Student accounts and where Monzo stands or plans to do with it


(David Zilvys) #1

So I have a few questions and I am hoping either Monzo themselves or the community to answer them for me :slight_smile:

  1. Are student accounts going to be introduced?

  2. Will this be possible before September 2018 because that is when I start university?

  3. For reasons this is not going to happen may I get the reasons as I would like to be interested in what reasons Monzo doesnt want to push this forwards?

Thanks a million :3


(Nick Taylor) #2

What particular features of a student account are you looking for? My sense is that they mostly exist to snare you at a young age so you’ll bank with them for the rest of your life!


#3

If you mean a huge fee free overdraft with a rail card or something, no. But current account can take student loan payments and send out accommodation payments

Was discussed here


(Marcel Ruhf) #4

What is it that you need in particular? Anyone aged 18 or over can sign up.

Don’t expect fee-free overdrafts though. Traditionally they seemed to have been financed by cross-selling other products, bounced direct debit fees, foreign currency conversion fees for online or in-store purchases overseas, etc - all of which Monzo doesn’t do. Plus they tend to think that you’d stay after graduation - and at that point, they can make a profit off you.


#5

As someone who has a massive free overdraft I highly advise you just get the smallest of low hour part time jobs and don’t rack up any debt beyond your student one. Don’t get a student credit card either. Use your time now to build up a few hundred in savings and stick it in a savings account separate from monzo.

That can be your “overdraft” that you refill if you use.

It’s not free money, and it’s not free forever.

It was great for buying a top spec new pc for “programming” however.


#6

One of my favourite responses from What would you tell your younger self about finance? was:


#7

Absolutely. Borrowing is great and essential for a house purchase, a car and other such big ticket items but it’s rarely necessary for anything else. Especially anything non critical. Having made some borrowing mistakes, my new ethos is save up and buy, rather than buy and pay off.