This guide is part of the Monzo hub, covering everything from Monzo’s core features to fees, limits, and savings options.
Monzo does not offer a traditional separate savings account. Instead, all savings live inside Pots — named sub-accounts within your Monzo account. Some Pots earn interest; others simply ring-fence money for a goal.
Monzo Pot Types — Summary
| Pot type | Interest | Access | Best for |
|---|---|---|---|
| Standard Pot | 0% | Instant | Budgeting, goal-setting without interest |
| Instant Access Pot | Variable AER (via partner banks) | Instant | Emergency fund, short-term saving |
| Locked Pot | Fixed AER for term | Locked until end date | Fixed-goal saving, preventing impulse spending |
| Round-up Pot | 0% (unless interest-bearing) | Instant | Automatic micro-saving |
| ISA Pot | Variable or fixed AER | Varies | Tax-free savings up to £20,000/year |
Instant Access Pots
Instant Access Pots are the closest Monzo has to a traditional easy-access savings account. Key facts:
- Operated via Monzo’s partner banks (OakNorth, Aldermore, and others)
- Interest is variable — the rate shown when you open the Pot applies until Monzo changes it
- Money can be withdrawn instantly, 24/7
- FSCS-protected separately under each partner bank’s £85,000 limit
- Monzo Plus and Premium subscribers earn a higher rate — the standard free account earns a lower rate
Check the current rate in the Monzo app under Savings before opening. Rates change and are not guaranteed.
Locked Pots
Locked Pots pay a fixed interest rate in exchange for locking your money until a chosen end date:
- Terms typically from 3 to 12 months
- Higher rates than Instant Access Pots (as of 2026)
- Cannot withdraw early without contacting Monzo support
- Good for money you know you won’t need — holiday fund, annual bills, a tax pot
Monzo Cash ISA
Monzo has offered a Cash ISA to UK residents. The annual ISA allowance is £20,000 (2025/26). ISA availability and rates change — check the Monzo app under Savings → ISA for the current offer.
Should you use a Monzo ISA? Only if the rate is competitive. Monzo’s ISA rate is not always market-leading. Before opening, compare against:
- NS&I
- Marcus by Goldman Sachs
- Chase UK
- Dedicated building societies
Is Monzo Good for Savings?
| Situation | Verdict |
|---|---|
| Want to save inside your banking app | ✅ Good — Pots are seamless |
| Need instant access | ✅ Good — Instant Access Pot |
| Want a fixed rate | ✅ Good — Locked Pot |
| Monzo Plus or Premium subscriber | ✅ Better rates on Pots |
| Maximising interest on large balances | ⚠️ Compare elsewhere — dedicated providers often pay more |
| Want a cash ISA | ⚠️ Check rate vs. best-buy ISAs first |
Monzo is convenient for savers who want everything in one app. For maximising returns on larger balances, dedicated savings accounts and ISA providers consistently outperform Monzo’s standard rates.
Round-Up Pots
Round-up Pots automate micro-saving: every card purchase is rounded up to the nearest pound and the difference is transferred to a chosen Pot. This is a useful way to build a savings habit with no manual effort. You can enable round-ups in the Monzo app under Account → Round-ups.