Is Monzo safe?

gsmh

Mart7379 said:

thanks for your input

And thank you for being so gracious.

[Deleted User]

born_again said:

Mart7379 said:

It seems my original post has been hijacked into something I have no interest in reading. My post simply asked whether my money was safe with a particular bank. 

Unless you have something to add to the original question please go and start another thread. 

There as safe as any other bank.

That is until some scare stories start doing the rounds & you get another Northern Rock.....

Thankfully with Monzo, there will be no queueing around the block to get your cash out. 🤦‍♀️

Just get suspicious when you're 5000 in a digital bank's virtual queue 

As a side note, It's questionable if the hassle of a Virgin Money application is worth £20.

pokora

My advice would be: 

DON’T PUT ALL YOUR EGGS IN ONE BASKET.

I have account with Monzo and other banks. If you dont trust them, better of in another bank. There are more alternatives if your main use is abroad.

robatwork

gsmh said:

colsten said:

Why not earn 2% on your 'in case' money?

While the rate is so low I use a virtual pot in my budgeting app to keep my 'in case' money separate from my spending. 2% on £1K is not worth it when I would have to sell my soul and bank with a company proud of its association with the bearded spaceman. I will happily forgo £20 to keep my soul and retain my dignity.

And now I'm singing "I'm the bearded spaceman baby...now here's the twist". So take a Like.

For those not quite as old or haggard....https://www.youtube.com/watch?v=xVr2hbE6aW0

sczoo30

Mart7379 said:

Not a day goes by recently when there isn’t a story about investigations into Monzo procedures, with the latest story being an investigation into money laundering. 

I started banking with them at the end of April, and been happy with the account and had no issues. But the amount of negative stories is making me wonder if the bank is safe to have my Salary paid into. 

Are they safe, or is there a risk of them being closed down? 

I’ve thought this too, and do exactly the same as you I have my salary paid in and have a few direct debits coming out. I’ve been with Monzo since 2017 but still won’t use them as my main account. 

Like others have said they are protected like all the big banks, so think it’s down to personal choice really 

maxsteam

It's fine to say they are covered by FSCS but it would be a huge inconvenience to have to use the scheme. I don't know Monzo's credit rating. I can't see them on this list...

https://www.advratings.com/uk/credit-ratings

I agree that, if you are uncomfortable, you should switch.

Emmia

robatwork said:

gsmh said:

colsten said:

Why not earn 2% on your 'in case' money?

While the rate is so low I use a virtual pot in my budgeting app to keep my 'in case' money separate from my spending. 2% on £1K is not worth it when I would have to sell my soul and bank with a company proud of its association with the bearded spaceman. I will happily forgo £20 to keep my soul and retain my dignity.

And now I'm singing "I'm the bearded spaceman baby...now here's the twist". So take a Like.

For those not quite as old or haggard....https://www.youtube.com/watch?v=xVr2hbE6aW0

I've not heard that one for a while! 

wmb194

maxsteam said:

It's fine to say they are covered by FSCS but it would be a huge inconvenience to have to use the scheme. I don't know Monzo's credit rating. I can't see them on this list...

https://www.advratings.com/uk/credit-ratings

I agree that, if you are uncomfortable, you should switch.

Virtually every building society is missing from that list... FSCS payout is supposed to be automatic and, these days, quick.

[Deleted User]

maxsteam said:

It's fine to say they are covered by FSCS but it would be a huge inconvenience to have to use the scheme. I don't know Monzo's credit rating. I can't see them on this list...

https://www.advratings.com/uk/credit-ratings

I agree that, if you are uncomfortable, you should switch.

Everyone should have at least two separate current accounts anyway - for peace of mind 

They'll almost certainly be transferred across seamlessly to another FS institution if there was an issue.
Keep the credit balance under 85k and you will be protected funds wise too.

Lightning360

I think a lot of the hype around challenger banks isn't worth it anymore. For a while, they did genuinely have unique features but most banks have caught up now. Even some of the "features" Monzo brag about are possible with high-street banks, they just never decided to brag about it and never gave it a fancy name. Now, I think it is the challenger banks lacking in features. They have way too many limits for ATM use and I dislike how Monzo has essentially pretended as if cheques don't exist (I know you can mail them to them, but that isn't ideal.

All of this, along with the sense that my money isn't safe with them, has meant I have closed all my accounts with challenger banks.