Monzo Review

Company background

Monzo is a licensed bank, founded in 2015, headquartered in the United Kingdom, operating under Monzo Bank Ltd. Monzo turned budgeting into the headline feature of a current account. For UK users who want to see and shape their spending, nothing else comes close on usability. We rate it best for budgeting. It is a phone-first current account, bundling in-app savings, budgeting tools, joint accounts and an overdraft into one app.

Fees and pricing

On day-to-day costs, Monzo charges no monthly account fee, and applies a 0% markup on foreign-currency spending.

• Monthly fee: no monthly account fee.
• FX markup: 0% on spending outside your currency.
• ATM withdrawals: free up to 250 GBP a month, then 3%.
• Savings: up to 3.5% AER on in-app balances.

For everyday domestic use the running cost is effectively nil, so the figure that matters most is how often you spend or withdraw in another currency.

Regulation and safety

Monzo operates as a licensed bank, regulated by FCA and PRA. Eligible deposits are protected up to 85,000 GBP under FSCS up to 85,000 GBP. That guarantee is backed by a national compensation scheme, so your covered balance is returned even if the provider fails.

Platform experience

Monzo is available across iOS, Android and Web. The mobile apps score 4.9/5 on the App Store and 4.6/5 on Google Play. Payments run on a Mastercard physical and virtual card, and it works with Apple Pay and Google Pay.

Pros and cons

On the plus side, fSCS-protected UK bank with award-winning budgeting tools, spending categories, Pots and salary sorting built in and no card fee abroad at the Mastercard exchange rate. The main trade-offs are gBP-only, with a monthly free ATM cap abroad and savings rates run through partner banks, not Monzo itself. On balance it is a comfortable pick best for budgeting, provided its limitations line up with how you actually bank.