What is ethical banking?
Ethical banking providers only invest in ethical companies and funds – generally, ethical banks will avoid doing business with companies that have anything to with green or ethical violations, including the arms trade, contributing to climate change, and human or animal rights abuses.
Ethical banking is an umbrella term for putting your money where your morals are and choosing financial products which are in line with your own ethos. But it’s not just ethics that encourage people to choose green, as some ethical investment products, for example, have been known to outperform their non-ethical counterparts, so it can make good financial sense too.
Ethical banking can also include savings and current accounts, mortgages, and credit cards.