UK challenger bank Monzo is further diversifying its product range with the launch of a new pension conolidation product that tracks down old pensions and brings them into one fund in the Monzo app.
The launch of the product comes off the back of new research from Monzo that reveals that more than half of UK adults (51%) don’t know how much they have saved for retirement with nearly two-thirds (64%) not having consolidated their pension pots.
To get on board, customers share a few details and names of former employers and Monzo does the rest - tracking down and combining all old pensions into a BlackRock-managed retirement fund.
Customers will pay a 0.45% platform fee - 0.35% for premium Monzo Perks and Max subscribers - and 0.18% fund fee.
Andy Smart, general manager of savings, investments and pensions at Monzo, comments: “We know from speaking with our customers that visibility and knowledge of their pension is low and anxiety is high - so we’ve designed Monzo Pension to solve exactly these pain points. Managing multiple pensions and planning for retirement is unnecessarily complex, which means people default to avoiding it and end up on the back foot. Now our customers can get on the front foot and keep tabs on their future financial goals alongside the rest of their finances in the Monzo app - planning not just for today or next month, but for years to come.”
Registration is open from today with the product gradually rolled out to customers over the coming months