How to Use a Credit Card to Protect the Environment

Earlier this year, Mastercard and Swedish fintech startup Doconomy launched Mastercard Do Black, a credit card that tracks the carbon footprint of every purchase you make and prevents you from making additional purchases once you run out of your carbon budget.

As Fast Company explains:

Made from bioplastics and printed with ink from polluted air, Do Black uses data from Thomson Reuters and Sustainalytics (an Amsterdam-based firm that evaluates companies based on sustainability) to measure the climate impact of every purchase. It is part of a new mobile banking service that is currently available in Sweden and is likely to launch in other markets soon, including the UK and the US (a separate card, Do White, tracks the carbon footprint of your purchases without cutting off credit as soon as you do. ” you’ve reached your limit.)

While US credit card holders are currently not eligible to apply for a Mastercard that tracks their carbon footprint, that doesn’t mean we can’t use our credit card to help protect the environment. Many bonus credit cards give you the option to donate your awards to a charity of your choice, for example, so instead of converting your cash or points into a credit sheet or gift card, you could donate these awards to an environmental organization. friendly work.

Some credit cards have a donation feature built in. When you use a WWF credit card from Bank of America, WWF receives 0.08% of all net retail purchases made with that card. That’s eight cents for every $ 100 you spend, which is not much, but every little bite helps. In addition, you will receive a reward for refunding your cashback on every purchase.

The Charity Charge Mastercard , offered through Commerce Bank, collects your cash rewards and automatically transfers it to three nonprofits, schools, colleges or faith-based organizations. While many cards allow you to donate your cash rewards to charities and nonprofits, Charity Charge uses an automatic donation ratio to ensure that your cash rewards always go towards the goals you support.

On the other hand, the US Bank FlexPerks Travel Rewards Visa Signature Card gives you additional rewards (2 points per dollar) if you use your card for a charitable donation. In other words, you can give an environmental organization a large amount of money and use your Rewards Points to book an eco-friendly trip!

If you’re really serious about tracking your carbon footprint and / or supporting organizations that work to save the Earth, focusing on which credit card you’re using is probably the least effective way to achieve your goals. However, if you want as much of your daily activities as possible to align with your values, choosing a credit card that encourages donation is a good move.

And remember, you may already have a credit card in your wallet that will allow you to donate your awards to an organization that aligns with your values. In this case, the most environmentally friendly option may be to use your existing piece of plastic instead of buying another one.


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