Beneficial State Bank

Beneficial State Bank serves the triple-bottom-line of people, planet, and prosperity for all. That means prioritizing social justice and environmental sustainability. For too long, banks have enabled the concentration of wealth and power by investing in and lending to exploitive industries, prioritizing profit over all else. Beneficial State Bank was founded to demonstrate that there is a more viable, equitable, and sustainable model for banking.

In 2007, Co-Founders Kat Taylor and Tom Steyer set out to design a new kind of community bank—one that would equally prioritize people, the planet, and long-term financial sustainability (a triple bottom line approach). Kat and Tom generously donated the capital for the Bank to Beneficial State Foundation, a nonprofit organization, which is now the majority owner of the Bank’s capital. This unique ownership structure ensures that Beneficial State Bank is owned and permanently governed in the public interest.

As of 2023, Beneficial State Bank is a $1.7 billion asset state-chartered, federally insured bank with branches in California, Oregon, and Washington.

What is Beneficial Banking™?
We go beyond what is considered “ethical banking.” Since our inception, Beneficial State Bank has believed that banking can and should regenerate and restore our communities and our planet. Beyond avoiding the bad, we actively work to help solve society’s greatest challenges.

Beneficial Banking™ meets four foundational criteria:

1. Stakeholder Capitalism
We practice stakeholder capitalism. Unlike traditional shareholder capitalism, which prioritizes profit above all else, stakeholder capitalism considers the potential impacts on all stakeholders, including clients, employees, our communities, and the planet. This is also called a “triple bottom line” approach.

2. High Impact Lending Practice
We follow a disciplined lending and investment practice. We strive for at least 75% of our lending to go towards supporting people and the planet. The remainder of our lending avoids harmful industries. We report these outcomes in our annual Impact Report.

3. Transparency & Accountability
We raise the bar for transparency and accountability. Through 3rd party certifications and memberships, we seek to operate as responsibly and impactfully as possible. These include B Corp certification, CDFI certification, Fossil-Free certification, and GABV membership.

4. Equitable Banking Services & Solutions
We provide equitable and inclusive access to banking and deliver services and solutions that leave those who engage with us better off than they were before.

• JUST
• B Corp
• CDFI