Digital banking business Monzo today launched its new Premium package, offering phone and travel insurance for customers.
The metal Premium card will cost £50 to make and cost customers £180 a year in membership.
For that price, they’ll receive the 16g stainless steel card, plus gadget insurance from Assurant and travel insurance provided by AXA, a 1.5 per cent interest rate and airport lounge access.
Customers will also be able to pay £15 per month for a minimum of six months for the metal card service.
The move follows Revolut and Curve, who launched their own metal card subscriptions in 2018 and 2019 respectively.
Monzo’s Premium joins Monzo’s cheaper subscription tier, Monzo Plus, which launched in July 2020.
Over 50,000 subscribers are currently signed up to the Plus service, which costs £5 a month.
It’s the latest move from fintech companies looking to disrupt the UK’s financial sector.
In February this year rival Revolut launched open banking for all of its UK retail and business customers allowing them to share data across various financial providers.
In the same month Revolut became the highest-valued fintech company in the UK, tripling its value after a funding round to £4.2 billion.
Meanwhile Monzo’s latest funding round raised less than expected, after its growth plans were hit by coronavirus.
In June Monzo raised around £60 million, less than the £100 million executives had originally been aiming for.
The funding valued five year old Monzo at around £1.25 billion, lower than the £2 billion valuation it secured at its previous fundraising in June 2019.