The best app-only bank in the UK

With the world of Fintech on the rise, app-only banks are increasing in popularity. The latest figures from the Current Account Switching Service (CASS) covering the 1st October to the 31st December 2025 still reveal a preference for high street banks, with established players like Nationwide attracting more than 64,527 new customers. However, the app-only bank Monzo acquired over 9,074 customers during that period and others such as Starling lost fewer customers than some of their high street competitors, even though they rarely run financially incentivised switching offers.

For more information on the best offers available when switching bank accounts, check out our article, 'Best bank account switching offers'.

What is an app-only bank?

An app-only bank allows you to manage your bank account digitally without the need to visit bank branches and fill out hefty paperwork. You simply manage everything in your mobile app and can securely set up an account with a few personal details and proof of identity via photo or video.

Is my money safe with an app-only bank?

As with High Street banks, if the banking app you download is a fully licensed bank you will be protected by the Financial Services Compensation Scheme (FSCS). This ensures that if the bank goes bust, your money is protected up to £120,000.

Some app-only banks are yet to receive their banking license but still offer some protection under the Financial Conduct Authority (FCA). This means your money is protected because it is stored by a registered bank, however, if the registered bank goes bust it is unlikely you will get your money back.

You can see the protection each bank offers, in our comparison table below.

The best app-only banks in the UK

Below we have compared 6 of the best app-only banks available in the UK.

App-only bank comparison table

(Scroll for full table)

	Starling Bank	Revolut	Monzo	Chase Bank	Biscuit by Zopa Bank	Atom Bank
Account types	Personal, Joint, Under 16, Teen Business, Euro, Savings	Personal, Business, Under 16, 16-17, Savings, Freelancer, Joint	Personal, Joint, Under 16, 16-17, Business, Savings	Personal, Savings	Personal, Savings	Savings, Mortgages, Business loans
Key features	Multiple accounts Flexible overdraft Marketplace offers other financial products	Budgeting features Multi-currency account	Budgeting features Savings pots	Earn cashback Interest on round-ups	Earn cashback Earn interest on current account balance	No branches Application is completed through the app
Savings interest rates	2.50% AER on Easy Saver 3.70% AER Fixed Saver	2.90% to 4.00% AER (variable) on Instant Access Savings (depends on plan)	2.75% - 3.25% AER on Instant Access Saver	2.25% AER on savings 5.00% AER on round-up account	7.10% AER on Regular Saver 2.95% AER on Smart Saver	2.50% AER Instant Saver up to 4.85% AER Fixed Saver
Free cash withdrawals (limits apply)	YES	YES	YES	YES	YES	NO
Fee-free spending abroad (limits apply)	YES	YES	YES	YES	YES	NO
FSCS protection	YES	YES	YES	YES	YES	YES
More information	Starling Bank	Revolut	Monzo	Chase	Biscuit by Zopa Bank	Atom Bank

 

The list below summarises some of the key features of best app-only banks in the UK.

Starling Bank - good for all-round every day banking

• Personal, Joint, Business, Under 16, Teen and Euro accounts
• Allows multiple Savings Spaces all in one place
• Real-time updates to track daily spending quickly
• Get notifications from payment-related activity
• Gain spending insights on your spending activity
• Round up your spending to the nearest pound and the money is automatically put into a Savings Space
• Fee-free spending when travelling abroad, including cash withdrawals
• Lock your card in-app if lost or stolen
• Contactable 24/7
• Restrictions for problem spending such as gambling
• Split the bill feature
• Send money abroad
• Apple Pay, Google Pay^TM, Samsung Pay, Fitbit Pay, Garmin Pay

For more information on Starling Bank read our Starling Review.

Revolut - good for international spenders

• 5 Subscription plans available ranging from free to £55 per month
• Built-in budgeting with "Pockets"
• Hold multiple currencies
• Round up your spending to the nearest pound and the money is automatically put towards saving goals
• Instant spending notifications
• Spend money abroad with no fees Monday to Friday only (fair usage fee applies for anything above £1,000 for Standard plans & £3,000 for Plus plans)
• Withdraw cash abroad fee-free (monthly limit applies depending on plan)
• Travel Insurance for Metal and Ultra customers
• Transfer money across the globe
• Earn RevPoints on everyday spending
• Freeze and unfreeze the card in the event it is lost or stolen
• Early Salary feature which allows you to get paid 24 hours in advance
• FSCS protection
• 24/7 customer support
• Can be used with Apple Pay & Google Pay^TM

For more information on Revolut read our Revolut Review.

Monzo - good for budgeting

• Can be used with Apple Pay, Samsung Pay, Google Pay^TM
• Personal, Joint, Under 16, 16-17 and Business accounts
• Account plan upgrades available at a cost
• Set spending budgets
• Clear and easy summary of spending
• Instant notifications
• Accepted worldwide
• Earn interest on savings
• Up to £2,000 optional overdraft
• Round up spare change to the nearest £ when spending
• Set up direct debits and standing orders
• Split bills easily
• Fee-free spending abroad
• Withdraw cash abroad with no fees (monthly limit of £200 outside EEA, 3% charge thereafter)
• Freeze card if lost or stolen

For more information on Monzo read our Monzo Review.

Chase - good for rewarding your daily spending

• 2% cashback on everyday debit card spending for your first year, max £20 a month (exceptions apply)
• 2.25% AER variable interest on linked Chase Saver account
• Round up your debit card spending to the nearest £1 and benefit from 5.00% AER variable interest on a linked round-up account
• 24/7 customer support
• No fees from Chase when spending abroad
• Additional current/saver accounts can be opened to be used for budgeting, spending or saving
• Account spending overview
• Spend with Apple Pay or Google Pay^TM
• Freeze your card if it's lost or stolen
• No minimum monthly amount needs to be paid into the account

For more information on Chase read our Chase Bank Review.

Biscuit by Zopa Bank - good for earning interest

• 2.00% AER variable interest paid on your current account balance
• Earn 2% cashback on household bills via Direct Debit (on up to £125 of Direct Debits a month)
• Access to an exclusive high-interest Regular Saver pot (7.10% AER)
• Spend with Apple Pay or Google Pay™
• Link external bank accounts to view balances and transactions all in one place
• Fee-free card spending when travelling abroad
• Withdraw cash abroad fee-free (limit of £200 every 30 days, 2% charge thereafter)
• Freeze and unfreeze your card in-app if it's lost or stolen

For more information on Biscuit by Zopa Bank review.

Atom bank - good for long-term saving and borrowing savings

• Specialise in savings accounts, mortgages and business loans
• Does not offer current accounts
• Open an account in under 10 minutes
• Competitive savings rates
• No minimum account deposit for an instant saver (£50 minimum for fixed saver)
• Maximum savings balance of £100,000
• UK residents only

For more information visit the Atom bank website.

App-only banks vs traditional high street banks

With more app-only banks emerging on the market, it is becoming popular to bank on the go from your phone. But how do they compare to the traditional high street bank?

App-only banks are more focused on the customer and scrap a lot of mark-up fees that High Street banks add on. Spending abroad with an app-only bank is often cheaper as many offer competitive exchange rates as well as fee-free spending.

Being able to get real-time notifications on your bank account allows you to see how much money you have available to spend, rather than having to wait a few days for the payment to leave your account. Instant notifications also allow you to track your spending. Most of the app-only banks also offer spending insights with graphs to highlight how much you have spent on eating out or shopping, for example. App-only banks also encourage budgeting and automatic saving; rounding up spare change when purchasing soon adds up.

App-only banks can make it tricky to deposit money into your account and pay in cheques. There are some that don't accept cheques, such as Chase Bank, Atom Bank, Revolut and Biscuit by Zopa Bank. With Starling, you can deposit cheques up to £1,000 by simply taking a photo, however with Monzo the limit is £500, so if it's over this amount, you'll have to send your cheque via post, and it will take 4-6 working days to show in your account once it has been received.

Depositing cash is also not always possible. Revolut stopped accepting cash deposits earlier this year, while Chase Bank, Biscuit by Zopa Bank and Atom also don't accept cash deposits. Starling Bank allows you to visit a Post Office branch to be able to deposit cash, which is free up to the annual £1,000 limit, there is a 0.7% fee thereafter. There is also a limit of £5,000 cash deposit per year for personal and joint accounts. You can also deposit cash into a Monzo account at any shop that displays a PayPoint logo but Monzo will charge you £1 to deposit cash and there are limits to the amount you can deposit (£750 at a Post Office and £300 at a PayPoint).

Pros and Cons of an app-only bank

Here is an overview of the pros and cons of having an app-only bank account.

Pros of an app-only bank

• No paperwork is required to open an account
• Manage everything from your phone
• Lower fees
• Fee-free spending abroad (limits may apply)
• Easier to budget and control spending with a spending breakdown
• 24/7 support (with most app-only banks)
• Ability to lock card the moment you realise it is lost or stolen
• Automatically save with roundup spending

Cons of an app-only bank

• Need a smartphone to use
• Reliant on an internet connection
• Can be difficult to pay in cash or deposit cheques
• Basic services - only some app-only banks offer overdrafts or loans so still need a high street bank for extra services

Should you switch to an app-only bank?

App-only banks have shifted the financial landscape, making banking more exciting and have led to high-street banks having to rethink their own digital services. The app-only bank accounts help you manage your money with budgeting tools, instant notifications and automated savings pots. A lot of them also offer additional perks like fee-free spending abroad which is great when travelling.

They're growing in popularity too. In 2024, around 9% of adult banking customers in the UK used an app-only bank as their main bank account, compared to just 1% in 2020. While those who prefer app-only banks are still in the minority, this is a fairly new financial product that is already making waves.

Whether they're right for you depends on your personal needs. Many people prefer the option to go into a physical branch and bank with an established high street brand. Some app-only banks don't offer easy ways to deposit cheques or cash, and services like overdrafts and loans can be limited, so they may not be suitable. But, for other customers, a digital-only experience is more than sufficient especially when they offer lower everyday fees and cutting edge features.

 

If a link has an * beside it this means that it is an affiliated link. If you go via the link, Money to the Masses may receive a small fee which helps keep Money to the Masses free to use. The following link can be used if you do not wish to help Money to the Masses -