Why does Monzo not like people re-joining?

Back in January this year I was trying to decide which app-based bank I wanted to join and I opened accounts at both Monzo and Starling.

Ultimately I chose Starling so I closed the Monzo account. I admit my credit rating isn’t great, but it’s been steadily improving for the past year or so and has even improved to the point where I’ve successfully applied for a second credit card recently.

After I closed the Monzo account, I opened an account with Revolut as well to handle my regular payments but I’m at a point now where I want to ger away from Revolut so I tried to come back to Monzo.

I started the application process and found that they had retained my phone number so I got in touch and asked them if it was correct and if they could ‘release’ it so I could re-apply again.

I got a reply that stated that I couldn’t open an account. A strange response considering I’d asked about a phone number :slight_smile:

Subsequent emails went back and forth and I was told in no uncertain terms that I couldn’t have an account, the decision was final and they weren’t going to tell me why.

I’d read someone claiming that if you’d held an account with Monzo and closed it that you couldn’t then re-apply for a minimum period of 12 months, and I’m wondering if this is true ?. It would certainly explain why they’ve slammed the door shut.

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There is no 12 month rule, I think it may be 3? I recently re-joined Monzo after some months away, so it’s not a blanket ban either. They have certainly tightened up their criteria, making many people ineligible to (re)join, but what those criteria are, only certain people at Monzo will know for sure

I think that might be true for Starling. I don’t believe that Monzo are quite so open about their policies.

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Starling 12 months, monzo 1 month as far as I know.

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It can’t be a month for Monzo because I closed the account in early January.

I know my credit rating isn’t great but it’s actually improved significantly since I had the Monzo account back then - I was approved for a new credit card after a hard search just last month.

I’ve also been denied an account with Monese as well - the same Monese who make a point of saying they will give an account to almost anyone regardless of credit rating, status or even address details.

I ended up doing a CIFAS search because I was so confused as to why I was having all of these doors slammed shut and that came back clear.

So unless I find out otherwise, I’m still firmly of the belief that I won’t be able to rejoin Monzo until January next year.

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This was never part of Monzo terms I believe. Starling works in this way.

It used to be 30 days by memory. (I don’t deal with opening account).

When reapplying for account, a review is carried out to assess whether reopening an account is possible, and unfortunately on this occasion it’s not been successful.

As with most, if not all banks, they aren’t obliged to disclose the reasons why this is.

Have you considered Chase? Rather up and coming (if they get it right).

I always drift to check out others but Monzo has a hold that won’t let go (not because they salary me), it’s just a great app over all. Starling is the other, mostly recent due to the joint account being held there for now.

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Best thing to do is not try to understand or find logic; just try to find a different bank. It is what it is.

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I do actually have an application pending with Chase, although I’m in their “waiting room” so it could be any time within the next 5 weeks apparently.

I’ve accepted I won’t be able to rejoin Monzo but I just can’t accept it’s because of “criteria”. My criteria were good enough to open accounts with Monzo, Starling AND Revolut back in January so they should be more than good enough to rejoin Monzo now.

Credit scores are fake, you just don’t fit Monzo’s criteria.

There’s also National Hunter. Not sure which Monzo/Monese use/if they use both.

You may be but the 12 months is not a requirement, see: me

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It’s not a one size fits all, sadly.

Could have a 999 Experian score, same credit card for the past 30 years, paid in full every month, nothing else, and still not be eligible for every offering on the market.

Each has their own risk appetite and preferable customer base.

As for Revolut, they’re not a bank, and I can’t imagine their checks are as thorough as the banks. Could argue it’s all a soft check, fine, but there’s probably more to it.

Credit scores are fake, you just don’t fit Monzo’s criteria

I fit their criteria just fine less than 6 months ago.

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It is curious though. As I understand Monzo bank accounts, eligibility criteria, and the application process, they don’t appear to be any different than a basic account offering at an another bank. All in all, they’re very similar.

There are certain issues that can prevent some folks from opening any bank account other than a basic bank account, and Monzo accept these customers, they just don’t offer credit facilities of any kind to them.

Where things seem to get quirky is when you try to return as a customer, and I find it baffling to say the least. Because these are folks who were previously eligible, and I’d imagine, in identical circumstances prior to their account closure.

Is there anyone from Monzo able to shed any additional light on this from a more specific perspective in relation to this rather than the cookie cutter generalised thing. I know there are times where you can’t say, but this isn’t one of those instances. When a bank rejects you for an account, you’re allowed to ask why and they’re required to give you some form of a specific answer. I know because Tesco bank rejected me for an account and when I asked they told me the details I provided did not match the information they were provided from one of the reference agencies when running an AML check. It’s vague, but was enough for me to know it was because moved, and the electoral roll hadn’t updated things yet.

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In short, no, I have a good idea why this is, along with other unknown mysteries floating in the community universe but it’s not for the Joe Public, they just need to accept their losses and (sadly) move on.

It is one of those instances.

This is true, and not fitting the eligibility criteria is the specific answer in response to this.

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I think I left and returned about four times now, and was still allowed back, so it’s not a blanket ban. Something changed at Monzo which means a large number of customers who were eligible prior to the change aren’t eligible now.

We probably won’t know what the thing that changed is because I suspect it’s related to fincrime/compliance controls.

It could be as simple as “no customers born on Tuesdays” – as long as not discriminatory against protected characteristics, they can set their criteria to be anything.

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See, this was what Tesco said when they rejected me. When I asked why, that’s when I got the additional information, which I imagine was a cut and paste of the specific component of the eligibility criteria I failed against.

Does Monzo not have anything similar then?

There’s no harm in pushing back and asking for more detail but I don’t think there’s any obligation to go into fine detail.

Of course, there’s always a complaint if people remain dissatisfied, but can’t imagine that overturns any decisions (me and Barclays have been in this fight for many years).

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I have left and returned 3 times now, never any more than an email to monzo to reopen account.

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I sense a thread closure looming when the powers that be awake tomorrow; as this has been discussed at length many times in the past, there’s nothing more Monzo will/can add, and it risks the conversation becoming circular

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The way I see it, and maybe I’m wrong, maybe it’s a double edged sword, but I believe a little glimmer of transparency could do a world of good here, for everyone.

If people know why they’re not eligible for something, then they can take steps to correct it, form better, healthier habits, improving their accessibility to financial services and having a better financial life because of it. Maybe that’s at odds with our regulations, I don’t know. Maybe it opens too many doors for criminals to exploit, I don’t know; if that’s a trade off, would it be worth it? I’m inclined to think yes.

I also think something like this would be a great next step forward in Monzo achieving their vision.

I think this Apple Card initiative is fantastic, for example:

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Then the eligibility criteria have clearly been changed and significantly toughened up in the 24-odd weeks since I opened an account.

Which clearly isn’t the case …

As I said in the opening post, their response was basically “our decision is final and we’re not going to tell you why”.

Well said and of course I’m going to agree. Surely the idea is that you want customers for your company rather than arbitrarily rejecting them and subsequently refusing to tell them why or even discuss why - same goes with Monese.

Where’s the harm in “Well we rejected you because X so if you can correct/improve that then we’d be happy to have you”.

The wall of secrecy and silence is absurd