There are many similarities, and each has its pros and cons. Monese and Monzo are two digital banking services that offer well-featured mobile apps, current accounts, debit cards and a range of other financial products designed for people on the go. It partnered with other UK banks, including OakNorth and Charter Savings Bank, to offer numerous (and better) rates. Both have spending categories, where your transactions are automatically placed into pre-set categories like groceries or eating out. Monzo has a range of options. More information can be found, Send an international money transfer via Wise, fee information can be found, 1 per deposit (limited free cash deposits for Monzo Plus and Premium accounts), 2 free replacements then 5 thereafter in the UK, Earn cashback if you integrate with apps such as Tail located within the Starling Bank Marketplace, Access to rewards and offers with a Monzo Plus or Premium account, Access to home and life insurance providers via the Starling Bank marketplace*, Access to insurance benefits with Premium plans, Between 2.00% - 3.90% with savings providers partnered with Monzo. Monzo vs Revolut vs Starling: Head-To-Head Comparison (2020) - Your Money Monese and Monzo are both excellent financial companies headquartered in London and fully-regulated by the UKs Financial Conduct Authority (FCA). Starling also allows you to pay directly from Spaces using a virtual card. View more in-depth data on: Competitors; Products; Customer References and more; . Bank transfer, salary pay in, standing order. If you are not a resident of the UK or US, then Monese will be your default option here due to Monzos unavailability outside of those countries. Compares spending between merchants. Atom Bank Prepare for a mortgage 06. Learn more about setting up direct debits to earn current account rewards. While Monzos withdrawal limits are technically more flexible, albeit at a cost, they also have a point. Both Starling and Monzo users appreciate the slick interface, innovative features, and easy account-opening processes. Which brand covers more locations? Withdrawals are free but are only available up to a daily limit of 400 and a monthly limit of 5,500. Monese is still required by law to keep your money safe and segregated from its own account, like Monzo. Monese or Monzo which is better for you? These two companies both have a tonne of features that come with their apps. With Monzo, you must get a paid account for integrations and multi-user access. And if you're still a fan of ye olde cheques, you can scan them digitally through the app with ease. Both digital banks offer FSCS protection and features that come with a UK-registered bank account such as direct debits and the ability to apply for an overdraft. Spending on your Starling or Monzo card is free in the UK, and both cards currently have the standard contactless limit of 100. If youre looking for updates, advice or just straightforward opinions and what you should be looking for from UK banks, look no further. Finder.com Comparison UK Limited (company number: 10482489) is If done correctly, you'll end up with 667.95 by the end of the year. You can freeze or unfreeze you card in the apps, as well as contact both customer service teams through the in-app chats. The best mobile bank: Monzo vs Starling vs Revolut vs Monese Monzo will charge the same amount of interest as your arranged overdraft. 1 February 2022. Its favourable fee schedule for both domestic and international finances will streamline your day-to-day spending and holidaymaking. Should you add a Hot Coral Monzo card to your wallet? Michelle Stevens is a deputy editor at Finder, specialising in banking, finance and mortgages. Managing the saver account through Spaces is possible, and you cant touch it for a year. For each bank, you will need one of the following documents: UK photo card driving licence (full or provisional). *The insurance is not included with Starling Bank and would need to be purchased separately. The Best Crypto Apps for UK Investors 2023, Via Moneybox, Wealthify, and Wealthsimple. In this section we have put together a range of financial guides. On the flip side, Starling has better incentives for travellers. They pass the MasterCard exchange rate directly, nearly matching the actual mid-market exchange rate. The apps alert you when payments go in and out of your account, and remind you if youre close to overspending. The main difference is that Moneses card is technically a multi-currency card, while Monzos is not. N26 and Monzo offer fee-free ATM withdrawals for UK customers taking out pounds, so if you often find yourself at the ATM, these could be for you. A writer and editor at Monito, Jarrod is passionate about helping people apply todays powerful finance technologies to their lives. You have a global reach of 50 countries, compared to Starlings 17. As such, it makes it difficult to declare one better than the other. Both Monese and Monzo are fully regulated and well-trusted international mobile banks, with millions of customers in different countries. If you dont feel like youre getting much from your bank account, switching has never been easier! Starling and Monzo both offer free current accounts (which is presumably why youre reading this comparison). offer credit facilities from a panel of lenders. We'll assume you're ok with this, but you can opt-out if you wish. Is Monzo better than Starling? Once your account is approved, you can link your card to Apple Pay and Google Pay before the physical card arrives. - Latest predictions, How much does 100,000 life insurance cost? Please appreciate that there may be other options available to you than the products, providers or services covered by our service. 01. As with all banks, there may be a fee charged by the ATM provider. Starling Bank does not currently offer any personal loans but business account holders can apply for a business overdraft or loan. You can apply for either a Starling or Monzo account through their respective mobile apps in a matter of minutes. Monzo offers savings accounts, at up to 1.20% interest and also provides an overdraft at 50 pence per day in the U.K. Monzo is a member of the Current Account Switching Service which makes it easy to move your existing account to them. One of the biggest attractions to challenger banks is their incredibly easy signing-up process and both our contestants rank well. finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. Monese Vs. Monzo - Head to Head Comparison | Top10MobileBanks 3% thereafter, 0% between GBP, EUR, and RON, They both offer savings pots and even let you earn interest on your savings. While most accounts overlap, Starling is the bank to turn to for self-employed accounts and small businesses. Both banks offer various ways to split bills with friends and family, but Starling takes it a step further. Both banks adhere to the same regulatory framework set by the FCA and PRA. As we will discover further, however, Monese tends to charge more than Monzo for the same services. Banking > Starling vs Monzo which is the better app-only bank? He specialises in personal finance and is passionate about helping consumers make informed decisions about their money. They may also require your proof of address. They can save you a significant amount when compared to traditional banks. Our comparison of Starling vs Monzo found that Starling is the better of the two albeit with a slight edge. Monzo only pays interest on Premium and Pro accounts for balances up to 2,000, ranging from 1% to 1.5% AER, while Starling pays 0.5% AER on balances up to 85,000. Well-designed and smooth interface with many interesting features, including finance updates and 'Savings Pots'. Plus both offer round-ups where spare change from your transactions can be rounded up and put into your savings bucket. 8 min Read Published: 10 Jan 2023 App-only banks are becoming increasingly popular with consumers and have shaken up the banking world with their brightly coloured debit cards and handy budgeting features. Subscribers can get 10 bonus cashback at TopCashback. When it comes to spending within the UK, both Monzo and Starling have got your back and your wallet. If you lose your phone or card, both providers let you block and unblock your card and get back into the app by installing it on a new device. But Starling also offers a kids card called Starling Kite (managed through the parents Starling account). Starling Bank vs Revolut: Best Fees, Card, and Exchange Rate? Users can choose to spread the cost of a payment over 3, 6 and 12 months. Then, you should put in the equivalent amount of pennies on the day of the year. Cryptocurrencies can fluctuate widely in prices and are, therefore, not appropriate for all investors. All these features are a great help for you to be on top of your spending and know how much is in your account. This is subject to our. Requirements are in line with standard KYC procedure and keep their application processes short and sweet as opposed to high-street banks. Officially, Monzo actually reported a loss of 116.3m for the year up to March 2023, a fall of just 2 per cent, for the twelve months up to March 2022. Its incredibly close, as both Starling and Monzo are great options if you want to open an account with a digital challenger bank. Any trading history presented is less than 5 years old unless otherwise stated and may not suffice as a basis for investment decisions. our partners for featured placement of their products or services. App-only banks are becoming increasingly popular with consumers and have shaken up the banking world with their brightly coloured debit cards and handy budgeting features. Copyright 2023 CompareBanks. Both Monzo and Starling offer overdrafts on personal bank accounts but neither offer overdrafts on joint accounts. Neither Monzo nor Starling charges for spending abroad and they both use the Mastercard exchange rate with no additional mark-up fees often charged by high street banks. Save my name, email, and website in this browser for the next time I comment. When trading in stocks your capital is at risk. NUMBERS You can choose to save your money in an easy-access or fixed savings account and earn up to 3.90% interest depending on the account that you choose. Yet, life happened, and developers decided it wasnt a viable roadmap. Below, you can find out how Starling vs Monzo looks: As you can see, it's quite a close matchup, with both banks providing a strong offering. Monzo also allows you to set budget limits, you can allocate limits per category and be notified when you get close to your limit. Share. We live in a time when were spoilt for choice when it comes to digital banks. monese.com. Thank you for getting in touch with Finder. By Michelle Stevens Edited by Kate Anderson Updated Apr 24, 2023 Fact checked Can new kid on the block Chase rival the poster child of digital banking Monzo? How to clear credit card debt with a 0% balance transfer. There is and weve set it out below. While both banks offer a solid set of features that you might expect from an online bank, Starling's offerings go above and beyond the competition. Our goal is to create the best possible product, and your thoughts, ideas and suggestions play a major role in helping us identify opportunities to improve. Starling offers unlimited free ATM withdrawals in the UK, while with Monzo you can withdraw up to 250 for free every 30 days in either the UK or EEA (its a combined limit), then theres a 3% charge. We may also receive compensation if you click on certain links posted on our site. Zero everyday costs such as monthly fees, transfer fees, and local ATM withdrawal fees. Free up to 250/month inside EEA (3% thereafter). Yet, Monzos rates are hardly competitive: the representative rate for a 10,000 loan paid over three years is 26%, for example. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Since 2010 I've been helping people with their personal finances for FREE. Monzos negative reviews mostly revolve around the incompetency of customer service. There are no credit checks, although a photo of your ID and a short selfie video is required. If you want to deposit cash or cheques you can do so with both Monzo and Starling. To illustrate the overdraft charges, lets look into the interest cost of borrowing 500 at different rates. Despite being rich in its innovations, Starling has room for improvement in terms of advanced banking features. Both of these companies are well-suited to travelling, with an array of features: One of the newest features for each bank is their savings options. This is important because it means that interest can be added to your account at regular intervals, which can significantly increase the overall amount of interest you earn or pay. When it comes to actual in-app features, the two are almost identical: One of the most attractive aspects of many challenger banks is the fee-free overseas transactions. While it perhaps matters less to many folks, the budgeting and saving features embedded in apps can encourage good saving and budgeting behaviour. What's the difference between Knab, Monese, Monzo Business, and Starling Bank? Online banks are subject to the same regulatory framework as high-street banks. Monzo's overdraft comes with a 50p charge . After that, it cost 50p per day overdrawn. Various options. US residents are not eligible to open an account with Monese. Account holders can apply for an overdraft up to the value of 2,000 with Monzo and up to 5,000 with Starling Bank. The accounts are then usually opened on the same day and both the cards are sent through the post for free, taking about the same time to arrive. Monzo vs Starling 2022 - 10 Categories Compared (Free Personal Accounts) 1. No free amount, with all cash withdrawals costing 1.5/1.5 /L5 per transaction. It is the newest kid on the block having only just arrived at the start of 2019 but differs considerably from Monzo. Both Monzo and Starling use the Mastercard exchange rate which means there is no difference in the exchange rate when you are spending abroad and you can find out the Mastercard exchange rate here. Both banks follow standard anti-fraud and protection methods like biometric log-ins, 2-factor authentication, and 3D security. Britain is not-so-slowly moving towards being a cashless society. Starling vs Monzo Security & Regulations, Starling vs Monzo Sending & Spending Money Abroad, The Best Bank Accounts for Travelling in 2023, Types of Bank Accounts & How to Choose One, How to Close a Bank Account & Switch Banks, The Best Bank Accounts for the Self-Employed in 2023. Starling Bank* has a Trustpilot rating of 4.3 out of 5 stars from over 33,000 reviews. Monese does not pay interest on savings, but does have an in-app integration that gives you access to an interest-bearing savings account. Monzo limits free foreign withdrawals to just 200 a month. Since 2010 I've been helping people with their personal finances for FREE. accurate but you should confirm any information with the product or Starling doesn't offer a limit-setting feature. Monzo vs Monese Monzo and Monese are two of the big names in the growing challenger bank market. You can pay your salary into either your Starling or Monzo account, set up direct debits and make international payments. Monzo vs. Starling Bank Prices may go down as well as up, prices can fluctuate widely, you may be exposed to currency exchange rate fluctuations and you may lose all of or more than the amount you invest. With the free Monzo current account you get its renowned coral-coloured card, while Starlings only (and also free) current account comes with a teal-coloured vertical card. You can apply for overdrafts with both Starling and Monzo the interest rate youre offered will depend on your personal circumstances and credit score, although Starlings overdraft interest rate scale starts at 15% EAR, compared to Monzos starting point of 19% EAR. Banks and building societies offer up cash and vouchers when you switch, and will handle the boring bits for you. The biggest difference between the two banks is that Starling Bank does not charge for ATM withdrawals when you are away. The fact that Monzo has an in-built ISA is a massive plus, as an easily accessible, tax-advantaged savings account is truly a game-changer. Paid accounts come with a host of additional perks like phone and travel insurance or higher interest on savings accounts. As a fixture among online banks, both offer virtual cards with which you can make payments online without having to disclose your actual card details. Meanwhile, the PRA is responsible for ensuring the safety and soundness of financial institutions, particularly banks and insurance companies. Monzo provides GBP balances only, while Starling allows you to open EUR personal account and a USD business account for 5/month. Monese has a much wider reach than Monzo does thanks to its licence as an e-money institution. Jun 12, 2023 Fact checked If you're looking for a business bank account that can be managed in-app, both Monzo and Starling Bank are worth considering. Monzo offers a more rounded banking experience with exposure to a range of savings and borrowing options, whereas Starling is the better choice for frugal users, and is more versatile in the features it offers. Sign up for our email updates on the best bank deals, money savings tips and more. She spent several years in publishing before becoming a full-time writer, and learning the inner workings of an industry she loved ignited her interest in economics. The Effective Annual Rate (EAR) is the rate of interest you'll pay or earn over a year, considering the impact of compounding. What insurance do I need to be self-employed? Plus, you can use both cards with Apple Pay and Google Pay, making payments a breeze. Both apps offer live chat support and both websites have help centres full of FAQs and resources. Both providers have financial services, including notifications, financial analysis and budgeting. The Financial Services Compensation Scheme (FSCS) also protects client funds for up to 85,000 per person in the event of banks going bankrupt. We believe this is a way of making the most of the ever-growing FinTech network. It also means that traditional banks have to up their game. I suggest that you go through the comparison table on this page and check some forums or reviews on these products to help you choose which to go with and which suits you most. Overall, there is little difference between these two digital bank accounts. Its instant account opening is also a big plus. Online Banks Like Monzo: The Best Monzo Alternatives in the UK Monese and Monzo are two challenger banks born in Britain, having been founded in London's financial district; but the similarities don't stop there. Starling Vs Monzo: Which is Better for You? (in 2023) Monese* was one of the first app-only accounts to launch in the UK. What Happens to My Pension If I Move Abroad? Risk Warning: Investing in digital currencies, stocks, shares and other securities, commodities, currencies and other derivative investment products (e.g. Find out about its features and benefits in our review. Discover which banks have welcome offers, rewards or refer a friend deals available. From our Monese vs Monzo bank review, the experts at Monito recommend Monzo to any and all UK residents and citizens who want to transition from high-street banking to a modern, digital bank. If done correctly, youll end up with 667.95 by the end of the year. But they are also sleeker, more multi-faceted, and resourceful.
