Varo
“Can the first nationally-chartered consumer fintech bank build a profitable, full-stack financial wellness platform for underserved Americans using behavioral underwriting instead of credit scores?”
Founded in 2015 as a mobile banking challenger targeting Americans underserved by incumbents, Varo initially operated as a fintech using partner banks before pursuing an unprecedented path: obtaining its own de novo national bank charter (OCC) in 2020, becoming the first consumer fintech in US history to do so. This gave Varo full control over its banking stack, eliminating reliance on sponsor banks like Bancorp. Post-charter, Varo has focused on expanding its lending products (cash advances, line of credit, credit-builder card) using proprietary underwriting based on banking behavior rather than credit scores, positioning itself as a full-stack financial wellness platform for the underbanked.