Ufb Direct vs Varo Money
High-Yield Savings Accounts Comparison
Last Updated: August 1, 2025
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Summary of UFB Direct vs. Varo Bank
As of August 1, 2025 UFB Direct offers an APY of 4.21% for its UFB Checking and Savings Bundle account, compared to Varo Bank's 5.00% APY for its High-Yield Savings Account account.
UFB Direct yields $46 more than Varo Bank on a $10,000 balance after one year. UFB Direct pays $421, while Varo Bank pays $375 (with an effective APY of 3.75%) - an APY advantage for UFB Direct.
In addition, UFB Direct also offers 4.01% APY for the UFB Portfolio Savings account.
UFB Direct
Strengths
- UFB Direct offers a competitive APY of 4.21% with direct deposits and a $10,000 minimum balance.
- UFB Direct has a high App Store rating of 4.8.
- UFB Direct has no maintenance fees for its accounts.
Potential Drawbacks
- UFB Direct requires a minimum balance of $10,000 for the highest APY.
- UFB Direct's APY has not changed in the last 30 days.
- UFB Direct's direct deposit requirement may limit account access.
Varo Bank
Strengths
- Varo Bank offers a higher APY of 5.00% on savings up to $5,000.
- Varo Bank has a slightly higher App Store rating of 4.9.
- Varo Bank has no maintenance fees and a low minimum balance requirement.
Potential Drawbacks
- Varo Bank requires a minimum direct deposit of $1,000/month to earn the highest APY.
- Varo Bank's APY on amounts over $5,000 drops to 2.50%.
- Varo Bank's Google Play rating is lower at 4.7.
Summary: UFB Direct provides a solid APY of 4.21% with a high App Store rating, but requires a $10,000 minimum balance. In contrast, Varo Bank offers a higher APY of 5.00% on smaller balances but mandates a $1,000 monthly direct deposit for that rate. Both banks have no maintenance fees, but Varo's APY decreases significantly on amounts over $5,000, while UFB's APY remains consistent.
Compare UFB Direct's vs Varo Bank's Savings Accounts
| UFB Direct | Varo Bank | |||
|---|---|---|---|---|
| Product | UFB Portfolio Savings | UFB Checking and Savings Bundle | vs | High-Yield Savings Account |
| APY | 4.01% (as of 8/1/2025) | 4.01% - 4.21% (as of 8/1/2025) | 2.50% - 5.00% (as of 8/1/2025) | |
| Bundled Account | No | No | No | |
| FDIC-insured | Yes | Yes | Yes | |
| Online Only | Yes | Yes | Yes | |
| Compound Frequency | Daily | Daily | Daily | |
| Minimum Deposit | $0 | $5000 | $0 | |
| Minimum Balance for APY | $0 | $10,000 | $0.01 | |
| Maintenance Fee | $0 | $0 | $0 | |
| Direct Deposit Required | No | Yes | Yes. Min. $1,000/month | |
| Note | The regular savings or money market APY may be boosted up to 4.21% by direct deposits, minimum balance of $10,000 and making 10 approved debit card transactions per statement cycle. See bank for full details. | Earn 5.00% APY on up to $5,000 and 2.50% APY on the rest. Direct deposit required. | ||
| Sponsored Link | LEARN MORE at UFB Direct, Member FDIC | LEARN MORE at UFB Direct, Member FDIC | ||
| App Store Rating | 4.8/5 | 4.9/5 | ||
| Google Play Rating | 4.8/5 | 4.7/5 | ||
| BBB Rating | A+ | A- | ||
Comparative Historical APY Insights (Last 6 Months)
| UFB Direct | Varo Bank | |||
|---|---|---|---|---|
| Product | UFB Checking and Savings Bundle | UFB Portfolio Savings | vs | High-Yield Savings Account |
| Latest APY | 4.21 % | 4.01 % | 5.00 % | |
| Trend | Sideways | Sideways | Sideways | |
| Slope (bps/mo) | -0.0 | -0.0 | 0.0 | |
| Rate Changes / Mo | 0.00 | 0.00 | 0.00 | |
| Days Since Last Change | 170 | 193 | 193 | |
| High (-6 m) | 4.21 % | 4.01 % | 5.00 % | |
| Low (-6 m) | 4.21 % | 4.01 % | 5.00 % | |
| Draw-down from High | 0.0 % | 0.0 % | 0.0 % | |
| Volatility (CV) | 0.000 | 0.000 | 0.000 | |
APY Insights Glossary
- Latest APY
- Most recent advertised annual-percentage yield.
- Trend
- Direction over the last 6 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 (-6 m)
- Highest APY in the last 194 days.
- Low (-6 m)
- Lowest APY in the last 194 days.
- Draw-down from High
- How far today sits below the 6-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.
Calculate Savings Growth for UFB Direct vs Varo Bank
All calculations are based on APY.
UFB Direct
APY: 4.21%
⚠️The higher APY only applies once your balance reaches $10,000.
Total savings breakdown:
- Interest earned: $2,541.6 (12.37%)
- Total contributions: $13,000 (63.29%)
- Initial deposit: $5,000 (24.34%)
Your total balance
$20,541.60
Effective APY: 4.17% (based on your deposit and contributions)
Total balance: $20,541.6
Earnings: $2,541.6
Varo Bank
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 OverviewWith a $5,000 initial deposit and $13,000 in total contributions over 5 years, UFB Direct's total earnings would be $330.2 higher than Varo Bank's total earnings.
The Banksparency Savings Calculator provides estimated savings growth based on user input and our latest data.
More Comparisons
Compare UFB Direct's APY of 4.21% with other banks
| Bank Pair | Best APY | Min Deposit |
|---|---|---|
| UFB Direct vs Ally Bank | 3.50% | $0 |
| UFB Direct vs American Express | 3.50% | $0 |
| UFB Direct vs Bank of America | 0.01% | $100 |
| UFB Direct vs Barclays | 4.10% | $0 |
| UFB Direct vs Capital One | 3.50% | $0 |
| UFB Direct vs Chase Bank | 0.01% | $0 |
| UFB Direct vs Chime | 3.75% | $0 |
| UFB Direct vs CIT Bank | 4.00% | $100 |
| UFB Direct vs Discover Bank | 3.50% | $0 |
| UFB Direct vs Fitness Bank | 4.85% | $100 |
| UFB Direct vs Marcus by Goldman Sachs | 3.65% | $0 |
| UFB Direct vs Presidential Bank | 4.50% | $5,000 |
| UFB Direct vs SoFi Bank | 3.80% | $0 |
| UFB Direct vs Synchrony Bank | 3.80% | $0 |
| UFB Direct vs Wells Fargo | 2.51% | $25 |
Compare Varo Bank's APY of 5.00% with other banks
| Bank Pair | Best APY | Min Deposit |
|---|---|---|
| Varo Bank vs Ally Bank | 3.50% | $0 |
| Varo Bank vs American Express | 3.50% | $0 |
| Varo Bank vs Axos Bank | 4.46% | $0 |
| Varo Bank vs Bank of America | 0.01% | $100 |
| Varo Bank vs Barclays | 4.10% | $0 |
| Varo Bank vs Capital One | 3.50% | $0 |
| Varo Bank vs Chase Bank | 0.01% | $0 |
| Varo Bank vs Chime | 3.75% | $0 |
| Varo Bank vs CIT Bank | 4.00% | $100 |
| Varo Bank vs Discover Bank | 3.50% | $0 |
| Varo Bank vs Fitness Bank | 4.85% | $100 |
| Varo Bank vs Marcus by Goldman Sachs | 3.65% | $0 |
| Varo Bank vs Presidential Bank | 4.50% | $5,000 |
| Varo Bank vs SoFi Bank | 3.80% | $0 |
| Varo Bank vs Synchrony Bank | 3.80% | $0 |
| Varo Bank vs Wells Fargo | 2.51% | $25 |