As we are currently in a fail state (12.55 5th March), I’m prompted to enquire about safeguarding of existing balances. A reminder (at least for me) would be useful.
Yes. Your money on deposit with the bank is secure
As i understand it your money is not protected as it would be under normal current accounts. If the worst happened and monzo went bust your money would become part of the debts owed and the receivers would refund you if any money is available once priority debts are settled.
This will change when full accounts are available when any deposits will be protected up to 75k.
Thanks Richard, I’m grateful.
During Monzo’s Beta testing period your money will be held in a separate, protected account, by Wirecard their issuing bank. In the unlikely event Wirecard were to become insolvent, your funds would be protected against any claims made by creditors.
Additionally, Monzo guarantee that you will never lose money as a result of any mistakes or problems they make while testing.
As a responsible e-money Issuer, Wirecard ensures that once it has received your funds they are deposited in a secure account, specifically for the purpose of redeeming transactions made by your card. In the event that Wirecard becomes insolvent funds that you have loaded which have arrived with and been deposited by Wirecard are protected against the claims made by creditors.
That’s useful to know. Thanks for clarifying
The latest Update advises -
One of our suppliers needs to run an unexpected, large migration and we are waiting for further information. We don’t have a firm estimate when this will be completed and suggest everyone uses another card today.
We’re so sorry for any inconvenience this causes you. Your money is safe and this is only a temporary issue. We will be conducting a full review of how and why this happened and what can be done, by both us and the supplier, to ensure this does not happen again.
What does migration mean?
In my experience it means switching servers. In other words, it’s a change to their backend systems.
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