The vast majority of Monzo customers have upgraded to current accounts, says the company, which has now closed its pre-paid beta programme.
Monzo says more than 362,000 customers – including 94% of active users – have upgraded their accounts and claims there are 500,000 people using its current account service.
The company, backed by Passion Capital, Thrive Capital and Goodwater Capital, first launched its closed beta programme in 2015 in a bid to get customer feedback.
Monzo received its full UK banking license two years later, in April 2017, and launched current accounts in Autumn last year.
Commenting on the company milestone, Tom Blomfield, Monzo’s CEO, said: “We believe that the best way to build a great product is by launching it early and improving it based on feedback from real people.
“I feel very lucky that we have a community of users that care enough to share their enthusiasm, ideas and frank feedback with us. They’ve helped us make Monzo what it is today, and I’m glad that so many people have chosen to join us for what’s next.”
Eileen Burbidge, partner at Passion Capital, spoke about the company’s trajectory to date: “Given that customers typically stay with the same bank for an average of 17 years and only 3% of people in the UK move to a different bank each year, what Monzo has achieved is remarkable.
“To have so many customers upgrade proves how engaged and loyal Monzo’s user base really is. It reflects a genuine appetite for a bank that’s doing things differently,” Burbidge added.
Monzo, which now employs a team of 300 people mostly split between London and Cardiff, says that at the time of writing only 98,000 users had not upgraded from a prepaid to a current account.