Too Early To Fully Switch To Monzo Current Account?


#21

nope, soft searches don’t show up for others

for instance you’ll see your own searches in the soft search list - the ones that create a printout of your current credit file.


(adamcooke) #22

I’m not talking about the soft search. I’m talking about the fact that the Monzo account will show up in your list of accounts. Like this…


(Thomas Glendinning) #23

Thanks for all the responses :raised_hands:t2: I was definitely planning to keep my HSBC account open anyway. The Monzo prepaid card has basically been the only way I spend since I got it so the current account will be much the same. Unfortunately quite a lot of the payments I get are international (I do a lot of work for a company based in Berlin) so I’ll just stick with the system I’ve had of getting paid into HSBC but then transferring everything to Monzo :grin:


#24

You said the above. That’s a soft search. You have now shifted to credit reporting which is different.


(Allie) #25

Yes, but a current account shouldn’t (obviously depending on the lender’s scoring model) factor in negatively, as long as it’s not in overdraft, which Monzo can’t be. Obviously, if you replace an old account with a newer one that doesn’t look great, but the new Monzo account itself shouldn’t really be a problem, and if it is - only will be for a few months.


(adamcooke) #26

Ian said that Monzo leaves no digital footprint in the process of setting up a current account. That is what isn’t correct. Whether this is a search or whatever, I think it’s important to be clear what information other organizations can find from your credit file when you sign up with Monzo.

I don’t think having another current account is likely to (negatively) affect your credit rating with anyone but, again, that isn’t the point.


(adamcooke) #27

As you say, it’s unlikely to be a negative factor when determining your suitability for credit. My point is simply that there is a footprint on your credit file when you sign up for an account.


#28

Nope. He says that the soft credit check leaves no digital footprint. And it doesn’t. He is distinguishing between a soft and a hard credit check, not the later reporting when the account is actually opened.


(Allie) #29

No, there isn’t, but this seems to be the confusing bit. Opening an account doesn’t leave a footprint on your file, because it is a soft pull. However, having an account does, of course, show an account on your file.


(Kevyn) #30

I have not applied for an overdraft and mine is on my Noodle account. It is leaving a digital footprint. It just isn’t leaving a hard credit check footprint.


(Allie) #31

But that’s the thing, as I said above… the footprint is from having the account, not from opening it. Opening it doesn’t leave one.


(adamcooke) #32

I understand the difference, I fear you’re just being a little pedantic.


#33

Are we going round in circles here?

ilyon said that the soft search on OPENING an account doesn’t leave a footprint. IT DOESN’T

You don’t get the screenshot you show until later, once monzo REPORT to the credit agency. That is usually done once a month and so can be many days after OPENING the account.


(Kevyn) #34

I know I may be splitting hairs here but by having the soft credit check, the account is opened which leaves a footprint of the open account which could potentially leave a mark on your credit file if you use the account wrong. I didn’t know it would leave an account footprint until last weekend (maybe my naivety), and it is something Monzo needs to be clear about.


(Allie) #35

Not my intention at all, remember the start of this was someone asked if opening the current account left a digital footprint on their credit file, and it doesn’t. That’s correct. Having an account will, but opening one won’t.


(adamcooke) #36

See above about pedantry. While it may not appear immediately, the act of HAVING an account does cause a footprint even if it’s not triggered by the actual signup.


(Ian Lyon) #37

Just in the interests of clarity on the above…

  • When you open a Monzo account, we perform a ‘soft’ search for identity and verification purposes. This is only visible to you; other companies who perform a full (‘hard’) search will not see this initial search.
  • When you have a Monzo account, as all banks do, we’ll report this to the credit reference agencies - along with the status of any credit facilities you may have. Other companies performing a full search will see this information.
  • Our reference to leaving no digital footprint relates to the act of opening an account, and the soft search we run that isn’t visible to others. This is why we say it doesn’t leave a footprint; only you can see it. Technically speaking, yes, it is on your credit file, but it doesn’t impact on your ability to apply for credit and companies performing searches for this reason won’t see the initial search we’ve done to verify your identity.

Please let me know if anyone has any other questions on this! Credit files are really important to everyone so we’d like to give absolute clarity on this :+1:


(adamcooke) #38

Thanks Ian. I think you probably just need to stop using the phrase “leaving no digital footprint” because, as you say, it will be reported and will appear to people doing full searches. But I also understand why it’s important for people to understand that you’re not doing hard searches so there’s probably a middle ground somewhere (not that I know what it is!)


(Allie) #39

From what I’ve seen, they’ve only used that phrase in relation to the act of opening an account. A soft check leaves no footprint visible to anyone except yourself.

Having an account is a completely different matter, of course.


#40

But the only response to arguing about minutiae is pedantry