HSBC Premier Account declined because of credit checking!!!!!!

Julesk69

Hi,

I have been with HSBC for over 20 years, back to the Midland Bank days.... I recently applied for the premier account because I wanted to open the premier savings account 8% interest.

Anyhow, after going through the criteria required they said they would be happy to process the application. They processed the information and the computer declined my application. They couldnt understand it as they told me I manage my account well and there must be something adverse on my credit report.

I checked my report again and rang experian up and explained what had happened. My score is in the 800's, however, there is a default that I had with 02 (dispute and I cancelled my DD) I did settle the amount by paying half the amount... £11 yes £11. Experian suggested I printed off my report and show it to the bank Mgr.

I rang HSBC back and explained the 02 default. He said he couldn't overrule the system but would speak to his Manager later in the week and see if they could do anything. I explained that I wasn't happy and that customer loyalty doesn't account for anything anymore. He understood my frustrations, even more baffliing is that they gave me a credit card in Jan this year with a £9k limit??? My default happened last year.. non sensical !

So yesterday I received a call saying if I could get the default removed they would process the application if not no. Unbelievable, I am fuming. I will try and get the default removed and I will now be changing banks. I wasn't asking for credit I wanted a b****y savings account.

I wanted to rant and find out if anyone else has encountered similar problems. Gone are the days when bank Mgr's had power, it's all down to computers etc...

Thanks

J

knightfox

HSBC Premier involves a number of things including overdraft and increased facilities. So they would of course want to check you.

I am a little surprised as I thought they had constant updates from credit agencies when you become a customer. So they would have seen your credit rating go down.

Defaults are quite bad. They do come off after 6 years. But the banks computers dont like it. I would have thought having only one wouldnt have been so bad.

Try Lloyds as they have very good rates at the moment.

Also be very careful about your bills until this default comes off. Things could get worse. Some credit card companies will increase your apr when defaults are on your account.

Julesk69

What annoys me is that I have an advance account with them, overdraft facilities that I rarely use, credit card etc etc...

I didn't want the current account, I just wanted a savings account but you can't have one without opening a current account.

The default was so little... I would have hoped that common sense would prevail?? They know more about my financial circumstances better than anyone. Even HSBC admitted that I ran my account well otherwise they wouldn't have processed the application. They said it was just the credit report.

Frustrated...

knightfox

Computers do so much for us these days. Online banking etc. Yet they cause so many problems. But we now have so many products that we would never have had without computers.

Julesk69

I agree, however, you would think that if you had a basis for an argument they would be able to overide the system manually? Everyone is different. I could be a serial defaultor but I am not and could prove that with my credit report....

gt94sss2

Julesk69 wrote: »

I checked my report again and rang experian up and explained what had happened. My score is in the 800's, however, there is a default that I had with 02 (dispute and I cancelled my DD) I did settle the amount by paying half the amount... £11 yes £11. Experian suggested I printed off my report and show it to the bank Mgr.

The credit score Experian gave you is useless and doesn't mean anything.

It sounds as if you would have done better to try and open/upgrade to a HSBC Premier account in a branch (with a Premier section) rather than over the telephone..

Regards
Sunil

stephane_2

I think you'll find it very hard to have the default removed....

knightfox

Julesk69 wrote: »

I agree, however, you would think that if you had a basis for an argument they would be able to overide the system manually? Everyone is different. I could be a serial defaultor but I am not and could prove that with my credit report....

It depends on the staff that you talk too. The computer tells them if they could appeal the decision higher or not. Your best bet, as also said on here, is to go to a branch and talk to them.

I would leave it a few months then try again. But go and see if they can help you out.

PARIS_5000

Julesk69 wrote: »

Hi,

I have been with HSBC for over 20 years, back to the Midland Bank days.... I recently applied for the premier account because I wanted to open the premier savings account 8% interest.

Anyhow, after going through the criteria required they said they would be happy to process the application. They processed the information and the computer declined my application. They couldnt understand it as they told me I manage my account well and there must be something adverse on my credit report.

I checked my report again and rang experian up and explained what had happened. My score is in the 800's, however, there is a default that I had with 02 (dispute and I cancelled my DD) I did settle the amount by paying half the amount... £11 yes £11. Experian suggested I printed off my report and show it to the bank Mgr.

I rang HSBC back and explained the 02 default. He said he couldn't overrule the system but would speak to his Manager later in the week and see if they could do anything. I explained that I wasn't happy and that customer loyalty doesn't account for anything anymore. He understood my frustrations, even more baffliing is that they gave me a credit card in Jan this year with a £9k limit??? My default happened last year.. non sensical !

So yesterday I received a call saying if I could get the default removed they would process the application if not no. Unbelievable, I am fuming. I will try and get the default removed and I will now be changing banks. I wasn't asking for credit I wanted a b****y savings account.

I wanted to rant and find out if anyone else has encountered similar problems. Gone are the days when bank Mgr's had power, it's all down to computers etc...

Thanks

J

Never ever cancel your direct debit because it is a breach of terms and conditions which will lead to them placing a default on your credit file.

The default will stay on your credit file for six years and it will be very hard to get new credit from HSBC while it is on your credit file.

It would be a good idea to try to get o2 to remove it but it is unlikely that they will because you cancel the direct debit.

AnonymousForObviousReason

Defaults are really quite serious (compared to CCJs in link below) - also you may have problems trying to get another bank account as you seem to have more than your rating would allow at another bank. Read the top link for an overview of defaults and the problems you've got. Hope is not lost the second link (which is actually on the first page) helps remove in cases of small amounts.

http://www.learnmoney.co.uk/credit-file/remove_default_notice.html

http://www.learnmoney.co.uk/credit-file/small-defaults.html

I'm making no comment on how you've been treated by the bank but if you are leaving sort the default out first. Yes there should be human common sense.

Just found another link (same site honest I don't work for them) but for mobiles - sounds not so hopeful.
http://www.learnmoney.co.uk/credit-file/mobile-defaults.html

Hope it helps.

onlypaddy

Anyone mentioned yet that the fee you have to pay for the premier account pretty much nullifies the 8% interest on the regular saver anyway?