“Guide to banks like Varo” is your digital banking compass. It leads you through the complex world of finance, showcasing over 100 top financial institutions and credit unions. These have been carefully examined. The analysis comes from 10 financial experts and reviews of 688 banking products. It also considers 719 rate changes to give you the latest online banking info. A survey by MarketWatch Guides shows that 70% of Americans prefer banking online or through mobile apps, instead of going to branches1.
This guide is your trusted resource for online banking, created from personal experiences and detailed data. It covers big and top online banks, using real-time rates and user feedback. This ensures you find a digital financial partner that meets your goals1.
The Digital Banking Revolution: Why Online Banks Like Varo are Thriving
The last decade has seen a huge change in finance, thanks to over $165.5 billion invested in FinTech from 2010 to 20192. This growth has made room for online banks such as Varo. They bring features that today’s customers want. When I look at the best online banks of 2022, it’s clear the digital banking world is changing finance in big ways.
Online banks stand out because they’re convenient, have good interest rates, and strong online safety. They’re growing fast because they can offer higher savings rates and lower fees. This is because they don’t have the big costs that regular banks with physical branches do.
These banks quickly adapt to global economic changes. With the IMF predicting a 3.0% growth in 2024, digital banks like Varo might get more from their low costs and easy scaling3. The Fed’s plan to keep interest rates high could also favor them, especially Varo, known for great savings accounts3.
But, online banks aren’t perfect. When looking at the best online banks of 2022, I saw some limits, like fewer options for cash or checks. This is where traditional banks might still have an edge.
When people ask me for banking advice, I say compare them closely. Look at fees, ATM network, and other services. This is where new banks often beat the old ones.
Below, we compare some top online banks. We look at their benefits and what makes them stand out:
| Bank | APY | Maintenance Fee | ATM Network | Safety and Security |
|---|---|---|---|---|
| Varo Bank | Competitive | None | Large, Fee-Free | High |
| Simple | High | None | Fair | Strong |
| Ally Bank | Top-tier | None | Extensive | Excellent |
| Chime | Competitive | None | Large | Advanced |
Banks like Chime and Simple have changed how we bank. But, there’s still a lot to improve2. Watching this space, I see a trend toward more services and features for the tech-loving customer.
Looking ahead, online banks seem set to grow. They’re adapting with flexible, customer-focused banking3. My ongoing study shows that banks like Varo will keep up with the world’s needs. They provide easy-to-use financial services for everyone.
Guide to Banks Like Varo: How to Choose Your Online Banking Partner
Choosing an online bank today goes beyond free perks. It’s about finding a bank that fits into your digital life. You want one that offers good returns on your accounts and keeps fees low. The growth in online banking means you have many options. So, careful comparison is needed to find a bank like Varo that’s right for you.
Start by looking at fees, the size of the ATM network, and the types of accounts available. Online banks often have higher APYs than traditional ones, and many don’t charge monthly fees. They might even pay you back for ATM fees from other banks1. Features like automated savings tools, mobile check deposits, and mobile wallet compatibility are also key. This makes understanding your digital banking options crucial nowadays.
Take Ally Bank, for example. They offer a large ATM network of over 43,000 and no monthly fees or balance requirements. They provide an APY of 0.10%-0.25%4. On the other hand, Axos Bank gives up to 1.25% APY and access to 91,000 ATMs. You just need $50 to open an account with them4. These details can help you pick a bank that fits your habits.
Online banks like Varo are perfect for the 70% of Americans who prefer banking on digital platforms5. They offer the same protection as traditional banks but in a mobile-friendly format. This makes managing money online both convenient and safe.
But, digital banking isn’t perfect. For those who often handle cash, online banks may not be the best fit. And, some may offer fewer services than traditional banks. This could matter if you prefer a wide range of banking products.
Choosing the right online bank starts with understanding your needs. Look at what different banks offer in terms of APYs and ATM networks. Also, think about the customer service and how intuitive their apps are. With a bank like Varo, you have your bank right in your palm.
| Bank | Monthly Fee | Balance to Open | ATM Network | APY |
|---|---|---|---|---|
| Ally Bank | $0 | $0 | 43,000 | 0.10%-0.25% |
| Axos Bank | $0 | $50 | 91,000 | Up to 1.25% |
| PNC Bank | $0 (for college students) | $25 ($0 if opened online) | 9,000 | N/A |
| Varo | $0 | $0 | 55,000 (AllPoint ATMs) | N/A |
Top Online Banks of 2022: A Digital Banking Roundup
Exploring the best online banks of 2022, I focused on those that stand out. Capital One, with its top-ranking mobile app, beats others like Chase and Wells Fargo6. Varo Bank is impressive too. With high ratings on the Apple App Store and Google Play Store, it’s a strong newcomer6. It also offers banking without monthly fees or the need to open with a big deposit with Varo7.
Comparing online banks shows how digital banking meets different financial needs. Chime and Discover are highly rated for their simple, easy-to-use mobile banking6. SoFi gives you a chance at a $300 bonus and a high savings rate if you meet some conditions8. Axos Bank lets you get your paycheck early and doesn’t charge you for using any ATM8.
Looking for alternatives to Varo, I noticed each online bank has its own perks. Ally Bank stands out with features like mobile check deposit and free money transfers, all without needing a minimum balance or paying monthly fees6. The shift to digital banking shows how important convenience, efficiency, and a good user experience have become. Considering Varo and others, it’s clear that choosing the best online bank isn’t about just one thing. It’s about finding a bank with the features that fit your life.
Source Links
- https://www.forbes.com/advisor/banking/best-online-banks/
- https://www.ncbi.nlm.nih.gov/pmc/articles/PMC7210462/
- https://www2.deloitte.com/us/en/insights/industry/financial-services/financial-services-industry-outlooks/banking-industry-outlook.html
- https://money.com/best-online-checking-accounts/
- https://www.marketwatch.com/guides/banking/best-online-banks/
- https://smartasset.com/checking-account/2018-best-mobile-banking-apps
- https://money.com/varo-high-yield-savings-accounts-review/
- https://www.businessinsider.com/personal-finance/bank-accounts-early-direct-deposit
