This is expensive compared to your competitors and unattractive. You now appear to be the most expensive “Challenger/Next Generation” bank around.
One could borrow £1300 in overdraft fees from Starling Bank for 30 days for the same amount.
On a similar note, you’re also going to charge 3% after £200 on foreign ATM withdrawals, which is 50% more than Revolut at 2% after £200.
You’re not going to be overdrawn for the full 30 days though are you?
There’s been a lot of discussion around the overdrafts preview, but don’t forget that it’s just that - a preview - so things may change over time 
Maybe, but regardless, I wouldn’t pay over the odds for gas just because I don’t have my boiler going all day.
One could borrow twice as much (£2600) from Starling and it would cost double in fees than Monzo would charge for the same period. What’s your point?
To be honest I’ve never understood why people need such large overdrafts. Borrowing that much is overspending by your total (not insubstantial at that) wage! If you’re that deep into an overdraft you will be the month afterwards as well. Ouch, given an overdraft can be withdrawn at any time.
Assuming Monzo offer overdrafts over £1300
If the model is borrow more and pay less, that’s not going to be conducive to keeping out of regular overdrafts (as per the Monzo newsletter today).
Similarly, those who need it most probably need relatively small amounts and they, as always, will pay the most for it.
This is a charging method that has been widely criticised as most punitive to those who can least afford it.
Borrowing money ought to be unattractive. It ought to be avoided if at all possible. It seems bizarre that so many people seem to think that banking is about a race into debt as quickly and cheaply as possible.
I’ve had times in my life where the ability to borrow on overdraft was the only think that kept a roof over my head. Even a couple of years ago when I moved into my new house having an available overdraft meant I didn’t have to lie awake at night counting pennies… I could just spend what was needed.
In the first case I was in and out of overdraft for 2 years… it was luckily fairly cheap but anything of the magnitude of 50p a day would have ensured I never left.
I understand the idealistic unreality of my reply, it’s not that I’m totally anti-borrowing but the fact that it’s seen as something to be competitive over feels ‘wrong’ somehow. It’s like competitng for a part in someone elses misery.
I use my overdraft 'cos I’m lazy. The text message saying I’ve gone into it reminds me to transfer money out of higher interest bearing accounts.
If I didn’t have the facility, I’d just keep a bit more of a buffer in my current accounts.
Some banks shove people onto them instead of loans. I know people with £7k+ overdrafts with RBS that they got from buying a house (they weren’t allowed a loan, but a massive OD is fine?)
i still have my £1k+ student overdraft and unfortunately still use it towards the end of the month. It doesn’t cost me much to do so.
Halifax/Lloyds are current on fees such as £1 per day, with sometimes a fee just for going into your OD. so if you go in, come out, then go in again, you pay twice for dipping into your OD. And their new fees coming in November can work out at over 50% EAR 
Yeah there’s a middle ground of creditworthiness you can get in where you can’t get a loan or any significant credit on a credit card, but can get an overdraft very easily. Been there… it sucks.
Please roll out to everyone soon - really important to have if I’m seriously going to use Monzo as my current account
I think I’m about done with my overdraft. 50p a day is just too much. Will cancel as soon as I have the funds to pay it off.
I recently reduced my overdraft with Lloyds and this was in the email confirmation:
Looks like they have revised their overdraft fees? 1p per £7 over the fee free amount doesn’t sound too bad!
A Lloyds overdraft of £357 or more would cost more than a 
Monzo overdraft. And the interest at Lloyds compounds daily, so it would only take less than a fortnight for your overdraft charge to go up.
That’s true, I only rarely go into mine (close to pay day) and it’s normally <£100 I think it’d be interesting to see what the average overdraft limit/usage is