Monzo: a non traditional form of bank?

(Nick) #1


Continuing with the “saga” of trying to set up direct debits in the Mondo Current Account; I have today received back the following message re; a failed attempt.

Unfortunately we are unable to change the account details to Monzo Bank Limited as our system is not accepting these account details due to Monzo Bank Limited being a non traditional form of bank.

What does this mean? How will it get resolved?

If Monzo is to become the bank of choice for many people, who want a better way of banking; this is not going to be achieved if something simple and straightforward as setting up a direct debit cannot be easily achieved.

(Dan) #2

Who was the Direct Debit with just out of interest?

(Nick) #3

This reply was from, but also has similar from Legal & General; nPower, Volkswagen, Vitality Life…

(Sacha) #4

There is an existing topic dedicated to any issues setting up Monzo with various companies, perhaps have a look here?

(Nick) #5

I know - already added to that - a list of organisations not recognising the sort code/account details is useful; but the reasons why is what’s missing. Personally I think knowing why is important so that trends/reasons can be explored and resolved.

(Andre Borie) #6

It’s easier for them to blame Monzo than to update their awful systems. I say vote with your wallet and move to one of their competitors that does accept Monzo.

Maybe we should edit that “hall of shame” wiki page and add for each brand not accepting Monzo a competitor that does accept it. :wink:

(Andrew Schofield) #7

Has anyone checked to see if Starling are also being affected by these sorts of issues?

(Jonathon) #8

I don’t see a reason why this is a reason. Not having a physical branch doesn’t mean anything - First Direct manage.

(Nick) #9

That won’t always be possible. If you’ve just financed a car with Volkswagen and they won’t accept the direct debit information, then what can you do?

(Nick) #10

First Direct is HSBC - an established bank. I think the “issue” is that Monzo being so new is just not yet being recognised as a bank in the eyes of some merchants.

(Jonathon) #11

That’s my point - it’s not a reason other than “Oh we don’t know them”.

I know First Direct is HSBC, I was making a comparison to the set up of the bank (ie. no physical branches).

(Andre Borie) #12

Are they legally allowed to reject a valid sort code and account number? I’m pretty sure they aren’t so in that case just don’t pay until they change their mind and accept your account.

(Tom ) #13

This is obviously nothing new if this thread is anything to go by:

I would envisage this to be a problem of the past in a few months (when all the lazy retailers have updated their sysyems).

Monzo is not at fault here.

(Simon B) #14

I don’t know about Starling but they may have registered their sort code and got all the databases updated before they launched. Remember, they only launched in April this year and the company had been going for 2 years before that.

By the time we roll out the current accounts to everyone, all databases should have our sort code by then. It’s just something that takes time.

You have to laugh at a “non traditional form of bank” though. :joy: What a nonsensical thing to say.

(Jonathon) #15

Seems Virgin Media just are useless at updating.

(Andre Borie) #16

It’s a telecoms provider, what do you expect? :joy:

(Nick) #17

Good find - yes don’t think anyone is blaming Monzo - it probably is just one of those things that will take time.

Maybe the sort code should have been allowed to propagate within the banking “network” for a few months before CA’s were offered? That said, there will always be merchants with out of date data that will get updated over time.

Patience is the key I guess :slight_smile:

(Nick) #18

Just said something similar - sort codes may take a while to propagate down through various systems…

(Andre Borie) #19

I am curious to know why they bother validating the sort code to begin with. What’s wrong with sending the payment/direct debit down the payment network and see what comes back - if it bounces then you can say it’s invalid, and allow the user to change it?

(Marta) #20

@simonb What’s allowed delay between sort code appearing and other companies being required to make an update? If we get some details like ‘you need to update sort codes every month’ we can start throwing that at merchants. It would help a lot if it’s more legal requirement… :smiley:

When was exactly Monzo’s sort code published? :thinking: