Saving the planet with your credit card
| • | Clean hotels, the eco-friendly way |
By Christine Dugas
USA Today
Credit-card reward plans are taking on a greener hue.
A rising number of card issuers are letting environmentally minded people use points for such options as donating to a renewable-energy cause or buying a solar battery charger.
Last month, Wells Fargo added eco-friendly choices for its reward cardholders. Bank of America and Citibank plan to add green points to their programs this year or next.
And Bright Planet, a Vermont company that helps fight climate change, will soon introduce Bright Card, a rewards card that will benefit clean-energy projects.
"Because Congress is reviewing credit-card fee practices, the industry needs a white hat right now, and green is good," says Robert McKinley, chief executive of www.CardWeb.com.
Another reason is that in a widening field of competitors, card issuers want to seize attention.
And as airline rewards turn more restrictive, green rewards feel appealing, not to mention trendy.
"Credit-card issuers are saying, 'How can we appeal to new segments?' " says Kelly Hlavinka of Colloquy, a marketing firm that studies rewards programs. "If travel rewards are not so popular now, maybe philanthropic and environmental things are more appealing."
Among the green rewards being offered:
"They can demonstrate their commitment to the environment," says Nancy Beaver of Wells Fargo.
The bank hopes that by adding a twist of green to its rewards program, it will be able to retain some consumers longer, Beaver says.
It says its card rewards will soon add environmental products, such as compost systems and recycled-milk-carton furniture.
Cardholders will also be able to donate points to their choice of environmental groups.
