They do not exist in any physical form, just operation on phone or computer with the help of the internet. The best examples of such banks are Chime Bank and Varo.
Both of them are online banks that provide customers with all the banking facilities at their homes without much physical work. Both of them have their functions and specialties.
Chime Bank vs Varo
The difference between Chime Bank and Varo is that Chime Bank has a 1 percent of interest rate, which is more than the interest rate provided by the Varo (unless to meet certain criteria) and also Varo is in itself is a full bank and is not partnered with any other financial institute. They also differ in terms of their member and the number of the network of money pass ATM.
Chime Bank is an online bank that works similarly to the normal bank or offline bank. It has certain special features, such as a chime builder account and a green dot reload system.
Varo is also an online mobile bank which provides the basic as well as some special feature to its customer. It is a complete bank in itself and allows you to send instant money to friends or relatives.
|Parameters of Comparison||Chime Bank||Varo|
|Interest Rate||1 %||0.80 % or 2.8 %|
|National Bank Charter||They have it.||They don’t have it.|
|Money pass atm network no.||38000||55000|
|Intuitive||More intuitive||Less intuitive|
|Larger||It is larger.||It is smaller.|
What is Chime Bank?
It is an online bank. Its main focus is customer satisfaction. It provides the following features:
- Spending Account: it is a kind of checking account in their saving account. There are no fees, and minimum balance required.
All of the above are the basic features; it also provides some special features such as Chimer Builder Account and access to the green dot reload system.
There are no structure fees, no minimum balance, nor foreign transaction fees. No overdraft fees are required making it a user-friendly option.
- By using them, you can save a lot of money. It helps you see the saving and transaction more clearly
- Get Paid Early: it is the first-ever bank to offer the getting paycheck early. It is very helpful for some people.
What is Varo?
Varo is a mobile bank or an online bank. It was earlier partnered with the Bancorp Bank, but in 2020, it received its National Bank Charter, making it a complete and fully bank in itself which does not require any backing up.
Like any other online bank, it offers the basic features of a savings account. It offers a 0.80 percent rate of interest or 2.8 percent rate of interest only if the individual meets the certain requirement set by the bank.
It has some special features such as the Varo Advance feature, Partner Offers feature, and some additional resources. These all features make Varo different and more useful than its competitor’s bank.
- Instant Cash: Customers can have instant access to $100, which is a very useful feature, especially in times of an emergency.
- No fees: it required no additional or any account fees on Varo. It is a 100 percent fee to use.
Main Differences Between Chime Bank and Varo
- Both Chime and Varo provide free access to their network of money pass ATM, but they both vary on the number of networks.
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