About lender
Hubert Financial is an online bank in Canada. It is based in Manitoba and operated by Sunova Credit Union, a financial institution with over $2 billion in assets and more than 45,000 members. The company is positioned as an online bank that is able to save on overhead costs and set higher interest rates for customers. The company’s products are available in every Canadian province except for Quebec.
Features
Hubert offers their clients several types of savings accounts, term deposits, two rewards Mastercards, mortgages, and access to investing by means of partnership with VirtualWealth. In addition to regular savings accounts, there are four other account types: TFSA, RRSP, RRIF, and a US Dollar account.
Pros and cons
Before applying for a Hubert Financial product, it’s worth considering the main advantages and disadvantages of the investing process.
Pros
No transaction and monthly maintenance fees.
Interest is calculated daily and paid monthly.
No minimum balance requirement in US savings.
A simple, convenient online application process.
USD savings account, though the interest is on the lower end.
Non-registered, RRSP, RRIF, TFSA, and US Dollar accounts are available.
Transfer funds in or out of an approved external bank account.
100% guaranteed by the Deposit Guarantee Corporation of Manitoba.
Cons
A minimum deposit of $1,000 is required to invest in GIC.
Mortgage product is only available to Manitoba residents.
A wire transfer fee of CAD9.53 or USD12.36.
An account inactivity fee of $25 if there is less than $1,000 if an account is inactive for 6 months.
Loan Conditions
There are three types of mortgage loans in Hubert Financial:
Conventional Mortgage — the down payment is a minimum of 20% of the purchase price of the home. The higher the down payment, the smaller the loan.
High Ratio Mortgage — with a high ratio mortgage the down payment is insured and can be as low as 5%.
Cash Back Mortgage — allows to return up to 5% of the principal amount of the mortgage back in cash to help cover costs. Only available in five, six, and seven-year closed, with fixed-rate terms.
There are also other types of loans that contain:
Weekly, bi-weekly and monthly payments.
Amortization periods up to 25 years.
Life and disability insurance.
An open or closed mortgage with either a fixed or variable rate.
Hubert Financial banking offers two types of Mastercard products: a no-fee cash back credit card with basic rewards and a premium Mastercard with enhanced rewards. It’s worth taking a closer look at each proposal.
Hubert Financial Cash Back Mastercard is a rewards credit card with no fee. There are some key features:
No annual fee.
One reward point per $1 spent on purchases.
Standard 19.90% purchase interest rate.
21.90% cash advance interest rate.
Hubert Financial World Mastercard offers additional travel benefits and shopping rewards for a $120 annual fee. There are several benefits to such a card:
19.90% purchase interest rate.
21.90% cash advance interest rate.
Two rewards points per $1 spent on travel and gas and in foreign currencies.
1 point per $1 spent on all other purchases.
Savings accounts are calculated daily and paid monthly. For the 1 year term, interests are calculated daily and compounded quarterly. For 2-5 year terms, interests are calculated and compounded annually.
The current interest rates are as follows:
High-interest savings accounts: 2.05%
TFSAs, RRSPs, and RRIFs: 2.05%
USD savings accounts: 0.25%
Methods of loan funding
Typically, this information is specified in the loan agreement. Hubert Financial does not share this data on its website.
