Monzo, the digital banking service, successfully halted £9 million in gambling-related transactions in 2024. This figure represents an 8% increase from the previous year, following the implementation of enhanced features in its transaction blocking technology.
In 2024, over 70,000 users engaged with Monzo’s self-managed gambling block tools. The average cooldown period for these blocks jumped significantly—from three months to ten. Since the software enhancements introduced in 2023, 75% of Monzo users have chosen a cooldown duration surpassing 48 hours, with 41% opting for a maximum 12-month period, the longest permitted by the bank.
Additionally, the number of monthly blocked gambling payments saw a 20% rise, bringing the total to £800,000 each month. This is a noticeable increase from the 2023 monthly average of £657,000.
Monzo employs a tagging system to monitor gambling-related payments, marking each with a specific gambling merchant category code. Central to Monzo’s strategy to prevent gambling harm is the ‘note to future you,’ which provides a personalized message to users who appear tempted to resume gambling. This feature prompts the user to recall their reason for quitting.
According to Monzo’s data, approximately 8,500 users have utilized this function. Another key component of Monzo’s strategy to encourage healthy financial habits is the varying cooldown periods during which gambling transactions are entirely blocked. Users cannot dissolve the cooldown until the designated time has elapsed.
Monzo pioneered the introduction of gambling transaction blocks among UK banks in 2018. Subsequently, many traditional and challenger banks have developed similar blocking solutions.
Kate Graham, Monzo’s vulnerability manager, emphasized the importance of customer feedback in developing features like the gambling block, stating that it has helped users reshape their financial management. She noted that many customers have successfully resisted the urge to gamble by using self-written notes within the Monzo app and choosing extended cooldown periods.
Raminta Diliso, GamCare’s financial harm manager, highlighted the significance of addressing financial harm through tools like Monzo’s gambling block, acknowledging their role in recovery and financial control. She praised the diverse options Monzo offers, especially the extended 12-month cooldown period, as vital for supporting users in their recovery journey.
The article “Monzo reports £9m in blocked gambling transactions for 2024” was initially published on EGR Intel.