How to borrow money from Varo: Guide

Are you looking for ways to borrow money from Varo?

Do you want to know about the Varo Advance features?

We will provide a step-by-step guide to borrow money with Varo advance topped up with all important information.

What is Varo Advance

Several neo banks have been getting popularity among the citizens of the USA. With Chime and Varo bank grabbing the major market share.

Varo is comparatively a new neo bank as compared to Chime, which was founded back in 2015 and currently has grabbed more than a million users across its platform.

Varo has a lot to offer, with almost everything that a conventional bank offers to some special features like mobile check deposit and Varo Advance.

With Varo advance, the user can get an instant loan without much pressure from the high-interest rates. Varo allows users to borrow money for a small period without any interest rates. And sometimes, for spotting the amount, Varo doesn’t ask you for a fee as well.

That’s a great option for anyone who is sure that they will be able to return back the amount before the period ends.

Colin Walsh, founder and CEO of Varo Bank

“Varo Advance was created to meet the short term credit needs of millions of Americans, and it continues our commitment to provide customers the strongest possible foundation for their financial success, with instant availability and low, transparent pricing.”

Well, there is a lot one must know before even proceeding to borrow money with the Varo Advance feature. And here, we will make sure to include every important detail about the Varo advance feature.

If you have made up your mind and decided to borrow money from Varo, you can check out our guide for how to borrow money from Varo below.


How to borrow money from Varo

Varo Bank allows its users to borrow a maximum of $100 using the Varo app. The users just need to qualify for the Varo Advance eligibility criteria, and they can borrow the amount they want.

Here, we will be providing a step-by-step guide on how one can borrow money from Varo.

Step 1 – Qualify for Varo Advance

As we have already discussed in the very start of this section, Varo only allows its eligible members to enjoy the Varo Advance features. Not every Varo user can borrow money. And if you want to use the Varo Advance feature in the future, we suggest you maintain the Varo account in good standing.

You can follow these quick pointers on how to qualify for Varo Advance.

  • 1. Varo account must not be new

New Varo members won’t be able to borrow money using the Varo Advance feature. Your Varo account must be 30 days old or more to enjoy the Varo Advance feature.

  • 2. Account must not have negative balance

You must have not only a 30 days old account, but also an account without a negative balance. If you failed to return the overdraft fees earlier, your Varo account will go negative. And in that case, you won’t be able to borrow money from Varo, even if your account is 30 or 300 days old.

  • 3. Varo account must be active

One must also have to keep their account active. Well, to keep the account active, you have to make sure that your account is loaded with at least $1,000 in direct deposits in the last 30 days. The amount can be present in any of the Bank Account, Savings Account, or in both. The total direct amount deposit must be worth at least $1000.

  • 4. No pending borrowed amount from Varo Advance

Last but not least, you will have to make sure that you do not have any amount left to be paid back to Varo. Before asking for more money, you will have to return the money you already borrowed.

After making sure you are eligible for the Varo Advance, you can proceed with the next step.

Step 2 – Open Varo app

We assume that you are proceeding with these steps only after making sure that you are eligible to borrow money with the Varo app.

And if you are eligible and have made up your mind to borrow money from the Varo Advance feature, you will have to open the Varo app.

Also, make sure to update your Varo app before proceeding with the steps to avoid any kind of app problems. Regular patch updates keep the app bugs-free.

On y0u iOS or Android device, go to the respective app store and search for the app. And finally, hit the update button.

Step 3 – Select the ‘Get an Advance’ option

On opening the Varo app, you will find yourself on the app’s home page. And in case you are on another page, you can head to the home page by selecting the ‘Home’ button at the bottom section of the screen.

And on the home page, you will see the ‘Get an Advance’ option below the profile section of your Varo account. Select the ‘Get an Advance’ option to get started with the procedure.

Step 4 – Select the amount to borrow

On selecting the ‘Get an Advance’ option, you will have to select the amount you want to borrow. Well, you don’t have many options here.

There are four options to select from the Varo Advance feature – $25, $50, $75, and $100. So, let’s say you need to borrow $80 from the Varo Advance feature. You will have to select the $100 option only.

You cannot borrow any customized amount from the Varo Advance feature. Well, this might be Varo’s take on keeping things simple and easy to manage.

Select the option that suits you to continue.

Step 5 – Set up Automatic Payment

And finally, before receiving the amount in your Varo account, you will be asked to select the automatic payment period. There are two options – 15 and 30 days.

You will have to return the amount in the committed time, or you will be penalized. Well, you do not have to pay anyone; just keep your amount in positive standing with the amount equal to or more than the borrowed amount.

If you receive direct deposits in your Varo account, you do not have to worry about it much. Varo will deduct the amount automatically without penalizing you.

Varo Advance Fee Structure

The Varo Advance feature is free to use, and you just have to be eligible to use the Varo Advance feature. But, you will be charged a small fee from $3 to $5, depending on the amount you borrow.

If you are borrowing just $20, you will not be charged any fee for that. But, for borrowing, you will be charged a few dollars.

Below, you can check out the Varo Advance fee structure at the time of publishing this post, that is, December 2021.

Advance Amount


$20 No Fee
$50 $3
$75 $4
$100 $5

How to turn on no-fee overdraft Varo

Well, there is actually no particular way you can turn on no-fee overdraft Varo. You just need to be eligible to use the free Varo overdraft service called – Varo Advance.

And as we discussed in the first part of this post, to be eligible to use the Varo advance feature, you must have an account 30 days older or more, and the account must be in positive standing with no pending borrowed amount from Varo Advance.


1. How to turn on Varo overdraft?

To turn on Varo overdraft, you will have to satisfy eligibility criteria. And according to Varo Advance eligibility criteria, one needs to be active on the platform with at least one direct deposit in the last 30 days. In the last 30 days, the total direct deposits must be worth $1000 or more. Another criterion asks for an account no pending borrowed Varo Advance money.

Final Words

Allows us to wrap this post here now.

We first talked about the Varo Advance feature, and then we provided a quick guide on how to borrow money from Varo.

We have also mentioned all the eligibility criteria for the Varo Advance feature.

Hope you got what you were looking for, but if you need any kind of assistance, do let us know in the comments section below.

Further Reading:

How to get money out of Varo without card

[Fixed] Varo closed my account with money in it: Reasons

Does Varo bank have Zelle? How to add Varo card in Zelle?

Does Earnin work with Varo (2021)