Revolut vs Monzo – Free bank accounts compared
Key Points
- Monzo and Revolut are the most popular neobanks in the UK today.
- We have compared the free current accounts offered by Monzo and Revolut, looking at core features and perks available to users.
- While Monzo offers a slightly better deal for currency exchange and allows cash or cheque deposits, Revolut allows users to hold multiple currencies and cryptocurrencies.
- Monzo and Revolut both offer app-based signup and account management, making it easy to open an account with quick and efficient debit card delivery.
Neobanks in the United Kingdom have become mainstream, and many consumers are now comfortable using a branchless, app-focused application as their primary banking platform.
Over the last decade, companies such as Monzo and Revolut have disrupted the traditional banking sector with their cashless and branchless approach to banking, forgoing a physical presence for ease-of-use through smartphone-based banking and quick, efficient card delivery.
While they entered as outsiders, Monzo and Revolut have become two of the fastest-growing banking platforms in the United Kingdom.
Each bank is accessed primarily through a smartphone application and focus on accessible debit cards with attractive perks over legacy banking products.
Monzo and Revolut offer free entry-level accounts to customers in the UK that are easy to set up, manage, and use while at home and abroad.
We have compared the free accounts offered by Monzo and Revolut below in an effort to determine which offers the best experience for different consumers in the UK.
Free account comparison
While there are many similarities between Monzo and Revolut’s free current account offerings, including savings interest rates and FSCS Protection, there are a few key points of difference that are immediately apparent from a high-level comparison.
While both Monzo and Revolut are both certified banking providers in the UK (Revolut finally secured its full, unrestricted licence in March this year), the former offers a wider range of features traditionally offered by legacy banks.
This includes the ability to deposit cash at Post Office branches for a minimal fee of £1, as well as to deposit cheques by scanning them in the Monzo app.
Monzo also offers an overdraft of up to £2,000 for free Personal account holders, while there is no overdraft facility available to Revolut customers on the free plan.
Both applications restrict international overseas payments and currency exchanges to some level, although Monzo is more generous with currency exchange within the EEA and UK.
| Monzo Personal (Free) | Revolut Standard | |
|---|---|---|
| Card | Hot Coral Debit Card | Standard Debit Card |
| ATM withdrawal fees (UK and EEA) | Unlimited fee-free withdrawals | Fee-free up to £200 or 5 withdrawals a month. 2% fee afterwards. |
| ATM withdrawal fees (International) | Fee-free up to £200 every 30 days (Unlimited inside EEA). 1% fee afterwards. | Fee-free up to £200 or 5 withdrawals a month. 2% fee afterwards. |
| Savings Interest | 2.7% AER on Instant Access / 3.15% AER on Select Access | 2.9% AER |
| Currency exchange fees | Free | Free on weekdays up to a £1,000 monthly limit. 1% fee aftwerwards. |
| Cash/Cheque Deposits | £1 cash deposits at Post Office. Cheque deposits supported in app. | Not available |
| Overdraft | Up to £2,000 | Not available |
| Customer Support | 24/7 in-app support | 24/7 in-app support |
| FSCS Protection | Up to £120,000 per person | Up to £120,000 per person |
| Monthly Cost | Free | Free |
When it comes to choosing between these two very similar free current accounts, many will likely make their final decision based on the specific perks offered by each bank.
Let’s take a look at some of these bank-specific features below.
Monzo free perks and features
One of the headline features of Monzo accounts is Pots – easy ways to organise and save your money. Pots are essentially little sub-accounts that can be configured to your liking.
Users can set up an Instant Access savings pot to earn interest on money they can remove immediately, or a Select Access savings pot to earn greater interest on money held for longer. Additionally, Monzo users can round up their payments to the nearest pound, putting the remainder directly into a Pot within their account.
Eligible customers on Monzo’s free current account will also be able to get paid one day early, and they can automatically sort and separate their salary as soon as the money lands in their accounts.
As an app-first bank, Monzo provides currency exchange information live in its application, as well as instant notifications on transactions and the ability to freeze your card from your phone if it is lost or stolen.
Revolut free perks and features
Like Monzo, Revolut also offers an Early Salary feature that allows eligible customers to be paid their wages one day early.
Unlike Monzo, however, Revolut has a much greater focus on international payments and different currencies. On the free Revolut Standard plan, customers can hold more than 30 different currencies within their account, making cross-border payments and travelling more straightforward.
Revolut also offers the ability to exchange currency within the application, allowing you to swap your pounds for other currencies before you travel or send funds to friends and family living abroad.
The app is also more crypto-friendly than Monzo, allowing users to purchase and hold more than 300 different cryptocurrencies in a custodial wallet. Revolut’s crypto features are available to free users but may require additional verification.
