Monzo has reintroduced its automated savings challenge for the year 2026. The initiative involves starting with saving just 1p on January 1, then incrementally increasing the daily savings amount by 1p. By the end of the year, participants who successfully complete the challenge could save a total of £667.95. Additionally, Monzo is offering a £10,000 prize to one individual who finishes the challenge by January 31, 2027.
To take part, individuals need to sign up through the Monzo app, where a Challenge Pot will be created to automatically transfer the savings. The challenge spans 365 days from the first saved penny, and enrollment is open until January 31, 2026. Those who participate for half a year could save £168.36.
Monzo’s Extra, Perks, and Max customers have the opportunity to unlock enhanced features this year. They can opt to save 2p or 4p on the first day, with the savings doubling each subsequent day. Those who turbocharge their savings could potentially save up to £2,671.80 annually. Moreover, these customers can earn 5% interest on their Challenge Pot and stand a chance to win £100 monthly in a prize draw, with 100 winners every month.
In the previous year, 1.7 million Monzo customers took part in the savings challenge, collectively saving over £360 million by November.
Marc Sfeir, Product Director at Monzo, emphasized the effectiveness of starting small with financial goals to foster consistent habits and gradual progress. The savings challenge aims to make saving enjoyable and effortless, ultimately leading to significant financial changes through habit formation.