Cash Isn’t The Only Green Way To Pay
Now, gassing up your SUV can actually be good for the environment — if you pay with the right credit card. Wait, maybe that’s not what environmental advocates exactly had in mind. There are a number of cards on the market now for eco-conscious consumers who want to make a difference? But is it a worthy cause or just a marketing ploy?
These cards are all about emission reduction and carbon offsetting, according to the Wall Street Journal. We’ve already discussed the GreenPay MasterCard, which focuses on carbon offsetting. GreenPay is joined by a couple others, like Bank of America’s Brighter Planet Visa (carbon offsetting)Â and GE’s Earth Rewards MasterCard (greenhouse gas emission reduction projects).
Interest rates vary, but Brighter Planet offers the lowest APR at 9.99%, WSJ reports. The cards’ rewards are relatively stingy in comparison to cash rewards, as in less than 2% for environmental causes versus 3% with cashback cards. The rewards are on par with most vanity cards offered by banks, with less than 2% going toward the organization of the cardholder’s choice. For various reasons, banks have been slow to embrace the environmental rewards cards.
Some critics say the offers are just a way for companies to make money off the guilty consciences of big-spenders. Profit is probably one motivator, but by offering the cards, companies can also align their actions with their expressions of environmental concern. The cards aren’t the only ones coming under some heat. There are plenty of critics of carbon offsetting as well, saying there is simply not enough transparency and oversight in the industry.
No matter your philosophy on carbon offsetting, greenhouse gas emissions, and those two ideals bringing profit to mega-corporations, the green rewards cards may just defy plain old common sense. Strictly running the numbers, you may be better off using a cash-back rewards card and donating your rewards to the non-profit of your choice.
