A MAJOR bank has brought back a popular feature that can help you stash away over £660 next year without even noticing.
Monzo is launching its 1p Saving Challenge in January for a second year.
But customers were left fuming after the bank revealed earlier this month it was cutting the interest rate on savings built from the challenge.
In light of the recent Bank of England base rate cut, Monzo told customers interest earned on the challenge would drop from 3.50% AER to 3.25% AER from January 6.
Some 1.2million customers took part in the challenge in 2025, saving a total of £308million.
If you have a Monzo account, you can sign up and you’ll instantly get a Challenge Pot created in your app.
The challenge lasts for 365 days, from the day you save your first penny.
On day one, it will automatically add 1p to your pot, and an extra penny will be added each day after that.
So you’ll save 2p on day two, 3p on day three, and so on, until you put away £3.65 on the final day.
Savers who complete the challenge will rack up £667.95 in total, Monzo says.
The challenge is fully automated and requires no effort, and aims to help you stash away small amounts of cash without you noticing.
Customers who complete the challenge will be added to a prize draw with a chance of winning £10,000.
If you have a premium Monzo account, you can earn a higher 5% interest on your Challenge Pot.
This would give you an extra £33 on top of your savings if you complete the challenge, bringing your total to over £700.
