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Monzo to charge users for account aggregation features

Monzo to charge users for account aggregation features

Monzo is to charge account holders £5 a month to get hold of account aggregation features in its mobile app, a service which other banks serve up as part and parcel of their digital offerings.

Account aggregation isn't the only add-on to the redrafted Monzo Plus account, which the app-only challenger is banking on to bring in much-needed additional revenue after canning its first attempt in September last year owing to poor customer feedback.

That early iteration offered numerous services such as travel and home insurance, increased ATM allowances and airport lounge access for up to £13 per month, but was negatively received by customers and subsequently withdrawn only five months after its launch.

The new paid-for account is intended to give customers "full financial visibility", with other bank accounts and credit cards all in one place.

Monzo Plus users will also be able to see their credit score through the app, earn one percent interest on deposits, enjoy free FX withdrawals of up to £400 per month when traveling abroad, and get their hands on a new holographic physical card, and more secure virtual cards for when spending online.

Comments: (3)

A Finextra member
A Finextra member 16 July, 2020, 17:322 likes 2 likes

The account offers a package of benefits of which account aggregation is one. Once more a misleading and unbalanced headline from Finextra. Your "journalism" and balance needs to improve to be taken seriously.

Dinesh Katyal
Dinesh Katyal - Financial Data Exchange - San Francisco Bay Area 17 July, 2020, 05:36Be the first to give this comment the thumbs up 0 likes

Agreed. The headline although not inaccurate is misleading. It is normal for banks (or any firm) to experiment with feature packaging. Although Mint.com and its contemporary apps singlehandedly drove the race to the bottom for account aggregation, it is an incredibly valuable feature, and worth $$ if delivered with high quality. Just ask the diehard Quicken users who continue to pay even while there are free alternatives out there. :)

A Finextra member
A Finextra member 17 July, 2020, 11:07Be the first to give this comment the thumbs up 0 likes

Agree with the points above.  As well as ignoring all the other features, the story also ignores the fact that Monzo have taken the entire process in-house, which means, unlike all the free ones, it should actually work.  Personally I will wait until they have it on joint accounts, and also when they add Virgin Money credit cards to the mix (or launch one themselves), but this is a step forward.  Is it actually worth £5?  Let's see how it sells...