A new digital bank is planning to use “Lego-like” technology to offer mortgages to wealthy professionals who wish to invest in property.

Monument has just received its banking license with restrictions and claims it will be the first UK challenger bank to serve the “unmet demands of 3.5m mass affluent clients”

These include doctors, lawyers and accountants, entrepreneurs and property investors with a net worth of between £250,000 and £5m.  

Monument says it will offer top-quartile savings rates and promises to reward loyalty from both depositors and borrowers, rather than favouring new customers. 

The lender says it has taken 18 months to get regulatory approval and it hopes to have its technology and operations ready in time for a launch in early 2021.

It plans to offer loans of up to £2m via a fully digital lending process.

The bank is in the process of completing a Series A funding round and has so far raised around £20m.

Its board members have held senior roles in HSBC, Barclays, McKinsey & Co, UBS, Goldman Sachs, Apollo Global Management, PWC, Coutts and at the UK regulators.

Monument Bank chief executive Mintoo Bhandari says: “We are delighted that we have received our banking license and are incredibly excited about delivering the exceptional levels of client service that the mass affluent deserve and which has been lacking from existing premier and private banks. 

“The speed with which we have been executing our plans and progressing through the regulatory process are a testament to the exceptional quality of our team and the vote of confidence by investors in our strategy, in a world that is otherwise full of challenges.  

“We now eagerly look ahead to completing the build of the Bank and launching for clients in 2021. 

“Our mission continues to be to combine the capabilities, convenience and efficiencies that modern technology offers with traditional values of trust, security and strength, and to deliver unrivalled service that our valued clients will demand.”