Household HSBC Watch

Worldwide operations of HSBC saved the bank from disaster. The disaster was HSBC Finance Corporation, formerly known as Household International. Granted we are not the first to report on this matter, but we wanted to sort through the data and updates first. For years we reported consumer complaints and noted trends throughout the United States. Taking that one step further we also reported that HSBC needed to establish better policy and controls at HSBC Finance. That has not happened, although some changes cause employees and former employees to dispute the issue. We let the write-downs to speak for the issue - $17.2 billion in bad debts as the U.S. housing crisis deepened.

Three options were put forth as far a divesting HSBC FInance / Household International is concerned. Close it down, change it, or sell it. The only person that benefitted from the Household International deal was William F. Aldinger, the former CEO of Household. Aldinger sold a dying horse to HSBC and was paid millions for his efforts. Everything said by Acorn, Household Watch, and others was true. During the OCC open comment period, before HSBC finalized the deal, Household and HSBC denied the allegations. They are paying for it now.

Activist investor Knight Vinke, shareholders, and other investors have had enough of Household International. Judging by our complaints the general public has too.