Varo Bank: Savings Account & Rates

By Aviel Fahl

|

Updated: 2/21/2026

Mission: Banksparency aims to make Varo Bank's savings account transparent and comparable to the market.

Interest rates reported as APY

Analysis of Varo Bank

Our verdict

Varo Bank offers a high-yield savings account paying 5.00% APY with no minimum deposit.

At 5.00% APY, Varo Bank pays 13x the national average (0.39%). Ranks in the top tier of 99+ accounts tracked.

Ideal User Profile

  • Best for: growing a smaller balance under $5,000, keeping checking and savings at one bank, and banking without needing a branch.

Important Considerations

The 5.00% APY only applies to the first $5,000. Amounts above earn 2.50%. For larger balances, effective APY will be lower.
To earn the High-Yield Savings Account top rate, you'll need a linked checking account with Varo Bank.
This rate requires Min. $1,000/month. Make sure your paycheck or other recurring deposits qualify.

Key Differentiators

  • Stands out with top-rated iOS app (4.9), highly-rated Android app (4.6), A BBB rating, Zelle for instant transfers.

Savings Overview

High-Yield Savings Account

Top 20 Rate
5.00% APY
Tiered Range: 2.50% - 5.00%
Very StableNo rate changes in last 90 days
No Minimums Checking Bundle Direct Deposit Req. Online Only
Min. Deposit$0
Min. Balance$0.01
Maintenance Fee$0
* Requires Direct Deposit
Rank #1 of 99 tracked.
Earn 5.00% APY on up to $5,000 and 2.50% APY on the rest. A Varo bank account & direct deposit required.

Looking for Simplicity?

Don't want a checking bundle? We track many high-yield banks that offer competitive rates without checking requirements.

See Simple Savings
National Avg: 0.39% (FDIC, 1/1/2026).
Banksparency tracks live rates daily.

Bank Overview

Top Market Contenders

Ally Bank
3.20% APY
Synchrony Bank
3.50% APY
Barclays
3.85% APY

Savings Account: In-Depth View

Savings Account Offered by Varo Bank

Feature
High-Yield Savings Account
APY
5.00%Range: 2.50% - 5.00%Verified: 2/21/2026
APY Trend
Very StableNo rate changes in last 90 days
Min. Deposit
$0
Min. Balance
$0.01
Monthly Fee
$0
Direct Deposit
RequiredMin. $1,000/month
Checking Bundle
Yes
Branch Access
None
Compounding
Daily
FDIC Insured
Yes
Eligibility
United States
Important
Earn 5.00% APY on up to $5,000 and 2.50% APY on the rest. A Varo bank account & direct deposit required.
Next Steps-

Calculate Savings for Varo Bank

All calculations are based on APY.
High-Yield Savings Account2.50% - 5.00% APY
$
$
ℹ️Earn 5.00% on first $5,000, and 2.50% on the rest.

Savings Breakdown

  • Interest Earned
    +$1,561.30(10.0%)
  • Total Contributions
    $13,000
  • Initial Deposit
    $1,000

Projected Balance

$15,561.30

Effective APY
3.98%

The Banksparency Savings Calculator provides estimated savings growth based on user input and our latest data.

Varo Bank Savings Rates Over Time

Historical APY Insights

Last 12 Months
MetricHigh-Yield Savings Account
Latest APY
5.00%
Trend
Sideways
Slope (bps/mo)
0.0
Rate Changes / Mo
0.00
Days Since Last Change
365
High (-12m)
5.00%
Low (-12m)
5.00%
Draw-down
0.0%
Volatility (CV)
0.000
How to read these metrics
Trends & Velocity
Trend
The general direction of the rate over the analyzed period. Useful for spotting if a bank is currently aggressive or pulling back.
Slope (bps/mo)
Speed of change. A high positive number means they raise rates quickly. 10 bps = 0.10%.
Rate Changes / Mo
"Twitchiness." High frequency means the rate changes constantly; low frequency means it's stable.
Risk & Range
High/Low
The absolute ceiling and floor of the rate during the 365-day window.
Volatility Score
Lower is better for predictability. It indicates how wildly the rate swings relative to its average.
Days Since Change
If this number is high (e.g., >90), the rate is very sticky. If low, it changed recently.

Why track this? Understanding volatility helps you avoid "bait-and-switch" rates. A steady, rising slope is ideal; high volatility often signals a temporary teaser rate.

Compare with Varo Bank

Feature
Current View
Varo Bank
Empty Slot
ProductHigh-Yield Savings Account-
APY
2.50% - 5.00%Verified: 2/21/2026
-
APY Trend
Very StableNo rate changes in last 90 days
-
Min. Deposit$0-
Monthly Fee$0-
Direct Deposit
RequiredMin. $1,000/month
-
Checking Bundle
Yes-
Branch AccessNone-
Eligibility United States-
Compounding
Daily-
FDIC Insured
Yes-
NoteEarn 5.00% APY on up to $5,000 and 2.50% APY on the rest. A Varo bank account & direct deposit required.-
Next Steps--

Bank-to-Bank Comparisons

Compare Varo Bank's APY of 5.00% with other banks
Bank PairCompetitor APYMin Deposit
Varo Bank vs Affirm3.20%$0
Varo Bank vs Ally Bank3.20%$0
Varo Bank vs American Express3.30%$0
Varo Bank vs Axos Bank4.21%$0
Varo Bank vs Bank of America0.01%$100
Varo Bank vs Barclays3.85%$0
Varo Bank vs Bask Bank0.25%$0
Varo Bank vs Betterment3.90%$10
Varo Bank vs BMO Alto3.15%$0
Varo Bank vs Bread Savings4.00%$100
Varo Bank vs BrioDirect3.75%$5,000
Varo Bank vs Capital One3.30%$0
Varo Bank vs Carver Bank4.00%$5,000
Varo Bank vs Charles Schwab Bank0.15%$0
Varo Bank vs Chase Bank0.01%$0
Varo Bank vs Chime3.00%$0
Varo Bank vs CIT Bank3.75%$100
Varo Bank vs Citibank3.20%$0
Varo Bank vs Citizens Access™3.15%$0.01
Varo Bank vs Climate First Bank4.21%$50
Varo Bank vs Colorado Federal Savings Bank4.05%$50,000
Varo Bank vs Discover Bank3.30%$0
Varo Bank vs E*TRADE from Morgan Stanley3.35%$0
Varo Bank vs Elevault3.82%$0
Varo Bank vs EverBank3.90%$0
Varo Bank vs Fitness Bank4.50%$100
Varo Bank vs FNBO Direct3.00%$1
Varo Bank vs Forbright Bank3.85%$0
Varo Bank vs FVCbank4.00%$500
Varo Bank vs GO2bank4.50%$0
Varo Bank vs Ivy Bank3.85%$2,500
Varo Bank vs Jenius Bank4.05%$0
Varo Bank vs LendingClub4.00%$0
Varo Bank vs Marcus by Goldman Sachs3.65%$0
Varo Bank vs MutualOne Bank4.07%$20,000
Varo Bank vs My Banking Direct4.02%$500
Varo Bank vs Neighbors Bank4.20%$0
Varo Bank vs Newtek Bank4.20%$0.01
Varo Bank vs Openbank4.09%$500
Varo Bank vs Peak Bank4.02%$100
Varo Bank vs Pibank4.60%$0
Varo Bank vs PNC3.30%$0
Varo Bank vs Popular Direct3.90%$100
Varo Bank vs Presidential Bank3.75%$5,000
Varo Bank vs Quontic Bank3.50%$100
Varo Bank vs Salem Five Direct3.61%$10
Varo Bank vs Sallie Mae Bank3.85%$0
Varo Bank vs Santander Bank0.01%$25
Varo Bank vs SoFi Bank4.00%$0
Varo Bank vs Synchrony Bank3.50%$0
Varo Bank vs TD Bank2.36%$0
Varo Bank vs TIMBR4.15%$1,000
Varo Bank vs UFB Direct3.46%$5000
Varo Bank vs Upgrade3.05%$0
Varo Bank vs Valley Direct4.00%$1,000
Varo Bank vs Vio Bank4.03%$100
Varo Bank vs Wealthfront3.95%$0
Varo Bank vs Wells Fargo0.05%$25
Varo Bank vs Zynlo Bank3.85%$10

Alternatives to Varo Bank

Banks with Higher/Similar Savings APY

For a top list of the highest savings rates, see all HYSA top rates

Pibank

Pibank Savings: 4.60% APY

Minimum Deposit: $0

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Climate First Bank

Super Duper Savings Account: 4.21% APY

Minimum Deposit: $50

TIMBR

Premium Savings Account: 4.15% APY

Minimum Deposit: $1,000

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MutualOne Bank

Online Savings: 0.40% APY

Minimum Deposit: $5,000

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Mo Premium Savings: 4.07% APY

Minimum Deposit: $20,000

Neighbors Bank

Neighbors Savings Account: 4.20% APY

Minimum Deposit: $0

Eligible States: Limited (see details)

Evergreen Bank Group

High-Yield Online Savings: 4.25% APY (Inactive)

Minimum Deposit: $100

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Fitness Bank

Fitness Savings Account: 4.20% APY

Minimum Deposit: $100

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Fitness Elite Checking & Fitness Savings Combo: 4.50% APY

Bundled Savings & Checking Account

Minimum Deposit: $100

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Openbank

High-Yield Savings Account: 4.09% APY

Minimum Deposit: $500

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GO2bank

High Yield Savings: 4.50% APY

Bundled Savings & Checking Account

Minimum Deposit: $0

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Axos Bank

Axos ONE: 4.21% APY

Bundled Savings & Checking Account

Minimum Deposit: $0

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Summit Savings: 3.75% APY

Minimum Deposit: $0

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Colorado Federal Savings Bank

Premier Savings: 4.05% APY

Minimum Deposit: $50,000

Online Only

High Yield Savings: 4.00% APY

Minimum Deposit: $1

Online Only

Newtek Bank

Personal High Yield Savings: 4.20% APY

Minimum Deposit: $0.01

Online Only