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Savers unsure of how their money is used

Savers unsure of how their money is used

Category: Savings

Updated: 07/10/2011
First Published: 07/10/2011

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.
The vast majority of UK savers feel their banks do not do enough to explain what happens to their funds once they are deposited.

The research by Triodos Bank found that only 3% of savers thought their providers were transparent enough about their approach to lending out and investing consumer savings deposits.

Figures also revealed how bank customers feel about their savings potentially being used to support industries traditionally considered controversial.

Over half of savers (53%) said they would be concerned if they knew their bank was lending money to exploitive consumer goods production (i.e. sweatshops).

A similar number (50%) would be concerned about their bank lending to weapons production, and over a third (34%) have issues with funding intensive animal farming.

Over half the respondents (54%) claimed that if they knew their bank was using their deposits to fund contentious sectors, they would vote with their feet and consider switching providers.

"The banking sector as a whole must acknowledge customers' interest in the use of money, and properly consider the role that its power and influence can play in acting for positive change," said Charles Middleton, managing director at Triodos Bank.

"We believe savers have a right to know if their hard earned cash is being used to fund industries such as weapons production or the tobacco industry, only then can they make an educated choice as to where they deposit their money."

Half of savers feel there is little information freely available explaining how consumers' savings are used, while over a quarter (26%) have never had any information from their banks.

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Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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