With each passing day, the concept of “going green” is becoming more and more important. Sustainability and environmental awareness are rising up the agenda for companies across the global industries, and finance is no exception.
Fintech firms are increasingly starting to operate in a more eco-friendly capacity, whether this means planting trees or offering green investment options for their customers. To give you a few examples and help you understand what some of the companies leading the way in green finance are doing, we’ve put together a list. Read on to learn more!
Moneybox
Moneybox is an investment & savings app which, among other things, offers users the opportunity to create a more sustainable portfolio.
Alongside this, the firm also launched a “Socially Responsible” fund grounded in ESG criteria in 2020 and a similar pension option. Beyond this, Moneybox also provides regular reports on its carbon footprint as part of a pledge to be more transparent and aim for carbon neutrality.
PensionBee
PensionBee might first and foremost be renowned as an aggregator that allows users to combine all their pensions into one account; however, it also offers eco-friendly options for its customers.
In November 2020, the provider announced that it wanted a £100 million commitment from customers to launch a “Fossil Fuel Free” pension plan. It hit the target after just 34 days.
This investment plan excludes companies with fossil fuel reserves in an effort to meet ESG goals.
Starling Bank
A hugely popular digital challenge bank founded in 2014, Starling offers a number of green benefits for more eco-conscious customers.
Firstly, in October 2020, the bank announced a tree-planting initiative, with one tree planted for each customer referral.
Alongside this, Starling’s debit cards are made from up to 75% recycled plastic from packaging and printing waste. The remaining quarter of the material must be made from non-recyclable elements (i.e. the chip and magnetic strip on the back of the card).
Tred
Tred launched its alpha app in late 2020, following coverage in the Evening Standard, a highly successful crowdfunding campaign, and an EPA Fintech Pitch award.
The firm offers a “green debit card”, which allows you to “track, reduce, and offset” your carbon footprint. Tred uses its profits to plant trees around the word and provides emissions estimates in the app for each purchase you make.
Most Tred reforestation projects are based in the UK.
Triodos Bank
Founded in the Netherlands in 1980, Triodos is a sustainable bank that offers products which benefit both people and the environment.
Triodos has been a household name in green finance for decades, with more than 40 years’ experience under the firm’s belt.
It supports green energy projects, cultural events, and socioeconomic support programmes, loaning funds to projects across Europe that support “people and the planet”.
Triodos has more than 700,000 customers in five European countries, including the UK.
Sugi
Sugi is a portfolio checker powered by Moneyhub which analyses users’ portfolios and breaks down how environmentally friendly they are.
Alongside individual analysis, Sugi also allows users to check their investments against “industry benchmarks” to develop a more sustainable portfolio.
The fintech firm also keeps updating their suite of tools; in March 2021, it debuted new functionality to allow users to check their portfolios against the Paris Agreement.
Oxbury
Oxbury is an “agricultural bank” which is primarily targeted at farmers. The firm offers credit for agribusinesses, seeking to “champion agriculture” in the process.
Agriculture has already come under fire in the UK for its contribution to the country’s carbon emissions, meaning it’s a sector where green alternatives are becoming increasingly prominent.
To this end, Oxbury launched a “Forest Saver” savings account; the interest on these accounts will be used to fund a series of tree-planting projects, including one in the Scottish Borders later this year.
Bunq
Last but by no means least, Bunq is a challenger bank headquartered in the Netherlands. It has been a household name in eco-friendly finance for some time already, having planted almost three million trees already in collaboration with Eden.
The bank offers customers a range of sustainable plans, including its Easy Green product. Alongside providing customers with a long-lasting metal card, the Easy Green account also plants a tree for every €100 spent, in the aim of helping customers become carbon neutral within just 24 months.
So, there you have it – eight market-leading fintech brands who are building their credentials as green finance businesses. As purchasing and consumer behaviour change to become more sustainable, there’s no doubt that others will soon be following suit.
Installing sustainable systems and products into your business is not only a great step to becoming increasingly carbon neutral, but it is a great investment for growth. If you are considering investing in sustainability and becoming a leading eco firm, then do not hesitate to get in touch with Funding Bay here.
