Monzo, one of a number of so-called “challenger” banks in the U.K. aiming to re-invent the current account, has had the “restrictions” on its banking license lifted and says it will begin rolling out full current accounts to its pre-paid card and beta app users.
Whist this might seem like a regulatory technicality, it’s a significant milestone for the young London-based startup and means U.K. regulators are confident Monzo has the required technology infrastructure and capital required to begin looking after customer deposits on a much-wider and protected scale.
This can also include being able to lend those deposits out at some point in the future, which, like rival Starling and traditional banks, forms the basis of the company’s initial…