Monzo and the Coronavirus

This is so far out of the realm of things planned for.

Don’t get all the mean hate either. When people see p2p lenders potentially failing because of this (as an eg) it makes you realise nothing is necessarily immune.

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it has employee to pay, rent to pay - but currently doesn’t turn over a profit - its an assumption but a valid one. Monzo is likely to struggle to maintain itself self sufficiently without more funding over the next couple of months if the coronavirus remains very impactful on the economy

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explain why you think it will survive then - don’t just be negative give me reasons. I am trying to educate myself

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definitely not press related - I am a huge advocate of Monzo and have used them over the last two years as my main bank - I just wanted to know how people feel about it and what potential risks the coronavirus and the economic downturn on the back of the virus poses for Monzo and its future outlook as it will likely need more capital backing in the foreseeable future and I am wondering if its likely to obtain more funding given the climate.

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I like this answer. Thank you Simon - Also I think that if Monzo can push through this they could actually be in a better position at gaining a larger percentage of the market share as I can already see the possibility of major banks collapsing.

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Thats what I thought - I believe that banks are supposed to have a lot of capital reserves to prepare for unprecedented times like these …

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The business was started and continues to run from its ability to raise finance currently. As it doesn’t currently make a profit and thus makes a loss - It is only able to operate due to previous funding. Does that better explain my thought process behind that statement?

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That does explain it, thank you.

Maybe I’m being too sensitive :man_shrugging:

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That’s my understanding as well, and seems like a perfectly logical statement.

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University education is about self learning, critical thinking to look at something evaluate the evidence and give your conclusions.

Not ask an inflammatory question during a moment of panic and then ask others to justify their response because it upset you.

I don’t think avocados will survive Corona virus, I offer no evidence to back this up…discuss.

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I do think it is surprising how many companies (large ones) that say they can’t make it to April unless the government supply money.

But individuals are advised to have 3 to 6 months of an emergency fund. What do people think about companies of greater than 250 people needing to set up some kind of emergency fund.
Similar to what the BoE requires for banks.

And the little companies that are going to struggle, will get no help. But when Virgin say “Help us or there’s 10,000 people unemployed” then they force the hand. And they know this!

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The canteen at my workplace, which only started taking cards last year, has this week stopped accepting cash and providing cashback owing to Covid-19

In addition this and many workplaces are switching to remote working and internet transactions

If anything, this is the moment for Monzo (and other established FinTechs) to shine rather than the other way around

Not much point in having a bank branch if it is closed

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To answer your question, (Will Monzo survive the coronavirus,) yes, Monzo will survive the coronavirus. I didn’t see any other question in your longer follow up.

I just received a whatsapp forwarded scaremongering message saying to take all money out of monzo and revolut.

Maybe worth monzo sending out an in app notification on this?

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If Monzo make a statement it draws attention to it, like when the chairman of a football club gives his backing to a manager :grimacing:

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Isn’t this kind of thing what starts bank runs.

A rumor and nothing else. (Your money is FSCS protected anyway)

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I agree, it doesnt worry me in the slightest but when i have friends who ring me and asking if their money is safe i start to worry that its not an isolated thing and people are genuinely believing it.

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Topics like this don’t help the situation

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Do we genuinely live in a World where people would close their bank accounts because they received a random WhatsApp message from a stranger?

So you want me to take my money out of a bank that is literally built to be operated by its employees no matter where they are located in the world and stick it in a bank where if someone farts the whole system goes down?

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