Originally posted by Gav:
Now that Ecology accounts can be accessed via Ecology Interactive, would it be possible to introduce an online savings account? This would save the cost of having passbooks, envelopes, postage, statements; reduce the administrative burden and save some paper! The cost savings could then be passed on to savers through higher interest rates ...
We will be looking at this in due courseI noticed that the Foundation Supporters account, which pays a very attractive rate of interest, is still available to people who previously held such an account. Could these accounts not be made more widely available? Perhaps to long-standing members (as with other banks/building societies that offer loyalty accounts with preferential rates to long-term customers).
The Foundation Shareholders had no access to their capital for many years as a consequence of the legislation regarding the issue of the shares - so we will always favour them, whatever new arrangements we subsequently arrive at It would be nice to be rewarded with a higher rate of interest for being a long-term customer or by using your account solely via the Internet to save resources.
I would certainly be encouraged to save more if offered an online savings or loyalty account.
I appreciate that part of the return offered by the Ecology is environmental and social, not just financial - that's why I opened an account in the first place. However, with the rate of inflation at about 2-3% per year (correct me if I'm wrong there) by investing in an account that pays less than about 2.5% net (if you're a standard tax payer) your savings are actually reducing in value over time. You don't have to offer market-leading rates to attract and retain members as good customer service and ethical values go a long way, but for me a savings account that at least preserves the value of my money is important.
