Monzo’s gambling block tool hits 500,000 users as banks tackle addiction risks
Monzo, a leading digital bank, has seen a surge in customers using its gambling block tool. Over 500,000 of its six-million users have enabled the feature since its introduction in 2018. This tool automatically blocks transactions to known gambling merchants once enabled. Recently, 50,000 new customers have signed up to use it in the past six months.
Monzo's gambling block, launched in June 2018, was among the first of its kind. It works by preventing direct credit/debit card transactions with known gambling merchants. However, it's important to note that it doesn't cover alternative payment methods. Monzo partnered with TrueLayer to make this tool available to other banks through open banking API software.
Other traditional banks like Wells Fargo, PNC Bank, and US Bank have followed Monzo's example and introduced similar features. Lloyds Bank, for instance, offers an ambitious gambling limit program that allows customers to set monthly spending limits on their debit cards. NatWest, Chase, and Starling Bank have also introduced self-exclusion features to help customers manage their spending and gambling habits. Revolut, another digital bank, joined the trend in 2021.
The increasing use of Monzo's gambling block tool and the introduction of similar features by other banks reflect a growing awareness and concern about gambling-related spending. Monzo's petition to UK MPs and Ministers in February 2021, urging them to crack down on payments to and from gambling companies, further underscores the bank's commitment to helping customers manage their gambling habits.
