Is Varo Cash Advance a Legitimate Option for Emergency Loans?

Varo Cash Advance is a feature offered by Varo Money, a digital banking app. It allows users to borrow up to $100 to cover unexpected expenses.

Varo Cash Advance is not a traditional loan, but rather a short-term advance on a user's next paycheck. This means users don't need to worry about credit checks or interest rates.

To qualify for Varo Cash Advance, users must have a Varo Bank Account and meet certain requirements, such as having a steady income and a decent credit score. This ensures that users can afford to repay the advance.

Varo Cash Advance is designed to provide users with quick access to cash in emergency situations, such as car repairs or medical bills.

Varo Cash Advance is a short-term loan option available to Varo banking customers. It allows them to borrow up to $500 for 30 days.

Varo Advance has loaned over $550 million to its customers, giving you an idea of its scale and reliability.

Varo is a legit option, as it's chartered as a national bank and insured by the Federal Deposit Insurance Corporation (FDIC).

Your accounts are insured for $250,000 if Varo goes under, providing an added layer of security.

Varo Bank has some notable advantages and disadvantages.

The bank offers a high Annual Percentage Yield (APY) of up to 5% on savings. This is a great incentive for users to save their money.

Varo Bank also doesn't have any minimum balance requirements, so you can start saving without worrying about meeting a certain threshold.

One of the notable cons of Varo Bank is that it doesn't offer in-person services, which might be a drawback for those who prefer to interact with their bank in person.

Another con is that Varo Bank doesn't offer retirement accounts (IRA or Brokerage), which might be a limitation for users who want to plan for their retirement.

However, Varo Bank doesn't charge any monthly fees, which can save you money in the long run.

The bank is also FDIC Insured up to $250,000, which provides an added layer of security for your deposits.

Varo Bank also offers direct deposit early access, which can be a convenient feature for users who need access to their money quickly.

Here are the pros and cons of Varo Bank in a summary table:

Varo Cash Advance offers no fees or interest, making it a unique feature among banks. This means you won't be charged origination fees, monthly fees, or late charges, only a service fee based on the advance amount and your repayment cycle.

You can borrow up to $250 initially, increasing to $500 as you build trust with Varo and maintain responsible repayment. This flexible amount allows you to take out only what you need.

The advance is deducted directly from your next paycheck, ensuring easy repayment and avoiding the risk of debt traps. This direct paycheck deposit feature is a big plus.

You have a full 30 days to repay your cash advance, giving you the flexibility to choose when and how to settle the amount borrowed. This is a great feature for those who need some extra time to get back on their feet.

Here's a breakdown of the Varo Cash Advance features:

Varo Bank also offers other features, such as Varo Advance, which allows you to borrow up to $250 to cover bills and unexpected expenses. This feature is perfect for those who need some extra cash to get by.

Varo Believe is another feature that helps you build credit while managing your debt. You can use your Varo Believe Card anywhere Visa is accepted, and you'll be able to see your credit score in the app. This feature is a great way to use your own money to build credit while staying in control of your spending.

To use Varo cash advance, you need an active Varo Bank Account and qualify through direct deposits of at least $800 during the current or previous calendar month. The funds are deposited directly into your Varo Bank Account within seconds.

You can request an advance in the Varo app and choose the amount up to your current limit. To apply, simply follow the steps in the app: select the amount, receive your funds within minutes, and repay the advance within 30 days. Varo verifies your eligibility every business day for the minimum $20 advance and higher amounts before the start of each month.

You can have only one advance at a time and only one per day, even if you've paid it back already. This means you can't have multiple advances outstanding or request a new advance before repaying the previous one.

To get started with Varo, you'll need to open a bank account through the Varo app. This is a pretty simple process that can be completed in just a few minutes.

To open an account, download the Varo app and answer a few quick questions, then submit your application. Once you get a response, you can get started immediately.

Varo offers several ways to deposit money into your account, including direct deposit, external account transfer, digital wallets like Venmo or PayPal, mobile deposit, and cash deposit at Green Dot locations nationwide.

You can set up direct deposit to receive your paychecks and take advantage of early deposit, which can get you your money up to two days earlier than traditional banks.

There are also several options for transferring money into your Varo account, including external account transfer and digital wallets.

To deposit a check, simply go to Move Money > Deposit Checks in the app and take two photos of the check. You can also deposit cash at Green Dot locations nationwide.

Varo Advance is built into your Varo bank account, so you don't need to apply separately. Once you qualify, you can request an advance in your Varo app and get your funds immediately.

To request an advance, choose the amount you want to borrow, up to your current limit, and Varo will send the funds directly to your Varo bank account within minutes.

You can repay the advance at any time up to 30 days after receiving it, and you can make payments of any size.

Varo verifies your eligibility for the advance every business day and higher advance amounts before the start of each month, so you can get the money you need when you need it.

Here are the details on how to request a Varo Advance:

You can have only one advance at a time and only one per day, even if you've paid it back already.

Varo will honor overdrafts, but it's not the bank's preferred method. They recommend using Varo Advance instead, which allows you to access cash instantly.

You'll need to qualify for Varo Advance to use it, but it's a good option if you need cash right away. You can repay your advance plus any fee within 30 days to be eligible for future advances.

There are no overdraft fees for eligible accountholders, which is a big plus. This means you won't be charged extra for accidentally overdrafting your account.

Varo Bank has no maintenance fees, no transfer fees, and no foreign transaction fees, which is a big plus for customers.

The bank's digital-only model allows them to pass the savings on to customers, but they do charge some fees. Varo Bank charges $3 for out-of-network ATM withdrawals at non-Allpoint ATMs.

If you need to withdraw cash at an ATM, you'll pay $2.50 for an over-the-counter withdrawal.

Varo Advance comes with fees for amounts over $20, but the exact fee isn't specified.

There's also a $25 fee for express shipping of replacement debit cards, which might be a hassle if you need a new card quickly.

If you use a non-U.S. based Allpoint ATM, you'll pay $3.50, and the ATM operator might charge an additional fee.

Here's a summary of the fees you might incur:

To qualify for a Varo Cash Advance, you'll need an active Varo bank account in positive standing and an available balance of $0 or more. You'll also need at least $800 in total qualifying direct deposits within two calendar months.

To repay your advance, you can choose a repayment date when Varo will automatically deduct what you owe from your bank account. Alternatively, you can manually make a payment by initiating a transfer from your Varo checking or savings account as often as you like until your automatic repayment date.

If you need to borrow more than $500, consider a different short-term loan or other cash advance apps that work with Varo.

To get a Varo Advance, you'll need an active Varo bank account in positive standing. This means you can't have any outstanding fees or negative balances.

You'll also need an available balance of $0 or more. This ensures you have some money in your account to draw from.

To qualify for a Varo Advance, you'll need at least $800 in total qualifying direct deposits within two calendar months. This is a requirement to prove your income stability.

Here's a quick rundown of the eligibility requirements:

As long as you meet these requirements, you can request a $20 advance at any time.

If you're approved for a Varo Advance, you'll need to decide how to repay it. You can choose to have Varo automatically deduct the amount you owe from your bank account on a specific date.

You can also make manual payments by transferring funds from your Varo checking or savings account as often as you like until your automatic repayment date.

If you need to borrow more than $500 or don't qualify for Varo's full amount yet, you might consider exploring other short-term loan options or cash advance apps that work with Varo.

These apps include ADP, Albert, Cash App, Chime, Credit Karma, Netspend, PayPal, Venmo, and others.

Repaying your Varo Advance on time is crucial, so be sure to plan your payments carefully and make them as soon as possible.

Varo Cash Advance is meant to be a temporary solution, not a permanent fix for financial issues.

If you're considering Varo cash advance, it's worth exploring alternatives to find the best fit for your budget and financial goals.

You can compare up to four products side by side to see their benefits. Select the Compare feature to narrow down top cash advance apps by loan amount, turnaround time, and more.

Varo's competitors offer varying loan amounts and turnaround times, so it's essential to research and compare them to make an informed decision.

When comparing alternatives, it's essential to consider the loan amount and turnaround time. You can narrow down top cash advance apps by these criteria to find the best fit for your budget and financial goals.

Selecting the right alternative means choosing the one that meets your specific needs. By comparing up to four products, you can see their benefits side by side.

The benefits of comparing alternatives include finding the best option for your budget and financial goals. This will help you make an informed decision and avoid potential pitfalls.

To get started, consider what you're looking for in a cash advance app. Do you need a specific loan amount or turnaround time?

Varo Advance has a mixed reputation among customers, with 3 out of 5 stars on the Better Business Bureau (BBB) and 1.9 out of 5 stars on Trustpilot.

Many customers praise Varo Advance for providing funds when needed without expensive overdraft fees. However, most complaints are about poor customer service.

A total of 2,197 customer complaints have been filed with the BBB, while on Trustpilot, 2,333 customer reviews have been left.

Varo Advance is accredited by the BBB with an A- rating, but it's essential to note that most customer reviews are for Varo Bank as a whole, not specifically its cash advance feature.

To qualify for a cash advance, your Varo Bank account must be at least 30 days old with a balance of $0.00 or more, and you must receive qualifying direct deposits of at least $1,000 over the past 31 days.

The Finder Score is a simple score out of 10 that crunches 3+ types of short-term loans across 65+ lenders.

It takes into account the product's interest rate, fees, and features, as well as the type of loan, such as investor, variable, or fixed rate.

The Score is calculated by comparing like-for-like loans, so you can see how each short-term loan stacks up against other short-term loans with the same borrower type, rate type, and repayment type.

This allows you to get a clear picture of how different loans compare to each other, making it easier to find the best one for your needs.

By providing a score out of 10, the Finder Score gives you a quick and easy way to understand the pros and cons of each loan option.

Varo's no-strings-attached fee-free accounts make it a good option for young and newly-banked customers. They also offer an impressive APY on their high-yield savings account, which can tempt even veteran savers.

Varo Advance is a short-term solution to stretch your paycheck, offering up to a $500 cash advance with no interest and a fee as low as $1.60. However, you can only get an advance of $20 at a time until you build your repayment history.

Deposits at Varo are insured by the FDIC up to $250,000, giving you peace of mind about your money's safety. Your information is also protected with industry-standard encryption technology, so you can trust that Varo is looking out for you.

If you don't have a Varo bank account, or you need to borrow more right away, you can check out other short-term loan options. But if you do have a Varo account, you can take advantage of their fee-free accounts and impressive APY on their high-yield savings account.