Varo Bank Account

Varo Bank, N.A. is a nationally chartered online bank, so deposits are FDIC-insured up to $250,000 directly with Varo rather than through a partner bank behind a technology company. The Varo Bank Account is the checking product: $0 monthly fee, no minimum balance requirement, and no overdraft fees. It gives access to over 40,000 fee-free Allpoint ATMs, and direct deposits post up to two days ahead of the scheduled pay date. The account page states no interest rate. Interest lives in the separate Varo Savings Account, which pays 3.75% APY on balances up to $5,000 if you receive direct deposits totaling $800 or more and end the month with a positive balance in all your Varo accounts, and 1.00% APY otherwise and on any balance above $5,000, accurate as of October 5, 2026. The $5,000 cap is worth noting: the 3.75% rate applies to the first $5,000, and every dollar above it earns 1.00%. Varo Advance is the cash advance feature, and it is not free. Advances start at $20, with initial limits from $20 to $250 that can rise to $700 over time with qualifying direct deposits of $800 or more. Varo charges no interest but does charge a fee based on the advance amount and your deposits, ranging from $1.60 to $100, with repayment by an automatic payment 15 to 30 days after the advance. Out-of-network and international ATM withdrawals cost $3.50 each, and there is no paper checkbook. Varo suits someone with a steady direct deposit who wants a no-fee mobile checking account from a chartered bank, and who will keep savings within the $5,000 band where the 3.75% rate applies. Skip it if you want the 3.75% rate on balances above $5,000, if you need branches or paper checks, or if you expect to lean on Varo Advance regularly, since each advance carries a fee of $1.60 to $100.