Monzo Raises £85M

Monzo , the UK challenger bank that “lives on your smartphone,” has raised £85m in Series E funding, at a pre-money valuation of £1 billion.

The round was led by General Catalyst and Accel, with participation from existing investors that include Passion Capital, Goodwater, Thrive Capital, Orange Digital Ventures and Stripe.

“Over the last 12 months we’ve grown Monzo to more than one million customers. At the beginning of this year, we asked everyone to upgrade to full Monzo current accounts, and nearly 95% of our users came with us. Since then, we’ve rolled out some great new features, like joint accounts, accounts for 16 year olds, and most recently, our super simple bill splitting functionality. Alongside this, we’re seeing incredible levels of customer engagement, with our Net Promoter Score at around 80, monthly active customer numbers of nearly 800,000 and more than 35,000 people on our community forum. This new funding will help us bring Monzo to even more people across the UK, and let us continue to build exciting new features (like Savings Pots), while ensuring you continue to receive the great customer service you’re used to.” – Monzo’s blog.

Speaking of community forum, insurance is a topic with ~275 conversations, and according to this thread, mobile insurance may be added to the Monzo marketplace.