Capital One vs. Varo Money

High-Yield Savings Account Comparison

By Aviel Fahl|Last Updated: November 2, 2025

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Summary of Capital One vs. Varo Bank

Key Metrics at a Glance

FeatureCapital OneVaro Bank
Top Savings APY

3.40%

360 Performance Savings

5.00%

High-Yield Savings Account

Minimum to Open$0$0
Minimum Balance for Top APY$0$0.01
NoteEarn 5.00% APY on up to $5,000 and 2.50% APY on the rest. Direct deposit required.

Capital One

Strengths

  • Capital One offers a competitive APY of 3.40%.
  • No direct deposit requirement for the 360 Performance Savings account.
  • Capital One has over 200 branches across multiple states.

Potential Drawbacks

  • Lower APY compared to Varo Bank's 5.00%.
  • Limited to a single high-yield savings account option.

Varo Bank

Strengths

  • Varo Bank provides a high APY of 5.00% on savings.
  • Offers a tiered APY structure for balances over $5,000.
  • Higher Google Play rating at 4.6.

Potential Drawbacks

  • Requires direct deposit of at least $1,000/month for the highest APY.
  • No physical branches available.
Summary: Capital One's 360 Performance Savings offers a solid 3.40% APY with no direct deposit requirement, supported by over 200 branches. In contrast, Varo Bank provides a higher 5.00% APY but mandates a direct deposit, with no physical branches available. Both banks are BBB accredited, but Varo has a slightly lower BBB rating of A-.

→ As of November 2, 2025 Capital One offers an APY of 3.40% for its 360 Performance Savings account, with a minimum balance of $0, compared to Varo Bank's 5.00% APY for its High-Yield Savings Account, with a minimum balance of $0.01.

Varo Bank yields $35 more than Capital One on a $10,000 balance after one year. Capital One pays $340, while Varo Bank pays $375 (with an effective APY of 3.75%) - an APY advantage for Varo Bank.

Calculate Savings Growth for Capital One vs Varo Bank

All calculations are based on APY.

Capital One - 360 Performance Savings

Top APY: 3.40%

Total savings breakdown:

  • Interest earned: $2,050.5 (10.23%)
  • Total contributions: $13,000 (64.84%)
  • Initial deposit: $5,000 (24.94%)

Your total balance

$20,050.50

Effective APY: 3.40% (based on your deposit and contributions)

Total balance: $20,050.5

Earnings: $2,050.5

Bank Overview

Varo Bank - High-Yield Savings Account

Top APY: 5.00%

ℹ️You earn 5.00% on the first $5,000 and 2.50% on the rest.

Total savings breakdown:

  • Interest earned: $2,211.4 (10.94%)
  • Total contributions: $13,000 (64.32%)
  • Initial deposit: $5,000 (24.74%)

Your total balance

$20,211.40

Effective APY: 3.65% (based on your deposit and contributions)

Total balance: $20,211.4

Earnings: $2,211.4

Bank Overview

With a $5,000 initial deposit and $13,000 in total contributions over 5 years, Capital One's total earnings would be $160.9 lower than Varo Bank's total earnings.

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

Compare Capital One's vs Varo Bank's Savings Accounts

Capital OneVaro Bank
Product360 Performance SavingsvsHigh-Yield Savings Account
APY
3.40% (as of 11/2/2025)2.50% - 5.00% (as of 11/2/2025)
Bundled Account
NoNo
FDIC-insured
YesYes
Online OnlyNoYes
Compound Frequency
MonthlyDaily
Minimum Deposit$0$0
Minimum Balance for APY$0$0.01
Maintenance Fee$0$0
Direct Deposit Required
NoYes. Min. $1,000/month
NoteEarn 5.00% APY on up to $5,000 and 2.50% APY on the rest. Direct deposit required.
App Store Rating4.9/54.9/5
Google Play Rating4.5/54.6/5
BBB RatingA+A-

Comparative Historical APY Insights (Last 9 Months)

Capital OneVaro Bank
Product360 Performance SavingsvsHigh-Yield Savings Account
Latest APY3.40 %5.00 %
TrendSidewaysSideways
Slope (bps/mo)-3.80.0
Rate Changes / Mo0.420.00
Days Since Last Change32284
High (-9 m)3.80 %5.00 %
Low (-9 m)3.40 %5.00 %
Draw-down from High-10.5 %0.0 %
Volatility (CV)0.0300.000
APY Insights Glossary
Latest APY
Most recent advertised annual-percentage yield.
Trend
Direction over the last 9 months (regression slope).
Slope (bps/mo)
Average monthly change; 10 bps = 0.10 pp.
Rate Changes / Mo
Typical number of APY moves per month.
Days Since Last Change
Recency of the latest APY adjustment.
High (-9 m)
Highest APY in the last 284 days.
Low (-9 m)
Lowest APY in the last 284 days.
Draw-down from High
How far today sits below the 9-month peak.
Volatility (CV)
Coefficient of variation = stdev ÷ mean.
Why Track Savings-Account APYs?
  • See how quickly a bank reacts to Fed moves or competition.
  • Gauge “twitchiness” - frequent moves can annoy savers.
  • Spot if you're buying near a peak (draw-down) or riding a rise.
  • Slope (bps/mo) shows speed of change.
  • Volatility (CV) scales jumps by average level.

More Comparisons

Compare Capital One's APY of 3.40% with other banks
Compare Varo Bank's APY of 5.00% with other banks