Only one green card in our home

My wife and I are surprisingly loyal to particular clients we’ve served over the years. For example, I still rinse twice daily with Listerine, a brand I worked on more than two decades ago
at JWT. And she is quite partial to the American Express card, a former client of hers at Ogilvy. And when I say partial, what I really mean to say is that–pause–she never leaves home without it. For her, there will only be one green card-it is her card of choice-end of story. So, I suspect that GE’s announcement yesterday about a “green” card will not make much of an impression on her. For me, however, it is worth at least a little scrutiny.

Here’s the basic info on the GE Money Earth Rewards Platinum MasterCard, as reported by the New York Times yesterday:

…allows cardholders to forgo a 1 percent cash rebate on purchases and earmark that amount for projects that reduce greenhouse gases. In months when they feel short of money, cardholders can opt to contribute half and take half in cash.

G.E. will keep a running tally of the amounts, and each Earth Day it will use the total to buy offsets of greenhouse gas emissions. The offsets will be purchased by GE AES Greenhouse Gas Services, a joint venture between GE Energy Financial Services and the AES Corporation, a power company.

So, is this Marketing for Good? Let’s consider the pros and cons. On the pro side, we all use credit cards anyway. Many of us select the card based on mileage points (American in my case) or some other direct monetary gain like cash back (Discovery) or product discounts (GM card) or access (AmEx Platinum). But can we find it in our hearts to give up the points/discounts/access and donate a couple of carbon offsets? Hmmm. I’m going to need some time to think that one through, after all, credit card mileage has funded the airfare for our last two family vacations. As Mae West would say, “I’m no angel.”

I can tell you that the card is quite nice looking and if GE spends enough on advertising, then everyone will recognize it and commend you when you pull it out of your organic leather wallet. (Recognition is important in “green” land and helps explain why Prius continues to sell well and Honda can’t give away their hybrids.) Also, GE will send you your bill electronically thus avoiding unnecessary paper waste which for most people should be a good thing. This service is offered by most other major credit cards and as long as you stay on top of the emails, you won’t have a problem with those nasty late charges which is what happened to me when I switched to electronic billing!!

On the con side, frankly, it feels like a con. Carbon offsets are a very squishy area to me. I’m still not sure how they work and if the end result is truly green. When I use my mileage card, at least I have no doubt what I’m getting. Then there’s the fact that the last thing most people need is another credit card, especially those who are struggling to pay off their credit card debts. The interest rates on this GE card seem to be industry standard which means if you have a good credit rating your interest could me in the low teens and if you have poor credit it will be in the high teens. Unlike some of GE’s other green initiatives (including some that I’ve written about), this one feels a bit small and superficial.

The verdict–give GE credit for being to first to market with this particular concept and trying to extend their stated commitment to the environment. GE has made the card easy to get–it took under two minutes to apply online–and free to own. Every time someone uses the card they will be making a statement, “I’m trying to do good, how about you (you mileage hog)?” What remains to be seen is if this green card will make green for GE and displace the other green card. My wife for one says, “don’t bank on it.”

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