Customer trust in the banking industry has been gravely shaken by the present financial crisis and may never recover. Additionally, some customers may be concerned that banks often invest their money in the arms trade, tobacco companies, pornography or political regimes that ignore basic human rights. Many are wondering if there is a more ethical alternative to the high street banks.
Ethical Alternatives to Traditional High Street Banks
Happily there are alternatives – and such banks are steadily growing. As far back as 2008 when we first became aware that financial meltdown was on the cards, according to Simon Birch in The Guardian (1), the UK ethical banking sector was experiencing a steady increase in consumer confidence and investment.
But aren’t ethical interest rates on savings lower than their high street bank equivalents? Yes, but according to a Which? Money (2) survey carried out in February and March 2010, customers prefer to accept a lower rate knowing that their savings and investments are supporting sound ethical and environmental policies.
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