Mobile bank Varo Money has raked in $241m in a Series D funding round to drive financial inclusion for Americans.

The funding round was co-led by new investor Gallatin Point Capital and existing backer The Rise Fund.

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They were joined by other investors including HarbourVest Partners and Progressive Insurance.

The latest funding round brings the total amount raised by the company to date to $419.4m. The bank is in its final stages to receive its national bank charter.

Varo will use the fresh capital to boost its growth and innovate across a suite of products to deliver financial flexibility to Americans.

Varo founder and CEO Colin Walsh said: “As the first fully digital national bank, Varo will bring our mission of financial inclusion to life and create more financially resilient – and thus healthier and stronger – communities.

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“This new investment will enable us to complete the chartering process and leverage our modern banking technology to build on our track record of innovation and inclusion.”

Varo awaits the final approvals from OCC, the FDIC and the Federal Reserve for a national bank charter.

Launched in 2017, Varo offers premium banking products through The Bancorp Bank. It provides zero-balance fee-free savings accounts to Americans.

Varo offers qualified customers fee-free overdrafts up to $50. It also provides free ATM withdrawals at more than 55,000 Allpoint ATMs worldwide.

The mobile bank expects to become a national bank in mid-2020, after which, it will expand its services to offer credit cards, loans, and additional savings products.