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Case Study: Varo transforms direct deposit conversion with Pinwheel PreMatch

Varo Bank Case StudySourced & dated by Case Study Desk
Key facts · TL;DR
Company
Varo Bank
Industry
Digital bank
Challenge
Even with strong conversion, Varo wanted to further reduce friction in the deposit-switch flow.
Headline result
Varo Bank reported a 23% lift in direct deposit conversion after piloting Pinwheel PreMatch to remove login and provider-search friction.

Key results

23%
Lift in direct deposit conversion
PreMatch pilot, April 2025

The challenge

Varo Bank, the first nationally chartered consumer tech bank in the U.S., had partnered with Pinwheel since 2021 to enable direct deposit switching via the NativeLink Deposit Switch flow, where users search for their payroll provider and log in without leaving the app. While conversion rates were strong, Varo continued to seek ways to further reduce friction and deliver a best-in-class digital banking experience.

The solution

In April 2025, Varo piloted Pinwheel's PreMatch Deposit Switch experience, which uses information already provided during account opening to proactively identify a user's payroll account. PreMatch lets users bypass the provider-search and login steps, eliminating two major drop-off points in the traditional flow.

The results, in context

Varo reported a 23% lift in direct deposit conversion by eliminating login and provider-search friction. The company noted the result grew its deposit base and reinforced its position as a customer-centric, inclusive bank.

Products used

Pinwheel Pinwheel Deposit SwitchPinwheel Pinwheel PreMatch