HSBC Overdraft: Arrangement Fees

armyoftwo

Hello,

I am wondering if anyone could tell me whether HSBC charge customers an arrangement fee for having an overdraft on their fee free current accounts?

My friend has had an account with them for approx 8 months now, and is wanting to know whether she could apply for an o/d, and whether she would be charged an arrangement/subscription fee?

She has explained that she would like an o/d, primarily, to act as a safety net, and does not envisage using often.

From my understanding, HSBC will not charge an arrangement fee if you have not requested one in the last 6 months??? As a result, she should be eligible (subject to status) for an overdraft without having to pay any set up/monthly fees?

Thanks in advance

:money:

Frontera2

There will be no charge for the initial overdraft request. However, if an increase in the o/d limit is requested and/or the initial limit is exceeded within 6 months then there will be a charge.

Full details are in the HSBC Price list which is here: http://www.hsbc.co.uk/1/2/interest-rates/current-accounts

armyoftwo

Thanks for the reply.

I have informed my friend. She is trying to apply for the o/d online and is given an option of having an o/d for 7 - 12 months. She wants it for 12 months.

Sorry if this is a silly question, does this mean she will be charged for 6 out of 12 months? or does it mean if she requests a further o/d after the duration of the 12 months, she will be charged?

Thanks again

armyoftwo

Could Anyone Help?

YorkshireBoy

armyoftwo wrote: »

Could Anyone Help?

All the help you need (or rather your friend needs) is available from the link already provided above.

Here's the actual document...

http://www.hsbc.co.uk/1/PA_1_1_S5/content/uk/pdfs/en/90030_9_bankacctcards_trav_q1_new_web_dec10.pdf

See the section headed "Additional services and account charges" on page 1, column 3.