Climate Change Credit Cards: What Are They and Are They Worth It?

Climate change credit cards are designed for eco-conscious consumers who want to reduce their carbon emissions and leave a lighter ecological footprint. The idea behind these cards is to reward you when you make carbon-light purchases, like e-scooters, charging stations, and plant-based meat substitutes.

Sounds great in theory. But in practice, it's been difficult for climate change credit cards to take off.

For instance, on May 3, Aspiration -- an environmentally-conscious financial institution -- discontinued one of the best examples of a climate change credit card, the Aspiration Zero Mastercard. This card had a 0.5% earn rate but would earn another 0.5% if users eliminated their carbon footprint for the month. Rewards could be redeemed to plant trees at $1 per tree, which is pretty amazing if you love trees, and the credit card app tracked your progress toward a more carbon-neutral lifestyle.

Are there any climate change credit cards left in the U.S.?

With the discontinuation of Aspiration Zero Mastercard, there are very few cards designed to combat climate change in the U.S.. In fact, you're limited to only a handful of cards issued by banks that have pledged to be more environmentally friendly.

For instance, Amalgamated Bank -- another eco-friendly financial institution -- has its Maximum Rewards® World Mastercard®. This card earns 1.5% on every purchase with no cap on how much you can earn. You can't redeem rewards to plant trees or keep track of your carbon emissions. But the bank itself is committed to "climate justice," which means you're supporting an institution that isn't invested in carbon-intensive industries.

And if you prefer to use a debit card, the FutureCard Visa® Debit Card is perhaps the best climate change card on the U.S. market. The card earns 6% back at over 50,000 climate-friendly businesses, plus 5% at second-hand stores (for clothes, electronics, and furniture), plant-based meat, public transit, electric charging stations, and bikes and scooters. These bonus rates apply to the first $25,000 you spend, then becomes 1% after.

Because it's a debit card, not a credit card, there's no risk that you'll harm your credit score or go into debt by overspending. Of course, it also means you can't improve your score by using the card. If you're on board with that, the FutureCard Visa® Debit Card might be worth having if your spending matches the bonus rewards.

Are climate change credit cards worth it?

Climate change credit cards are a neat idea. But they have a long way to go. Even the Aspiration Zero Mastercard had its weaknesses, not the least of which was the $60 annual fee and a rewards program with no bonus categories. The rewards on the FutureCard Visa® Debit Card are more promising.

If we could get a cross between the carbon-tracking app of Aspiration Zero Mastercard and the generous rewards of FutureCard Visa® Debit Card, then we might have a climate change card that's worth getting. Until then, I would download a carbon-tracking app -- like Joro -- to help you curb carbon-intensive spending habits. Then get a cash back credit card from a carbon-neutral company, like American Express, and earn more money back on your carbon-light purchases.