UK Finance News

More customers are ‘rushing’ to put their savings into smaller ‘ecologically correct’ banks according to financial reports today.

The trend was spotted in Belgium, when the credit crunch hit it’s largest bank Fortis, it was Triodos that became one of the most popular banking institutions to benefit. The Triodos ethos of investing in tangible products such as wind turbines, something that we all understand, rather than the complex speculation of mainstream financial institutions, has seen a massive increase in customers, over sixty accounts a day being opened in October alone.

Alongside Triodos, the UK’s ‘ethical banks’ have also seen a benefit from the financial crisis, Britain’s Ecology Building Society and The Co-operative Bank are seeing a growth in new accounts and investments despite the poor returns in interest being offered in comparison to some of their mainstream competitors.

While critics will suggest that the ‘ethical banks’ are just benefiting from customers moving their money around, the banks themselves will argue that it is the transparency and investment in tangible products rather than virtual products that are swaying customers.

Paul Ellis of the Ecology Building Society says that communication with its clients was key,  making a point of telling  customers what they are doing with their money, “There is a growing recognition that you do have to dig a bit deeper, you don’t just chase the higher rates, you need to look at what are you actually doing with your money.”

Can you trust your bank?