As parents look to help their children learn about money, budgeting and saving, the landscape of kids’ bank accounts is growing fast. One of the newer players is Monzo’s children’s offering, and in this article we look at the pros and cons of Monzo’s account, then compare it with popular alternatives in the UK market so you can decide what might be best for your family.
Pros
- Free to open and maintain: no monthly fee, no top-up fee, no subscription required.
- Savings “Pots” for children, allowing goal-setting and a youthful-friendly experience.
- Interest on savings: Monzo offers around 3.00% AER (variable) on the kids’ savings portion. (Monzo)
- Strong parental controls: the child’s account is linked to the parent’s Monzo account; the parent can view spending, set limits, freeze the card etc. (finder.com)
- Modern app-centric experience: coloured card (pink, yellow, blue) and mobile-first design. (Monzo)
- Protection: As a licensed bank, deposits (within the parent’s £85,000 FSCS limit) are protected. (finder.com)
Cons
- Parent must already be a Monzo customer: you cannot open the child’s account unless the parent/guardian has a Monzo current account. (Monzo)
- Digital-only: no branch network, so if you or your family prefer face-to-face support, this may matter.
- Some practical limitations: spending/ATM limits (e.g., daily spend limit, daily cash withdrawal) apply and may be more restrictive than you expect. (finder.com)
- Savings cap / structure: The savings balance for children may have certain limits (for example Monzo mentions a maximum savings per child). (Monzo)
- Fewer “extras” compared to some specialist kids’ accounts (for example chore-tracking apps, gamified reward systems) — Monzo focuses more on banking than chores/rewards. (finder.com)
- Age / feature restrictions: For example, mobile wallet (Apple Pay/Google Pay) may only be available when child is older. (finder.com)
How Monzo Compares with Other Kids Bank Accounts
Here’s a table comparing key features of several popular UK kids/teen accounts:
| Provider | Age Range* | Key Highlights | Key Limitations |
|---|---|---|---|
| Monzo Under 16s | 6-15 | Free; savings Pots with ~3.00% AER interest; parental controls; digital card; FSCS protected. | Parent must be Monzo customer; digital-only; some spend/ATM caps. |
| Starling “Kite” (child account) | 6-15 | No monthly fee; parental controls; easy linking. | Interest rate on child account is often 0%; parent must have Starling. |
| Revolut < 18 | Varies (often 6-17) | Multi-currency options; digital-first; some card customisation. | May lack full UK bank licence (so FSCS protection may differ); some features behind paid-tiers; fewer parental banking features in some cases. (finder.com) |
| **Santander 1 | 2 | 3 Mini (13-17)** | 13-17 |
| HSBC MyMoney (11-17) | 11-17 | Free; linked savings with higher interest; traditional bank backing. | Parent must bank with HSBC (or meet criteria); for older children; fewer “fun” card/design features. |
* Age ranges approximate and may vary by provider or change over time — always check current eligibility.
What This Means for Parents
If you’re considering a kids/teen account, you might ask:
- How old is my child now (and how soon will they move into a teen account)?
- Do I already bank with one of these providers (makes set-up simpler)?
- How much do I value savings interest vs convenience vs parental controls?
- Do we prefer a fully digital experience (app only) or would we value branch access?
- Are there extras (chores apps, rewards, multi-user parental access) that matter to our family?
- What are the real-world spend/withdrawal limits and how will the card be used (school trips, abroad, transport etc)?
For many families, Monzo Under 16s will hit a sweet spot: no fees, modern app, decent interest, good controls. But if you’re banking elsewhere, or your child is older, or you prefer branch support, one of the alternatives might suit better.
Final Verdict
For many parents, the Monzo kids account offers a strong mix of features at zero cost: accessible from age 6, savings interest, parental oversight, and no hidden fees for spending at home or abroad. It’s especially strong if your child is between 6-15 and you’re comfortable using the Monzo app ecosystem.
However, it may not be the perfect fit for every situation — for example if you prefer a bank with physical branches, or your child is older, or you already have a strong relationship with another bank offering high savings interest for teens. Also, the requirement that the parent needs a Monzo current account is a limiting factor for some families.
My recommendation: If you’re considering Monzo, sign up, explore the features (especially parental controls, card usage) and compare with one or two alternatives (Starling, HSBC, Santander) especially focusing on your child’s age, how you and your child will use the account, and what priority you place on interest vs convenience vs features.