HSBC Horror Stories

RN in Minnesota sent the following analysis: “I tried to open a HSBC direct savings account for $25,000.00 On July 1st I filled out an application online and submitted it. On July 8 two small deposits were made to may account by HSBC. I received an email on July 10th from them which contained a new account application number, and a link to verify the deposits. When I clicked the link and asked to verify my deposits after entering my Name, Social security number and Date of birth. Upon submission of this information I was informed that my application was not available.

I tried 4 times to enter my information and received then same error message. I was not asked for my application number which I would have thought would have been important. On July 15th I received another email asking for verification of the deposits. I responded by entering my information again, (application# not asked for), with the same error results.

By this time I became a little uneasy because I was still not in the system. At this point in time I called their hotline. I got a person that I could hardly understand and had to ask many times to repeat what he was saying so that I could understand him. I asked him some pertinent questions regarding the lost application for which he asked me to hold while he got the information from some where. I asked one final question and was again put on hold.

After holding for 25 minutes, without a reply, I hung up. I expected them to call me back as my phone number was on the application. I am glad that I had not held my breath as the next contact from them was in the form of an email on Aug. 2nd at 4.58AM.

It stated that is was “some time” since they had heard from me and that if I did not respond within 5 days my application would be withdrawn. On hind site I should have let the application lapse as my $25,000 did not seem to be of much importance to them.

Now comes the real fun part. During this time period I had to use some of the $25,000 to repair my roof that started to leak. I again went online and this time was able to verify my deposits but could not access my account with the new account number I was given in the email. Again I become apprehensive about this whole deal.

I called another customer representative of HSBC. I told him that I needed to change the amount to be withdrawn from my account because the $25,000 was no longer available. He told me that it was impossible to change or stop the ACH withdrawal, even though the email said it would take 3 business days to complete this transaction.

I told him that the program sucked, the software sucked and their attitude sucked and why. He reminded me that the conversation was being recorded and I told him that I hoped someone in authority listened to it. Being a retired banker I know he was lying in his teeth or was being fed false information about being able to cancel or modifying the ACH amount. At that point I thanked him for his help and consideration and hung up. They do not give you any of the above information in any of their documentation. I next contacted my bank and put a stop payment on the ACH transaction for which their fee was $27.00.

Now for the sneaky part. Their documentation contains the following statement:
Using the Bank to Bank Transfers service online, you can transfer up to $300,000 into your HSBC account at one time within a 3 business day period. You can also transfer up to $100,0000 out of your HSBC account, at one time through the service. Once the transfer from your HSBC account is completed within 3 business days, you may begin to transfer additional funds from your account.

Using the above statement I created a spread sheet that showed that HSBC did not have to pay $200+ interest on a deposit of $300,000 since it took 14 days before the $300,000 could be withdrawn.

I sincerely hope that you post my statement or at least the first part and inform me if and when it does get posted.”