5 alternatives to savings

Recently, there was a call to switch banks. This movement gained significant traction on Twitter, and around 10,000 people switched from the major banks to more sustainable banks like Triodos and ASN. However, most of these people only switched their checking accounts. For major banks, checking accounts are less profitable. They earn much more from the savings they manage.

What do you do with your savings? Do you ever think about the return you receive on your savings?

As we’ve mentioned before, saving yields very poor returns. Recently, banks lowered the savings interest rate to below 1%. Inflation is now higher than the savings rate, causing purchasing power to decrease annually. Savings may grow, but you can do less with them.

And that only concerns financial returns. But what actually happens with the money? By giving your savings (partially) a different destination, you can contribute to a more sustainable world. That’s appealing, isn’t it?

Plenty of alternatives exist to the dull, outdated, and unprofitable savings account. We’ve listed a few for you.

1) Paying off your mortgage. Often, you can make a partial payment without penalty, and it can certainly be worth doing so. Monthly payments decrease immediately.

2) Buying solar panels through platforms like www.zonnepanelendelen.nl is a great way to contribute to clean energy and give your savings a better return.

3) Insulating your home. Yes, better insulation can significantly reduce the heating costs you incur each month.

4) Supporting sustainable entrepreneurs in the Netherlands through a loan. A typical return here is around 6% to 8%. Plus, you can contribute to building a strong, sustainable SME sector in the Netherlands.

5) We at WC Eend would like to recommend WC Eend. Lendahand is also a great alternative for (part of) your savings. Invest via crowdfunding in entrepreneurs in developing countries and receive 4-7% interest and social returns.

It’s incredibly easy to put your savings to good use. You can receive a higher return while also making an impact on the world around you. Could you take a moment today to think about it? Where is your savings? What is the return on it? And what impact is that savings making?

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