Varo Bank vs. Wealthfront
Comparing Varo Bank and Wealthfront for high-yield savings: Varo Bank's High-Yield Savings Account pays 5.00% APY while Wealthfront's Cash Account pays 3.95% APY (including a 3-month 0.65% promo boost).
Note: Varo Bank caps its top rate at $5,000 and requires a checking account.
See how they compare on rate stability, mobile app ratings, and more below.
The Bottom Line
Who pays more interest on $10,000? Varo Bank pays $29 more than Wealthfront annually ($375 vs $346).
Choose Varo Bank if getting the best rate matters most, you want to avoid a promo rate with a scheduled drop, BBB rating matters to you, or you want Zelle for quick transfers.
Important Considerations
The key difference? Wealthfront's 3.95% rate includes a promotional bonus for the first 3 months, after which it reverts to the standard rate (currently 3.30%). Varo Bank's 5.00% rate has no scheduled drop, though all rates are subject to change.
Watch out: Varo Bank's 5.00% APY only applies to the first $5,000. With a $10,000 balance, your effective rate drops to 3.75% APY ($375 annually).
At balances above $8,621, Wealthfront earns more due to Varo Bank's APY cap.
Varo Bank requires a checking account to unlock its top savings rate, while Wealthfront offers its savings account standalone.
| Metric | Varo BankHigh-Yield Savings Account Feb 21, 2026 | WealthfrontCash Account Feb 21, 2026 |
|---|---|---|
| APY | 2.50% - 5.00% | 3.30% - 3.95% |
Est. Earnings | $5,000+$250 $10,000+$375 $25,000+$750 | $5,000+$173 $10,000+$346 $25,000+$866 |
Min Deposit | $0 | $0 |
Snapshot view. Rates subject to change. | ||
Terms | Earn 5.00% APY on up to $5,000 and 2.50% APY on the rest. A Varo bank account & direct deposit required. | Wealthfront is not a bank but a financial services company. It is FDIC-insured through its many partner banks. New clients get an APY of 3.95% for 3 months, after which the 3.30% APY applies. See terms at Wealthfront. |
| Features | FDIC InsuredNo MinimumsGreat iOS AppGreat Android AppZelle® SupportedDirect Deposit ReqChecking BundleDaily CompoundingStable Rate | FDIC InsuredNo MinimumsGreat iOS AppGreat Android AppDaily CompoundingRate Changes Often |
Prefer In-Person Banking?
Both of these banks are online-only. If you need physical branch access, check out our list of high-yield accounts with brick-and-mortar locations.
Comparison Analysis
Comparing Varo Bank vs. Wealthfront
Executive Summary
Varo Bank offers a High-Yield Savings Account with a competitive APY of 5.00% on deposits up to $5,000, requiring a Varo bank account and a minimum direct deposit of $1,000 per month. In contrast, Wealthfront's Cash Account provides an introductory APY of 3.95% for the first three months, dropping to 3.30% thereafter, with no direct deposit requirement. While Varo Bank's product yields a higher rate, it comes with more conditions, making Wealthfront's offering simpler for users who prefer fewer restrictions. Both accounts are online-only and FDIC-insured.
The analysis is based on current Banksparency database records
* This content is provided for informational purposes only; always verify details with the provider.
Why Varo Bank?
- ✓Higher potential APY (5.00% vs 3.95%) on balances up to $5,000 (requires checking bundle & direct deposit)
- ✓Fast transfers via Zelle®
Why Wealthfront?
- ✓No checking account or direct deposit required
- ✓Higher rated Android app (4.9 vs 4.6)
— Key Feature Differences —
Better Returns at $10,000
Varo BankVaro Bank's High-Yield Savings Account earns more on smaller deposits (approx. $375 vs $346/yr).
Better Returns at $25,000
WealthfrontWealthfront's Cash Account pulls ahead with larger amounts (approx. $866 vs $750/yr).
Best for Simplicity
WealthfrontWealthfront's Cash Account offers 3.95% APY with no bundling, direct deposit requirement or caps.
Best for All-in-One Banking
Varo BankVaro Bank's High-Yield Savings Account pays a superior APY for customers who also open a checking account.
Shared Benefits
Over a 1-year period, Varo Bank's High-Yield Savings Account pays $29 more interest on a $10,000 balance than Wealthfront's Cash Account.
*This comparison accounts for Wealthfront's introductory promotional rate, yet Varo Bank's standard rate still yields a higher 1-year return.
Non-sponsored link to official site
Non-sponsored link to official site
Top Market Contenders
Varo Bank vs. Wealthfront Savings Calculator
You earn $27.5 more with Varo Bank than Wealthfront on a $10,000 initial deposit for 1 year*.
*This calculation assumes that APYs remain unchanged for 1 year, and takes into account known promo rate periods, but does not factor in bonuses. You can see how often these banks have changed their rates in the Compare Savings Rates Over Time section below.
Varo Bank
High-Yield Savings Account
5.00% on first $5,000 and 2.50% thereafter.
Savings Breakdown
- Interest Earned+$375.00(3.6%)
- Total Contributions$0
- Initial Deposit$10,000
Projected Balance
$10,375.00
Wealthfront
Cash Account
Promo Rate: 3.95% for 3 months, then 3.30%.
Savings Breakdown
- Interest Earned+$347.50(3.4%)
- Total Contributions$0
- Initial Deposit$10,000
Projected Balance
$10,347.50
The Banksparency Savings Calculator provides estimated savings growth based on user input and our latest data.
Still banking with Chase, Bank of America, or Wells Fargo?
On a $10,000 balance, you're missing out on at least $345 per year in interest.
Both Varo Bank and Wealthfront dramatically outperform the typical 0.01% APY at traditional big banks.
| Feature | Varo Bank | Wealthfront |
|---|---|---|
| APY | 5.00% Range: 2.50% - 5.00% Verified: 2/21/2026 Stable (90d) | 3.95% Range: 3.30% - 3.95% Verified: 2/21/2026 ↘︎ 0.20%90d Change |
| Product Name | High-Yield Savings Account | Cash Account |
| Minimum Deposit | $0 | $0 |
| Min. Balance for APY | $0.01 | $0 |
| Monthly Fee | $0 | $0 |
| Compound Frequency | Daily | Daily |
| Branch Access | None | None |
| Account Type | Online Only | Online Only |
| Physical Branches | None | None |
| Direct Deposit Req. | RequiredMin. $1,000/month | None |
| Checking Bundle | Yes | No |
| Mobile Apps | ||
| FDIC Insured | YesVerify FDIC | Yes |
| Zelle® Support | Available Requires history of qualifying direct deposits. | Not Supported |
| BBB Rating | A | F |
| Important Notes | Earn 5.00% APY on up to $5,000 and 2.50% APY on the rest. A Varo bank account & direct deposit required. | Wealthfront is not a bank but a financial services company. It is FDIC-insured through its many partner banks. New clients get an APY of 3.95% for 3 months, after which the 3.30% APY applies. See terms at Wealthfront. |
| Next Steps | Visit SiteVerify at Varo Bank Non-sponsored link to official site | Visit SiteVerify at Wealthfront Non-sponsored link to official site |
📈 Compare Savings Rates Over Time
Historical Performance
| Metric | Varo Bank | Wealthfront |
|---|---|---|
| High-Yield Savings Account | Cash Account | |
Current APY | 5.00% | 3.95% |
Trend | Stable | Stable |
Velocity (bps/mo) | 0.0 | -8.6 |
Days Since Change | 100 | 22 |
3-Month High | 5.00% | 4.15% |
3-Month Low | 5.00% | 3.90% |
Adjustments / Mo | 0.00 | 0.60 |
Volatility Score | 0.000 | 0.028 |
How to read these metrics(Click to expand)
Compare Similar Alternatives
Compare Varo Bank vs...
Comparing against other Bundled Accounts
Compare Wealthfront vs...
Comparing against Standard Savings