HSBC Student Account Issues.

[Deleted User]

Hello all, I really need advice .

I'm 24 and have been in employment since I saw 16, being full time for the last 4 years or so. My credit file has never had a single default and is quite good.

I recently applied for a HSBC student account because they seemed the most competitive and the 2yrs after graduation whereby I still gained 0% interest on the overdraft was a nice idea.

I received the confirmation letter that I had applied for a student bank account and it asked that I took down my UCAS form and 2 pieces of ID.

When I did this the lady in the branch told me I'd applied for a pre student account not a student account (this comes with no credit facilities at all i.e. no overdraft and no credit card). I told her I did indeed apply for a student account and not a pre student account and had the letter and literature to show this. I also had to provide my UCAS details when applying. The lady said it wasn't a problem and that she could upgrade my account for me. After giving me lots more forms to fill out and some new bank details she told me that I'd been credit checked and accepted for the credit card but had flagged on her system that I'd declined it and since it was approved did I want it anyway. So I just said yes since they'd already checked me against my wishes...during the application I put down no for a credit card.

The lady said the branches no longer deal with amendments to student accounts and that I had to call up customer services to have my interest free overdraft added on because in branch they can only add chargeable ones.

During my meetings with HSBC (I went for advice before applying and then after to provide ID) they always said that an overdraft was definitely included and that the amount you're given is subject to a credit check. Even their letter does say subject to status it just says it's based on a credit check. They've credit checked me but not applied for the overdraft which they now say will be another credit check.

So I called customers services as instructed and they told me that I cannot have an overdraft because no application for one was put through and I have no account histroy or use for them to analyse and gather a figure for an overdraft and that I had to wait till September. After speaking to a manager they basically told me the branch had misinformed me and the website and botched the application. The manager at the call centre then put me through to the branch manager who said that in 24hrs from when the branch had upgraded my account from a pre to student account, it would give them an indicative figure for an overdraft without a credit check that he'd then just add on.

He then called me back 24hrs later and told me it still showed 0 and I basically had to use the account and then wait months for it to update with an offer.

I told them this is unacceptable and he fobbed me off again saying he had contacts in various departments he could check with to see what he could do. He then mentioned my application said I'd put down a salary of £5000. Strange because I'd entered £14,600.

I'm really scared that HSBC have screwed up my credit rating. They said they credit checked me for the pre student account and then again for the credit card (which I declined in the application). This seems somewhat fraudulent, they appear to be using my details and doing whatever they like with them.

My credit rating before this was good and I should have 0 problems getting a student account and interest free overdraft, but with all of these recent credit checks, if I apply again I'll probably get declined for credit check spam.

Any ideas of what I can do? Are HSBC breaking the law by credit checking me for accounts I never asked for and credit cards I'd declined and then fabricating details from the application that I most definitely hadn't provided? I haven't even used the accounts of got the cards yet and they're already severely stressing me out.

Apologies for any typos, I've not got my glasses on :P.

Lokolo

Ok I don't think they're breaking the law by doing a credit check...

However, it seems the people you are dealing with in HSBC are being pompus.

If you want an overdraft without a credit check you will have to build up internal rating with the bank. This will take months, which is what the manager has explained to you. The 0 that keeps coming up is because you have only just joined and not used card a lot, not deposited money year after year etc. So atm you don't have any loyalty with the bank.

Next. Ok so they've been doing credit checks which then have been resulted in anything. Have you looked at your credit file to see if these are on there? If they are and have affected it, go into branch and ask them to be removed because they shouldn't have been done for the credit card. The original one would need to be done though, credit checks are done on opening accounts as the norm.

Also, 9 months ago, I went into branch and updated my student overdraft, so unless they've changed it since then you can do it in branch!
But you can also apply online for an overdraft...

The salary thing of £5,000 could be just because of the pomus woman, she could have missed a 1 before the £5000... thats no problem, easily changed.

hebangsthedrums

be careful with the overdraft, what they say you will get and what you actually do get are two completely different things.....

Lokolo

I don't understand why you don't just go into a branch and speak to someone there.....

1. Going straight to the CEO or FSA is a waste of time
2. Have you written a formal complaint? Doubt it.

You can't go on about you're going to contact the highest of highest if you haven't even written a formal complaint yet.

You keep complaining about the phones. Banks and call centres never mix in most cases, I'm pretty sure you should have learnt that after the 2nd or 3rd time calling them....

First things first. WRITE A FORMAL COMPLAINT.

http://www.hsbc.co.uk/1/2/popups/how-to-complain

Lokolo

In all honesty, I am starting to see why they did it.

It been 2 weeks. you have 6 weeks for them to sort it.

Be patient !!!!!!! You're not their only customer.

Glad they're actually doing something about it though.

Lokolo

Thats why I said what I did earlier, unless its an official complaint in writing they're not going to do anything.

Banks are business's, you are low valued customer (not trying to be harsh but you don't have £100k+ going into the bank every week ), so things you want sorted will be a lower priority.

16 days is not a long time. Barclays complaints for some take upto the 8 weeks and longer.

Just be a little patient. If you are trying to get a house or something I can understand why you are frustrated but unless you're dying and really need it, you can wait a few weeks.

HopeAndDriftWood

I don't think the two searches will be a problem, but you'd need to close this student account first, because you can't have more then one, and banks are wising up to this at the moment.

HopeAndDriftWood

I might have missed where you said this, but that was a lot to take in!
Do you have an unconditional offer?
If not, this is standard practise. Your account will upgrade after results day, when you take them proof of an unconditional offer, and you'll have access to the overdraft then. You'll get £1,000, and it sounds like the credit checks went through fine for that if they then offered you a credit card.

If you do, maybe you need to point out to them that you are definitely going to university, and need your overdraft for accommodation, equipment etc. My boyfriend opened an account with them last year, it went through fine and he had his overdraft in August. None of this hassle!

username

They're maintaining I can't have it until I physically am a student.

I suppose it kinda makes sense, because they want to see that you are actually going to be using the account, probably by having your student loan paid in or something, before applying the overdraft. The rationale one would assume behind that is that so you can't open up a load of student accounts and use the overdrafts but leave it in the red for the rest of the year (costs them money!).
That is what NatWest said to me before they applied the overdraft to my student account. This, I duly did; a visit to a branch later, and the overdraft was put on, no fuss etc.

Is there any reason why you want the overdraft put on so quickly? At the end of the day, the overdraft isn't 'free money' and is repayable on demand.

Scousebird_2

Is this the ONLY student account you have?

PARIS_5000

[quote=[Deleted User];23949949]Yup it was an unconditional offer (I left college with my A levels in 2004) and I accepted my offer and choice of university in April I think it was. Even took them the confirmation letter from the Uni confirming I'd accepted the place. They knew it.

They're maintaining I can't have it until I physically am a student.

They're also now saying, because I was never assessed correctly when the account was set up, I'm not eligible for any products as none were offered or assessed .[/QUOTE]

I have a student account with HSBC which was set up right away with overdraft and credit card because I show proof that I was a student with a letter from Uni and student loan payment leter. I think you should have opened your student account in August or September because HSBC new student year does not start until the 31st July. This could be the
reason why you have had so much problems. I hope that you sort out your problems soon and do not worry about the credit searches because I had lots of credit searches and still got my student account.