Monzo's Double Payday feature gives smaller prizes to lower salaried customers

Oasis1

I did a double take at Monzo's new 'Double Payday' feature, where they select 10 winners a month to get their salary doubled. Terms here: https://monzo.com/legal/files/double-payday/terms-and-conditions-v-1.pdf

It's unfair and unprogressive, if not completely tone deaf in the current cost of living crisis, for a bank to say they're going to give away up to £100,000 every month but if you're a winner on a low salary you'll get less (e.g. people earning £1,000pcm will get £1,000), whilst those on a higher salary get more (e.g. people earning £10,000pcm will get £10,000).

Does anyone else find this a bit grim and not very thought through? As a customer, I'd much prefer them to divide the prize pot equally by topping up 10 people's salary by £10,000 each month. And I say this as a higher tax rate payer - prizes could make a huge difference to people who are really struggling at the moment. It's a drop in the ocean, but if you're going to just randomly give money away, atleast do it in a way where it can really benefit people.

I have raised it with Monzo via their app chat function and would suggest others who feel similarly do the same.

Section62

Oasis1 said:

Does anyone else find this a bit grim and not very thought through?

Not just people on lower incomes having lower prizes, it also seems to exclude people with no 'eligible salary'.  So I'd hope someone has given the legal aspects a lot of thought.

Also, only one 'eligible salary' will be considered - so presumably if you have more than one job then only the largest monthly salary payment will be eligible.  IIRC people having multiple jobs are disproportionately likely to be at the lower end of the income scale, so hopefully this rule has also been thought through very carefully.

flaneurs_lobster

Section62 said:

Oasis1 said:

Does anyone else find this a bit grim and not very thought through?

Not just people on lower incomes having lower prizes, it also seems to exclude people with no 'eligible salary'.  So I'd hope someone has given the legal aspects a lot of thought.

Also, only one 'eligible salary' will be considered - so presumably if you have more than one job then only the largest monthly salary payment will be eligible.  IIRC people having multiple jobs are disproportionately likely to be at the lower end of the income scale, so hopefully this rule has also been thought through very carefully.

Can't imagine that this discrimination can possibly fall foul of any laws, it's just trying to give more money to people who already have more money. Have to agree, poor taste IMO.

Compare with the recent TSB promotion where a deposit of £5k (albeit fleeting) into an account was needed for an entry. No-one (at least here) raised discrimination as an objection to that,

It's no different to a competition/draw, available to Platinum Card holders only, being discriminatory, because poorer people don't qualify for posh cards.

There's a reasonably active Monzo community forum that has a thread on this (which I think is open to non-members?) https://community.monzo.com/t/say-hey-to-double-payday/186732 Is that the same as their app chat?

Most posts on the rather fanboyish site seem in favour of the comp, few comments critical as above, few more decrying any promotion of gambling.

Eyeful

If you do not like it, move to a different bank you will be happy with. 

danny13579

Haven't heard of this one before but agree it's in poor taste. Also, many people don't get a salary these days, for example self-employed people and freelancers.

I wouldn't bother complaining to Monzo, if you're unhappy with them take your custom elsewhere.

Rob5342

I don't see any problem personally, people with higher incomes will be more beneficial to Monzo as they'll hold higher balances and bring in more debit card fees etc. They are a business trying to attract customers not a charity supporting people with living costs. I can't see that it's any different to interest on savings where people with higher balances get more interest. 

born_again

Oasis1 said:

I did a double take at Monzo's new 'Double Payday' feature, where they select 10 winners a month to get their salary doubled. Terms here: https://monzo.com/legal/files/double-payday/terms-and-conditions-v-1.pdf

It's unfair and unprogressive, if not completely tone deaf in the current cost of living crisis, for a bank to say they're going to give away up to £100,000 every month but if you're a winner on a low salary you'll get less (e.g. people earning £1,000pcm will get £1,000), whilst those on a higher salary get more (e.g. people earning £10,000pcm will get £10,000).

Does anyone else find this a bit grim and not very thought through? As a customer, I'd much prefer them to divide the prize pot equally by topping up 10 people's salary by £10,000 each month. And I say this as a higher tax rate payer - prizes could make a huge difference to people who are really struggling at the moment. It's a drop in the ocean, but if you're going to just randomly give money away, atleast do it in a way where it can really benefit people.

I have raised it with Monzo via their app chat function and would suggest others who feel similarly do the same.

Look at it like this. They do not have to do it.

If people are struggling, then a double payday will be a massive winner for them.

flaneurs_lobster

Rob5342 said:

I don't see any problem personally, people with higher incomes will be more beneficial to Monzo as they'll hold higher balances and bring in more debit card fees etc. They are a business trying to attract customers not a charity supporting people with living costs. I can't see that it's any different to interest on savings where people with higher balances get more interest. 

Don't think too many people will worry about a bank giving away money - it's the nature of the prize structure that is giving disquiet. 

A random prize draw across all customers who are paid by BACS, fair enough, That prize to be the doubling of that payment (which for most people will be their salary/wages) - rather divisive and inequitable I'd say. 

Section62

flaneurs_lobster said:

Section62 said:

Oasis1 said:

Does anyone else find this a bit grim and not very thought through?

Not just people on lower incomes having lower prizes, it also seems to exclude people with no 'eligible salary'.  So I'd hope someone has given the legal aspects a lot of thought.

Also, only one 'eligible salary' will be considered - so presumably if you have more than one job then only the largest monthly salary payment will be eligible.  IIRC people having multiple jobs are disproportionately likely to be at the lower end of the income scale, so hopefully this rule has also been thought through very carefully.

Can't imagine that this discrimination can possibly fall foul of any laws, it's just trying to give more money to people who already have more money. Have to agree, poor taste IMO.

Compare with the recent TSB promotion where a deposit of £5k (albeit fleeting) into an account was needed for an entry. No-one (at least here) raised discrimination as an objection to that,

...

IIRC the TSB example didn't require the £5k to be an 'eligible salary' payment, so didn't restrict the offer to salaried employees.

The "Platinum Card holders only" case isn't an issue if all holders of that product are eligible, or at least if there is no direct or indirect discrimination in the way a sub-set of the product holders is selected.

I think there is a valid question whether using 'eligible salary' as the criteria brings protected characteristics into the equation.

flaneurs_lobster

Section62 said:

I think there is a valid question whether using 'eligible salary' as the criteria brings protected characteristics into the equation.

Given that the "protected characteristics" are defined in law, which particular subset of Monzo's customers are being discriminated against illegally?

The questions are being asked about the nature of the prize distribution, not the selection of eligible entrants.

gt94sss2

Section62 said:

Oasis1 said:

Does anyone else find this a bit grim and not very thought through?

Also, only one 'eligible salary' will be considered - so presumably if you have more than one job then only the largest monthly salary payment will be eligible.  

Not the largest payment but the first.

According to their T&C:

If you receive multiple salaries into one account in one month, you’ll still only be entered into the prize draw once. If selected, your first eligible payment of the following month will be doubled.