Is it ok for me to recommend Monzo bank but not their travel insurance?
Defaqto is an independent financial information business, helping financial institutions, financial advisers and consumers make better informed decisions.
If they are not the above. Iâm sure it would be newsworthy
Are Defaqto misleading everyone?
Are you repeatedly beating the same drum until you get the answer you want to hear?
Some people care about the rating, some donât. Youâve made your suggestion to Monzo and theyâll either act on it or they wonât.
In the meantime youâre presumably not interested in their insurance products because theyâre not rated - so look elsewhere?
Just curious - do you rely solely on the Defaqto rating when making a purchase decision or do you treat it more as a filtering tool? Even for 5 star policies it seems to me you should still read the policy small print to check the policy is right for you as an individual.
Yes. You can search here
No drums beating here
Financial decisions can have BIG impacts on peopleâs lives.
I was under the assumption that Monzo was supposed to be helping customers have a better relationship with them as a modern bank and in supporting customer financial management and welfare with clear simple explanations and quality products to allow for educated decisions.
I will never stop wanting the best possible products at Monzo
A defaqto rating does not guarantee the comprehensive value of the product. You must always read the small print.
But if monzos AXA travel insurance is rated 1-5, I wouldnât need to read it if it wasnât a 5
But you havenât replied to comments which have questioned some of the statements youâve made - such as the fact that the MSE insurance guides make no reference to the defaqto ratingsâŠ
If it was so important surely MSE would constantly refer to it?
I think you are becoming slightly disoriented with DefaqtoGate
The comments you are attributing to me were made by another and not by myself.
Iâm here to promote good financial educated decision making. I donât really see a downside to that, but look forward to you setting out why that is not a good idea.
nice strawman
And⊠MUTE
I think many of us who havenât paid attention to Defaqto in the past are simply trying to figure out how much value to give to their rating system. For me, that involves gaining an understanding of:
- How they are funded. In particular, are the rated companies paying Defaqto to be rated?
- Why the insurance guides on MSE donât mention Defaqto (at least the ones Iâve looked at donât)
- Why some companies with products which have 5-star ratings donât bother including that information on their product pages. For example, the product pages for Nationwide FlexPlus travel insurance and HSBC Premier travel insurance donât bother mentioning their 5-star ratings.
I referenced MSE because Iâve definitely read articles from Martin Lewis where he refers to the Defaqto ratings. Iâve also heard him mention it on radio and TV.
In terms of the guides on the MSE site, perhaps I was mistaken - Iâm probably thinking of MoneySupermarket.
Regardless, my point still stands. All the comparison sites show the ratings so Iâm surprised so many people havenât come across them before. (For clarity, that was my only comment - I wasnât knocking Monzo or saying they need to go out and immediately get their insurance products rated!)
If you go to Nationwideâs home page, one of the ads in their slider is for their home insurance product. The 5-star Defaqto rating is front and centre.
The comparison site I generally use is GoCompare. Out of curioisty, Iâve just created some quote comparisons on there. I now see that they do provide the Defaqto ratings, but for Home and Car Insurance its not prominent at all (i.e. not shown in the summary comparison list). You have to dig into details of each policy to find the Defaqto ratings so I can understand how GoCompare users like myself wonât have paid much attention to the ratings. The ratings are prominent for travel insurance comparisons through GoCompare but I tend not to shop around for travel insurance.
Yeah, I saw that. Still odd why they donât bother promoting it for their FlexPlus insurance though.
Thatâs actually not what I said. You donât pay for a rating. Once you have a rating (assuming itâs a fairly decent one) you pay a license fee if you want to use their trademark in your advertising.
Thatâs the business model.
When they rate it for free
Iâll post it up
âWhen you see an advert with a TrustPilot or Defaqto rating itâs because that business has paid them to license their name and logo for advertising usage.â
I was referring to this line, perhaps I read it wrong
Yeah, I would have thought any company offering a 5-star rated product would promote that.
If it costs to display the rating and (going off this topic) nobody knows what it means or finds it useful - then why would you
Monzo should spend that ongoing cost elsewhere
Paid to license their logo and trademark for the advert, not for the rating itself.