Varo Bank, the first neobank to become a federally chartered digital bank, has announced a new peer-to-peer transfers and payments service Varo to Anyone. The service is similar to Zelle, which remains available on the bank’s platform.
Varo to Anyone is available free of any fees to both senders and recipients. According to a blog post, even non-Varo Bank users may receive money from the service. The only requirement is the recipient has a U.S. phone number or email.
According to reports, Varo was seeing around 3 million transactions per month from their account holders who were using other peer-to-peer services. Some of which charge fees. To add value for their customers, Varo decided to build a simple transfer service themselves. Each account has a maximum amount that can be transferred.
Varo is a digital-only bank that reports more than 3 million customers. It aims to provide a modern banking service void of the excessive fees affiliated with incumbent brick-and-mortar banks.
