Zopa Discussion

Yes - you can setup ‘autopay’ to automatically take either the minimum, the total or a fixed amount each month, but it’s a card payment and not a Direct Debit.

This is bonkers and just plain shouldn’t be allowed. All the evidence is that DDs are the best way to manage credit cards repayments, so not having them is a blank mark

What’s the difference?

The options @qwango_uk mentioned (minimum, the total or a fixed amount) are the same options I get through direct debit with my credit cards. Is there something about direct debit that makes it better to provide these options this through direct debit than auto card payments?

Direct Debits do have a formal guarantee which means things like any changes to the amount being taken need to have 10 days notice and if there’s any mistake made when taking payment, you should have an immediate refund for example if they took a full payment instead of minimum payment. If they took a full payment on your card because of something wrong with their system, they wouldn’t have to refund it.

Also you can cancel a Direct Debit with your bank to stop payments being made. You can’t block a specific single organisation from taking a payment on your card without cancelling the whole card.

With my Zopa card I make a manual payment when I get paid and don’t use the ‘autopay’ option - I basically at 4pm on the ‘day before’ payday login to Monzo and get paid early and then spend 30 mins or so just paying whichever manual bills I have to pay and transfer my ‘spending money’ into a separate bank account.

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This is incorrect. You can also instruct your bank to cancel a CPA, and they have to do it. In practice many banks are reluctant to, or customer support don’t know, but they have to.

That doesn’t change the fact that you will end up in hot water either way if you cancel a DD or a CPA when you have a contractual obligation to pay or a debt to settle (and don’t make alternative arrangements)

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Yep - that was why I said specifically ‘stop payments being made’ and not ‘cancel the contract’.

I didn’t realise banks can cancel card authorisations - although there is a huge difference between just login into your banking app and cancelling a Direct Debit, and having to actually somehow get in contact with your bank, explaining what you want to do, and properly have to explain it again to their manager.

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Talking of Zopa though - looks like they’re about to launch their savings account.

I’ve just been invited to sign up for early access.

Want to save up for a holiday, a rainy day, or a four-paw friend? Simply open up a new savings pot, then choose whether to boost and supercharge your savings. Boosted pots up your interest rate to help you reach your goals sooner.

Step 1 - Open an Access pot (by default)

0.60% AER*, Access your money anytime

Step 2 - Choose whether to Boost your savings

0.65% AER*, Access by giving 7-days notice

0.75% AER*, Access by giving 31-days notice

0.95% AER*, Access by giving 95-days notice

This is only 4 years after they first announced they were working on one and it’ll be launching ‘soon’ when they got their banking licence :slight_smile:

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Looking at Zopa credit card again, do people generally recommend it for general spending? Will be paid off in full every month.

If you’re going to clear your balance every month, then I don’t think there’s much difference between most credit cards?

The only extra nice feature that Zopa have is the ‘spending cushion’ so you can set in the app that even though your credit limit is X to set your spending limit to be Y so that you can keep a certain amount back for any emergencies (ie, you’ve got £500 credit limit, set your spending limit as £400 so you know you’ll always have £100 spare for emergencies).

They’ve also just launched their savings account with 1.20% interest and from the look of the app, I suspect they’re also trying to introduce a comparison service for things like broadband, mobiles phones and I suspect eventually insurance and everything else you can compare through other sites to monitise you. That might be a detractor or a bonus from Zopa though depending on your view on how financial companies use your personal data - could they eventually use the data on what you’re spending to target certain products and come up with certain deals for you?

To be honest I mainly want a nice app with instant notifications and live balance updates.

Because it doesn’t have spending rewards I wouldn’t consider Zopa for my main spending credit card.

I would consider using it as my overseas credit card (due to no fees abroad). However, I decided not to get a Zopa credit card because it doesn’t support open banking. Inability to see my credit card transactions in an open banking aggregator app is a big turn off for me.

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I just got my card, honestly can’t believe it doesn’t support Apple Pay, I thought it was standard by now.

And payment confirmations via SMS only…


Fixed £3 withdrawals