Bank Switch
I've banked with the Royal Bank of Canada, RBC, since I first got a bank account, about half my life. The service has been exceptional and the product offering has fulfilled all of my needs which, as a frequent border hopper/resident can be somewhat more complex than the average banking needs. However, this year I have started switching all my banking services over to a tiny credit union called Kindred. Why?
A few months back I was made aware of a movement called the BankSwitch which aims to send a message to Canada's largest banks, who all score horribly on the Rainforest Action Network's climate funding report. None of Canada's big five banks have good marks but RBC is the shameful leader of this pack.
RBC is Canada's largest contributor to oil and gas pipelines and they have made it painfully apparent that they are not going to voluntarily defund the fossil fuel industry. So, once again, as a consumer it is on us to send RBC a message: if you don't care about the future of the planet then we will not support you.
I've contacted the ombudsman as well as customer support, and they supplied me with all the talking points you would expect from corporation that cares about the changing climate only as much as in impacts their bottom line.
"We believe that capital can be a force for positive change, clearly demonstrated by a new business target: $100 billion in sustainable financing by 2025."
On paper this sounds great, but it lacks the required counteraction of ending loans to fossil fuel companies. In reality all RBC is saying with this statement is, "we realize there is a market so we'll invest and make money from that too." Investing in renewables without defunding fossil fuels is tantamount to simultaneously funding the NRA and March for Our Lives.
Further RBC admits:
"RBC faces direct climate risk from emerging regulatory and legal requirements, disruptions to our operations and services, the products and services we provide our clients and the credit impact of clients’ exposure to climate risk"
This has nothing to do with actually creating a sustainable future and everything to do with preserving their own bottom line.
It's no doubt RBC will someday be a leader in investments in sustainable energy, it makes good financial sense. The problem is that they have already proven themselves a laggard in divesting from fossil fuels.
It's 2021, we don't have time for laggards. We need to act now, and if RBC, and other large banks, are unwilling to act we as customers have to shoulder that burden until our voices are loud enough they can not be ignored.
To learn more about switching banks please check out BankSwitch.