SAN FRANCISCO – January 1, 2019 – Mobile banking company Varo Money, Inc., which is on track to become the first mobile-centric national bank in U.S. history, has launched of its Android app, available in the Google Play store. The addition of Android makes Varo’s no-account fee* mobile banking services available to millions more Americans. Varo is also available through its iOS app in the App Store, where it has more than 11,000 reviews and an average rating of 4.7 stars.
“Premium banking with no account fees and automated high-yield saving should be the new normal for consumers, and the launch of Android is a big step forward in our mission to help millions of customers get ahead financially,” said Colin Walsh, co-founder and CEO of Varo Money. “We believe it’s time for American consumers to stop paying billions in bank fees. We want our customers to protect their futures by putting that hard-earned money to work in savings accounts that pay real interest.”
How Varo compares to traditional banking
- The majority (59%) of non-interest checking accounts require a minimum balance or monthly service fee. The average minimum balance requirement to avoid the monthly service fee is more than $630/month. Varo has no account fees and has no minimum balance requirement for a bank account.
- The average overdraft fee is $33.23; Americans paid $34.3 billion in overdraft fees in 2017. Varo does not have overdraft or associated fees.
- The average out-of-network fee is $4.68. Varo has absolutly no ATM fees at 55,000 Allpoint® locations worldwide.*
- The national average Annual Percentage Yield (APY) for deposits under $100,000 is 0.09% APY. As of January 1, 2019, Varo offers 2.12%** APY with no minimum balance requirement.
As the leader of the challenger bank space, Varo is the only fintech company to offer banking, saving, lending, and personal finance management tools in an all-in-one app. Varo Bank Accounts are provided by The Bancorp Bank, Member FDIC. Deposits are FDIC-insured up to $250,000 through The Bancorp Bank.
In September 2018, Varo was granted preliminary approval for a de novo national bank charter by the Office of Currency and Comptroller. When it opens as a national bank, Varo will offer customers an expanded range of banking products and solutions with the highest standards of consumer protection.
“Innovators in mobile banking like Varo are bringing down the costs of banking for all Americans. Varo’s fee-free model puts customers’ financial health first,” said Todd H. Baker, Senior Fellow at Columbia University’s Richman Center.
Varo was founded in 2015 and has raised more than $79M in funding with Warburg Pincus and The Rise Fund, a global impact fund led by private equity firm TPG as lead investors.
About Varo Money
Varo Money, Inc. (“Varo”) is on a mission to redefine banking so it’s easy for everyone to make smart choices with their money. In one mobile app, Varo offers customers no-cost premium bank accounts, high-interest savings accounts and tech-first features to help people manage their money more easily. As a fintech leader, Varo has been granted preliminary approval for a national bank charter by the Office of the Comptroller of the Currency (OCC), and is set to become the first mobile-only national bank in U.S. history. Based in San Francisco and Utah and privately held, Varo has raised $79M to date, led by Warburg Pincus. Varo banking products offered through The Bancorp Bank. Varo Personal Loans are offered by Varo Money, Inc., under state licenses, subject to application approval. For more information, visit www.varomoney.com, Like Varo on Facebook, and follow us on Instagram and Twitter @varomoney.
Varo Bank Accounts are provided by The Bancorp Bank, Member FDIC. Deposits are FDIC-insured up to $250,000 through The Bancorp Bank.
*Varo does not charge fees for ATM withdrawals, but some ATM operators will if you’re not in their network. To avoid ATM fees altogether, use an Allpoint Network ATM. There are more than 55,000 locations worldwide.
**Varo Annual Percentage Yield is accurate as of January 1, 2019. This rate is variable and may change. No minimum balance required to open account. Balance in Varo Savings Account must be at least $0.01 to earn interest.