In these challenging times, it is more important than ever to use every tool available to protect people and the planet. Can your financial life—beyond charitable giving—make a difference to struggling communities, corporate conduct, and the environment? Yes, it can! With this guide, we want to show you how.
Strategies to “vote with your dollars,” as we call it, can be used by anyone, no matter where you may fall on the spectrum of wealth. Even if you only have $50 in the bank, it can be in an account where those assets support the kind of world you want to live in as a Green American.
For example, if you use a checking account, savings account, certificate of deposit, mortgage or other basic banking products, you don’t have to use a conventional mega bank. Instead, you could meet your financial needs through either a community development financial institution (CDFI) or a local community bank. CDFIs are dedicated to the economic uplift of low-to-moderate income communities. A community bank that’s not a CDFI can be a good choice if you want to bank locally and have your money support your community. Minority-owned banks and financial institutions certified by Green America are also great options.
Mega banks like JPMorgan Chase, Wells Fargo, Bank of America, and Citi continue to invest at record levels in fossil fuels. Is that what you want your money to support? You can join the “Fossil Banks, No Thanks” movement by using a financial institution that does not invest in fossil fuels and by urging “fossil banks” to change their lending policies at greenamerica.org/fossilbanknothanks.
If you have investments in mutual funds, consider choosing funds that screen their holdings with attention to social, environmental, and corporate governance issues. Many studies have shown that integrating these issues into the investment process does not harm one’s portfolio—and may even diminish risk (see p. 8).
If you own company stock directly, be sure to review and vote your proxy ballots. There may be votes on labor, diversity, human rights, climate change, and environmental issues you won’t want to miss. Make sure you are using your shareholder voice—corporate management listens to investors.
Whether our political processes are working optimally or not—you can vote with your dollars and make a positive difference today!
