On the “Account” screen of the app, “Balance” is displayed near the top of the screen and this is the total balance (including pots), and the balance of the current account is listed simply under “Current Account”.
In the statements what is called “Balance” on the “Account” screen is called “Total Balance (including pots)” and the current account balance is listed as “Balance”.
This creates an issue with regard to the overdraft agreement which states “Weʼll calculate any charges based on your balance at midnight each day, and take them from your account on the first day of the month.” without first defining the term balance.
I raised this issue through chat in the app and was told by the agent that in the overdraft agreement “balance” refers to the current account balance and not the total balance. This would mean that if a customer had say, minus £100 in their “Current account” section and £200 in their pots, the “Account” screen would display “Balance: £100”, though the customer would be charged for an overdrawn (i.e. negative) “balance”.
Whilst I appreciate Monzo wants to use simple language, terminology still needs to be consistent and well defined. As things stand I don’t see how the overdraft agreement gives permission to Monzo to make overdraft charges in cases such as the one above and would very interested to hear from them if they think it does, or if their agent on the app chat was mistaken about what the term “balance” refers to in the overdraft agreement.