305: [Tim Newell] Ai Review
Today, we're diving deep into the world of GreenFi, where banking meets environmental action in a way that's good for your wallet and the planet! We're chatting with Tim Newell, the brains behind this innovative financial model that promises to keep your hard-earned cash out of fossil fuels. You might be surprised to learn that your regular banking could be indirectly fueling the climate crisis—yikes! But with GreenFi, not only do you get to bank without the guilt, but your everyday spending can actually help plant trees and support reforestation efforts. So, buckle up as we explore how making a simple switch in your banking choices can pack a punch for the planet, and why where you bank really matters more than you might think!
In this episode of About That Wallet, host Anthony Weaver chats with Tim Newell, CEO of GreenFi, a cool fintech company that's all about green banking. They dive into how you can make a real difference for the planet just by moving your money around.
Tim breaks down what green banking is all about and how traditional banks often support fossil fuels, while GreenFi is all about funding eco-friendly projects. He shares tips on how you can grow your wealth while staying true to your values, like planting trees with every debit card swipe!
Listeners will pick up some handy strategies to align their finances with their principles and learn why financial literacy is key in tackling climate change. Tim’s journey from government to leading a climate-focused fintech is super inspiring, showing that your money choices can reflect your ethics.
💬 Question of the Day: How do you mix your values with your financial choices? Let us know in the comments!
🔗 Connect with Tim Newell:
Website: https://greenfi.com
LinkedIn: Tim Newell on LinkedIn
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✅ Subscribe to About That Wallet
✅ Leave a review so others can find these insights
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=|| 📚 Chapters ||=
(00:00) Intro
(03:21) 40% of US consumers
(22:34) Who to cut?
(25:41) Is it easier to acquire a business or start it from the ground up?
(27:42) Jeff Bezos
(39:26) Understanding people
(48:45) Financial Security
(53:58) Final Four
(01:02:47) Where could people find out more about Tim
🙏🏽 Thanks for tuning in! Your support helps more people develop solid financial habits and engage in important talks about money and sustainability.
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✨ Follow Anthony Weaver:
Instagram: @AboutThatWallet
Twitter: @AboutThatWallet
Website: aboutthatwallet.com
⚠️ DISCLAIMER:
This content is for educational purposes only and is not financial advice. Always consult a licensed financial professional when needed.
#AboutThatWallet #GreenBanking #ClimateChange #SustainableFinance #FinancialLiteracy
Episode 305 (bonus)
Takeaways:
- Green banking, like GreenFi, promises financial services that benefit both your wallet and the planet.
- Switching to green banking can have a larger climate impact than buying an electric vehicle.
- Traditional banks have funneled over $5.5 trillion into fossil fuels since 2016, which is just mind-boggling!
- Your choice of bank may mean that up to 30% of your money indirectly supports the climate crisis.
- GreenFi's customers have planted over 4 million trees, restoring a massive amount of forest daily.
- Making the switch to green banking is free and can lead to significant collective climate action.
Transcript
Welcome to the Deep Dive.
Speaker A:We take your stack of sources, break them down, and pull out the key insights just for you.
Speaker A:Today we're actually building on some really interesting chats with Tim Newell.
Speaker A:You might know him from the about that Wallet podcast.
Speaker A:And we're doing a special look, a deep dive into GreenFi.
Speaker A:We want to unpack what it is, why green banking really matters, maybe more than you think, and the surprising power that's kind of hidden in your everyday financial choices.
Speaker A:Okay, so let's dig into greenfi.
Speaker A:Their core promise basically is banking that's good for you and good for the planet.
Speaker A:So think checking, savings, investment accounts, all designed specifically to keep your money out of fossil fuels.
Speaker A:That's the main thing.
Speaker A:Plus they stress, you know, no mandatory fees, no greenwashing, and they actually help you save, earn cash back, and plant trees too.
Speaker B:Right.
Speaker B:And I think it's, it's really crucial to understand why this is such a big deal, like on a larger scale, because the numbers are pretty shocking.
Speaker B: into fossil fuels just since: Speaker A:Trillion.
Speaker A:Wow.
Speaker B:Trillion, yeah.
Speaker B:So what that means for the average person is that maybe up to 30% of the money you just have sitting in a regular bank account, it might be indirectly finding the climate crisis.
Speaker A:30%.
Speaker A:Okay, that's, that's a lot higher than I think most people would guess.
Speaker A:It's sort of an invisible footprint in your wallet.
Speaker A:So thinking about that hidden flow, that invisible impact, what does that mean for you listening right now?
Speaker A:I mean, how much power does your choice actually hold here?
Speaker B:It holds immense power.
Speaker B:Honestly, switching to green banking, something like GreenFi can genuinely have a bigger climate impact than buying an EV or, you know, making your home super energy efficient.
Speaker A:Bigger than an ev?
Speaker B:Yeah, potentially.
Speaker B:And the kicker is it costs you nothing to make the switch.
Speaker B:Zero.
Speaker B:Just try to imagine the collective power, right, if every single household in the US switched, that could prevent funding emissions equivalent to burning like 161 billion gallons of gasoline every year.
Speaker A:Okay, that's, that's not just big, that's genuinely transformative.
Speaker A:161 billion gallons.
Speaker A:So if traditional banking has this sort of hidden climate cost baked in, what exactly is GreenFi doing differently?
Speaker A:How do they ensure your money works for the planet?
Speaker B:Well, they've got some very specific climate friendly features built in.
Speaker B:First off, they absolutely guarantee none of your deposits will support the fossil fuel industry, period.
Speaker A:That's the baseline.
Speaker B:That's the baseline.
Speaker B:But then beyond that, your everyday spending can actually help Reforestation efforts.
Speaker B:Their customers have planted over 4 million trees already, which sounds like a lot.
Speaker B:And it is.
Speaker B:It works out to restoring about two and a half football fields of forest every single day.
Speaker A:Wow.
Speaker A:How does that work?
Speaker B:Mostly through programs like their plant your change thing where they round up your purchases.
Speaker B:And the difference plants trees.
Speaker A:Yeah.
Speaker B:And for the premium customers, they even do automatic carbon offsets for gas purchases.
Speaker A:So they kind of balance out your emissions from driving.
Speaker B:Exactly.
Speaker B:They fund projects that pull greenhouse gases out of the air.
Speaker A:Now, with such a clear, you know, climate focus, you might think greenfi is just for a tiny, super dedicated niche group.
Speaker A:But the market they're going after is actually much broader, isn't it?
Speaker B:Oh, absolutely.
Speaker B:It's not niche at all really.
Speaker B:They're targeting.
Speaker B:Well, it's about 100 million Americans.
Speaker B:That's like 40% of adults who say they're concerned about climate change.
Speaker A:40%, okay.
Speaker B:Yeah.
Speaker B:And this cuts across all kinds of demographics.
Speaker B:Boomers, Gen Z, income levels, where you live doesn't really matter.
Speaker B:It's for anyone who's looking for ways to take meaningful action.
Speaker B:And these folks often tend to have maybe slightly higher deposit levels and are pretty comfortable with digital banking.
Speaker A:And the leadership has experience here too, right?
Speaker A:Tim Newell's background, right?
Speaker B:Yeah, Tim Newell, the CEO, he comes with deep experience in both fintech and climate tech.
Speaker B:Yeah, he was involved early on with places like SolarCity and Tesla.
Speaker B:So there's real substance behind it.
Speaker A:Okay, so it's got the mission, it's got the market.
Speaker A:But how does a business like this, that's so impact driven actually, you know, work?
Speaker A:How does it sustain itself financially?
Speaker B:Yeah, their journey is actually pretty interesting.
Speaker B:Greenfi spun out of aspirations consumer business and they went through this really radical restructuring.
Speaker B:They went from about 400 employees down to just 40, which sounds drastic.
Speaker A:40, that's a huge cut.
Speaker B:Huge.
Speaker B:But here's the thing.
Speaker B:They managed to keep over 98% of their customers through that process.
Speaker B:Wow.
Speaker B:Which really shows, I think, how powerful that mission alignment is.
Speaker B:People stuck with them.
Speaker B:It wasn't just about cutting costs.
Speaker B:It was about focusing on that core passionate base.
Speaker B:And today they're operating at a decent scale, around 150,000 customers, maybe $300 million in deposits and assets they manage.
Speaker B:And they process nearly 5 million transactions a month, so it's substantial.
Speaker A:And how do they actually generate revenue with that kind of model?
Speaker A:Especially the no mandatory fees part?
Speaker B:Good question.
Speaker B:They have a few different ways.
Speaker B:There's the net interest margin, the difference between what they earn on loans or investments.
Speaker B:And what they pay on deposits, like any bank.
Speaker B:Then there's interchange, those small fees merchants pay when you use your card.
Speaker B:They also offer premium subscriptions with extra benefits.
Speaker B:And they have this really unique pay what is fair model where customers can actually choose to pay a voluntary fee based on the value they feel they get.
Speaker A:Interesting.
Speaker A:Sort of like a tip jar kind of.
Speaker B:Yeah.
Speaker B:But built into the banking model.
Speaker B:Yeah.
Speaker B:And Tim Newell's vision, he said he wants greenfi to be like the Patagonia for your bank account.
Speaker A:Okay, I like that comparison.
Speaker B:Right.
Speaker B:So they're looking to expand into things like credit cards, maybe climate focused crypto accounts, green lending for EVs or solar panels.
Speaker B:And having that really clear niche, that passionate customer group, it actually helps a lot with getting new customers and making money.
Speaker B:It really boosts their odds of success.
Speaker A:It seems like they're also committed internally.
Speaker A:Walking the walk.
Speaker B:Exactly.
Speaker B:They make a point of being carbon neutral in their own operations too.
Speaker B:Even though that adds cost, it reinforces that their values aren't just marketing, they're core to how they operate.
Speaker A:Okay, so wrapping up this deep dive then.
Speaker A:The big takeaway seems to be that where you choose to bank, it's actually a surprisingly powerful climate action you can take.
Speaker A:It's simple, it doesn't cost you anything extra, but it can make a really monumental difference, especially collectively.
Speaker B:So maybe the question to leave you with is what stands out to you about the power your everyday financial decisions hold?
Speaker B:Something to think about.
Speaker A:Definitely.
Speaker A:And if you like this deep dive, please do subscribe.
Speaker A:Maybe leave us a review, share it with someone you think might find it interesting.
Speaker A:And you can join the about that Wallet newsletter too.
Speaker A:The link for that is right there in the show notes.
Speaker A:Thanks for joining us.
