UK-based Neobank Monzo has added three new security features to its app to protect user accounts from criminals, especially if a phone is stolen. These features will provide extra security to stop unauthorized transfers or withdrawals. The new tools will be available in the coming weeks.
The first feature is the “known locations” tool. It lets customers set safe places, like their home or work, where they can make big transactions. Monzo will use location tracking to see if the phone is in one of these safe places and will block transactions if it isn’t.
Another feature enables users to designate a trusted friend or family member who also has a Monzo account to verify significant transactions. This trusted contact will have the ability to view certain transaction details and can alert Monzo to any suspicious activities. Monzo will then hold the transaction until the trusted contact confirms its legitimacy.
Monzo Introduces New Security Features to Safeguard User Accounts from Theft and Fraud
The third security measure involves a secret QR code that users can either print and save or store on another device. To authorize large transactions, users will scan this QR code with the Monzo app. This adds an additional verification step to ensure the transaction’s security.
Monzo’s new features represent a pioneering move in mobile banking as the industry faces increasing fraud risks. Since its inception in 2015, Monzo has grown rapidly, achieving unicorn status in 2018 and overcoming financial difficulties in 2020-2021 to become profitable in 2023.
With a user base of nine million in the UK, Monzo recently secured significant funding, highlighting its continued growth and commitment to enhancing security for its customers.
