a personal loan’s predictability. You can make purchases or transfer balances and pay them down with fixed, monthly payments at lower rates than traditional credit cards.
Here are your options:
- Cash Rewards: The Upgrade Cash Rewards Visa gives you a credit line between $500 and $25,000 to use everywhere a Visa is accepted. There are no annual fees or late fees, and you’ll also earn 1.5% cash back on every purchase.
- Upgrade OneCard: The Upgrade One Card lets you maximize your earnings when you merge it with Rewards Checking. It pays 3% cashback on everyday purchases and 2% cashback on all other purchases when you repay what you spend. You can also earn a $200 welcome bonus when you open a new checking account and make three qualifying purchases on your Upgrade OneCard. But without Rewards Checking, your earning potential dips to just 1.5%. Either way, you won’t pay an annual fee.
- Life Rewards: The Upgrade Life Rewards Card also comes with a credit line from $500 to $25,000 and no annual fee. You can earn 3% cash back on grocery, gas, health, utility or streaming service purchases and 1% on all other purchases.
- Upgrade Select: The Upgrade Select Card offers a slightly lower credit line of $2,000 and features a $39 annual fee. It also comes with a $200 welcome bonus.
Personal Loans
Upgrade Bank’s personal loans offer fixed rates and terms if you’re looking to finance a major purchase, consolidate debt, or make costly home improvements. You can borrow up to $50,000 with a repayment term of 24 to 84 months without paying a loan origination fee.
Auto Refinance
Upgrade can help you lower your monthly payments or the interest rate on your existing auto loan. Refinancing with Upgrade Bank also means you can pay the balance on the new loan in full at any time without incurring a prepayment penalty.
Are There Any Requirements to Sign Up with Upgrade?
Yes, there are certain requirements one must meet to sign up with Upgrade:
- Legal and age requirements: You need to be a U.S. citizen or permanent resident or live in the U.S. on a valid visa. Plus, you must be at least 18 years old, or 19 in some states, to be eligible for Upgrade’s products.
- Financial requirements: For credit products like the Upgrade Credit Card, you will need to meet a credit score requirement, provide a verifiable bank account and have a steady income to qualify.
- Identification: When applying for an account, you’ll need to provide personal information such as your name, address and Social Security Number for identity verification purposes.
What are the Pros and Cons of Upgrade?
Pros
- Fee-free banking solutions
- Competitive APY on savings account
- Cashback on debit card purchases
- Early direct deposit
- Out-of-network ATM fee reimbursement
Cons
- No physical branches
- Cash deposits not supported
- Unimpressive cashback rewards on credit cards
Who Can Benefit from Banking from Upgrade?
Here’s a closer look at the types of consumers deriving the greatest benefit from Upgrade:
- Everyday consumers: If you’re looking for a straightforward banking experience, the fee-free checking account that rewards you with cashback on everyday purchases. This can be especially appealing for those who use their debit card frequently and want to earn rewards without worrying about monthly fees or minimum balance requirements.
- Savvy savers: The high-yield savings account is worth a look for individuals focused on building their savings. The competitive APY offered by Upgrade makes this account an attractive option for savers who want to earn more interest on their deposits than traditional savings accounts typically offer. This can be particularly beneficial for those who are already impressed with Upgrade’s other features and want to consolidate their banking with one institution.
- Credit seekers: Upgrade caters to consumers with varying credit backgrounds. Whether you’re someone who has faced past credit challenges or you have a solid credit rating, Upgrade’s credit card options may be a good fit. Moreover, if you require funding, Upgrade’s fixed-rate personal loans can be a good option for those who prefer predictable monthly payments and a set repayment schedule. These loans can be used for various purposes, such as debt consolidation, home improvements or other major expenses.
Is Upgrade Worth It?
Upgrade may be worthwhile if you desire a modern, fee-free banking option that lets you earn rewards. The latter is especially beneficial if you use your debit card frequently for purchases.
It’s also vital that you’re comfortable with not having physical branches. But remember that Upgrade does not support cash deposits, which could be a significant drawback if you handle cash often.
Ultimately, Upgrade’s banking services are well-suited for customers seeking to avoid common banking fees, earn rewards on their transactions and are content with managing their finances entirely online. The lack of physical branches and the inability to deposit cash might deter some potential customers. Still, Upgrade could be a compelling choice for those who prioritize digital banking convenience and rewards.
How to Get Started Banking with Upgrade
Start by visiting the Upgrade website, where you can explore various banking products and learn more about the benefits they offer. If you decide to open a bank account or apply for a loan product, you can navigate to the landing page to complete the online application.
