Zero launches 'Planet Safe Saver' ethical savings account

MSE_Ben_T

Fintech app Zero's new 'Planet Safe Saver' account pays 3.66% AER (variable). It's currently the highest-paying easy-access 'ethical' saver, meaning it avoids funding fossil fuels, weapons, tobacco and similar sectors. It's not a top market rate, but 'ethical' accounts are something we're often asked about, and the rates are normally awful – so Zero having an OK rate is an improvement.

Read the full story here:

New top-paying 'ethical' savings account at 3.66% launched by Zero – here's how it compares

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ircE

It seems a bit odd to me the article repeatedly refers to this account as being the "top" account but makes no mention of other ethical accounts i.e. what it has beaten to be regarded as the top account.

The article defines ethical as not funding XYZ sectors, but surely this definition would also apply to most building societies? Yorkshire BS has a 3.90% account at the moment. 

Some banks not only exclude certain sectors, they also actively invest in "good" ones, like LHV Bank, which recently launched a 4.25% account.

Also, calling the rates on such accounts "normally awful" is quite harsh given the interest is often not the point. Some savings providers like Ecology BS explicitly say they avoid paying higher rates because they would rather attract savers who believe in what the institution is trying to do rather than rate-tarts.

I'm glad to see an article about ethical savings but if you are going to do stuff like this it would be nice to see more thought put into them.

WillPS

ircE said:

The article defines ethical as not funding XYZ sectors, but surely this definition would also apply to most building societies? Yorkshire BS has a 3.90% account at the moment. 

Would love to know your thoughts on this @MSE_Ben_T

j.p

The most rudimentary "current account" ever! But at least I can confirm that I managed to get money in and out, and that the virtual debit card works.

I'm not sure if I'll do the savings bit, though… Afraid that that'd require larger sums than dipping my toes into it, if it's gonna yield any interest, and I wasn't "screened" (investigated) as I applied for the account, I just sailed through, but perhaps when some money starts flowing around my savings I will… And who knows what they'll ask for, to unlock my money? LHV asked lots of questions about income upfront and then, when I refused to produce the long list of documents, they've refused my account. Would Zero also take KYC to that extreme? Who knows. I think I'll wait until I can find more reviews… Let someone else go through it first.