HSBC now charging £5.50 a month for "free" Business Banking

Hominu

zcacmxi wrote: »

Seems a bit steep, they made £14Billion profit last year even without charging!

Meanwhile, Apple posted quarterly revenue of $36.0 billion and quarterly net profit of $8.2 billion, does that mean they should sell iPhones at a more realistic price?

Business always want to improve on their profits, one way is to hike or introduce additional costs.

JuicyJesus

zcacmxi wrote: »

Seems a bit steep, they made £14Billion profit last year even without charging!

I can bet your a*se they didn't make £14billion profit solely on the free direct business accounts...

anandp

Hominu wrote: »

Meanwhile, Apple posted quarterly revenue of $36.0 billion and quarterly net profit of $8.2 billion, does that mean they should sell iPhones at a more realistic price?

Business always want to improve on their profits, one way is to hike or introduce additional costs.

No it doesn't but if they suddenly hiked iPhone prices, then it might not be the smartest move on their part. Hiking prices like this will only see people leave IMO, and if its the 'free' accounts that have been hiked, then those are more likely to leave anyway.

anandp

alx2013 wrote: »

Membership starts at £120 per annum with a £30 registration fee for the first year

That's the FSB charge for membership right? Not for the Co-op?

zcacmxi

Hominu wrote: »

Meanwhile, Apple posted quarterly revenue of $36.0 billion and quarterly net profit of $8.2 billion, does that mean they should sell iPhones at a more realistic price?

Business always want to improve on their profits, one way is to hike or introduce additional costs.

My point is that HSBC is making profits in the billions, whichever way they are doing it even when the accounts had no monthly fee. Ultimately, bringing in charges for something that was previously not charged for when they are making billions seems greedy to me and is not going to win my vote!

Just like people can buy Android phones, or Windows phones and are not limited to Apple, thankfully people also have the option to move to Cater Allen or Metro Bank. If you are happy paying, then maybe they should charge those willing to pay more and use that to subsidise those unable/unwilling to pay?

WarrenG_2

Money-Saving-King wrote: »

Which account is this? I have business direct which still appears to be free. I haven't had any letter yet if it is this account?

Yes the Business Direct account is going and changing to a paid account in September.

anandp wrote: »

That's the FSB charge for membership right? Not for the Co-op?

FSB charge for membership not the Co-op. Free business banking is just one offer thats available to members.

Money-Saving-King

WarrenG wrote: »

Yes the Business Direct account is going and changing to a paid account in September.




FSB charge for membership not the Co-op. Free business banking is just one offer thats available to members.

I expect I'll get the letter tomorrow then. Had no post yesterday when I was expecting things so maybe mine has been delayed and will come tomorrow?

I only use the account as I'm a sole trader but I'll just open another current account, maybe the nationwide one, at least that's got good interest for the first year!

dazbear

Seems to be 2 threads going on about this - cant they be merged???

Im royally annoyed about this as only moved in Feb!

During set up I specifically asked if the "no monthly fee" was a permanent feature. I was categorically told by their op they couldn't introduce a monthly fee on this account as wasn't part of the pricing structure. "It would be free for the life of my account" - I have it written down in my notes. So, I went ahead.

I suppose their get-around will be that they are stopping Business Direct and moving us all to Electronic Tariff, therefore new account/new conditions.

I now feel mis-sold!

Headly

I realise RBS is on the OP's blacklist, however they do appear to offer a completely free business banking service via their 'Business Banking Direct' product.

Apart from the FSB/CoOp set-up, they're the only other one I can find.

Does anybody know anything about this RBS account?

Wywth

We've been discussing this, and the options available, here:
https://forums.moneysavingexpert.com/discussion/4676803

Metro bank appears to be coming out one of the better options (needs a minimum £2k balance maintained to retain free banking after 1 year), but it does need a trip to London to open the account.
No one has reported any experiences (good or bad) with trying this option yet.