Varo Bank Introduces Zero Fee Cash Deposits at Participating CVS Locations

Rhea-AI Summary

Varo Bank has announced a collaboration with Green Dot and CVS Health to enable zero-fee cash deposits for its customers at over 7,500 participating CVS Pharmacy locations nationwide. This service could save customers who regularly deposit cash approximately $120 or more annually.

The initiative leverages Green Dot's embedded finance platform (Arc) and money movement network. As the first all-digital nationally chartered bank in the U.S., Varo offers various fee-free banking services including no monthly fees, minimum balance requirements, transfer fees, or overdraft fees. Additional benefits include free withdrawals at 40,000+ Allpoint® ATMs, 2-day early payday with direct deposits, automatic cash back rewards, and eligibility for Varo Advance and Line of Credit services.

Positive

• Zero-fee cash deposits at 7,500+ CVS locations expanding accessibility
• Potential customer savings of $120+ annually on deposit fees
• Competitive advantage through national banking charter enabling preferential fee policies

Negative

• None.

New Collaboration with Green Dot Enables Cash Deposits at Over 7,500 CVS Pharmacy Locations

AUSTIN, Texas and SAN FRANCISCO, Dec. 20, 2024 /PRNewswire/ -- Varo Bank, the first all-digital nationally chartered bank in the U.S., today announced a collaboration with Green Dot Corporation (NYSE: GDOT) and CVS Health (NYSE: CVS) to enable deposits for no fee for millions of Varo Bank customers at over 7,500 participating CVS Pharmacy locations nationwide.¹ Utilizing Green Dot's embedded finance platform (Arc) and expansive money movement network, the "Green Dot Network," Varo customers can now deposit cash at participating CVS Pharmacy locations² with zero fees. For customers who deposit cash regularly, this means saving $120 or more per year.

Traditional banks often charge fees unless customers maintain specified minimum balances in their accounts or meet monthly direct deposit requirements. In addition, unlike fintech companies that must work through partner banks to set their fee policies, Varo's charter enables the bank to offer preferential fees and products to its customers.

"As an all-digital bank, Varo is creating low-cost financial solutions designed specifically for the needs of everyday Americans," said Colin Walsh, Chief Executive Officer at Varo Bank. "This Green Dot collaboration at participating CVS Pharmacy locations eliminates cash deposit fees, making basic banking more convenient and affordable."

Varo customers have access to a suite of primary banking products that support their financial stability and wellness, including:

• Zero bank fees: No monthly, minimum balance, transfer, or overdraft fees
• Free and fast access to cash:
  • Free cash deposits at 7,500+ CVS Pharmacy locations
  • Free withdrawals at 40,000+ Allpoint® ATMs nationwide
  • 2-day early payday with direct deposits
• Automatic cash back rewards on purchases
• Ability to qualify for Varo Advance and Varo Line of Credit over time

"We are thrilled to work with Varo and CVS Pharmacy to make banking accessible to millions of American consumers," said Crystal Bryant-Minter, SVP, Money Movement at Green Dot. "With more than 20 years' experience delivering seamless banking and payment solutions to consumers and businesses, Arc by Green Dot powers some of the world's most trusted brands and thousands of other businesses at all stages of growth with seamless, secure and useful financial tools and experiences."

About Varo Bank
Varo Bank is a new kind of bank - the first nationally chartered consumer tech bank in the U.S., built from the ground up with a focus on the needs of Americans striving to get ahead. From credit building to savings to faster payments, Varo has a complete solution to help everyday Americans make progress in their financial lives. Varo combines the capabilities and nimbleness of a technology company with the security and oversight of a regulated financial institution, enabling agile product design that provides technology-first solutions such as Varo Believe, a secured card to help build credit; Varo Advance, to help stretch hard-earned dollars between paychecks; and a high-yield savings account, offering one of the nation's highest APYs. Varo has been named as one of the Inc. 5000 2023 fastest growth companies in the U.S., CNBC's 2023 list of the World's Top Fintech Companies, one of Forbes' World's Best Banks, and Fast Company's Most Innovative Companies. For more information on Varo Advance, Varo Believe, and other offerings such as Perks, visit www.varomoney.com, like Varo Bank on Facebook, and follow us on Instagram and Twitter @varobank. ©2024 Varo Bank, N.A. Member FDIC.

About Arc by Green Dot
Arc is the embedded finance platform of services featuring all of Green Dot's secure banking and money processing capabilities designed to fuel value, loyalty and growth for consumers and businesses. Arc by Green Dot powers some of the world's most trusted brands and thousands of other businesses with seamless, secure and useful financial tools and experiences.

Integrated with Green Dot Bank³Arc provides partners with leading FDIC-insured banking products and tools, plus regulatory and compliance expertise, oversight and support. The Arc platform is cloud-based, modular and scalable by design – configurable to meet a wide range of business needs and goals, and flexible to adapt as our partners grow. Arc's end-to-end banking services are powered by enterprise-grade APIs and offer partners access to comprehensive customer support, fraud protection, the largest retail deposit and ATM network in the U.S., and much more. For more information, visit greendot.com/arc.

Media Contact   

Audrey Jacobson, for Varo Bank: varobank@consortpartners.com 

¹ Fees for optional service may apply
² Cash deposit is available at all stand-alone CVS locations (through Green Dot Network®) with a cashier in the U.S. except those located within hospitals, on military bases, or in Target. You can deposit between $20-$500 per transaction. A fee may apply for depositing cash at other Green Dot Network® locations.
³ Green Dot Bank also operates under the following registered trade names: GO2bank, GoBank and Bonneville Bank. All of these registered trade names are used by, and refer to, a single FDIC-insured bank, Green Dot Bank. Deposits under any of these trade names are deposits with Green Dot Bank and are aggregated for deposit insurance coverage up to the allowable limits. Green Dot Corporation NMLS #914924; Green Dot Bank NMLS #908739.

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SOURCE Varo Bank

FAQ

How much can Varo customers save annually with CVS's new zero-fee cash deposits?

Varo customers who regularly deposit cash can save $120 or more per year through the new zero-fee cash deposit service at CVS locations.

How many CVS locations offer Varo Bank's zero-fee cash deposits?

Varo Bank's zero-fee cash deposits are available at over 7,500 participating CVS Pharmacy locations nationwide.

What is the partnership between CVS, Varo Bank, and Green Dot?

The partnership enables Varo Bank customers to make cash deposits at CVS locations through Green Dot's embedded finance platform and money movement network, with no fees charged.

What additional banking services does Varo offer through the CVS partnership?

Beyond zero-fee cash deposits at CVS, Varo offers free withdrawals at 40,000+ Allpoint ATMs, 2-day early payday, automatic cash back rewards, and potential access to Varo Advance and Line of Credit services.