What about credit cards?

(Andre Borie) #310

It might not be as innocent as it seems but I’d still take that over one that makes their money on unfortunate people being in debt.

I’d rather have everyone being financially healthy and pay a few pence surcharge for merchant fees (as part of the overall prices) than the financially-savvy being better off due to lower fees while the less fortunate are stuck in debt.


I know it isn’t in the road map but I’d love to see a Monzo Credit card. I pay quite a bit out each month for work expenses which I then get reimburst about a week or so later. But a credit card would give me the ability to pay expenses then pay off the card when I get reimburst.

(Matt Jones) #312

Part of the reason why people want Credit Cards is that they help you build up a Credit score… Also I put nearly all my spending on Amex in order to get the rewards/points… I know Monzo could never do anything as strong as Amex’s offering due to Amex being able to charge higher interchange, but it would be cool if Monzo could come up with some kind of proposition to give some kind of rewards or cash back, whether directly or via third parties to incentive spend.


I really hope they wouldn’t try any kind of incentive for spending.

The benefit from a well implemented card would be control over spending and credit card protection

(Matt Jones) #314

It depends how you approach it… If you’re issue is protecting consumers that’s one angle, but I am pointing out that many people use Amex cards specifically for the rewards and cash back…


What do people think is the biggest benefit of a credit card over the Monzo current account?


Most banks now a days offer cashback on their app even for debit cards. It wouldn’t be far fetched to think monzo could negotiate something like this. Especially as it is over 1 million accounds of what I assume is mostly younger people which businesses will want to attract


In no particular order

  • Rewards such as points, cashback, and airmiles.
  • Section 75 protection on purchases over £100
  • Borrowing for a few days/weeks in an interest-free manner

On a relatively small selection of stores, not on all spending.


Isn’t this argument always going to come down to how people manage their money best?

I don’t think there is any doubt, that if you manage your finances well, using a rewards credit card is the absolute best way to “get something for nothing”, and actually save you a ton of money.

But… If that comes at the cost of poor money management, which ends up costing you money anyway (because you aren’t as aware of your spending etc), then it’s a little counter productive.

Outside of the acceptance issues (which personally, are not much of a problem in my experience), American Express have brilliant rewards cards, an app which is comparable to any of the fintechs out there (with instant notifications as well), and the best customer service around.

I’ve seen JAJA and a few others come to the party recently (not to mention Starling doing something next year), but if it’s simply a rehashed version of a debit card/app as a credit card/app, with no extra perks what so ever… I fail to see the point?

(Leon) #319

I see the point as it’s giving their customers choice something which Monzo doesn’t want to do at present.

It’s a bit like somebody telling you, what is good for you.

No no no no, you don’t want that, what you actually want is a current account or a unholy current account/credit card hybrid that we will come up with.

Extremely patronising.

(MikeF) #320

I think you’re reading too much into things, personally.

They don’t do credit cards (at the moment at least) but the motivation behind that is, I suspect, a far more benign picture than the ones you like to paint here.


Lets say Monzo release a credit card in the same vein as their debit card offering (which is effectively, a way to give you an overview of your spending etc).

People would criticise it for being far far inferior to every other credit card out there which offers something (be that 0%, rewards, cash back etc etc).

Monzo can compete in the current account space and arguably be the best (for some people) - But they are a long long way from being able to offer a market leading credit card (IMO).

(Leon) #322

Unless you can provide all of the above then it doesn’t make sense and if you can then it’s a credit card or a current account/credit card hybrid.

I remember one UK provider tried that once. I’m not sure how it worked out for them.


That’s fair enough, but what specifically would you want from a credit card?

I struggle to get past the numerous benefits of American Express when talking about this, although I appreciate it’s not for everyone.

(Leon) #324

At least give people the choice. Yep their overdraft is a case in point. At 50p a day I wouldn’t touch it with a stolen hand let alone my own but I can see why some people would.

Tom says that people tend to think about money emotionally. Trust me I’m all logical when I think about money as I know how hard it is to earn it. Money does not grow on trees. (That phase itself is a oxymoron as it does really, as paper = money.)


First time I’ve heard that expression :joy:

Overdrafts are a bit different (IMO), in that it’s considered part and parcel of a current account.

Credit cards aren’t part of that package, they are a different product altogether.

You could argue the same for why Monzo aren’t offering Mortgages?

(Leon) #326

Lol I amended it when you was composing the above message as I saw my mistake. :grin:

(Leon) #327

Mortgages are a different thing as you would need a bank with more capital to do something like that. Since Monzo is still relatively new it’s not quite the same thing. Not unless they are giving out credit limits on credit cards that can buy houses. If so then :+1:

You asked me what I wanted from a credit card. I can honestly say most of it can be covered by a flexible loan but you can’t have a loan in credit but you can on a credit card. (Most providers will moan about it but you still can.) Cashback and or certain supermarkets linked offers is another great feature with a credit card. Almost universal worldwide acceptance. Up to 56 days interest free credit.


Maybe that can be their USP :wink:

(Leon) #329

That works for me! :wink: