You should see what some of these companies do though. Renault Finance use at least three different names that I’ve seen that are all different versions of the RCI financial services - sometimes they set up a new one under a slightly different name mid credit agreement for seemingly no reason.
The same applies to o2 who often use some random combinations of o2/telefonica and the name on the mandate can vary from customer to customer.
What you see as the merchant name on the mandate might not be what somebody else sees on their mandate. I have two o2 contracts which have separate direct debits, both are personal contracts and were taken out online but the merchant name on the mandate is different 🤷🏻
Merchant enrichment data helps make it clearer in lots of cases who it’s for.
Don’t forget as well that there are now quite a few companies such as Go Cardless who process direct debits for smaller companies - sometimes using their merchant name or a random name. They might use the same one for several different merchants. Multiple customers might submit different suggestions and one might get accepted and then it will appear incorrectly for other people.
It can be a minefield, but IMO overall the merchant enrichment Monzo offer is still an improvement on what most banks offer. We don’t always get it right and there’s definitely room to improve our tooling but it’s not one of our biggest priorities at the moment as far as I’m aware!