HSBC Current Account Question

[Deleted User]

Hi guys,

I currently have an HSBC Graduate Account that is due loose its graduate status later on this year. Last May I switched to First Direct and the only action my HSBC account has seen is a transfer in of £250/month for the HSBC Regular Saver (mine is the older one paying 6%). My regular saver is due to end in May and I don't plan on starting another one as they have since dropped the rate to 4%.

Anyway, I'm undecided on what to do with the HSBC account once my regular saver is finished. On the one hand I've had the account open (in one form or another) for about 10 years and I believe that this can be beneficial when applying for credit elsewhere.

On the other hand, when my account looses graduate status it will revert to a 'Bank Account' which has a £500/month minimum deposit. I don't intend to make this deposit and according to the HSBC site this will result in the account being changed to a 'Current Account' or I will be informed that it will be closed.

I can find no mention on the HSBC site of the 'Current Account' and I believe that they may have stopped offering it a while ago.

So, anyone else in a similar position? Does anyone have a dormant HSBC account that has been allowed to just sit there? I don't mind leaving a token amount in there just so it's not sitting on a zero balance but having just opened a Santander 123, I'd like to keep as much money in there as possible to benefit from the 3% interest rate.

I assume that there is no negative influence on credit records for failing to meet a minimum monthly deposit on a current account?

anoncol

Having a current account open doesn't help or hurt your credit rating.

[Deleted User]

anoncol wrote: »

Having a current account open doesn't help or hurt your credit rating.

I've always been of the impression that having a long standing current account was a good thing. Gave the impression of stability etc.

innovate

It can help with credit/mortgage/loan applications if you can say you have had a current account for umpteen years. If you have an unblemished credit record on such an account, you will with almost 100% certainty get some better marks because you have proven you can handle some credit.

Savvy_Money

HSBC do not advertise the current account as it is not on general sale but they will make it a current account if you cannot meet the £500 p/m funding requirement. All the functions of the account stay the same including overdraft and visa debit card.