How does the Monzo current account affect my overall credit score?

So I’m new to monzo and have found it to be a great tool for keeping your finances in order. However on my last credit report It was said it could be improved if I had money saved. Well if i do have it saved but in a monzo pot will this be positive for my credit score and inversely if I go u arranged OD will it be negative. Basically trying to ask is use of monzo impartial to affecting your credit score?

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You’ll find this thread useful I think;


My understanding is that responsible use of credit should positively influence your credit score. This may be skewed more in favour of credit cards as these require frequent payments which, if done correctly, should contribute towards a good ‘score’.*

I’m not sure regarding savings or liquid accumulations of money. Does it stipulate whether the money has to be in a conventional savings account? If not, I can’t see why funds inside pots wouldn’t count the same as funds just sat in the main account.

*Your credit rating or ‘score’ is assessed differently by different lenders.

Good evening Bradley thanks for the reply.
I don’t own any credit cards and have only one conventional current account. My credit score is good as of my recent noddle credit report and it just said to have some money in my account e.g savings.
I have no debts or arrears but as a student I was living month to month (maybe a factor) now I have a job I can put some aside for saving as I want the best score possible for when I eventually do need to borrow for mortgage etc.

The best way to build a good credit score (you don’t really need to worry about this too much unless you’re planning on taking out a loan or mortgage soon) is to take out a credit card, spend on it (I.e. for holiday expenditure, regular food shopping) and pay it off immediately.

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Thank you very much for your advice and now to look for the lowest interest credit card😴 have a great weekend guvnor

you won’t go into an unarranged overdraft with Monzo - you will be asked if you want to use overdraft facilities rather than being automatically forced into one if you run out of funds as legacy banks tend to do :slight_smile:

For your first card I wouldn’t worry about this, as you won’t be using it for actual ‘credit’.

If you buy your groceries once a month, then immediately pay it off online when you get home (and have a direct debit set up just in case you forget) then it doesn’t matter what the interest rate is, as you will never have to pay it.

Instead if you look at somewhere like (there are referral links in Referral Wiki: Post/Find Here) you can find an easy to get one that pays you £20-30 for getting it, use it for a year to build up history, then cancel it and get a better one if you ever need actual credit.

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