Shared Pots


#64

Their multiple accounts are like pots on steroids as with each having its own IBAN you can pay money into them directly, transfer between them without having to send money via the main account, you can pay direct debits from them, plus link your debit card to two of them at once and pay from different accounts by using different pins (think similar to being able to spend from your main pot as well as your main account or any other pot with a few clicks in the app). That is why they will be huge competition if they ever come here. Their small monthly fee is worth every ¢ent.


(Tony) #65

:eyes:

€7.99 PER MONTH!? I’m not made of money!! :open_mouth:


(Tony) #66

Addendum: I’ve just realised I’ve turned into my father :expressionless:


(Only available in amateur ) #67

So you have to remember multiple pins? That sounds a pain.
The usability with direct debits etc sounds excellent but I can put that money in a pot and move it to main the day before the DD is due for free. I’m sure some people think it’s worth it but it would only take a minute to transfer into or out of main so that’s £7.99 saved


(Marcel Ruhf) #68

Fair point - although my main point regarding different user needs still stands. One user group will be happy about Starling introducing Settle Up, for example, whereas others will moan about the lack of ///put any features you can think of here///.


#69

One day you look in the mirror and you see him, at least I did :wink: although in my case when I got cross with my kids and screeched at them I scarily reminded myself of my mum :wink:


#70

Only if want to have a second pin to use the card on multiple accounts, otherwise you just use the one pin on one account as usual. But in the app you can switch the card between accounts so you can avoid a secondary pin if you want to, but they just listened to users requests and provided it as an option.


#71

Which is what I do with Starling Goals (I planned to do it with Monzo Pots but they offered me an overdraft first).


#72

Let’s not turn this into a thread discussing the pros and cons of bunq pricing, but concentrate on the topic of Shared Pots. How they are set up by the bunq app is something Monzo can look at. It seems to work smoothly simply setting up a pot (in their case an account) and then granting another user access. Having account numbers per pot does then make it easier to deposit money rather than have to deposit and then transfer across.


(Marcel Ruhf) #73

Question is, what would the legal considerations be in such an approach? - i.e. in bunq’s case, who who owns the money when you grant someone access? What happens when someone dies? Or do I misunderstand of, and granting someone access turns it into a true joint account (in the legal sense)?


(Only available in amateur ) #74

Maybe it is about pricing though. Should we expect similar features in a free account as you get in a premium account? The fee offsets the cost of those features so how many of those are affordable for Monzo on a free account?


(Marcel Ruhf) #75

I think it’s doable - we still need to remember that Monzo Bank only existed since almost exactly a year. I don’t think prepaid joint accounts would have made much sense.


#76

Surely there could be not just one solution but two.

One a shared joint account where a proportion belongs to each party and if one dies the others still access what is left but can’t access the remainder unless probate completed, and if the person quits instead of dies they can take their proportion with them.

The other a more traditional partners joint account where they both have 100% access rather than only access to their proportion and if one partner dies the other automatically has access to the full amount in the account.

Plus there should be a signatory option of:
• Any/one signatory
• Both/two signatories
• All (three or more) signatories

And that is I think going to be the most complex bit, particularly when an account shared by more than two parties


(Jamie 🏳️‍🌈) #77

Presumably Bunq comes from a country where paying a monthly fee for a bank account is commonplace and culturally accepted.

Bunq will have a difficult time selling that concept to British consumers.


(Nathan Dudgeon) #78

I think it’s fantastic, and can’t wait to try. I’d be interested in more information about where the account shows up (i.e. it would be good if all the joint holders can have access to it in their own monzo app), and who is contributing/withdrawing (so everyone can see what is happening to it).

Some are concerned about the ability to block one of the account holders from draining it etc, but I want to add my voice as one who isn’t concerned about that. I’ll just be using them to share with my wife for bills and saving for holidays etc.

What would be very helpful is an extension on the number of pots we can have on the app (current limit is around 10 or something).


(lee) #79

:thinking:

and seconds?

Bunq are coming to the UK - but its apparently as low priority and monzo providing joint or second accounts :smirk: There is a thread on their forum about it but its not in English
But i agree - seems they have priorities pretty spot on for their account.

And i keep saying i love monzo - but if the legacy adds in real time notifications i’m not likely to stick around for the emoji’s, no interest pots and a forum.

Well not everyone feels the same! I like monzo but i’m not blindly loyal to them. If someone does a better job and more quickly then bring it on.
The issue they have is

  1. the longer time goes on,
  2. the more new entrants which offer this
  3. the improvement of legacy banks
    will equal a greater likelihood of people leaving monzo AND make it more difficult to attractive new users - which also won’t be good for profitability.

But on the flip - a bank account without second currents or joints is really any different from the prepaid card.

Who has more then one account with a legacy which they don’t pay for?

My uninformed opinion still thinks its pretty dumb to have a bank that hasn’t figured second accounts and joints out yet. The sooner :monzo: get on with sorting this the better. Its a glaring omission.


(Only available in amateur ) #80

What’s the advantage for Monzo of giving one person 2 accounts? Twice the cost to maintain but how do they make money on it? They could charge a fee but wouldnt everyone just open another account elsewhere (which is free) and would give you exactly the same functionality as 2 accounts with the same provider? Also there doesn’t seem to be a big demand for it so why waste time at this stage developing a solution to something that’s only relevant to a few people?

They’ve said they’re working on a solution for joint accounts but since current accounts are still new I’d imagine that’s a higher priority.


(lee) #81
  • They move away from being a top up/prepay card
  • They get to serve a customer need.
  • They’d have more people willing to solely use them.

What exactly is it costing them more for? Another card is about it which i’d happily pay for if it was such a big issue.

Arguably they’d gain a lot more by having me use them as a sole bank. They’d have more money deposited - and done via bacs. All i do is top it up via apple pay which costs them money.

It’s around 25% of people in the UK who have more than one account, so its not that small.

I know monzo share numbers on total amount of current accounts. But would be really interesting to see something along the lines of

  • % of accounts receiving salary payments
  • average balance
  • number of accounts with 1 or more active direct debits
  • number of accounts with an active pot
  • transactions per day or month
    (though assume they never would for competitive reasons)
    I imagine those would be less impressive hence this type of thread.

Whilst i’m sure its increasing i’d be surprised if more then 1 in 4 people are currently using monzo are their main current account due to still being too much of a compromise in some key areas.


#82

I doubt it would be twice the cost.

Whilst the whole background architecture of the current account costs a lot, it would scale so 1 extra account wouldn’t add much to the overall running costs. What would add to the cost is an additional card as payments are per card cost. However you wouldn’t use a second account card the same as your main card and with that, you wouldn’t need a second card that often or even a second card at all.

Of all my banks, it probably costs Monzo the most to run my account and it has the least amount of my money sat in it (legacy about £2,000 and Monzo £43 atm) but carries out the most of my transactions/ATM withdrawals etc. If Monzo offered multiple accounts I would probably have that £2,000 in it as well as my house deposit (so add another £15,000).

I bring up Bunq a lot but they get it right. Multiple accounts (each with an IBAN (so a sort code/account number)) and a card you can attach to any of them you like. Bunq does cost a monthly fee for this but you can get the multiple accounts for free if you know how (although free is without a card). This shows it is the card which is the cost problem for banks not accounts.


#83

Card is definitely the cost. Monese only have a free card with a premium pay monthly account, with their free account if you want a card it is an optional extra and has a 4.95 fee towards the cost of the card.