HSBC Overdrafts!

amuircroft · 22 July 2008 at 4:51PM

Hi

I had a Student account with HSBC 2003-2006, this then matured into a Graduate Account. To cut a long story short I recieved a letter at the start of June, a generic letter where my name and address wa sjust typed in (so a circular basically) saying my o/d facility was expiring and they will not be extending it. I then recieved a letter that was personally written to me, it was on normal paper, with all my account details etc on it saying they had reviewed my o/d and extended it until July 2009. Great I thought, and as a result I have not been clearing it as much as I would if it had ended this month.

Now today I get a letter saying the one I recieved from 'Mohshan Yousef' was incorrect ad they now 'withdraw this offer'. Now, I am not in an job that deals with FSA etc anymore but I did previously and I cannot believe that they can get away with this! I have a letter stating it would be extended signed by this Mohshan Yousuf and now they say they are 'withdrawing it'.

Please help me because I cannot afford to clear it in time and the rate is 18.9%! Surely they cant just do this?!

YorkshireBoy · 22 July 2008 at 5:00PM

Register a formal complaint, and ask if you can come to some arrangement to pay down the overdraft over a period of time.

amuircroft · 22 July 2008 at 5:27PM

Thanks YorkshireBoy, I am going into the branch on Saturday to complain and I will take it until the end"

Epiphany · 22 July 2008 at 6:10PM

I too had exactly the same set of letters, but am fortunate enough to be able to clear off the money in the account. The letter that states that they are withdrawing this offer is dated 17th July, and arrived today (22nd) when the interest would be active from the 19th.
If they charge me a penny I will go ballistic! I've now cleared out the account, and in light of this I will be closing both of my accounts with them, and my credit card.
It's a shocking and appalling way to treat their customers and I won't stand for it!

amuircroft · 22 July 2008 at 6:25PM

Epphany

I am glad that you are showing them how unhappy you are by what they have done. I am visiting the branch manager on saturday and I will not be leaving until they have accomodated me in some way which is closer to the original terms of the o/d extension. I will also be closng my credit card. I know 2 of my friends have also got the same and they are really upset by what has happened.

It is shocking

BabyJayne · 22 July 2008 at 7:53PM

Hi, this is my first message!
Was just lurking but thought I'd say hi. I got exactly the same letter today when getting in from work - the letter today stated that current overdraft will expire in November and not July as originally stated.... maybe you have a few more months to go? Make sure you double check everything!

rizel23 · 22 July 2008 at 8:45PM

think mine is now 1K interest free grad account from end of August, used to be 1.5K, anything over thant 9.9APR

Crabman · 22 July 2008 at 9:14PM

This has happened to a few people (me included)... take a look at the following threads & make a complaint to HSBC by calling the Financial Ombudsman - they will take details and write to HSBC on your behalf:

http://forums.moneysavingexpert.com/showthread.html?p=12698987#post12698987

http://forums.moneysavingexpert.com/showthread.html?p=12699157#post12699157

pritti_hippie · 23 July 2008 at 8:31AM

Hello, I thought I would post here to say that HSC graduate accounts do not provide the customer with respectable service. I have been with HSBC since they were called Midland bank, I recieved my student account through them giving me a 1000 overdraft. I never extended this although I had the option and now that I have graduated I have been left stranded by them and have not only sent a formal complaint but am in the process of moving banks. I was told my overdraft would automatically go up to 1500 which it didn't. So I applied online and was told to wait 2 working days...I ring back after 2 days to be told no you must wait 3 days which I complained about and so miraculously they managed to answer me straight away hmm! So they decided that I couldn't have the extension which means that after leaving uni I am stuck with no money and a huge overdraft. The bank said that they could discuss my borrowing needs and see if there was another service they could offer although also telling me that it is unlikely they could help me!!! I've never gone over my limit, I have one credit card which is always paid straight off and HSBC just don't care about their customers! Hope this helps some of you make decisions!

amuircroft · 23 July 2008 at 5:38PM

Thanks for that guys! I will be calling the Ombudsman tomorrow first thing, I have already written to HSBC and am glad I am not the only on ekicking up a fuss. If anyone gets some joy please let me know

dansylvester · 24 July 2008 at 4:38PM

I went into see HSBC re the same problem and they told me basically that when I opened the account my overdraft would reduce over 2 years, not 3, although i found that very difficult to beleive. I am now moving banks to abbey. They have offered my either £1000 interest free overdraft for 1 year, or 8% credit interest, plus double the credit card limit of my HSBC card (not that I ever go up to my limit), with costs to transfer my balance at all (Not even the 3% charge that most cards have), and a much better rate on my savings also, and the staff there seemed much more down to earth and friendly than those I have experianced at HSBC.

HSBC Overdrafts!

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