Savings Interest Rates, Switch Offers and Guides for Monzo

Who they are

Monzo launched in 2015, originally under the name Mondo , with a simple ambition: build a bank that lives entirely on your phone. Rather than building quietly until a full banking licence was secured, the team introduced a prepaid Mastercard paired with a beautifully designed mobile app - a move that let them build a loyal community long before the current account arrived. In April 2017, Monzo was granted its full banking licence by the Prudential Regulation Authority and the Financial Conduct Authority , and it has not looked back since. As of May 2026, Monzo reported having more than 15.2 million customers and customer deposits exceeding £25 billion.

The app itself remains one of the most talked-about in UK banking. Monzo introduced features like Salary Sorter to auto-budget paychecks, Bills Pots to segregate funds for expenses, and Get Paid Early to receive BACS payments a day in advance. It is an independent bank - not part of a wider high-street group.

One note worth flagging: in July 2025, the FCA imposed a £21.1 million fine on Monzo for inadequate anti-financial crime systems between October 2018 and June 2022, with the penalty reduced from £30.1 million due to early settlement. Monzo cooperated fully and has since invested heavily to overhaul its compliance systems.

Savings accounts

Monzo offers a range of savings options to suit different goals and balances. On the easy-access side there are two tiers. The Instant Access Savings account starts from just £1 and pays a variable rate - check the live figure on this page. For savers who can keep at least £500 in place, the Select Access Savings account pays a higher variable rate and is worth considering if you are confident you will not need the minimum balance at short notice. Both accounts carry instant access and are covered by FSCS protection.

The same two-tier structure applies to Cash ISAs - an Instant Access Cash ISA from £1, and a Select Access Cash ISA requiring a £500 minimum. Both give you instant access to your money, which is useful if you want the tax shelter of an ISA without locking anything away. Monzo also offers a Stocks and Shares ISA, where investments are protected up to £85,000 and any uninvested cash up to £120,000 by the FSCS.

The standout for committed regular savers is the 2026 Saving Challenge, which pays 5.00% - a notably higher rate than the easy-access options. If you can stick to the challenge, that headline rate makes it worth a look. Monzo also caters to younger savers with an Under 16s Instant Access account and an Under 16s Savings Account (a Junior ISA), both paying a variable rate from £1.

On FSCS protection: eligible deposits in Monzo are protected by the Financial Services Compensation Scheme up to £120,000 per person - higher than the standard £85,000 limit you see elsewhere, because Monzo holds deposits in a way that qualifies for the elevated threshold.

Is it right for you?

Monzo works well for people who want their savings and everyday banking in one slick place. The app is genuinely among the best in the UK for visibility and budgeting - real-time notifications alert users to spending, deposits, and potential fraud, while the app automatically categorises expenditures into buckets such as groceries, transport, and entertainment. If that kind of financial clarity matters to you, Monzo delivers it naturally rather than as a bolt-on.

The savings range is broader than many digital banks manage - easy access, Cash ISAs, a Stocks and Shares ISA, a regular saver challenge, and accounts for children all under one roof. There is no current-account switch offer in place right now, so if a cash bonus is your priority, other providers may suit you better at the moment.

As always, the rates you see named above are a snapshot. Use the live figures on this page to compare what Monzo is actually paying today before you decide.