By Daniel Lanyon on Tuesday 9 November 2021
Monument’s regulatory restrictions on deposit-taking has been lifted by the FCA and PRA.
A new digital challenger bank for the UK’s 4.8 million “mass affluent” customers is gearing up to launch following the lifting of regulatory restrictions.
In October 2020 Monument was granted ‘authorisation with restriction’ by the Financial Conduct Authority and Prudential Regulation Authority to begin acting as a fully-fledged bank, with restrictions usually being removed following the completion of a larger capital raise.
At the same time, it raised its Series A fundraise, which went on to total £28m when it closed in February. To date, it has raised £60m of capital.
Now, nearly one year on it is set to go fully live in the market.
At launch, the bank is offering clients buy-to-let and bridging loans to support experienced and busy landlords to manage and grow their portfolios.
Clients will be able to borrow up to £3m for buy-to-let property investments, supported by specialist relationship managers
Monument will also offer easy access and various fixed-term savings products soon, providing competitive rates for pots over £25,000. It also says it will more favourable rates to repeat customers.
It says its target market is professionals, entrepreneurs, property investors, and will operate as a deposit-taking institution with competitive savings products while offering property investment loans to clients.
Mintoo Bhandari, CEO of Monument, said: “The regulators have given us the green light to proceed to commercial launch. We are ready and eager to serve clients, who we believe have been lacking a bank that is being developed to serve their needs and service requirements."
“While we never planned to build and launch a bank in the middle of a global pandemic, the timing could not have been more relevant as the demand for, and comfort with, digital finance has accelerated dramatically over the past 18 months."