To earn 2.80% APY, meet these three requirements in the same calendar month:
Otherwise, enjoy 1.21% APY. See the Varo Savings Account Agreement here.
You can do better than an APY that’s next to nothing.
APY is a percentage rate that shows the total amount of interest paid on an account. It’s based on the account’s interest rate and how often the balance compounds for a 365-day period.
Whatever the balance, still no monthly fees.
There’s no minimum balance requirement to open a Varo Savings Account, and you start earning high-interest with your first deposit. Plus, a Varo Savings Account has no fees.
Automatic savings tools transfer money from your Varo Bank Account to your Varo Savings Account.
Save Your Pay takes a percentage of your Varo Bank Account direct deposits and automatically transfers it to your Savings Account (you choose the percentage).
Save Your Change rounds up every transaction to the nearest dollar and transfers that amount from your Varo Bank Account to your Savings Account.
Applying won’t impact your credit score.
What is a high-yield savings account?
A high-yield savings account is a type of savings account that pays a yield (earns interest) that is higher than the average, traditional savings account. The increase in earnings can be big, which can help you reach your financial goals sooner. For example, with a Varo Savings Account, you can earn up to 2.80% APY with no minimum balance requirements. See qualification requirements below.* With a daily account balance of $1,000, you would earn $28 a year compared to the national average of just $0.60. And did we mention there are no fees for Varo Savings Account?
*Make at least five qualifying Varo Visa® Debit Card purchases in each calendar month,
Receive total direct deposits of $1,000 or more in the same calendar month, AND
Keep a Savings Account balance up to $10,000. Varo Annual Percentage Yields (APYs) are accurate as of June 9, 2020. The rates are variable and may change. No minimum balance required to open account. Balance in Savings Account must be at least $0.01 to earn interest.
Can I open a savings account online?
Yes! Creating a savings account online can be an easy, positive step toward reaching your short-term or long-term financial goals. Opening a Varo Savings Account is simple — just download the app, answer a few quick questions to open a Varo Bank Account and optional Varo Savings Account, and quickly receive an application decision. Deposit at least $0.01 into your Savings Account to start earning above-average interest. Your money is protected and accessible instantly!
What is the minimum balance for an online savings account?
Unlike some traditional banks, there is no minimum balance required for a Varo Savings Account. You need just $0.01 to start earning interest with your online savings account. Plus, you can grow your balance over time without even thinking using our automatic savings tools, Save Your Change and Save Your Pay. Now you can practice smart ways to save without interrupting your daily life.
Are high-yield savings accounts FDIC safe?
Your money is safe with Varo. All money in your Varo Savings Account is insured through the Federal Deposit Insurance Corporation (FDIC) for at least $250,000 through our sponsor bank, The Bancorp Bank; Member FDIC. The FDIC insures both the deposits you make within your high-yield savings account and any interest you earn.
What’s the difference between an online savings and checking account?
The main difference between an online savings account and checking account is how you plan to use the money. A checking account is typically used for everyday transactions and easier access to your money, while a savings account is basically an investment account that earns interest on a balance that grows over time. A savings account is better for building up emergency funds and working toward larger financial goals. You can have both with Varo with no monthly fees — best of both worlds.
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Varo Money, Inc. | NMLS #: 1547251 | Licenses | NMLS Consumer Access
^Varo Annual Percentage Yield (APY) is accurate as of June 9, 2020. This rate is variable and may change. No minimum balance required to open account. Balance in Savings Account must be at least $0.01 to earn interest.
*Source: FDIC, January 2019: fdic.gov/regulations/resources/rates/
Bank Account Services provided by The Bancorp Bank. Your deposits are FDIC insured to at least $250,000 through The Bancorp Bank; Member FDIC. The Varo Visa® Debit Card is issued by The Bancorp Bank pursuant to a license from Visa U.S.A. Inc and may be used everywhere Visa debit cards are accepted.
See the Varo Bank Account Agreement and Varo Savings Account Agreement for terms and conditions.