Difference Between Chime Bank and Varo (With Table)

As we know, everything is online nowadays. Even money is not just a piece of paper. It is also digital. Then why not banks? Well, there are indeed online banks available all over the world that provides all the bank functions to their customer. 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. It is very easy to open a spending account, and it can be used by anyone. It does not require any fees and also offers a good rate of interest.

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. It offers great customer service and also has an extensive FAQ option. It was founded in 2015, and from then, it is giving tough competition to others.

Comparison Table Between Chime Bank and Varo

Parameters of ComparisonChime BankVaro
Interest Rate1 %0.80 % or 2.8 %
National Bank CharterThey have it.They don’t have it.
Money pass atm network no.3800055000
IntuitiveMore intuitiveLess intuitive
LargerIt 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:

  1. Spending Account: it is a kind of checking account in their saving account. There are no fees, and minimum balance required.
  2. Savings Account: This Account has a 0.50% APY

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.


  1. Limited Options: this results in saving time for the user as there are not many options available customer does not feel fatigued; it is very simple to open the account by using the minimum options available.
  2. APY: it a very competitive APY which is necessary in a world where there are many alternate options are available.
  3. Helpful tools: there are saving tools that help the customer so much. By using them, you can save a lot of money. It helps you see the saving and transaction more clearly
  4. 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.


  1. Instant Cash: Customers can have instant access to $100, which is a very useful feature, especially in times of an emergency.
  2. No fees: it required no additional or any account fees on Varo. It is a 100 percent fee to use. Therefore it is very customer friendly.
  3. Overdraft Protection: there are no extra charges for overdrawing (up to $50). Just the amount withdrawn has to be paid.
  4. Large ATM network: it has a large ATM network of 55000.
  5. Cash Deposits: in this, you can use a green dot to deposit your cash in Varo Account.

Main Differences Between Chime Bank and Varo

  1. The interest rate of Chime is 1 percent which is more than many of its competitors, whereas the Interest rate of Varo is 0.80 percent, or it can be 2.8 percent (for this, certain conditions have to be fulfilled.
  2. Both Chime and Varo provide free access to their network of money pass ATM, but they both vary on the number of networks. Chime provides access to the network of 38000 money pass ATM whereas Varo provides access to more, i.e., 55000 networks of money pass ATM.
  3. Another difference is that Varo is a full bank themselves as they have their national bank charter, whereas Chime is not a full bank in itself as it does not have its national bank charter. It is partnered with other banks for some activities.
  4. Chime is easier to use and more intuitive in comparison to the Varo reason could be that it is older than Varo as Chime was founded in 2013, while Varo was founded in 2015. This implies more people are familiar with the Chime.
  5. Chime is larger in comparison to the Varo, and it has more members too.


Therefore it is clear what are Chime Bank and Varo and how both of them are different from each other. It is quite difficult to say which is better, as both of them have different places. But if generally asked Chime Bank is recommended the most the reason could be that it is old and has several features. But if the main priority is a good saving rate and a checking account, Varo is the option you should go with as it provides both of them free.

Both of these banks have made it very easy to enjoy all the facilities at home or anywhere as mostly, bank-related work takes time and effort, which is not in the case of these.


  1. https://www.emerald.com/insight/content/doi/10.1108/02652320810902442/full/html
  2. https://www.emerald.com/insight/content/doi/10.1108/JSM-09-2012-0162/full/html
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