Monzo is one of the most innovative and revolutionary ways of banking to be introduced to the current market. So much so, that these types of banks have now earned the title of challenger banks. They have gained this title because they’re challenging the way the public think of banks by changing the way that we should bank.
They’re a completely online bank without high street stores meaning they can accept and maintain high amounts of customers at a fraction of the cost compared to traditional banking. This revolutionary way of banking was created to put the customer first. Their initial idea was to have the card used as a prepaid card, with the account being linked directly to the internet. This allowed for easy use of the app, allowing people to receive immediate updates when spending on their card as well as how they are spending their money.
Why did they change their ways?
With high popularity of the new banking system, Monzo has had to keep up with demand, evolving as they become even more popular. One of the greatest features is one of their simplest. Saving Pots allow users to create simple savings accounts in your main account. This enables you to keep track of multiple savings pots without having to hassle through different accounts and banking systems.
These simple pots have become a favourite for customers as it enables easy savings for things they desire. For example, people can make a pot specifically to save for a deposit on a house whilst having another pot for their dream holiday. Having these free and flexible savings pots allows customers to feel more in control of their savings with the ability to quickly access and deposit money without any hassle.
It’s these pots that have changed the idea of Monzo, as originally these cards were used to purely track people’s spending as a prepaid card. They’re now looking to help people save their money and aim to become the public’s main source for current and debit accounts. Over August and September, there have been several changes to both the Monzo app and some of the services they provide.
The evolution of Monzo
Monzo stated that with the evolution of how the card is used, the app has had to have a makeover to keep up. As they’re looking to centralise your finances around Monzo they’ve helped make your finances become more visible as well as the ability to find and make the most of their new and upcoming features.
This was introduced in August 2019 as their first move to evolve. These features included the ability to transfer from your old bank to your Monzo account, including all direct debits, bills and money in the old accounts. It also helps highlight other features that you would find in traditional banks such as the ability to open joint accounts with others as well as taking out a loan with the bank.
Helping you to manage your wage
Monzo has also developed features in order to tempt you to use their accounts for your salary or student finances. In fact, with any regular payments that are put into your Monzo account, they offer you the ability to be paid a day early. This means that with your monthly salary payments you can have access to your paycheck a day before being paid. This is because Monzo are confident that the money from your regular payments will be made so give you access earlier.
Finally, they have also found a way to make handling your salary even easier. With the saving pots in mind, they’ve developed the salary sorter. This gives users the ability to divide up the salary they receive into pots automatically without having to go into the app each month. So, if you set up a pot for bills and then your multiple savings pot each month, your money will be set to the amounts you have chosen. This then allows your bill to be automatically paid without you having to worry and adjust your accounts. It means you can then see how much you have remaining for spending money.
Change is coming with Monzo
Altogether Monzo is changing the way they’re operating as well as changing the way people are viewing banking. These accounts are a great way to help learn and understand how to handle money without the risk of overspending and going into debt. If you require further information on Monzo or need to get into contact with them head over to our Monzo customer services page and give them a call, their helpline is open 24/7.