HSBC to launch new 8% regular savings account

Kazza242 · 19 February 2005 at 11:12PM

HSBC will be launching a new regular savings account on Monday (21st Feb) which will pay 8% gross interest. This rate is fixed for one year.

You are allowed to deposit between £25 (min) to £250 (max) per month. This must be by standing order.

No withdrawals are permitted during the 1 year term, otherwise you will lose the 8% interest rate and your money will revert to their other savings account rate paying 2.28% interest.

On maturity your money will be swept into another account and will earn 2.28%.

IMPORTANT: According to HSBC's customer services helpdesk, in order to qualify for the 8% regular savings account, you must hold a current account with them and get your salary paid into it. If you're not an existing HSBC current account customer then you will be required to open one to qualify. *Although, they have given conflicting information on this. One advisor said holding a current account wasn't necessary to qualify, whereas the other said it was! We'll have to wait for the T&C's to find out who's right.

According to HSBC's advisors, the account must be opened in one of it's branches. Once opened it will be possible to view the account online - much like the Halifax regular savings account.

Please note: I have been given the above information by HSBC's customer services helpdesk. The staff were only told of the account yesterday (Friday), therefore, some of them were not completely sure of the terms and conditions. The T&C's will be available via the HSBC website on Monday. For more information, the HSBC customer services number is: 0800 130 130.

blinko · 20 February 2005 at 12:38AM

WOW HSBC taking on the savings market in style bigup might have to start using them again

deemy2004 · 20 February 2005 at 3:24AM

Bloody HSBC !

Promise the earth then slip in to the T&C you have to have an exactly 25mm big toe !

I'm going to complain if it goes ahead as is without it being clear, right on the front page that it is depedant on x,y,z !

Walletwatch · 20 February 2005 at 4:21AM

First time I am hearing HSBC taking on the savings account market - and that too in style - hope it isn't too much of a logistical nightmare opening these - already have one each in Halifax and Abbey for the max amount for me and my wife, if this one opens, it'll mean I can maximise interest on £2000 per month overall between these three regular savers !!!

A rubbing-his-hands-in-glee Walle****ch

Alien8_Hi% · 20 February 2005 at 5:30AM

Does anyone know if this offer will be available to First Direct customers?

hansi · 20 February 2005 at 10:19AM

There's nothing on their website yet

Kazza242 · 20 February 2005 at 12:27PM

Alien8_Hi% wrote:

Does anyone know if this offer will be available to First Direct customers?

I've just spoken to HSBC's customer service helpdesk. This is what they said:

- First Direct customers are eligible to apply for the HSBC 8% regular savings account.

- First Direct customers will still need to open a HSBC current account and get their salary paid into it to qualify.

Some new info:
- You are allowed to alter the amount you pay in each month by standing order, but your deposits must be between £25-£250 per month.

- You can open the 8% account (and HSBC current account if you don't already have one) over the telephone, via the post, or by visiting a HSBC branch. In fact, the advisor was prepared to open the accounts for me on the spot over the phone a moment ago. I declined, I'll wait until I've read the T&C's before I decide if it's worth applying. The T&C's will be available via the HSBC site either tonight or from tomorrow.

The advisor I spoke to told me he had the T&C's in front of him. He clarified the condition that you must have a HSBC current account and you must get your salary paid into it to qualify.

hansi · 20 February 2005 at 12:31PM

What is the case if you are retired, dont have a salary, but get your State Pension paid in, does that count?

Robert_Sterling_3 · 20 February 2005 at 12:45PM

A well designed sprat to catch a mackerel.
About £15 gross a year better than a similar 7% account.
About £30 gross a year better than a similar 6% account.
For this you have to pay in your salary.
Hmmm.

Kazza242 · 20 February 2005 at 12:50PM

hansi wrote:

What is the case if you are retired, dont have a salary, but get your State Pension paid in, does that count?

Hansi, yes, your State Pension does count.

HSBC's customer services helpdesk said:

Any pension (be it state, personal or private) is regarded as an income coming in, therefore, retired customers still qualify for the account. You must open a HSBC current account (if you don't have one) and get your pension paid into it directly during the 1 year account term to qualify.

HSBC only insist that an income (salary, pension etc) be paid in to it's current account each month, so it can see that you'll be able to consistently meet the required monthly (£25-£250) payments.

Paul_Varjak · 20 February 2005 at 1:08PM

The headline 8% rate sounds good until you relaise that is must be funded from a current account paying just 0.1%!

Surely better to get Halifax 7% Regular Saver and fund from a Halifax Current Account paying up to 3%!

HSBC to launch new 8% regular savings account

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