Monzo and Revolut are two financial services that provide innovative financial services. They offer a variety of personal and business accounts that can be tailored to meet multiple needs. Both offer a variety of services that are convenient for busy people and can be accessed through their mobile banking apps.
Monzo and Revolut offer similar services. This begs the question: how can they differ? What account plans are they offering? What features are they offering? These questions will help you choose the right digital bank.
Let’s get started!
Monzo vs Revolut: Their Plans and Fees
Monzo and Revolut both offer multiple plans with different fees. Each company offers a freemium plan that includes many perks and services. Both allow you to send money abroad and neither company will charge you any fees for opening an account.
What if your card is stolen?
Monzo will replace your card free of charge if your card is lost, stolen, expired, or if you are a victim to fraud. Monzo will charge a replacement fee for any reason other than theft or expiration.
If you require a replacement card, Revolut charges PS5 or an equivalent currency fee. The delivery cost is additional.
Digital Banking Service in General
Monzo and Revolut both offer great mobile apps for Android and iOS. You can also access many tools to track your spending and budget. These features include budgeting, financial planning, and multi-currency summaries.
Revolut has both Mastercards and Visa cards. These are assigned based upon where you live so you don’t have the option of choosing which card you will get. Revolut’s Mastercard or Visa cards can be used online and in person anywhere worldwide. Revolut offers international money transfer and the ability to trade with cryptocurrencies.
Monzo, a Mastercard debit cards, is the opposite. It can also be used online and in-person. Monzo has teamed with Transferwise to allow international money transfers through their app. Monzo works with Coinbase and other platforms to allow you to trade Cryptocurrency. You can also use your debit cards overseas without paying commission.
International Banking
Use Your Debit Card abroad
Monzo is the best when it comes using your debit card abroad. If you use your Monzo card to pay for FX services abroad, they don’t charge any commission. Revolut charges two percent for transactions exceeding $6,000 per month.
International Money Transfers
Monzo’s TransferWise integration allows for transparent currency exchange. It is highly recommended as a way to send money overseas. You’ll be charged a fee of between 0.3% and 2.85% depending on which currency you choose to send.
Monzo allows you to only have one currency in your bank accounts. You won’t have to pay a markup for currency exchange if you use your card overseas. Monzo instead ensures that you pay a wholesale rate as low as possible.
Pricing at Revolut is more complex. The price depends on not only the currency, but also trade volume and whether you are exchanging outside of market hours. Revolut’s currency conversion service, for example, is more expensive on weekends. We like the fact that Revolut lets you hold up to 24 currencies and allows you to exchange money instantly.
Your card- receiving it and its features
Monzo is the best when it comes to getting your debit cards. You don’t have to pay anything for their debit card. Although it can take up two weeks for your card to arrive, many customers receive it in days.
Revolut provides a card in nine days. Delivery costs are either PS4.99 or EUR5.50. Revolut offers an express delivery option, which will deliver your card in three to four days if you are in a hurry. You will need to pay EUR19.99 for this privilege.
Revolut’s standard cards and Monzo’s are almost identical in their features. Both cards offer contactless payments as well as the option to pay with Apple Pay or Google Pay. If your debit card goes missing, you can block or unblock it using their apps.
Monzo does not offer virtual cards on its standard accounts, but Revolut does. Revolut, on the other hand, doesn’t offer interest for savings. Monzo, however, offers savings accounts at up to 1.63 percent. Monzo also offers overdrafts at 50p per day. Monzo is also part of the “Current Account Switching Service”, which makes it simple to transfer your existing account to them. This scheme does not include Revolut.
Revolut does not offer overdrafts, but it offers other services like automatic donations, rounding up transactions and trading cryptocurrencies. Monzo allows you to round up transactions and put them in a coin container. However, it does not automatically donate the money. Monzo doesn’t offer a native way for you to trade cryptocurrency. However, it does have an integration with Coinbase.
You can top up your account
Monzo allows you to top up your account with cash, cheques, or bank transfers. You can have your salary directly deposited into your account as with all banks. Additionally, you can set up standing orders.
Monzo charges PS1 per deposit if you pay cash via a PayPoint. They will charge PS1 for every deposit you make. For example, if they receive PS150, then they will add PS149 to your account. PayPoint charges Monzo for this service. A PayPoint allows you to pay only between PS5 and 300 in one transaction, but you can deposit up to PS1,000 each six months through a PayPoint.
Revolut, on the other hand, allows you to top-up your account via bank transfers, linked accounts or debit cards. They charge a fee for topping up with a card. This applies only if you top up with a card that is issued in the EEA, or a commercial card. It’s a small charge to pay Revolut for its costs. Before you complete the transaction, you will be informed about the amount. You can’t deposit money via cash or cheque, unlike Monzo.
Protecting your money
You can also block or unblock your card via their apps if it is lost. This is a great feature that many people will appreciate.
Monzo provides full protection through the Financial Services Compensation Scheme, (FSCS) up to PS85,000 Revolut, on the other hand, doesn’t offer such protection and says they offer “safeguarding” for customers.
Revolut bases their protection of your money on the Revolut entity to which you are registered. Let’s say you are a registered Revolut LTD member. If that happens, you will be registered with an electronic money institution. They deposit your money into a client money account to protect it. These accounts can be used to reimburse you if Revolut becomes insolvent.
What happens if they go bankrupt?
The FSCS protects eligible deposits up to PS85,000. If Monzo becomes insolvent, your deposits (if applicable) will be refunded within 20 working days.
Revolut is not guaranteed by the FSCS in the UK. It is still regulated by the FCA in the UK, as an authorized Electronic Money Institution. Revolt protects your money by keeping it apart from its own funds. You should be able claim a full refund if Revolut goes under.
What happens if your phone is lost?
Revolut will allow you to use your card even if your phone is not connected. It is highly recommended that you download the Revolut App as soon as your new smartphone arrives. Enter your phone number, and then select “I haven’t received a code yet”. You will need to send a validation SMS. This will take you to a support agent. Customers can only access their account via this method if their phone is lost. Revolut does not offer a web application, unlike Monzo.
Monzo allows you to access their website for help if your phone is lost. Log in to your account, then go to Emergency. You can also track transactions on their website to check for suspicious activity. Monzo can be reached by phone or email if this is the case.
The Premium Account Features
You can get more than the Standard plans from Revolut or Monzo. The Premium packages are for you. It might be interesting to point out that Monzo’s premium account was released in 2020. Revolut’s Premium, however, has been around for a while.
Revolut’s Premium Account Features
- PS6.99 per month
- Within 1-3 business days, the card will be shipped to more than 180 countries.
- Revolut’s Premium card design is your benefit
- A spare card can be ordered for free.
Features for travel
- You can get worldwide travel insurance that covers emergency medical and dental treatment. Revolut Travel Ltd offers travel insurance and discounted device insurance. It also provides compensation for delayed flights or lost luggage.
- Smart delay: Revolut will give you two free airport passes if your flight is delayed for more than an hour.
- Money transfers: You are able to transfer money all over the globe using the interbank exchange rate. You should receive your money within 1-2 business day.
- Unlimited foreign currency: The interbank exchange rate allows you to spend, transfer, and exchange unlimited amounts of money
- ATM Withdrawals: ATMs around the world allow you to withdraw upto PS400 per month free of charge. You will be charged a 2% surcharge after that.
- Revolut offers theft insurance.
Additional features:
- Revulot will reimburse you up to PS1,000 for any event that is unavoidable.
- Interest and savings: Although Revolut does not offer a savings account, they do have something called Vaults. These vaults can be described as savings accounts. Saving PS11,100 will earn you PS75 per year in interest. You can withdraw your money at any time, whether it’s the next day or the future.
- Disposable virtual card: The details of the card are cleared automatically after each online transaction and new details are generated. This provides excellent protection against fraud.
- For purchases that are lost or damaged in an accident, the maximum annual coverage is up to PS2,500
- Cracked screen? Revolut’s accident protection coverage will reimburse you.
- Revolut offers a 90-day guarantee: Revolut will reimburse items purchased between PS50 to PS300 if the retailer doesn’t accept them back.
Monzo’s Premium Account Features
- PS15 per month
- A 6-month minimum contract
- To apply, you must be between 18 and 69 years old
- Monzo’s white-metallic card design is available for access
Features of insurance
- Monzo provides phone insurance through Assurant. This includes theft, loss, accidental damage, cracked screens and cracking screens. This includes phone coverage up to PS2,000 as well as accessories up to PS300 (chargers and headphones, for instance). Additional coverage is available for PS75.
- AXA provides worldwide family travel insurance that covers cancellation costs upto PS5,000, medical bills upto PS10m, lost valued up to PS750 and more. This insurance covers your spouse and your family members, with an excess of PS50.
Additional features:
- Interest: You can earn 1.50%/1.49% AER/Gross interest (variable) on your account balance, regular Pots and up to PS2,000 (excludes Savings Pots).
- View your finances: Monzo allows you to connect all your bank accounts to it so that you can see your finances in one place.
- Access to over 1000 airport lounges at a discounted price for you and your friends
- PS600 free international withdrawals: Every 30 days, you can withdraw up to PS600 abroad without any fees. This is three times the amount of a standard Monzo account.
- Advanced roundups: Monzo can automatically set aside 2, 5, 10, or 10 times more spare change for you every time that you spend.
They also have other paid-for accounts
Let’s start with Revolut, and then we’ll cover Monzo’s Premium and free accounts.
Revolut Plus:
Revolut Plus is a mix of their PS6.99 Premium and Free plans. It costs PS2.99 per Month and includes the following features:
- Insurance against theft
- Window of 90 days
- Cracked screen
- Event reimbursement
- You get PS30 per year in interest if you have PS10,000 saved in your Savings Vault
Revolut Metal:
The Metal package is for you if you are looking for a plan with more features than Revolut’s premium plan.
You’ll receive a contactless metal card for PS12.99 per monthly. It is made from one sheet of reinforced steel. A spare can be ordered for free.
Revolut’s lower-tier plan includes everything plus:
- Cashback: Get up to 1% cashback on any currency, even cryptocurrencies.
- ATM withdrawal: Get up to PS800 per monthly from ATMs around the world for free. After that, a 2% transaction charge is applied.
- Savings and Interest: If you have PS18,500 in your Savings Vault each year, you will get PS120 per year in interest.
- Protection: Purchases that are stolen or damaged accidentally get covered up to PS10,000 for the entire year.
Vaults
Revolut’s Savings Vaults are, as we have already mentioned, Revolut’s equivalent to a savings account. There are two options: an individual vault, or a group vault. Revolut’s Group Vault is the closest thing to a joint account. This account is a savings account that can be used by family members, friends, and coworkers who share the same financial goals. You could, for example, create a group vault if you and your friends want to travel together.
You can create your own vault and set financial goals.
Revolut’s Junior account
This is a great feature that makes it stand out from Monzo. You can create an account for your children and still have full control. This app is specifically designed to encourage financial responsibility in children. The app allows children to track, save, and spend money.
Revolut’s Junior Account gives you (when you sign up for the Standard plan):
- A card, account, and app to help your child
- You can set up custom controls to monitor your child’s online and contactless spending.
- Most merchants with age restrictions place card blocks.
- To manage your child’s spending, you can freeze or unfreeze their card.
- Revolut offers a range of cards that children can choose from.
- To protect the account privacy of their account, a number is placed on the back.
Upgrade to one of Revolut’s paid plans and get the Junior account features:
- It is possible to set goals and assign tasks. This is useful if you want your children to work hard and earn their money.
- Plus, Premium account holders get two Junior accounts and Metal unlocks five.
This account can be used by your child without a smartphone. It’s highly recommended that your child has the app in order to access all features of the account.
Monzo Plus
For a complete overview of Monzo’s other plans, click here
Monzo offers a Plus account, which is similar to Revolut. It sits between their current account and their premium account. You’ll pay PS5 per month and your contract will be for three months at a minimum.
These are the features it offers:
- All your bank accounts can be viewed in full financial transparency
- Virtual cards:
- Online subscription management
- Personalize up to 5 cards with your name and a choice of colors.
- To group and personalize your spending, you can create custom categories.
- You can earn 1.00% AER/Gross interest (variable) on your account balance and regular Pots (except Savings Pots).
- PS400 No Fee Withdrawals from abroad
- Advanced roundups: The same as Monzo Premium.
- Monzo App allows you to track your credit score.
- Monzo Plus customers have access to exclusive offers: Enjoy the following Monzo Plus partner offers: Patch; Hello Fresh, Naked Wines, Babylon Health; Fiit and Busuu.
Monzo Joint Account
Monzo offers a joint account, which is different from Revolut.
It has the following features:
- You both can have a joint account card
- It’s easy to keep track of who is paying what and where your money goes
- You can create spending budgets and receive instant notifications if you spend too quickly.
- Take a look at your bill summary, your account overview, and any other “committed spending” to quickly assess how much you have left.
Monzo 16-17 Accounts
Monzo does not offer a children’s account like Revolut. However, they do offer an account for 16-17 year olds. It includes almost all the Monzo standard accounts. Monzo has also imposed restrictions on spending money for illegal activities, such as gambling, to keep within the range of 18-year-olds.
PayPoint is also an option. This account has a lower limit than the 18+ account. A maximum of PS500 can be deposited every six months.
Monzo vs Revolut: Which one is better?
Revolut and Monzo offer exceptional features, and are a welcome alternative for traditional banks.
Revolut provides Junior accounts and group vaults, as we’ve already seen. They don’t offer a joint account like Monzo. Revolut offers more account plans at lower costs- their top plan Metal is less expensive than Monzo’s highest priced package. However, you might actually pay less overall with Monzo because Revolut has a more complex fee structure.
Monzo currently is only available in the UK. Revolut, however, has a much wider range of availability. Both offer excellent customer service and comparable international rates. Although Monzo may have a slight advantage, you can still access their help via their app and website.
Monzo also has the FSCS protection that protects customers, which is a win for them.
It is difficult to make the right decision and it is ultimately up to you. This article should have helped you to see the differences between each company and how it can suit your needs. Are you interested in Starling bank or other challenger banks? We’d love to hear your thoughts in the comments below!
