Why do people love banks like Monzo and Starling, and should you open an account with one?
Monzo, Starling, Revolut and others are part of a new raft of digital banks you can only open and manage from your smartphone. They’re becoming increasingly popular, often with a cult-like following from largely millennial customers – something you never see with traditional banks. Probably the most loved is Monzo, which is leading the bunch with more than 2.6 million customers and growing fast.
Many people open one of these accounts for the incentive of fee-free spending overseas, but other people swear by the features that help you budget and keep track of your spending.
But these banks still face challenges. Monzo asked 20% of its users to change their pins a few weeks ago, while some have faced payment problems and others gone out of business. And not all these new “banks” are actually banks!
With lots to talk about, your host Andy Webb has been joined by Moneywise deputy editor Edmund Greaves to talk through how they are different from the traditional banks, and whether your money is safe.
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FURTHER READING:
Read more about the banks and apps discussed in this week’s episode:
Andy’s review of Monzo (Be Clever With Your Cash)
Monzo launches short term loans (The Guardian)
Spying, defections and regrets: Inside the bitter feud between Starling Bank and Monzo (The Telegraph)
Switching bonuses, cashback and interest offers from high street banks (Be Clever With Your Cash)
ABOUT CASH CHATS
Cash Chats a twice-weekly podcast presented by money blogger and broadcaster Andy Webb.
At the start of the week, Andy you gives the low-down the best ways for you to make the most from your money. He’s often joined for these episodes by a member or friend the UK Money Blogger community for friendly and accessible conversations, covering topics as diverse as money saving and investments.
Then on Thursday, you can listen to a bonus “deals of the week” episode – a quick rundown of the hottest offers from the last seven days.
Andy also runs the award-winning website Be Clever With Your Cash, presents Channel 5’s Shop Smart Save Money and founded the community ukmoneybloggers.com.
To contact Andy email [email protected]
SOCIAL LINKS
Andy’s handle is @AndyCleverCash and you can follow him over at:
Ed is @edgreave on Twitter