Varo Money, a San Francisco, California-based mobile-only banking startup, raised $27m in funding.
The round is led by Warburg Pincus. In conjunction with the funding, David Coulter, a special limited partner of Warburg Pincus, will join Varo’s board of directors.
Led by CEO Colin Walsh, a financial services executive with experience in fintech, Assaf Guery, Chief Design Officer; Roger Van Duinen, Chief Data Officer; and Mykola Klymenko, Chief Technology Officer, Varo will provide customers with tools to develop positive spending, borrowing and savings habits and to achieve better financial outcomes. It will offer debit card, deposit and lending products via a mobile app and will be built around a 24/7 digital financial coach that will give proactive insights, analysis of spending and real-time budgeting.
Varo will also provide access to and integration with finance apps through an in-app marketplace.
The products will be provided via a sponsor bank.