App-only bank Monzo hit by tech problems for the second time in a week

Tom Blomfield, CEO, Monzo (1)MonzoMonzo CEO Tom Blomfield.

LONDON — App-only banking startup Monzo has been hit by technical problems for the second time in a week.

The two-year-old startup currently offers a pre-paid card linked to an app, which lets people monitor their spending, upload money, and send money to friends.

Monzo told users on Tuesday night that it was having a problem with payments not displaying correctly in the app. As of 10.20 a.m. GMT (5.20 a.m. ET) on Wednesday, the startup’s engineers are still working on the issue.

Another problem arose on Wednesday morning, with reports of Monzo’s Android app crashing on launch. The company did not respond to BI’s request for comment at the time of publication but the company said in a statement to its 120,000 users:

“Our engineers are working toward fixing the problem, but transactions continue to be displaying in the app incorrectly. This remains an in-app display problem and your card will work as normal ???? ✅

“Our engineers are also working to deploy a fix to an issue with the Android app causing it to crash when launching. We’ll update you as soon as this has been done.

“We thank you for your continued understanding and patience and we’ll continue to update you with any developments.”

It’s the second time in a week that Monzo has been hit by technical problems. On Sunday, Monzo and three of its competitors went down for more than 12 hours after a key partner, Global Processing Services, was hit by a technical fault.

The technical problems come at a bad time for Monzo, which is currently taking pre-registrations for a £2.5 million crowdfunding campaign that values it at £65 million. Monzo boasted of its “market-leading mobile application” in its investment deck and said its tech is “highly extendable.”

Despite the glitches, Monzo’s crowdfunding should get over the line. It has so far attracted £10.9 million in pledges for investment, which will officially open on March 14. Last year the company raised £1 million in just 96 seconds.

 

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