Been on the receiving end of an unfortunate double whammy from Monzo last week.
I should start by saying I’m a massive fan, but feel the need to feedback on an area I think can be improved.
Issue 1) Monzo attempts to re-take direct debits for which there are insufficient funds at 2pm. This is significantly earlier than other banks, whichtend to give you until close of business to credit your account with funds to cover the direct debit.
Issue 2) Withdrawals from savings pots arrive the next working day and after 2pm in my experience.
You may see where I am going with this. Issue 1 is annoying, behind the market and could definitely be improved. Issue 2, I understand the mechanics, but it is still less joined up than you’d get with a single bank/savings provider. Issue 1 combined with Issue 2 is particularly infuriating!
Long story short, I’ve been charged a returned payment fee by Amex because my direct debit was returned to Amex by Monzo due to insufficient funds. I’d withdrawn funds from my savings pot to cover the direct debit. Alas, because direct debits are re-tried before savings withdrawals are credited - that was not possible.
Just an area where Monzo has not quite been the seamless (and helpful) banking experience I’d have hoped for, and one that could be improved with a tightening up of either “Issue”.