Monzo Review: Is It Worth Making Monzo Your Main Bank?

This Monzo review is for anyone weighing up whether the app bank that started the whole category can actually replace a traditional current account. The short version: Monzo remains one of the strongest everyday accounts in the UK, mostly because the free account does so much without asking for a penny. Where it gets less clear cut is the savings rates and the paid plans, which are worth a hard look before you commit. Here is how it holds up when you use it as a main bank rather than a spending pot on the side.

The quick verdict

Monzo is worth making your main bank if you want budgeting tools that genuinely help you control spending, Pots to organise money, and fee-free card spending abroad. It is less compelling if your priority is the single highest savings rate or straightforward cashback, where rivals like Chase have an edge. For most people who want their banking app to do the thinking, Monzo earns its place as the main account.

What you get on the free account

The thing that keeps Monzo ahead is that the free current account is close to complete. You get a full UK current account with a sort code and account number, a contactless card, instant spending notifications, Direct Debits and standing orders, and no monthly fee.

The budgeting side is where it pulls away from high-street banks. You can create Pots to ringfence money for bills, holidays or an emergency fund, set category budgets, and use the Salary Sorter to split your pay automatically across spending, saving and bills the moment it lands. There is a live view of what you have left to spend, and round-ups that sweep spare change from purchases into a Pot. If you have ever struggled to keep a budget, this is the single best reason to switch.

Spending abroad is a genuine strength. Monzo charges no foreign transaction fee on card payments and passes through the Mastercard exchange rate with no markup. Fee-free cash withdrawals are unlimited in the EEA if Monzo is your main account, and capped at £200 a month elsewhere before a 3% fee applies, so it comfortably covers most holidays.

Savings and interest rates

This is the part of any Monzo review where you need to read the small print. Monzo holds savings in Pots rather than one headline account, and the rate depends on the type of Pot and your plan.

The Instant Access Savings Pot has paid around 2.75% AER (variable) on the free plan, rising to roughly 3.25% AER for customers on the Perks or Max plans. Monzo also offers easy-access and fixed Savings Pots supplied through partner banks, and on the most competitive of these the rates have been broadly in line with the wider easy-access market. Cash ISAs are available in-app too. Rates move constantly, so always check the live figure before you act.

The honest takeaway: Monzo’s default savings rate is fine rather than market-leading. If squeezing out the very top rate matters to you, you may still want a separate savings app alongside Monzo. For a comparison of the field, see our guide to the best high-interest savings apps in the UK.

The paid plans: Extra, Perks and Max

Monzo’s free account is complete enough that the paid plans are an upgrade, not a necessity. There are three: Extra at £3 a month, Perks at £7 a month, and Max at £17 a month (Max with Family is £22). The older Monzo Plus and Premium plans are closed to new customers.

The paid tiers layer on higher savings boosts, virtual cards, advanced round-ups, and lifestyle perks. Perks and Max include an annual Railcard, and Max adds worldwide travel insurance and mobile phone cover. Whether they pay for themselves depends entirely on whether you would use those perks anyway. If you already buy phone insurance and a Railcard, Max can make sense; if you would not, the free account is the smart choice. Work out the annual cost against what you would actually claim before subscribing.

Is your money safe with Monzo?

Yes. Monzo holds its own full UK banking licence and is covered by the Financial Services Compensation Scheme, so eligible deposits are protected up to £120,000 per person following the increase that took effect on 1 December 2025. That protection covers money in your current account and in Savings Pots held by Monzo. You can confirm the current limit on the FSCS website. In practice Monzo is as safe as any high-street bank; the app-only model does not change your deposit protection.

Where Monzo falls short

No account is perfect. Monzo has no branches, so if you deal in a lot of cash or need in-person service it will frustrate you, though you can pay cash in at PayPoint tills for a small fee. Its default savings rate trails the best buys. And it offers no straightforward cashback on everyday spending, which is where an account like Chase pulls ahead. For a head-to-head, read our Chase vs Monzo comparison, or see how it stacks up against its closest rival in Monzo vs Starling.

Who should make Monzo their main bank?

Make Monzo your main account if you want the best budgeting experience in UK banking, Pots to keep your money organised, and easy fee-free spending abroad, all on a free account. Look elsewhere, or run a second account alongside it, if your priority is the highest possible savings rate or cashback on your card. For a lot of people the winning setup is Monzo as the everyday account that keeps the budget honest, with a separate savings app for the money you are not spending.

Frequently asked questions

Is Monzo worth making your main bank account? For most people, yes. The free account includes budgeting tools, Pots, fee-free spending abroad and a complete set of everyday banking features with no monthly fee. It works best as a main account for anyone who wants help managing money, though you may want a separate savings app for a top rate.

Is Monzo safe and FSCS protected? Yes. Monzo holds its own UK banking licence and is covered by the Financial Services Compensation Scheme, protecting eligible deposits up to £120,000 per person since 1 December 2025. That includes money held in Monzo Savings Pots.

What interest does Monzo pay on savings? Monzo’s Instant Access Savings Pot has paid around 2.75% AER (variable) on the free plan, rising to roughly 3.25% AER on the Perks and Max plans. It also offers easy-access, fixed and Cash ISA Pots, some through partner banks. Rates change often, so check the live figure in-app.

How much do Monzo’s paid plans cost? Monzo has three paid plans: Extra at £3 a month, Perks at £7 a month, and Max at £17 a month, with a Max with Family option at £22. The free current account covers everyday banking, so the paid tiers are an optional upgrade for extra perks and higher savings boosts.

Can I use Monzo for spending abroad without fees? Yes. Monzo charges no foreign transaction fee on card payments and uses the Mastercard exchange rate with no markup. Cash withdrawals are fee-free and unlimited in the EEA if Monzo is your main account, and capped at £200 a month elsewhere before a 3% fee applies.

Does Monzo have any downsides? The main drawbacks are no branches, a default savings rate that trails the best buys, and no cashback on everyday spending. If you handle a lot of cash or want card rewards, you may prefer to pair Monzo with another account rather than rely on it alone.