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Neobanks

Varo provides digital banking services via a web portal and mobile app. The company enables customers to sign up and create accounts directly via its platform, claiming that accounts can be created within five minutes. In August 2020, the company received its banking license, becoming the first neobank in the US to obtain its own license.The company provides checking accounts with a debit card, and charges no monthly/transfer/foreign exchange/ATM fees, and also does not impose minimum balance requirements. The account also enables customers to make instant money transfers as well as make free instant payments to anyone with a debit card through ‘<a href="https://sp-edge.com/updates/22122">Varo for Anyone</a>.’ In addition, account holders can connect their accounts with payment services such as Apple Pay, Google Pay, and PayPal. Moreover, Varo also provides savings accounts, which offer annual percentage yields (APY) of up to 5%, claiming to be higher than the industry average.In October 2020, the company entered the credit space, by launching ‘Varo Advance’, which provides instant cash advances of up to USD 500 to eligible customers. Advances of up to USD 20 are offered with no extra fees, while the maximum charge for a USD 500 advance stands at USD 40. Customers are required to make repayments within a 30-day period. Furthermore, In February 2021, the company introduced another credit product; ‘Varo Believe’, which provides a credit card, and credit monitoring facilities and aims to help individuals develop and improve their credit scores. Under this package, credit cards are linked to a Varo bank account, and money spent via credit card is reserved into a vault from the linked bank account in real-time, to ensure that payments are made in full, and on time. Varo directly sends payment history to credit bureaus and customers are able to monitor their credit scores via the Varo app. The neobank also offers "<a href="https://sp-edge.com/updates/27967">Varo Line of Credit</a>," which allows customers to borrow against their credit history and access credit of up to USD 2,000.&nbsp;In 2022, Varo generated total interest income of USD 7.9 million, and generated a net loss of USD 236.5 million.&nbsp; Key customers and partnershipsAs of March 2023, Varo Bank served over 7 million customers.The company partnered with Zelle, a peer-to-peer payment platform in November 2022, to make the latter’s services available through its mobile banking app. Customers can use this service to send and receive money among friends, family, and small businesses. It also <a href="https://sp-edge.com/updates/25655">partnered with Column Tax</a> in January 2024, to offer free in-app tax services. In August 2024, Varo <a href="https://sp-edge.com/updates/32431">signed a five-year deal with Marqeta</a> to use its card-issuing technology, as well as benefit from enhanced transaction management, and digital wallet tokenization with Apple and Google Wallets.

Octane’s mission is to connect people with their passions by making lifestyle purchases, like powersports vehicles, RVs, and outdoor power equipment, fast, easy, and accessible. Octane combines cutting-edge technology with innovative risk strategies to deliver a seamless, end-to-end buying experience. The company adds value throughout the customer journey: inspiring enthusiasts with its editorial brands, including Cycle World® and UTV Driver®, instantly prequalifying consumers for financing online with its suite of e-commerce tools, routing customers to partner dealerships for an easy closing experience, and supporting customers throughout their loan with superior loan servicing.   Octane is a remote-first workplace with offices in New York, Irving, TX, Irvine, CA, and Knoxville, TN, and the company works with over 35 OEM and 4000 dealer partners across the United States. Octane made the 2022 Inc 5000 list of America’s Fastest Growing Private Companies in America and is Certified by Great Place to Work.

Varo Money is driven by a mission to redefine banking so it’s easy for everyone to make smart choices with their money. In one mobile app, Varo offers customers no-cost premium bank accounts and high-interest savings accounts offered through The Bancorp Bank, and tech-first features to help people manage their money more easily. The company was founded in 2015 and is headquartered in San Francisco, California.

Progressive Commercial businesses just like yours choose Progressive insurance because they understand your commercial auto insurance needs, making us one of the largest providers of commercial auto insurance in the United States. And, as a Fortune 200 company, they have the financial stability to back you!

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